Best Credit Cards for Holiday Shopping [date:custom:Y]
Our pick for the best credit card for holiday shopping is the [data-lightrail id="131"]{name}[/data-lightrail]. It lets consumers earn high rates of cash back in a category of their choosing, including online shopping.
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Top credit cards for holiday shopping [date:custom:Y]
[data-lightrail id="2193"]{name}[/data-lightrail]
[affiliate-lightrail id="2193" align="center" eventcategory="Visual TOC - CTA" eventlabel="Fargo" /][data-lightrail id="92"]{name}[/data-lightrail]
[affiliate-lightrail id="92" align="center" eventcategory="Visual TOC - CTA" eventlabel="Chase" /][data-lightrail id="170"]{name}[/data-lightrail]
[affiliate-lightrail id="170" align="center" eventcategory="Visual TOC - CTA" eventlabel="Citi" /]Jump to:
From stocking stuffers to big electronic purchases, the holiday season can really put a dent in your wallet. Our team surveyed hundreds of credit cards across both ValuePenguin and top issuer sites to put together a little gift for our readers — a list of credit cards that’ll get you the most bang for your buck as you begin your holiday shopping.
We looked at cards from three major categories:
- Rewards credit cards can help you pay for your family's Christmas vacation or allow you to head home for the holidays for free.
- Cashback cards can earn you money back on every purchase, which you can put towards other holiday spending.
- Low interest credit cards can help you manage your spending during the holidays to avoid falling into debt.
While choosing the best credit card for your holiday spending will depend on your specific needs and preferences, our list can guide you towards making the best choice for your wallet.
Compare best credit cards for holiday shopping [date:custom:Y]
Annual fee | Welcome offer | Earning rate | ||
|---|---|---|---|---|
| [data-lightrail id="1"]{name}[/data-lightrail] | See terms | [data-lightrail id="1"]{signUpBonus}[/data-lightrail] | [data-lightrail id="1"]{rewardsRateDesc}[/data-lightrail] | Read Review |
Best credit card for holiday shopping
[data-lightrail id="131"]{name}[/data-lightrail]
Verdict: Earn hefty cashback rewards in a category of your choosing, including online shopping
The [data-lightrail id="131"]{name}[/data-lightrail] is an all around outstanding credit card for holiday shopping, and for everyday purchases beyond the holidays. Cardholders can earn [data-lightrail id="131"]{rewardsRateDesc}[/data-lightrail].
With the ability to earn 3% cash back on online shopping, your options for holiday spending can be exceedingly rewarding. You also have the opportunity to change your 3% earning category, so once the holidays are done, you might consider switching to gas, dining, travel or another category where you tend to spend frequently day-to-day.
- High earning rate in relevant spending categories
- Solid sign-up bonus
- Cash rewards don't expire
- [data-lightrail id="131"]{fee.annual.text}[/data-lightrail] annual fee
- Earning potential is capped
Best for cash back
[data-lightrail id="1"]{name}[/data-lightrail]
Verdict: A top card for earning cash back on holiday spending, though acceptance is more limited
The [data-lightrail id="1"]{name}[/data-lightrail] is our choice for the best cashback card for the holidays. Discover offers an [data-lightrail id="1"]{signUpBonus}[/data-lightrail]
Cardholders get [data-lightrail id="1"]{rewardsRateDesc}[/data-lightrail]. The final category for 2022 is Amazon.com and digital wallets — perfect for shopping online.
For 2023, the categories include
- Grocery stores, drug stores and select streaming services (January to March)
- Restaurants and Wholesale Clubs (April to June)
- Gas Stations and Digital Wallets (July to September)
- Coming soon (October to December)
- Offers high rate of cash back in relevant categories
- Great cashback offer at the end of your first year
- No traditional sign-up bonus
- Discover isn't as widely accepted as other cards
Best for sign-up bonus
[data-lightrail id="92"]{name}[/data-lightrail]
[affiliate-lightrail id="92" view="benefits_box" featured_title="Sign-up bonus" hide_title="true"/]Verdict: A great choice for a large sign-up bonus and valuable travel rewards
While technically a travel card, the [data-lightrail id="92"]{name}[/data-lightrail] has one of the best sign-up bonuses in the business. New cardholders are eligible to receive the following offer: [data-lightrail id="92"]{signUpBonus}[/data-lightrail]
The best way to redeem your points for the most value is through the Chase Ultimate Rewards travel portal. You can use your points to fly the whole family to Mexico — or book yourself a solo stay at a luxury hotel in Aspen. When it comes to booking your holiday vacation, the [data-lightrail id="92"]{name}[/data-lightrail] sign-up bonus is here to help.
