Best Credit Cards for Large Purchases for 2024

Cash may be king when it comes to making a large purchase, but if you don't have the cash in hand, there are several smart ways to make a credit card work for you. Here, we cover the best credit cards for large purchases, and -- because so much rides on your credit score -- we look at how to approach a credit card purchase based on your credit score.

How to pick the best credit card for a large purchase

If you have a good or excellent credit score, you're in luck. A strong credit score means you have access to more than one credit card with a low interest rate and perks like cash rewards, cash back, double cash, and travel rewards. A poor to fair credit score makes the landscape a little trickier to navigate, and getting approved for a credit card may not be as easy, but it is possible.

Check your wallet

The perfect credit card for a large purchase may be one you already own. Why not find out what yours have to offer? Log into your account and look for special offers.

Sometimes, an offer will involve a good credit card APR on new purchases for a limited time.

Or, you may find that a card offers a balance transfer. A balance transfer allows you to move the amount you owe on one card to another. The most common balance transfers give you 0% interest for a number of months (typically 12 to 18). Look out for the balance transfer fee. While it's possible to snag a lower fee, most credit card companies charge 3% to 5% of the balance to make the transfer. If one of your cards offers a balance transfer, here's how to make it work for a large purchase:

• Decide which credit card to use for the initial purchase. We'll call this "Card No. 1." Make sure the credit limit is high enough on this card to cover the expense.
• Check the credit limit on the card offering the 0% balance transfer. We'll call this "Card No. 2." The limit on Card No. 2 needs to be high enough to cover the amount you want to transfer and the balance transfer fee.
• Make the purchase using Card No. 1.
• Once the purchase posts to Card No. 1, transfer the balance to Card No. 2.
• As long as you pay the card off in full before the intro period expires, you can make a significant purchase without spending any of your hard-earned cash on interest.

Call your credit card issuer

If you've had the same credit card for years, give the card issuer a call and ask what they can do for you. Are there offers available to their best customers that you haven't heard about? Even if your credit score is not quite as high as you'd like, it may be worth it to contact the credit card company, particularly if you have a positive payment history.

Take advantage of existing rewards

While you're checking out your credit cards, take another peek at any rewards card you may hold. Life gets busy, and it's easy to forget about things like a sign-up bonus, welcome bonus, or other bonus rewards accumulated on a rewards credit card. If you're not someone who watches your bonuses like a hawk, you may have funds available that you've overlooked -- money that can help you cover major purchases.

Apply for a new credit card

Landing a great credit card for your big purchase is easier if you have a credit score that qualifies you for just about any credit card you desire. If that's the case, check out our list of current favorites above. Don't just look at the average APR, though. Your strong credit means you also have access to cards with add-ons like bonus points on eligible purchases, no foreign transaction fees, no annual fees, elite status, and other benefits that make card membership attractive. And if you're making a very large purchase, focus on high limit credit cards.

Check with your financial institution

Most financial institutions, including banks and credit unions, offer their own credit cards. If your credit score is not strong enough to qualify for a card full of perks, consider going into a branch of your financial institution and asking what they have to offer. If you're a member of a credit union, you may have an extra leg up. That's because credit union members are also considered shareholders. And because you're a shareholder, credit unions make it policy to do what they can to make you happy.

Let's say you have a credit score in the low 600s. Your credit score is fair, but you're working to boost it. In the meantime, you're paying your bills on time and avoiding overdrafts. A credit union officer can check out your financial history in moments, and may be able to help you land the perfect credit card for your big purchase.

How to use a credit card for a large purchase

Whether it's everyday purchases or large expenditures, the smartest way to use a credit card is to create a plan that results in paying as little in interest as possible. Let's say you qualify for a Chase Freedom Unlimited® card or other 0% intro APR credit card. While that's awesome, it benefits you most if you pay the balance in full before the introductory period expires, and you have to pay the standard interest rate.

How to avoid interest on a large purchase when using a credit card

There are at least two ways to avoid interest when using a credit card to make a large purchase.

Apply for a big-name credit card with a 0% introductory APR: If your credit score is 670 or higher, you may qualify for a card with a very attractive introductory APR, which helps cardholders avoid interest on purchases during the intro period.

Apply for a store credit card with a 0% introductory APR: If your credit score is a bit lower (around 640) and the purchase you hope to make is home-improvement related, take a look at a Home Depot® Credit Card or a Lowe's Advantage Card. Home Depot, for example, periodically runs special offers that allow cardholders to extend repayment over 24 months at intro 0% interest.

The same is true if you're shopping anywhere that offers financing options or a store card -- as is common with many furniture stores. Before you apply for credit, though, ask about the minimum required credit score.

How to maximize credit card rewards on a large purchase

Here are a couple of ways to maximize credit card rewards:

• Use a rewards card (even if you have the cash in the bank) and pay it off in full before the next billing cycle begins. You get all the rewards without any interest.
• Break the purchase down into parts. Imagine that you're building a playset for the kids in your backyard and know it's going to be a significant expense. Figure out how much you can afford to pay off in full each month, charge only that much, and complete the project one section at a time. Again, you'll earn rewards without being hit by interest.

Keep in mind that rewards cards only benefit you when the rewards you receive are worth more than the interest or annual fees paid.

How to build credit with a credit card for large purchases

If your credit score is in a ditch, that's okay. It may be a hassle, but the great thing about credit scores is that what goes down can go up. The goal is to get it where you need it to be. Let's look at three scenarios:

1. You use a card already in your wallet to make the purchase and then make the largest payment you can afford each month. Forget about the minimum required payment. The trick is to pay as much back as possible to avoid paying too much interest. Each time you make a payment, your balance goes down, your debt-to-income (DTI) level improves, and the on-time payments enhance your credit score.
2. If you're just starting out, take out a "starter" credit card designed for people with a limited credit history. Some starter cards require a deposit, and that deposit becomes your credit limit. Others -- frequently offered through credit unions -- require no deposit, have no annual fees, and may even offer some rewards. Paying off the credit card goes a long way toward creating a positive credit history.
3. You save money to use as a deposit on a secured credit card. Your spending limit on a secured credit card matches your deposit. So, if you put $1,500 down, you have a $1,500 spending limit. Secured credit cards are a reliable way to build your credit score since you pay them back like a traditional card. However, they can be riddled with high fees, and it can take months to save enough to make the kind of deposit required for a large purchase.

As with all financial products, your best bet is to look for a credit card that offers the most rewards at the lowest cost when choosing a card to make a large purchase.

Compare the best credit cards for large purchases