Best Credit Cards for Large Purchases ($5,000 or More) Best Credit Cards for Large Purchases ($5,000 or More)

Best Credit Cards for Large Purchases ($5,000 or More)

by Caroline Lupini and Ryan Smith
September 25, 2023
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Charging a large purchase to a credit card is an excellent alternative to traditional financing. This is especially true if you need to charge a large transaction or a series of purchases adding up to more than $5,000. You can earn tens of thousands of points and miles from a welcome bonus on a new credit card, make significant progress toward elite status in your favorite loyalty program, or even work toward earning a companion fare or free night award.

In this article, we'll discuss the best credit cards for large purchases. But these recommendations will be based on your ability to quickly pay off the purchases before interest eats up the value of what you've earned. If you need time to pay off your large purchase, look for cards featuring a 0% introductory APR so you have time to pay off the balance without paying interest. And earning rewards also may be less important than protecting your purchases with benefits like purchase protection and extended warranty.

Let's consider all these elements to help you evaluate the right credit card for large purchases of $5,000 or more.

A Look Into Earning Rewards on Large Purchases

Earning rewards on large purchases isn’t just limited to business credit cards. Plenty of consumer cards provide bonus points, free nights, or fast-tracks to elite status for hitting pre-defined spending thresholds. Conversely, you could choose a card offering unlimited 2% cash back and earn $100 back on a purchase of $5,000. Or put that spending toward earning a sign-up bonus on a new credit card.

a man wearing headphones looks intently at a laptop screen
Credit: Wes Hicks/Unsplash

Large purchases can include:

  • Renovations or the deposit on a new home
  • Weddings or family events
  • Healthcare spending and medical procedures
  • General business expenses and office equipment
  • New appliances
  • A new car
  • Using Plastiq to pay big expenses that don't accept credit cards
  • College tuition

Factors to consider when making large purchases on a credit card

Before we jump into the best credit cards for spending north of $5K, making large purchases on your credit card comes with some caveats. Specifically, there is the temptation for you to rake in lots of points from a large purchase without calculating any additional costs. These include transaction fees or interest.

We recommend paying off your card in full every month to avoid interest payments. This is a habit we encourage even on cards offering a 0% introductory interest rate, as it helps cement healthy credit habits. Unfortunately, transaction fees and interest on debt quickly wipe out the gains you receive in the form of points, miles, or cash back. Unless you plan on paying your balance in full each month, this isn’t a method we’d recommend for financing large purchases.

It’s important for you to consider other factors, such as protecting the items you're buying. If you're buying expensive electronics, for example, using a card that earns fewer points but adds purchase protection or extended warranty benefits might be more important.

Top Rewards Credit Cards for Spending $5,000+

In this article, we've broken down our list of top rewards cards into different categories. These categories will help show the rough value you can extract from different strategies. The value depends entirely on how you value rewards points, as well as whether the rewards will help get you to your next award travel goal.

We'll evaluate the following:

  • Earning a lucrative welcome offer/sign-up bonus
  • Spending-based perks, such as attaining elite status, free night awards at  hotels, or companion flight tickets
  • Cards with elevated earning rates on large purchases
an unseen person inserts a credit card into a card reader
Credit: Patrick Tomasso/Unsplash

Credit Card Welcome Bonuses With High Minimum Spend Requirements

If you’re looking to take advantage of a large purchase, you can potentially earn a large sign-up bonus. Or, you could split up a large expense over several new cards and collect multiple welcome bonuses. Here are some of the cards to consider:

Personal credit card welcome bonuses to consider:

Transferable points:

