ADVERTISEMENT
TPG reader credit card question: Which credit cards should I use to buy household furnishings?
Liz Hund
Contributor
As a writer here at TPG, Liz covers everything from the daily news and deals to deeper guides and special projects. She also works closely with the social team, so you’ll probably catch her (or her photos) on @thepointsguy's Instagram. Liz has had a passion for travel her entire life — she’s visited 40 out of 50 states, took her first solo Europe trip at 17 and is always on the lookout for her next adventure.
May 04, 2020
•
6 min read
The cards we feature here are from partners who compensate us when you are approved through our site, and this may impact how or where these products appear. We don’t cover all available credit cards, but our analysis, reviews, and opinions are entirely from our editorial team. Terms apply to the offers listed on this page. Please view our advertising policy and product review methodology for more information.
Update: Some offers mentioned below are no longer available. View the current offers here.
As we all spend more time at home during the pandemic, some of us have decided that this is the perfect time to put all that HGTV inspiration to work.
For some, that may be a new paint job and for others it may mean new furniture. Regardless, these upgrades can be pricey. On the bright side, that means there's an opportunity to earn rewards on those purchases. Reader Drew S. asked a question along these lines:
So before you go sprucing up your home, let's take a look at some ways you can maximize these upgrades.
Want more credit card news and advice delivered to your inbox daily? Sign up for the TPG newsletter.
Option 1: Open a new card to get a welcome bonus
Investing in new furniture is pricey, but if you charge it to a new card, you can jump-start the spending required to earn a welcome bonus on a premium rewards card. That's why you may want to consider opening a new credit card if you have large purchases in mind. That new couch could earn enough bonus rewards to pay for your next flight or hotel stay.
Of course, you should always take into consideration the long-term benefits of opening a new credit card. For instance, will you use the annual travel credits on the expensive Platinum Card? Or are you a more moderate traveler who may be better served by the Chase Sapphire Preferred Card? If you're not maximizing all of the perks that come with these premium credit cards, the annual fee may not be worth it to you.
Here's a look at some of our favorite premium rewards cards that offer generous welcome bonuses:
| Card | Welcome bonus | Earning structure (% return based on TPG valuations) | Best for ... | Annual fee |
|---|---|---|---|---|
Chase Sapphire Preferred Card | 60,000 bonus points after you spend $4,000 on purchases in the first three months from account opening. | 2x on travel and 3x on dining, 1x on all other purchases (2% return on everyday spending) | Long-term travel rewards at an affordable price | $95 |
The Platinum Card® from American Express | Earn 80,000 bonus points after you spend $6,000 on purchases on the card in the first six months of card membership. | 5x on airfare booked directly with the airline or through amextravel.com (on up to $500,000 on these purchases per calendar year, starting Jan. 1, 2021), 1x on all other purchases (2% return on everyday spending) | Premium travel rewards and lounge access | $695 (see rates and fees) |
Ink Business Preferred Credit Card | 100,000 Ultimate Rewards after spending $15,000 in the first three months of account opening. | 3x on travel, shipping, internet, cable and phone services, and advertising purchases; 1x on all other purchases (2% return on everyday spending) | Business spend and valuable rewards | $95 |
Related: How to complete a Chase business credit card application
Daily Newsletter
Reward your inbox with the TPG Daily newsletter
Join over 700,000 readers for breaking news, in-depth guides and exclusive deals from TPG’s experts
Option 2: Leverage what you already have
Whether or not you're over Chase's 5/24 rule, you don't want to add another card to your wallet, or you don't want to worry about reaching a minimum spending requirement over three months, don't worry. There are plenty of other great cards out there that can help you maximize your spending. And you may even have one or two of these in your wallet already.
Here's a look at the cards that offer a return of at least 2% — no minimum spending required:
| Card | Earning structure (% return based on TPG valuations) | Annual fee |
|---|---|---|
Chase Freedom Unlimited | 1.5% cash back or 1.5x Ultimate Rewards* on purchases (3% return on spending) | $0 |
Citi® Double Cash Card | 2% cash back on all purchases -- 1% when you make purchases; 1% as you pay your bill (3.4% return on spending) | $0 |
Capital One Venture Rewards Credit Card | 2x on all purchases (2.8% return on spending) | $95 |
Bank of America® Customized Cash Rewards credit card | 3% cash back in the category of your choice (gas, online shopping, dining, travel, drug stores, or home improvement/furnishings); 2% at grocery stores and wholesale clubs -- up to $2,500 in combined bonus category spend each quarter, then 1% (3% return on spending) | $0 |
*When paired with a Sapphire card like the Chase Sapphire Preferred or Chase Sapphire Reserve
As you can see, all of these cards offer a solid amount of points per dollar spent on nonbonus spending, like furniture. However, some cards offer more flexibility than others. For instance, you can convert the 1.5% cash back earned with the Chase Freedom Unlimited into 1.5x Ultimate Rewards when paired with another Sapphire card like the Chase Sapphire Preferred or Chase Sapphire Reserve. TPG values Ultimate Rewards points at 2 cents each, increasing your return on spending to 3%.
Related: 9 things to consider when choosing a card for large purchases
Bottom line
Before making any large purchases, always take some time to evaluate your wallet. If you have the room to expand your portfolio, a new credit card is definitely worth considering as the welcome bonus alone is much easier to achieve and could be well worth it in the long run. However, be sure to pick a premium rewards card that fits your long-term spending habits, not just your short-term purchasing needs.
This should be a good start in helping Drew narrow his options and figure out which card to use for his redecorating.
For rates and fees of the Amex Platinum Card, please click here.
Featured image by Getty Images
Editorial disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.
TPG featured card
Best for dining at restaurants
Apply for American Express® Gold Card
Terms & restrictions apply. See rates & fees
TPG Editor‘s Rating
Go to reviewCard Rating is based on the opinion of TPG‘s editors and is not influenced by the card issuer.
Apply for American Express® Gold Card
at American Express's secure site
Rewards
1 - 4X points
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro offer
As High As 100,000 points. Find Out Your Offer.
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.
Annual Fee
$325
Recommended Credit
Excellent to Good
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.
Apply for American Express® Gold Card
at American Express's secure site
Terms & restrictions apply. See rates & fees
Best for dining at restaurants
TPG Editor‘s Rating
Go to reviewCard Rating is based on the opinion of TPG‘s editors and is not influenced by the card issuer.
Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.