- Flexible travel rewards
- Strong sign-up bonus
- [data-lightrail id="92"]{fee.foreignExchange.text}[/data-lightrail] foreign transaction fees
- Includes travel protections and benefits
- [data-lightrail id="92"]{fee.annual.text}[/data-lightrail] annual fee
- Not as useful for infrequent travelers
Best for travel rewards
[data-lightrail id="88"]{name}[/data-lightrail]
[affiliate-lightrail id="88" view="benefits_box" featured_title="Travel rewards" hide_title="true"/]Verdict: An excellent option for travelers looking to get away during the holidays
Another top card that can help mitigate the costs of a big holiday trip is the [data-lightrail id="88"]{name}[/data-lightrail]. The [data-lightrail id="88"]{name}[/data-lightrail] offers a stellar sign-up bonus for new members: [data-lightrail id="88"]{signUpBonus}[/data-lightrail].
The sign-up bonus alone can go a long way toward paying for a warm-weather escape during the cold winter months, or booking an epic ski vacation in the mountains. The card also allows you to earn unlimited [data-lightrail id="88"]{rewardsRateDesc}[/data-lightrail], which you can use for all types of travel purchases, transfer to a partner airline or hotel program or redeem directly at Amazon.com.
- Generous sign-up bonus
- Solid rewards rate on all purchases
- Flexible redemption options
- [data-lightrail id="88"]{fee.annual.text}[/data-lightrail] annual fee
Best for 0% intro APR
[data-lightrail id="170"]{name}[/data-lightrail]
[affiliate-lightrail id="170" view="benefits_box" featured_title="0% intro APR" hide_title="true"/]Verdict: A smart credit card for shoppers who need extra time paying off their balance during the holidays
The most notable feature of the [data-lightrail id="170"]{name}[/data-lightrail] is its leniency towards late payments. It doesn't charge any late fees, annual fees or penalty rates, a rare benefit that can help holiday shoppers spend with some peace of mind.
The card also comes with an intro APR of [data-lightrail id="170"]{balanceTransferIntroRate}[/data-lightrail] and [data-lightrail id="170"]{purchaseIntroRate}[/data-lightrail]. After that, the APR will be [data-lightrail id="170"]{purchaseGoToRate}[/data-lightrail]. That's great news for consumers who could use a bit of wiggle room during the gift-giving season to make payments without incurring additional interest.
- [data-lightrail id="170"]{fee.annual.text}[/data-lightrail] annual fee
- Long 0% intro APR offer on balance transfers and purchases
- No late fees
- No rewards
Best for balance transfer
[data-lightrail id="2193"]{name}[/data-lightrail]
[affiliate-lightrail id="2193" view="benefits_box" featured_title="Balance transfer" hide_title="true"/]Verdict: A reliable cashback card and a top balance transfer credit card
The [data-lightrail id="2193"]{name}[/data-lightrail] is one of the top cashback cards on the market. It allows consumers to [data-lightrail id="2193"]{rewardsRateDesc}[/data-lightrail] with no rewards category limitations or quarterly activations and [data-lightrail id="2193"]{fee.annual.text}[/data-lightrail] annual fee.
But the best part of this card is that it also offers a [data-lightrail id="2193"]{purchaseIntroRate}[/data-lightrail] on purchases and [data-lightrail id="2193"]{balanceTransferIntroRate}[/data-lightrail]. After that your variable APR will be [data-lightrail id="2193"]{purchaseGoToRate}[/data-lightrail]. Balance transfers made within 120 days from account opening qualify for the intro rate and fee. This can be a huge benefit for shoppers during the holiday season, as gifts, holiday dinners and vacations can quickly add up. The [data-lightrail id="2193"]{name}[/data-lightrail] can be a great option for those looking to moderate debt during this expensive time of year.
- Excellent balance transfer offer
- Solid earning rate
- Valuable rewards
- [data-lightrail id="2193"]{fee.annual.text}[/data-lightrail] annual fee
- High sign-up bonus: [data-lightrail id="2193"]{signUpBonus}[/data-lightrail]
- No bonus categories
Best prepaid holiday credit card
[data-lightrail id="1313"]{name}[/data-lightrail]
Verdict: The [data-lightrail id="1313"]{name}[/data-lightrail] card makes budgeting your holiday spending easy
Using a prepaid credit card like the [data-lightrail id="1313"]{name}[/data-lightrail] card is a unique way to keep yourself on a manageable budget during the holidays. Similar to a debit card, you can preload your card and use those funds as you please.
