Credit card welcome bonuses can provide a significant boost to achieving travel goals. Big, 100,000+ points promotions are especially helpful.
But most — if not all — of them require you to spend several thousand dollars within a relatively short period. Otherwise, you don’t receive the bonus points.
For example, the Chase Sapphire Preferred offers 100,000 bonus Ultimate Rewards points to new cardholders who spend $4,000 on purchases within three months of being approved for the card. That’s peanuts for some people. But affording to pay four large during three months is problematic for more than a few people.
The Platinum Card® from American Express offers something somewhat similar: earn 100,000 bonus Membership Rewards points — after you spend $6,000 during your first six months of card membership. Again, meeting that minimum spending requirement isn’t a problem for a few folks.
Don’t get discouraged if you’re either starting in the points-and-miles world or want to pad your accounts. Maybe you need some extra money for the upcoming winter travel and holiday season.
We found five credit cards offering $200 cashback (or 20,000 points, depending on the card) to new cardholders who spend just $500 within three months of becoming cardmembers. That’s only $167 in spending each month.
Better yet: all these cards carry a $0 annual fee.
So let’s take a look — and see which cards might be best for you! (I ranked them in order of my preference — and would love to hear your take below in the Comments section.)
My Personal Pick: Chase Freedom Flex
Current Welcome Offer: New Chase Freedom Flex cardholders earn $200 cashback after spending $500 total during their first three months of card membership approval. Plus, earn 5% cashback on up to $12,000 spent on grocery store purchases (excluding Target and Walmart) during your first year holding the card.
How the Bonus is Awarded: The bonus is awarded as 20,000 Chase Ultimate Rewards points — which gives you a few options (mix and match, if you want!):
- Redeem them as statement credit
- Have Chase send you a check or direct deposit into your bank account
- Transfer some (or all) of the points to a Chase travel partner
- Transfer them to another Chase card
Bonus Categories: I absolutely love my Chase Freedom Flex because it offers so many bonus points options on everyday spending:
- 5% cashback on categories that rotate each quarter (up to $1,500 in combined spending each quarter)
- 5% on travel purchased through Chase Ultimate Rewards travel booking service
- 3% on dining purchases
- 3% on drug store purchases
- 1% on everything else
Annual Fee:$0
Where Can You Get the Card?: Read more and learn here how to apply for the Chase Freedom Flex.
Capital One SavorOne Cash Rewards Credit Card
Current Welcome Offer: Earn $200 cash back after spending $500 total during your first three months of holding the Capital One SavorOne Cash Rewards Credit Card.
How the Bonus is Awarded: You’re awarded 20,000 points to put toward statement credit or a check. Or redeem them toward gift certificates, travel, or other options.
Bonus Categories:
- 3% cash back on dining
- 3% on entertainment
- 3% on select streaming services
- 3% on grocery store purchases (superstores such as Target and Walmart are excluded).
- 8% on Vivid Seats purchases made through January 2023
- 1% on everything else
Annual Fee:$0
Where Can You Get the Card?: Read more and learn here how to apply for the Capital One SavorOne Cash Rewards Credit Card.
Chase Freedom Unlimited
Current Welcome Offer: The Chase Freedom Unlimited earns $200 cashback after spending $500 total during your first three months of holding the card. Plus, earn 5% cashback on up to $12,000 spent on grocery store purchases (excluding Target and Walmart) during your first year of card membership.
How the Bonus is Awarded: The bonus is awarded as 20,000 Chase Ultimate Rewards points. You have the same redemption options at the Chase Freedom Flex card above.
Bonus Categories: in combined spending each quarter)
- 5% on travel purchased through Chase Ultimate Rewards travel booking service
- 3% on dining purchases
- 3% on drug store purchases
- 1.5% on everything else
Annual Fee:$0
Where Can You Get the Card?: Read more and learn here how to apply for the Chase Freedom Unlimited.
Can’t decide which Chase Freedom card is better for you? Check out our comparison: Chase Freedom Flex vs. Chase Freedom Unlimited.
Capital One Quicksilver Cash Rewards Credit Card
Current Welcome Offer: Earn $200 cashback after spending $500 total during your first three months of Capital One Quicksilver Cash Rewards Credit Card membership.
How the Bonus is Awarded: The bonus is awarded as 20,000 points. Like Chase, you can request a statement credit or check. Or redeem them toward gift certificates, travel, or more.
Bonus Categories: 1.5% cashback on all eligible purchases
Annual Fee:$0
Where Can You Get the Card?: Read more and learn here how to apply for the Capital One Quicksilver Cash Rewards Credit Card.
Honorable Mention: Citi Custom Cash Card
Here’s a card definitely worth mentioning — though you need to spend $750 to receive the bonus.
Current Welcome Offer: New Citi Custom Cash Card members earn $200 cashback after spending $750 total with the first three months of card membership.
How the Bonus is Awarded: The bonus is awarded as 20,000 points. Like Chase, you can request a statement credit or check. Or redeem them toward gift certificates, travel, or more.
Bonus Categories: 5% cashback on purchases made in your top eligible spending category every billing cycle — up to $500 in spending. (Then 1%). So that’s up to $25 back each month or $300 per anniversary year.
Annual Fee:$0
Where Can You Get the Card?: Read more and learn here how to apply for the Citi Custom Cash Card and other cashback options.
Which is the “Best”?
The Chase Freedom Flex is my pick. I love the quarterly 5% categories. You must manually activate them each quarter. But we publish posts reminding you to enroll in the offers. (Make sure to subscribe to our free mailing list if you haven’t yet already.)
Capital One has upped its game in the past few years. The Capital One SavorOne Cash Rewards Credit Card is great because it offers so many 3% cashback opportunities for purchases most of regularly make.
The Chase Freedom Unlimited is a solid contender. But it has only two 3% categories — although 1.5% back on all eligible purchases is nice.
Finally, the Capital One Quicksilver Cash Rewards Credit Card isn’t something I’d get for everyday use. The welcome bonus is nice — but there’s a better option for basic cashback cards — and one I just added to my portfolio: the Citi Double Cash Card Mastercard. (More on that below.)
A Good 2% Cashback Card
If welcome bonuses don’t do anything for you and you want a simple cashback card, look into the Citi Double Cash Card Mastercard. It offers 2% cashback: 1% when you make a purchase and 1% when you pay it off. (Learn more here about the Citi Double Cash Card Mastercard.)
The only downside: no welcome bonus. But it’s a fantastic option for something like US Mint coin deals and similar offers.
The Fine Print
Keep in mind most card issuers issue various exclusions when it comes to welcome bonuses. For example, the Chase Freedom Unlimited and Chase Freedom Flex welcome bonuses are “not available to either (i) current cardmembers of this credit card, or (ii) previous cardmembers of this credit card who received a new cardmember bonus for this credit card within the last 24 months.”
This information is generally available on a card’s application page or on their “Offer Details” links.
Final Approach
If you love collecting welcome bonuses on the cheap, the above cards are great options you should consider. Which are your favorites?
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Since the Chase Freedom & Chase Sapphire cards all earn UR, can you summarize the bonus categories & AFs for them in a chart? Thanks!
I’ll add it to my list. In the meantime, check out these two posts:
Chase Freedom Flex vs. Chase Freedom Unlimited: Which is Better For You?
Chase Sapphire Preferred vs Chase Sapphire Reserve: Which is Better for YOU?