Short Review of Best Credit Cards for Big Purchase
| Name | Best for | Rewards Rate | Purchase intro APR | APR | Apply |
|---|
Capital One SavorOne Cash Rewards Credit Card | Cash Back, 0 APR, No Annual Fee, Restaurants, Entertainment, Daily use | 5% Cash Back on hotels and rental cars booked through Capital One Travel.1% Cash Back on all other purchases.3% Cash Back on dining, entertainment, popular streaming services and at grocery stores. | $200 Cash bonus once you spend $500 on purchases within the first 3 months from account opening. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One Venture Rewards Credit Card | Travel, Daily use | 5x Miles on hotels, vacation rentals, and rental cars booked through Capital One Travel.2x Unlimited 2X miles on every purchase, every day. | 75,000x Bonus miles once you spend $4,000 on purchases within the first 3 months from account opening - that’s equal to $1,000 in travel. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One Quicksilver Cash Rewards Credit Card | Cash Back, No Annual Fee, Daily use | 5% Cash Back on hotels and rental cars booked through Capital One Travel.1.5% Cash Back on every purchase. | $200 Cash Bonus once you spend $500 on purchases within 3 months from account opening. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One QuicksilverOne Cash Rewards Credit Card | Fair credit | 1.5% Cash Back on every purchase. | No current offer. | 29.99% Variable | Learn more on our partner’s site |
Capital One Quicksilver Secured Cash Rewards Credit Card | | 5% Cash Back on hotel and rental car purchases through Capital One Travel.1.5% Cash Back on every purchase. | No current offer. | 29.99% Variable | Learn more on our partner’s site |
Capital One Quicksilver Student Cash Rewards Credit Card | International students | 1.5% Cash Back on all purchases. | $50 Cash bonus once you spend $100 on purchases within 3 months from account opening. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Upgrade Cash Rewards Visa® | Good credit score | 1.5% Cash Back on payments. | $200 Bonus after opening a Rewards Checking Plus account and making 3 debit card transactions* | 14.99% - 29.99% Regular | Apply now On Upgrade‘s website |
Upgrade Triple Cash Rewards Visa® | Low income | 3% Cash Back on Home, Auto and Health categories.1% Cash Back on everything else. | $200 Bonus after opening a Rewards Checking Plus account and making 3 debit card transactions* | 14.99% - 29.99% Regular | Apply now On Upgrade‘s website |
Applied Bank® Secured Visa® Gold Preferred® Credit Card | 18 year old | This card doesn't offer cash back, miles or points. | No current offer. | 9.99% Fixed | Apply now On Applied Bank®‘s site |
First Progress Platinum Prestige Mastercard® Secured Credit Card | | 1% Cash Back rewards on payments. | No current offer. | 14.49% Variable | Apply now On First Progress’s site |
First Electronic Bank Destiny® Mastercard® | Unsecured | This card doesn't offer cash back, miles or points. | No current offer. | 35.90% | Apply now On First Electronic Bank‘s site |
Capital One Spark Cash Plus | | 5% Cash Back on hotels and rental cars booked through Capital One Travel.2% Cash Back for your business on every purchase. | $2,000 Cash Bonus once you spend $30,000 in the first 3 months.$2,000 Earn an additional $2,000 bonus for every $500,000 spent in the first year. | None * | Learn more on our partner’s site |
Capital One Spark Cash Select for Excellent Credit | | 5% Cash Back on hotels and rental cars booked through Capital One Travel.1.5% Cash Back for your business on every purchase, everywhere, no limits or category restrictions. | $500 Cash bonus once you spend $4,500 on purchases within the first 3 months from account opening. | 18.49% - 24.49% Variable | Learn more on our partner’s site |
| | 2x - 7x:Points on restaurants.2x - 5x:Points on hotels.1.5x - 2x:Points on recurring software subscriptions.1x - 1.5x:Points on everything else. | No current offer. | None | Apply now On Cross River Bank‘s site |
| Cash Back, 0 APR, No Annual Fee, Daily use | 5% Cash Back on travel purchased through Chase Ultimate Rewards.3% Cash back on dining at restaurants, including takeout and eligible delivery services.3% Cash Back on drugstore purchases.1.5% Cash Back on all other purchases. | $200 Earn a $200 bonus after you spend $500 on purchases in the first 3 months from account opening. | 20.49% - 29.24% Variable | Learn more |