  • Chase Sapphire Preferred® Card: Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Ultimate Rewards®.
  • Chase Sapphire Reserve®: Earn 60,000 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®
  • American Express® Gold Card: Earn 60,000 Membership Rewards® Points after you spend $6,000 on eligible purchases with your new Card within the first 6 months of Card Membership.
  • Citi Premier® Card: Earn 60,000 bonus ThankYou® Points after you spend $4,000 in purchases within the first 3 months of account opening. Plus, for a limited time, earn a total of 10 ThankYou® Points per $1 spent on hotel, car rentals, and attractions (excluding air travel) booked on the Citi Travel℠ portal through June 30, 2024.
  • The Platinum Card® from American Express: Earn 80,000 Membership Rewards® Points after you spend $8,000 on purchases on your new Card in your first 6 months of Card Membership.
  • Capital One Venture Rewards Credit Card: Enjoy a one-time bonus of 75,000 Miles once you spend $4,000 on purchases within 3 months from account opening
  • Capital One Venture X Rewards Credit Card: Earn 75,000 bonus miles when you spend $4,000 on purchases in the first 3 months from account opening

Airline credit cards:

Hotel credit cards:

  • Hilton Honors American Express Aspire Card: Earn 180,000 Bonus Points after you use your new Card to make $6,000 in eligible purchases within the first 6 months of Card Membership.
  • Marriott Bonvoy Bevy™ American Express® Card: Earn 85,000 Marriott Bonvoy bonus points after you use your new Card to make $5,000 in purchases within the first 6 months of Card Membership.
  • Marriott Bonvoy Bountiful™ Card: Earn 85,000 Marriott Bonvoy points after you spend $4,000 in eligible purchases on their Card in the first three months.
  • Marriott Bonvoy Brilliant® American Express® Card: Earn 95,000 Marriott Bonvoy bonus points after you use your new Card to make $6,000 in purchases within the first 6 months of Card Membership.
  • The World of Hyatt Credit Card: Earn 30,000 Bonus Points after you spend $3,000 on purchases in your first 3 months from account opening. Plus, up to 30,000 More Bonus Points by earning 2 Bonus Points total per $1 spent in the first 6 months from account opening on purchases that normally earn 1 Bonus Point, on up to $15,000 spent.

Cash-back bonuses:

  • Chase Freedom Flex℠: Earn a $200 bonus after you spend $500 on purchases in the first 3 months from account opening. Plus, earn 5% cash back on grocery store purchases (excluding Target® and Walmart®) on up to $12,000 spent in the first year (that's $600 cash back!).
  • Chase Freedom Unlimited®: SPECIAL OFFER: Unlimited Matched Cash Back. Chase will automatically match all the cash back you earned at the end of your first year! There is no limit to how much cash back you can earn.

You also could earn multiple sign-up bonuses from several credit cards, assuming you're able to spread out your $5k of spending across separate transactions. Consult our list of the best sign-up bonuses available right now for more ideas.

a person looks at a smart phone while holding a credit card
Credit: Anete Lusina/Pexels

Small business credit card welcome bonuses to consider:

Transferable points:

Airline credit cards:

Hotel credit cards:

Cash-back bonuses:

  • Bank of America® Business Advantage Cash Rewards Mastercard® credit card: Earn 70,000 Membership Rewards® points after you spend $10,000 on eligible purchases with the Business Gold Card within the first 3 months of Card Membership.*
  • Capital One Spark Cash Plus: $1,200 Cash Back once you spend $30,000 in the first 3 months
  • Ink Business Cash® Credit Card: Earn $900 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening
  • Ink Business Premier℠ Credit Card: Earn $1,000 bonus cash back after you spend $10,000 on purchases in the first 3 months from account opening.
  • Ink Business Unlimited® Credit Card: Earn $900 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening.
  • U.S. Bank Business Leverage® Visa Signature® Card: Earn $750 in rewards when you spend $7,500 in eligible purchases on the account owners' card within the first 120 days of opening your account.

Again, consider the best-available welcome bonuses on business credit cards this month to help plan your strategy.

a woman sits on her bed looking at her phone while holding a credit card
Credit: Desola Lanre-Ologun/Unsplash

Credit Card Bonuses for Hitting Annual Spending Thresholds

Outside of chasing welcome bonuses, second place for value goes to achieving bonus spending thresholds on cards you already hold. This category is primarily made up of co-branded credit cards offering bonus miles, free nights, or fast-tracks to elite status (or a combination) through annual spending requirements. Furthermore, one of the most important aspects of annual spending bonuses is how each card defines a year.