The best part about the [data-lightrail id="1313"]{name}[/data-lightrail] card is that it allows cardholders to earn cash back on their purchases. You'll earn [data-lightrail id="1313"]{rewardsRateDesc}[/data-lightrail]
- Offers cashback rewards on spending
- Allows users to prepay their card
- Use your card to withdraw cash without a checking account
- Includes Amex protections and insurance
- You can only spend the amount you've prepaid the card for
Best for retail
[data-lightrail id="1395"]{name}[/data-lightrail]
Verdict: A rewarding card for Amazon Prime members who prefer to earn in cash back
Nearly everything is available on Amazon these days, so what better credit card than the [data-lightrail id="1395"]{name}[/data-lightrail] to reward you for your holiday spending? This card lets cardholders earn [data-lightrail id="1395"]{rewardsRateDesc}[/data-lightrail] Amazon Prime members can earn 10% back or more on select products. Limited time offer. See terms.
The card has a [data-lightrail id="1395"]{fee.annual.text}[/data-lightrail] annual fee and [data-lightrail id="1395"]{fee.foreignExchange.text}[/data-lightrail] foreign transaction fees, and you'll [data-lightrail id="1395"]{signUpBonus}[/data-lightrail] For Amazon Prime members, this card can be incredibly rewarding, especially during the holidays. You'll also earn cash back on everyday categories with this card, which you can then put towards holiday spending.
- [data-lightrail id="1395"]{fee.annual.text}[/data-lightrail] annual fee
- [data-lightrail id="1395"]{fee.foreignExchange.text}[/data-lightrail] foreign transaction fees
- Great for Amazon Prime members
- Can only earn 5% cash back if you're a Prime member
Best for entertainment
[data-lightrail id="1123"]{name}[/data-lightrail]
Verdict: A highly rewarding card for everyday spending and entertainment purchases
For holiday shoppers looking to give the gift of entertainment, the [data-lightrail id="1123"]{name}[/data-lightrail] is a great option. Get your loved ones tickets to a sporting event, play or amusement park, all while earning unlimited cash back. This card allows cardmembers to [data-lightrail id="1123"]{rewardsRateDesc}[/data-lightrail]
For those shoppers who plan ahead, you can take advantage of the sign-up bonus to give you a bit of extra cash for holiday spending as well: [data-lightrail id="1123"]{signUpBonus}[/data-lightrail].
- Generous sign-up bonus
- High cash back rewards rate
- [data-lightrail id="1123"]{fee.foreignExchange.text}[/data-lightrail] foreign transaction fees
- [data-lightrail id="1123"]{fee.annual.text}[/data-lightrail] annual fee
Best for electronics
[data-lightrail id="1417"]{name}[/data-lightrail]
Verdict: A great choice for shoppers who want to earn and spend rewards exclusively at Best Buy
The [data-lightrail id="1417"]{name}[/data-lightrail] allows cardmembers to redeem their rewards for Best Buy purchases. If you plan to do some electronics shopping this holiday season, this credit card can end up saving you big bucks at Best Buy. This card allows you to earn [data-lightrail id="1417"]{rewardsRateDesc}[/data-lightrail]
This card also offers flexible financing options for purchases starting at $299, so this card may not be a bad idea if you could use a little buffer when paying off your holiday electronics expenses.
- Offers financing
- High rewards rate
- Rewards are only redeemable at Best Buy
Types of holiday shopping credit cards
There are three types of credit cards that tend to be the most useful for holiday spending: cash back, rewards and low-interest credit cards. Each of these uniquely benefits shoppers both throughout the year and during the holidays specifically.
Cashback credit cards
Cashback credit cards are perhaps the best of the three options when it comes to holiday spending. Certain cards offer higher rates of cash back for spending in particular categories, while others offer the same amount across all purchases. Either way, you can plan to earn cash back as you buy your holiday gifts, or use the cash back earned from your everyday shopping to put toward holiday expenses. Overall, cashback cards are a great way to make money while you spend it.
Best credit card for cash back: [data-lightrail id="1"]{name}[/data-lightrail]
Rewards credit cards
Rewards credit cards are most valuable when used to make travel purchases during the holidays. The high sign-up bonuses that often come with these cards can be used to book a free flight home for Christmas or to take your family on a holiday vacation. Many rewards cards allow you to earn points in everyday spending categories, so you'll be earning points towards your holiday trip every time you spend.
Best credit card for rewards: [data-lightrail id="88"]{name}[/data-lightrail]
Low-interest credit cards
Low interest credit cards include 0% purchase APR cards and 0% balance transfer cards. As a rule, we always urge consumers to spend wisely and pay off their monthly balance in full and on time to avoid late fees, penalty APRs and negative impact on credit histories. However, credit cards with low balance transfer and/or purchase rates and more lenient late payment policies can certainly come in handy from time to time. These cards can be especially helpful during the holidays when buying presents can increase debt, and overwhelming tasks during the holiday season can push making on-time payments to the back of one's mind.
Best credit card for low-interest offers: [data-lightrail id="2193"]{name}[/data-lightrail]
How do you make the most of your credit card during the holidays?
Regardless of which credit card you choose, it's essential to make the most of your card's features during the holiday season.
