Editor’s Note: Thank you for your interest, these offers have expired and are no longer available.
If you’re a responsible user of credit cards — someone who pays their balance off each month — or if you use credit cards for business purposes, then you may be able to benefit from some of the offers from credit card companies. I wouldn’t suggest these cards for anyone who pays interest on their balance every month, because those interest charges may not be completely offset by bonuses. Also, in many cases, these cards are only good for their sign-up bonuses; once you cash in, cancel the cards.
In addition, your credit score may be affected if you open new lines of credit, so if you’re looking to get a good deal on a mortgage interest rates any time soon, hold off on applying for these cards.
American Express Business Gold Rewards Card
Sign-Up Bonus: $50 $250
This is a business card, but you do not have to be a business owner to qualify. Any individual can apply and be accepted — as they qualify — for a credit card that bills itself as a “business credit card.” This business card offers an immediate reward of 5,000 bonus points, redeemable for a $50 gift certificate. Update: This card has been upgraded as of June 19 to offer 25,000 bonus points — a $250 gift card!
Be sure to cancel this card before your first year is up; there is a $125 annual fee, but it is waived for the first year.
If you go ahead with any card card offer, don’t fall into the traps. If you end up paying an annual fee or substantial interest, you’ll end up losing money even after the initial bonus.
Updated March 31, 2016 and originally published June 10, 2007.
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Along with new credit lowering your credit score, closing a credit line can lower it too. For me it’s not worth it for a $50 to $150 gift card. Also, at least some annual fee credit cards you can call before the fee kicks in and ask to convert it to a no-fee card (you’ll get fewer points/miles/whatever in exchange).
I agree with the comments above. The risk of lowering my credit score for $150 just isn’t enough for me.
Yeah, it’s not worth the time and the ~7 point FICO hit for a $50 sign-up bonus. However, I would apply for a new credit card or two if it meant an opportunity to sustainably earn a few hundred extra bucks a year in rewards.
In clicking on the American Express. I don’t see the $250 bonus at all. Is this still active?
Nancy,
It is still available, but only for another few days. The points can be redeemed for a gift card or an airline ticket. Here’s the fine print, at the bottom of the page when you click on the link for the Business Gold Rewards Card.