Chase Sapphire Preferred® | Travel, Restaurants, Daily use | $50 Earn up to $50 in statement credits each account anniversary year for hotel stays purchased through Chase Ultimate Rewards®.5x Points on travel purchased through Chase Ultimate Rewards®, excluding hotel purchases that qualify for the $50 Anniversary Hotel Credit.3x Points on dining, including eligible delivery services, takeout and dining out.3x Points on online grocery purchases (excluding Target, Walmart and wholesale clubs).3x Points on select streaming services.2x Points on other travel purchases.1x Point per dollar spent on all other purchases. | 60,000x Bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 toward travel when redeemed through Chase Ultimate Rewards®. | 22.49% - 29.49% Variable | Learn more |
| Travel, Restaurants, Daily use | 10x Points on hotels and car rentals when you purchase travel through Chase Ultimate Rewards® after the first $300 is spent on travel purchases annually.10x Total points on Chase Dining purchases with Ultimate Rewards®.5x Total points on flights when you purchase travel through Chase Ultimate Rewards® after the first $300 is spent on travel purchases annually.3x Points on other travel worldwide after the first $300 is spent on travel purchases annually.3x Points on other dining at restaurants, including eligible delivery services, takeout and dining out.1x Point per dollar spent on all other purchases. | 60,000x Bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $900 toward travel when you redeem through Chase Ultimate Rewards®. | 22.49% - 29.49% Variable | Learn more |
| Cash Back, No Annual Fee, Daily use | 2% Cash Back on every purchase with unlimited 1% Cash Back when you buy, plus an additional 1% as you pay for purchases. | $200 Cash Back after you spend $1,500 on purchases in the first 6 months of your Citi Double Cash® card account opening. | 19.24% - 29.24% Variable | Learn more |
Chase Ink Business Preferred® | Without SSN, Daily use | 3x Points per $1 on the first $150,000 spent on travel and select business categories each account anniversary year.1x Point per $1 on all other purchases. | 120,000x Bonus points after you spend $8,000 on purchases in the first 3 months after account opening. That's $1,000 Cash Back or $1,250 toward travel rewards when you redeem through Chase Ultimate Rewards®. | 21.24% - 26.24% Variable | Learn more |
U.S. Bank Visa® Platinum Card | 0 APR, No Annual Fee | This card doesn't offer cash back, miles or points. | No current offer. | 18.74% - 29.74% Variable | Learn more |
American Express® Gold Card | Cash Back | 4x Points on dining at restaurants worldwide, plus takeout and delivery in the U.S.4x Points on groceries at U.S. supermarkets on up to $25,000 in purchases per year.3x Points on flights booked directly with airlines or on amextravel.com.1x Points on other eligible purchases. | 100,000x Membership Rewards® Points after you spend $6,000 on purchases on your new Card in your first 6 months of Card Membership.20% Receive 20% Back in Statement Credits on eligible purchases made at restaurants worldwide within the first 6 months of Card Membership, up to $100 back. | 20.74% - 28.74% Variable | Learn more |
American Express Blue Cash Preferred | Gas, Groceries, Streaming services, Daily use | 6% Cash Back at U.S. Supermarkets on up to $6,000 per year in purchases (then 1%).6% Cash Back on streaming (select U.S. streaming subscriptions).3% Cash Back on transit. Transit includes taxis, rideshare, parking, tolls, trains, buses, and more.3% Cash Back at U.S. Gas Stations.1% Cash Back on other purchases. | $300 Back after you spend $3,000 in purchases on the Card within the first 6 months of Card Membership. You will receive the $250 back in the form of a statement credit. | 18.74% - 29.74% Variable | Learn more |
| 0 APR, Single mom | This card doesn't offer cash back, miles or points. | No current offer. | 19.24% - 29.99% Variable | Learn more |
The Business Platinum Card® from American Express | Big purchase | 5x Points on flights and prepaid hotels on amextravel.com.1.5x Points on business categories and purchases of $5,000 or more. On up to $2 million of these purchases per calendar year.1x Points for each dollar you spend on eligible purchases. | 150,000x Points after you spend $15,000 on eligible purchases with your Card in the first 3 months. | 19.49% - 27.49% Variable | Learn more |
Capital One Venture Rewards Credit Card
There are two options for a welcome bonus with the Capital One Venture Rewards. You can get 75,000 bonus miles if you spend $4,000 in the first 3 months. The minimum credit limit for this card is $5,000, but with an excellent credit score, it could be considerably higher. You’ll earn 2 miles per dollar every time you swipe this card. The variable APR is 19.99% - 29.99%, and there is a $95 annual fee.
