Capital One Spark Cash Select for Excellent Credit review: Is the upgraded sign-up bonus worth it?

The Capital One Spark Cash Select for Excellent Credit gives you a hassle-free way to earn cash back on every purchase — and even offers a new, upgraded welcome bonus for using your card right away.

Capital One’s recent decision to split the original Spark Cash Select for Business into two versions didn’t change much except the specialized welcome offer you can choose before applying. This Capital One Spark Cash Select for Excellent Credit ($500 Cash Bonus when you spend $4,500 within the first three months) cut the previous intro purchase APR and more than doubled the old welcome cash bonus, while the Capital One Spark Cash Select for Good Credit version got rid of the cash bonus in order to offer a better intro APR for new purchases.

Unless you have big purchases coming up and your small business’ credit card rewards need to be protected by a zero-interest period, the Capital One Spark Cash Select for Excellent Credit carries more value thanks to its improved welcome offer and potentially lower ongoing interest rate. However, startup owners who may have more overhead costs could likely benefit from an intro APR offer instead of a larger welcome offer.

Although this business card doesn’t earn the highest rewards rate out there, it’s a low-interest credit card that comes with no annual fee, no foreign transaction fees and the opportunity to get you started with business rewards without much risk or commitment.

Quick highlights

• Rewards rate: 1.5 percent cash back on every purchase and unlimited 5 percent cash back on hotels and rental cars booked through Capital One Travel
• Welcome offer: $500 bonus when you spend $4,500 within the first three months
• Annual fee: $0
• Purchase intro APR: N/A
• Balance transfer intro APR: N/A
• Regular APR: 17.99 percent to 23.99 percent (variable)

Current welcome offer

New cardholders can earn a $500 cash bonus after spending $4,500 within the first three months. That’s a huge step up from the previous $200 bonus for spending $3,000 that the former Spark Cash Select offered. Not only do you earn 150 percent more cash back, but the spending requirement only increased by 50 percent — meaning you’re getting more bang for your buck than before.

Earning $500 early on with this card is a great deal considering you’d have to spend over $33,000 to get that much from regular cash back earnings at the card’s 1.5 percent cash back rate. In some circumstances, this offer even beats what the Capital One Spark Cash Select for Good Credit could save you on interest, according to our credit card payoff calculator.

If you qualify for the lowest APR on the Capital One Spark Cash Select for Good Credit and you’re planning to pay off your balance in the 12-month intro APR period, your initial balance on the Capital One Spark Cash Select for Good Credit would have to be around $5,550 to save $500 on interest. Since the Capital One Spark Cash Select for Excellent Credit has a lower minimum APR, you could pay off an initial balance of around $6,715 within the same time period and the $500 sign-up bonus would completely offset the interest.

In that respect, the Capital One Spark Cash Select for Excellent Credit poses the better welcome offer — unless you anticipate accruinga purchase balance of $7,000 or more and carrying that balance for over a year. Compared to other no-annual-fee business card sign-up bonuses, it’s one of the best intro bonuses if you don’t think you’ll spend more than $5,000 in three months. It may also be the best cash back bonus compared to the spending requirement, but it’s not super competitive since all Chase business cards with no annual fee offer both intro APRs and cash bonuses.

Rewards rate

Earning rewards with the Capital One Spark Cash Select for Excellent Credit is simple. You’ll earn unlimited flat-rate cash back on every purchase with no categories or merchant category codes to worry about.

How you earn

The rewards structure is straightforward — you’ll earn 1.5 percent cash back for every qualified purchase made with the card. You’ll also earn 5 percent cash back on hotels and rental cars booked through Capital One Travel. There is no limit to the cash back you can earn, and your cash rewards will never expire as long as your account remains open.

How to redeem

Capital One offers a couple of ways to redeem your points for cash back. You can receive your cash rewards as:

• A statement credit
• A check
• A gift card

You also have the option of automatically redeeming cash back based on either the time of year or by reaching a specific dollar amount ($25, $50, $100, $200, $500 and $1,500).

Like typical cash back programs, each percentage point is worth 1 cent. That means each dollar you spend with this card will net 1.5 cents in cash rewards and 5 cents on hotels and rental cars booked through Capital One Travel.

