Is a Credit Card Sign-Up Bonus Worth It?

That new credit card sign-up bonus might look tempting, but before you apply to get the cash back, points or rewards, take a few things into consideration.

A woman sitting on her sofa smiles as she looks at her credit card and holds a tablet.
(Image credit: Getty Images)

Many credit card companies offer a welcome bonus as an incentive for consumers to open a card and start spending money. A credit card sign-up bonus can range from less than $100 to upwards of $1,000 in the form of cash back, points or miles.

Before you open a new card for the bonus cash back, points or miles, though, it's important to consider a few things to determine whether it's the right financial move.

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Ben Luthi

Ben writes about all things personal finance, including consumer credit, credit cards, mortgages, student loans, investing and budgeting, as well as travel. Before his career as a writer, Ben worked in financial planning and insurance, banking and auto financing. After working as a staff writer at NerdWallet and Student Loan Hero, he started freelancing full time in 2018. Ben earned a B.S. in business administration with a finance emphasis from Brigham Young University. He lives near Salt Lake City with his two kids and two cats.