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The usual requirements
- Direct deposit: a payroll, pension or government deposit, usually not a transfer from your own account elsewhere.
- New money: funds that weren't already at the bank or broker.
- Holding period: how long the balance or account must stay open, often 60–90 days.
- Spending requirement: for credit cards, purchases within the first three to six months.
When you get paid
Most bank bonuses post 30–90 days after you meet the terms. Brokerages often pay after the holding period ends. Card points usually arrive with the statement after you reach the spending threshold.
Taxes
Bank bonuses are usually reported as interest on Form 1099-INT. Brokerage bonuses are usually reported on Form 1099-MISC or 1099-INT. Card bonuses earned by spending are generally treated as a rebate rather than income. Ask a tax professional about your situation.
Clawbacks
Close an account early, pull the money out before the holding period ends, or return the purchases that earned a card bonus, and the company can take the bonus back or charge an early-closure fee.