There are a surprising number of benefits you’ll get with the Capital One business card despite its $0 annual fee. Although it’s not brimming with luxury perks for business travel, there are enough features to add everyday value.

Employee cards

You can manage all of your employees’ transactions with free employee cards, and assign an account manager to track expenses, handle transactions and even set custom spending limits on each employee’s card. Combined with the year-end purchase summaries and the auto-pay feature, controlling your business credit card expenses and the incoming cash back across all employees can be a streamlined process.

Purchase and travel protections

Capital One offers several ways to secure your card and give you peace of mind while shopping and traveling. Along with basic features like account monitoring and alerts, $0 fraud liability and travel and emergency assistance, you’ll receive purchase assurance*, extended warranty protection(*), roadside assistance (fees apply) and MasterRental® insurance. This card also carries travel and emergency assistance, which can be helpful in a pinch thanks to the lost or damaged luggage reimbursement**.

This card is an excellent low-cost option for business owners because there is no annual fee, no balance transfer fee and no foreign transaction fees, making it a strong candidate for both day-to-day use and traveling abroad.

Although this version doesn’t offer an intro purchase or balance transfer APR, it does waive the balance transfer fee (which is a rare perk outside cards from credit unions).Plus, its 17.99 percent to 23.99 percent (variable) ongoing APR is lower than its counterpart with an intro APR.

Just be careful not to miss a payment due date or you could incur a late payment fee of up to $39 and a 34.15 percent penalty APR.

The Capital One Spark Cash Select for Excellent Credit goes toe-to-toe with the top cards in its no-annual-fee class thanks to its low rates and solid rewards potential, but it’s a bit less competitive overall because it lacks an intro APR period

Ultimately, it’s a decent all-around card for most situations, but other issuers offer similar — if not better — welcome bonuses on no-annual-fee business cards without skimping out on the intro APR.

Capital One Spark Cash Select for Excellent Credit Card vs. Chase Ink Business Unlimited Card

The Ink Business Unlimited® Credit Card offers a similar cash back rate and variable APR, but includes an intro APR on purchases and a higher $750 cash back sign-up bonus after spending $6,000 in the first three months. If paired with a premium Chase travel card like the Ink Business Preferred® Credit Card, the Ink Business Unlimited card’s cash back can be even more valuable with the right transfer partner.

Capital One Spark Cash Select for Excellent Credit Card vs. American Express Blue Business Cash Card

If you prefer American Express benefits and still can’t justify an annual fee, the American Express Blue Business Cash™ Card earns a higher 2 percent cash back rate on up to $50,000 in business purchases each calendar year, and its $250 statement credit welcome offer comes with a lower $3,000 spending limit if your first three months with the card will have slower spending.

Best cards to pair with the Capital One Spark Cash Select for Excellent Credit

The Capital One Spark Cash Select for Excellent Credit is a flat-rate cash back card, so pairing it with another business card that carries a higher rewards rate on your biggest specialized expenses is the best way to maximize its rewards rate.

Capital One doesn’t offer a business credit card with bonus categories, but a brand-specific option like an airline card or another everyday card like the Ink Business Preferred that better rewards select business costs (like travel and eligible advertising) can rake in more rewards for your company.

The Capital One Spark Cash Select for Excellent Credit is a great option for small business owners who want to earn rewards without much hassle and can take advantage of a sizable sign-up bonus more than they could a zero-interest offer. The card offers a flat rewards rate on all purchases, so you don’t have to worry about how much you’ll earn or if you’re using it in the correct categories. Also, since it comes with no annual fee, it works great for businesses that want to keep their expenses low while still earning rewards. However, it may not be the best option if you travel often or spend big in specific categories, like online advertising or office supplies. 

Capital One’s “upgrade” for the original Spark Cash Select did respectively boost the cash bonus and intro APR on the two new versions of the card, but other issuers still manage to offer equivalent or better value compared to the cards’ new terms without forcing applicants to choose their trade-off.

*Eligible purchases made with this card are replaced, repaired or reimbursed if you experience a loss in the first 90 days after purchase. **You may be eligible for reimbursement due to theft or misdirection when your common carrier tickets are purchased with your card. (*) Automatically extends the original manufacturer's warranty on eligible purchases made with this card. 

For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.