- Take advantage of free shipping. Some American Express credit cards come with a complimentary ShopRunner subscription, which offers free two-day shipping, free returns and other member benefits — this can be exceedingly useful during the holidays.
- Choose a card that offers bonus points on shopping. The [data-lightrail id="131"]{name}[/data-lightrail], for example, offers 3% cash back in the category of your choice, including online shopping. Be sure to focus your spending during the holiday months on your cash back or rewards categories that earn the most.
- Keep an eye out for special offers. Be sure to check your card for ongoing deals and take advantage of the offers to get the most bang for your buck during the holidays. For example, some American Express and Chase cards offer discounts at particular restaurants and stores.
- Use your rewards to fund your holiday shopping and travel. You can use your credit card rewards toward holiday travel or gift purchases. As long as you don't overspend on your cards, this tactic can help you to save considerably.
Tip: Set a budget for your holiday credit card spending and use your credit card deals and rewards to stick to it. Make sure to pay off your balance on time and in full every month to avoid accruing debt.
Which holiday shopping credit card is best for me?
The best holiday shopping credit card for you will depend on your personal spending habits and preferences. Ultimately, you may be best off combining two or more credit cards to ensure you're getting your best deal.
Best credit cards for holiday shopping 2021
- Best credit card for holiday shopping: [data-lightrail id="131"]{name}[/data-lightrail]
- Best for cash back: [data-lightrail id="1"]{name}[/data-lightrail]
- Best for sign-up bonus: [data-lightrail id="92"]{name}[/data-lightrail]
- Best for 0% APR: [data-lightrail id="170"]{name}[/data-lightrail]
- Best for travel rewards: [data-lightrail id="88"]{name}[/data-lightrail]
- Best for balance transfer: [data-lightrail id="2193"]{name}[/data-lightrail]
- Best prepaid holiday credit card: [data-lightrail id="1313"]{name}[/data-lightrail]
- Best for retail: [data-lightrail id="1395"]{name}[/data-lightrail]
- Best for entertainment: [data-lightrail id="1123"]{name}[/data-lightrail]
- Best for electronics: [data-lightrail id="1417"]{name}[/data-lightrail]
Credit cards and holiday shopping FAQs
Is it best to book a holiday with a credit card?
Yes, we recommend booking your holiday vacation with a credit card as you can earn rewards on your purchases — which can end up saving you money. Make sure to only book a trip on your credit card if you're confident you can pay off your balance in full and on time each month to avoid accruing debt.
What is the best way to pay for a holiday, credit or debit card?
The best way to pay for a holiday is with a credit card, as you can earn rewards on your purchases which can help you cut costs on your trip. If you're too tempted to overspend when booking a trip on your credit card, we recommend using your debit card instead to avoid going into debt.
How do you manage holiday spending?
The best way to manage holiday spending is by making a budget and sticking to it. Using a credit card is a great way to keep track of your spending and take advantage of special deals and offers to help you cut costs. Rewards credit cards can also help you book flights and hotel stays for free, which can lighten the load of your holiday spending.
How do I make a holiday budget?
Make a holiday budget by setting aside a certain amount of money you're comfortable spending on holiday-only purchases. Think about everything that goes into celebrating the holidays, such as cooking a big dinner, buying gifts and planning your winter getaway. Once you have an idea of how much you need, write that number down and try to only spend within your limits.
Methodology
To make choosing the right credit card for holiday shopping easier, we've compiled this list from hundreds of cards across the ValuePenguin and major card issuers' databases.
Our recommendations are based on the additional value these cards offer. In this case, we looked specifically at cashback, rewards and low interest credit cards to select those that offer consumers the most value in their particular category. For example, in choosing the best balance transfer card, we analyzed cards with the longest 0% intro APR on balance transfers, and no annual or additional fees. For other categories, we analyzed the value of things like the cashback rate on relevant holiday spending categories, rewards value, cost of card ownership, additional perks and more.
Our choices are not influenced by our advertisers. Learn more on how we calculate rewards.
These responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.
Advertiser Disclosure: The products that appear on this site may be from companies from which ValuePenguin receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). ValuePenguin does not include all financial institutions or all products offered available in the marketplace.
How We Calculate Rewards: ValuePenguin calculates the value of rewards by estimating the dollar value of any points, miles or bonuses earned using the card less any associated annual fees. These estimates here are ValuePenguin's alone, not those of the card issuer, and have not been reviewed, approved or otherwise endorsed by the credit card issuer.
Example of how we calculate the rewards rates: When redeemed for travel through Ultimate Rewards, Chase Sapphire Preferred points are worth $0.0125 each. The card awards 2 points on travel and dining and 1 point on everything else. Therefore, we say the card has a 2.5% rewards rate on dining and travel (2 x $0.0125) and a 1.25% rewards rate on everything else (1 x $0.0125).