Read more about Capital One Venture Rewards Credit Card
Capital One Quicksilver Cash Rewards Credit Card
The Capital One Quicksilver is a great, no-annual-fee credit card with a flat 1.5% rewards rate on all purchases. There is a solid 0% intro APR offer for 15 months, while the standard APR is a variable of 19.99% - 29.99%. You can get the $200 sign-up bonus by spending only $500 in the first three months upon account opening. Although this card's credit limit can be as low as $300, most cardholders have reported a credit limit between $1000 and $3000.
Read more about Capital One Quicksilver Cash Rewards Credit Card
Chase Freedom Unlimited®
There are many reasons why the Chase Freedom Unlimited® is a great card for a big purchase. The first reason is its 15-month 0% APR offer on purchases and transfers (20.49% - 29.24% variable after), then the $200 sign-up bonus, which you can get by spending $500 on purchases in the first 3 months. Chase offers a very useful financing tool called My Chase Plan. It allows you to make equal monthly payments for your purchase without interest - just for a small, fixed monthly fee. Your starting credit limit will be somewhere in the range between $500 - $5000, based on your creditworthiness. This is a rewards card with the following cash back rates: 5% on travel purchased through Chase, 3% on dining and drugstores and 1.5% on all other purchases.
Read more about Chase Freedom Unlimited®
Chase Sapphire Preferred®
A premium travel card for everyone who prefers points over cash back. The Chase Sapphire Preferred® offers one of the biggest sign-up bonuses – 60,000 points if you spend $4,000 on purchases during the first 3 months after account opening. The bonus points have $750 worth when redeemed through Chase Ultimate Rewards. The $4,000 threshold might be a bit hard to reach, but a large purchase will help you get there. According to Chase, if you get approved for this card, your credit limit will be at least $5,000. As for the rewards, you’ll get 5 points on travel, 3 points on dining, grocery and select streaming services and 1 point for all other purchases. This card has a $95 annual fee and a variable APR of 22.49% - 29.49%, which should be taken into consideration when weighing up the costs against the rewards. You can use My Chase Plan for your monthly payments.
Read more about Chase Sapphire Preferred®
Chase Sapphire Reserve®
The Chase Sapphire Reserve® is one of the best travel cards on the market, with an outstanding sign-up bonus of 60,000 points, which are potentially worth $900 if you redeem them for travel through the Chase Ultimate Rewards. You can get the bonus by spending $4,000 in the first 3 months after opening the account. If approved for the card, you'll get a credit limit of at least $10,000. There is no intro APR offer, and the APR is variable of 22.49% - 29.49%. Since this is a premium travel card with valuable rewards and benefits, there is a high annual fee of $550, which high spenders can easily outweigh. As with most Chase consumer credit cards, you can activate My Chase Plan with this one too.
Read more about Chase Sapphire Reserve®
Citi Double Cash
The Citi Double Cash has the best flat rate – 2% cash back on all purchases (1% when you buy, 1% when you pay). With this card you’ll be able to use the Citi Flex Plan. It has two options, Loan and Pay. With the Loan option you can borrow money from your credit card, while you can use the Pay for your large purchase. You can pay back both with fixed monthly payments with a fixed APR. The minimum credit limit for this card is $500, but many cardholders have reported a credit limit between $1,000 - $10,000.
Read more about Citi Double Cash
Chase Ink Business Preferred®
This business card has a fantastic welcome bonus of 100,000 points, which could be worth $1,000 in cash back or $1,250 if redeemed through Chase Ultimate Rewards. Businesses shouldn’t have a hard time reaching the required bonus threshold of $8,000 spent on purchases in the first 3 months. If approved, you can expect a credit line of at least $5,000. This card earns 3 points per dollar spent in many categories for business purchases, like advertising and telecommunication services, up to $150,000 spent. The variable APR is 21.24% - 26.24%, and there is a $95 annual fee.
Read more about Chase Ink Business Preferred®
U.S. Bank Visa® Platinum Card
If you were scrolling through the list to find the card with the longest intro APR period – this is the one! With the US bank Visa® Platinum, you will get 18 billing cycles to pay off your purchase without paying any interest. Once the intro APR offer ends, a variable rate of 18.74% - 29.74% will be applied. You won’t have to pay an annual fee for this card, but the drawback is that it doesn’t have a rewards program.