Cardmember year vs. calendar year

While most annual spending bonuses are tracked by calendar year, some classify a year as a cardmember year. In short, this is the 12-month period after you first receive the card. Specifically, it is typically counted as the 12 billing cycles from the first statement closing following the card being issued.

Be sure to check your card's terms and conditions before chasing a spending bonus. This will help ensure that you have a firm grasp on how the year is defined.

Just to be clear, these are not the only benefits (or even the best) on these rewards cards. For brevity, we’ve only listed the bonuses received when you hit the annual spending bonus threshold.

American Airlines Super Diamond seats on a Boeing 787-8 Dreamliner
American Airlines Super Diamond seats on a Boeing 787-8 Dreamliner. Credit: J.T. Genter/AwardWallet

American Airlines

Avios programs

  • Aer Lingus Visa Signature® Card: Make $30,000 of purchases within a calendar year to receive an economy companion ticket good for 12 months.
  • British Airways Visa Signature® Card: Use your card to make $30,000 of purchases in a calendar year to earn a Travel Together Ticket valid for two years. Use this ticket when you redeem Avios for a flight on British Airways to bring a companion on the same flight; alternatively, use it for a 50% discount on the Avios price when booking a solo ticket
  • Iberia Visa Signature® Card: Each year you make $30,000 of purchases on your card, you'll earn a discount voucher worth $1,000 to use toward two tickets on the same flight.

Delta Air Lines

(Effective 1/1/24, the Status Boost benefit and MQD benefit will no longer be available, and there will be a new way to earn toward Medallion Status with the Delta cards — Learn more about Delta's status changes for 2024.)

the pool and lounge chairs at Waldorf Astoria Los Cabos Pedregal in Mexico
Waldorf Astoria Los Cabos Pedregal in Mexico. Credit: Hilton

Hilton Honors

IHG One Rewards

JetBlue

  • JetBlue Plus Card and JetBlue Business Card: Earn TrueBlue Mosaic 1 after you spend $50,000 or more on purchases in a calendar year. Unlock Mosaic tiers by earning 1 tile for each $10,000 of purchases on your card.

Marriott Bonvoy

Southwest Airlines

United Airlines

World of Hyatt

  • The World of Hyatt Credit Card: Earn a free night valid at any Category 1–4 Hyatt hotel or resort if you spend $15,000 on your card in a calendar year. Also, earn two qualifying night credits for every $5,000 spent on the card.
  • World of Hyatt Business Credit Card: Earn five qualifying night credits for every $10,000 spent in a calendar year. Additionally, spend $50,000 or more in a calendar year and get 10% of your redeemed points back for the rest of the year.
Park Hyatt Siem Reap swimming pool
Park Hyatt Siem Reap in Cambodia. Credit: Hyatt

Best Credit Cards for Extra Rewards on Large Purchases

You may be surprised to learn that some cards provide extra rewards on large purchases. Unfortunately, the list of such cards isn't long:

Let's assume you’ve exhausted all the welcome offers you’re eligible for and reached the annual spending bonus on your existing cards. If that's the case and you don't have one of these cards, your focus should be earning extra rewards on large purchases by using the right card from what's already in your wallet. Reach for your best credit card for everyday spending.

Final Thoughts

Ultimately, if you're spending $5,000+, why not use a credit card and simultaneously fill your balance of rewards points? Whether you're spending $5k in a single transaction or spread over multiple purchases, you could earn a sign-up bonus (or two or three) or put significant spending toward annual spending-based perks on a credit card.

In addition, depending on what you're buying, make sure you evaluate other factors like purchase protection and extended warranty. And be sure to consider the value of any points or miles earned.

Lastly, make sure you’re not carrying a balance on your cards from the large purchase. If that is the case, then you’ll quickly wipe out the value of your earnings and may do better sacrificing points in favor of a card offering a 0% introductory APR.

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