5 Biggest Mistakes When Chasing Credit Card Sign-Up Bonuses

Have you ever opened a credit card for the bonus, only to realize months later… you never actually got it?

It's more common than you think. Credit card welcome offers can be incredibly lucrative, some worth up to $750 (or more!). But if you're not careful and don't follow the rules, chasing that bonus might not be worth it.

Here are the top mistakes people make, and how you can avoid them and actually get paid.

1. Not meeting the minimum spend in time

Most rewards credit cards require you to spend a certain amount within the first few months to earn the welcome offer.

If you don't hit that spending threshold in time, you miss out completely.

To avoid missing out: Double-check your budget for the upcoming months to make sure you can hit the minimum requirement. Large bills like insurance premiums or car repairs can help you reach the needed spend.

Some offers are way easier than others. Check out this month's top sign-up bonuses with the highest value and easiest spending requirements.

2. Overspending just to earn the bonus

This is the flipside of not meeting the minimum spend. Some people use the welcome offer as an excuse to splurge on things they usually wouldn't buy, just to earn the bonus.

Blowing your budget by $2,000 just to earn a $500 reward doesn't make sense. And it's even worse if you rack up debt too, paying an added 20%+ interest.

Again, always check that your upcoming regular spending aligns with the sign-up bonus requirements.

3. Forgetting about annual fees

Some of the most generous welcome offers come from luxury cards. These can have annual fees of $395, $550, or even $695. That's fine if you use the benefits. But if you don't, you're basically paying for nothing.

It's important to look beyond the bonus. The best credit cards are the ones that reward you upfront, as well as match your lifestyle long term.

4. Applying for too many cards, too fast

In the hunt for rewards, it's tempting to open multiple cards at once. But applying for too many cards in a short span can really hurt your credit score. You'll also get flagged by banks and likely rejected on applications.

It's always better to pace yourself. Aim for one new sign-up bonus every five to six months. Use one card's bonus to its full potential before moving on to the next.

Stick to quality over quantity. Check out the biggest, highest-value welcome offers worth applying for today.

5. Earning rewards you'll never use

There's no point earning 70,000 Delta SkyMiles if you never fly Delta. Same goes for racking up 100,000 Marriott points if you'd rather stay in an Airbnb.

Unused points can expire if they sit too long. Plus, they devalue over time with inflation.

If you're unsure how you'll redeem your points, stick to a cash back credit card. Or opt for a travel rewards card with flexible redemption options.

Make your bonus game count

Chasing welcome offers can be a great way to earn free travel or cash bonuses. But only if you play it smart.

Plan your spending, watch for fees, and use those rewards before they disappear.