Read more about U.S. Bank Visa® Platinum Card
American Express® Gold Card
If you decide to put your purchase on the American Express® Gold Card, you could earn a welcome bonus of 75,000 Membership Rewards points, assuming you spend $4,000 in the first 6 months. The variable APR on this card is 20.74% - 28.74%. Amex offers its cardholders the Pay It Plan It feature which helps you manage your finances more efficiently. You can pay some small expenses right away (Pay It) and you can split some large purchases into fixed, monthly payments without interest (Plan It). The feature comes with a small monthly fee. Some of the card’s attractive rewards and perks include 4 points on dining (at restaurants worldwide, plus takeout and delivery in the U.S) and grocery purchases (at U.S. supermarkets on up to $25,000 in purchases per year), an annual $120 credit for Uber Dine or Ride, and many others. That's why it comes at a bit high annual cost of $250.
Read more about American Express® Gold Card
American Express Blue Cash Preferred
The top card for grocery shopping, with an unmatched 6% cash back at U.S. supermarkets (up to $6,000 per year in purchases). But that’s not the only great thing about it, because you’ll also get 12 months of 0% APR on purchases (18.74% - 29.74% Variable after). With the Pay It Plan It feature you can pay off your purchase in equal installments. There is an informative calculator on the Amex website, so you can see whether the plan you’ll be offered will suit you. The $350 welcome offer can be earned by spending $3,000 in purchases in the first 6 months upon account opening. The other cash back categories are streaming services (6%), transit (3%), and gas (3%). The $95 annual fee is waived the first year ($0 intro annual fee for the first year , then $95 after that).
Read more about American Express Blue Cash Preferred
Citi Simplicity®
The Citi Simplicity® is a straightforward, no-annual-fee credit card that should be considered by people who are likely to be late with a payment or miss it. With this card, they won't have to worry about paying a late fee or a penalty rate (it's still not a good idea to miss payments – think about your credit score!). You'll get a long 0% APR offer of 12 months for purchases and 21 months for balance transfers, and the variable rate after is 19.24% - 29.99%. You can also take advantage of the Citi Flex Plan to either finance your purchase conveniently (Flex Pay) or if you need quick access to a loan (Flex Loan).
Read more about Citi Simplicity®
The Business Platinum Card® from American Express
The Business Platinum from American Express® can be of great value for businesses that are big spenders. Putting a large purchase on the card can help you reach the $15,000 spending requirement (in the first 3 months) for the welcome offer – 120,000 Membership Rewards points. The rewards structure consists of 5 points per dollar spent on flights and hotels booked through Amex Travel and 1.5 points on all purchases up to $5,000 spent (1 point per dollar after). This card has many fancy perks (like the Hilton Honors Gold Status), which make it well worth it for the $695 annual fee. The Сard’s APR: 0% Intro APR for 12 months from the date of account opening on purchases, 19.49% - 27.49% thereafter.
Read more about The Business Platinum Card® from American Express
Benefits of using a credit card for a large purchase
Using a credit card for your next big purchase can help soften its blow on your finances in several ways. Many credit cards have 0% intro APR offers, which give you the opportunity to pay off your purchase over time without paying interest, assuming you pay it off in full during the intro period.
If you want to snag the longest intro APR offer, consider the US bank Visa® Platinum (20 billing cycles, 18.74% - 29.74% Variable thereafter).
Many credit card companies offer great tools that help you handle your finances more efficiently. For example, with the My Chase Plan you can pay off purchases above $100 in equal monthly payments. The plans range from 3 to 18 months and you’re allowed to have up to 10 active or pending plans on your account at the same time. This feature doesn’t charge an interest, but instead a fixed monthly fee that will be determined based on your plan (purchase amount, billing cycles etc.). You have another option for loans, the My Chase Loan, which allows you to borrow from your available credit line. The minimum amount is $500, and you can pay it off in fixed monthly installments. The advantage of this feature over personal loans is that you will avoid the exhausting application process. The APR on this loan will be lower than your regular APR on the card. American Express and Citi also have similar programs - Pay It Plan It and Citi Flex.
Next – rewards. Who would say no to earning some cash back on their purchases? And, if the purchase falls under a bonus category – the more cash back you’ll earn! For example, let’s say you plan to buy furniture. The Bank of America Cash Rewards card allows cardholders to choose a bonus category, and one of the options is home improvement/furnishings. If you get this card and choose this as your bonus category, you'll earn 3% cash back on your purchase. Even if your purchase doesn't earn some cash back, you can still get a card that fits your spending habits and earns rewards on other purchases.
The benefit that will give you the most satisfaction is probably the sign-up bonus. In order to get it, credit cards usually require you to spend a few thousand dollars on purchases within the first several months after account opening. Once you reach the spending threshold, you’ll get your bonus, which could be in the form of points/miles or cash back. Please note that only new cardholders that currently don’t own a credit card from the same company can get sign-up bonuses and qualify for intro APR offers.
Finally, some cards come with benefits like extended warranty, travel or purchase protection, premium travel perks, and others. Those benefits shouldn't be a priority, but if you've narrowed it down to a few cards, some features could be a tiebreaker. For example, if you want to buy a cellphone, a card with cell phone protection would be worth considering.
Some cards that have it are the US bank Visa® Platinum and the Wells Fargo Platinum Card (you can only get the protection if you pay your monthly mobile bills with the card).
How to choose which credit card to use for a big purchase
Before you begin your search for the best credit card to put your big purchase on, you have to identify your priorities and goals. You have many great options to choose from but to make the right decision, you should know exactly what to look for. Otherwise, you might get overwhelmed by the lots of alternatives, and end up with a card that doesn't provide you with the best value.
If you’re tight with money and want to save on interest, look at cards with 0% APR offers. Depending on the purchase amount and your financial strength, consider those with longer interest-free periods.
However, that doesn't mean you'll have to give up on rewards.
For example, with the Capital One Quicksilver, you'll get 18 months to pay off your purchase without accruing interest (19.99% - 29.99% Variable thereafter) and a 1.5% cash back on all purchases. If you're leaning more toward rewards than long interest-free offers, consider cards with generous rewards, like the Blue Cash Preferred®, which offers 6% cash back at U.S. supermarkets (up to $6,000 per year in purchases) and streaming services (select U.S. streaming subscriptions) and 3% on transit and gas. It also has a solid 12-month 0% APR offer (18.74% - 29.74% Variable thereafter).
Tips to maximize large purchases
Here are some tips on how to make the most of your large purchase.
Check whether your purchase qualifies for a bonus category
The best card on our list, the Discover it® Cash Back offers a 5% cash back rate to quarterly rotating categories, on up to $1,500 in purchases per quarter. You can find the bonus categories for 2021 on the card's website. If you recognize your purchase in one of them and make it during the appropriate quarter, you could make 10% cash back on it since Discover will match your cash back at the end of the first year.
Score a sign-up bonus
With a large purchase, you can easily reach the spending requirement and earn yourself some extra cash back or points/miles.
When it comes to consumer credit cards, the Chase Sapphire Preferred® offers the most valuable bonus - 60,000 points potentially worth $750. Business owners looking for a card with a big bonus should know that it doesn’t get better than the Ink Business Preferred® – 100,000 points potentially worth $1,250.
Look out for deals on shopping portals
Purchasing through online shopping portals will allow you to earn points, miles, and other rewards. With a Chase card, you can use the Chase Ultimate Rewards and earn bonus points on selected purchases. Then you can redeem those for cash back, travel, gift cards or apply them toward eligible orders (including Apple and Amazon.com).
Don’t Let Your Purchase Max Out Your Card’s Limit
A credit card's limit is the maximum amount of outstanding balance you're allowed to have. It depends on your credit score - with an excellent credit score, you will get high credit limits, and vice versa. However, credit card companies disclose it only after you’ve been approved for the card. On some card’s fine prints, you can find a minimum line of credit, which means that those who get accepted can expect at least that amount of credit limit.
Before you go for the purchase, make sure you have a realistic plan about how you will pay it off. Otherwise, you might find yourself buried in interest debt and dangerously close to your credit card's limit. That will affect your credit utilization ratio, which has a major role in determining your credit score. The credit utilization ratio is calculated by dividing the amount of money you owe with your credit limit and it is expressed in percentages.
To sum up, when deciding on a card you should carefully consider everything. Not only the benefits and rewards but also the interest rates and risks.
FAQ
What are other credit cards to consider?
Other great cards for big purchases are the Capital One SavorOne ($200 sign-up bonus once you spend $500 on purchases within the first 3 months from account opening and a 15-month 0% intro APR on purchases, 19.99% - 29.99% Variable after that) and the Capital One VentureOne Rewards (a welcome offer of 20,000 bonus miles once you spend $500 on purchases within the first 3 months and a 12-month 0% intro APR on purchases, 19.99% - 29.99% Variable after that).
Will the temporarily high balance of a large purchase hurt my credit score?
You might see your credit score decrease for a while, but with timely payments, it will recover, and it can be even higher.
What if I already made that big purchase on another card?
If you’re paying off a high-interest balance on another card – don’t worry! In that case, you should consider making a balance transfer on a new card - take a look at the Best Credit Cards for Balance Transfers.
