The Chase Sapphire Preferred® Card has garnered attention as a favorite among travel rewards credit cards. With a relatively low annual fee of $95 and an impressive range of benefits, it stands out as a value-packed option for both casual and frequent travelers alike. In this article, we will delve into the features and rewards that make the Chase Sapphire Preferred® Card a top contender in the travel credit card market.
One of the standout features of the Chase Sapphire Preferred® Card is its generous sign-up bonus, attracting new cardholders to get a significant head start on accumulating and maximizing their rewards. Furthermore, the card offers a solid return on travel and dining expenditures, making it an ideal choice for those who want to earn valuable points without breaking the bank on annual fees. As we continue this review, we will evaluate the specific perks and earning rates that contribute to the card’s overall appeal.
The Chase Sapphire Preferred® Card is a popular travel rewards credit card that appeals to both frequent and casual travelers. With a reasonable annual fee of $95, it offers numerous benefits and rewards that cater to those who enjoy traveling and dining out.
One of the key features of this card is its generous sign-up bonus. New cardmembers can earn a substantial amount of bonus points after meeting the initial spending requirement within the first few months of account opening. These points can be redeemed for travel, cash back, or other valuable rewards.
Cardholders earn travel and dining rewards at a higher rate than on other purchases. These points can be further maximized if redeemed for travel through the Chase Ultimate Rewards® program, allowing cardmembers to get more value from their rewards.
Beyond its rewards program, the Chase Sapphire Preferred® Card also comes with several travel perks and protections, such as trip cancellation and interruption insurance, baggage delay insurance, and no foreign transaction fees.
In summary, the Chase Sapphire Preferred® Card is an excellent choice for individuals who want a travel rewards card with a reasonable annual fee and a variety of benefits. Cardholders can enjoy a substantial sign-up bonus, higher rewards on travel and dining, and useful travel protections while exploring the world.
The Chase Sapphire Preferred® Card offers a competitive rewards system for users. Cardholders can earn valuable Ultimate Rewards points that can be flexibly redeemed for cash or travel, or transferred to partner loyalty programs ValuePenguin.
For every dollar spent on travel and dining, cardholders earn 2 points. Additionally, they earn 1 point per dollar spent on all other eligible purchases. When redeeming points through Chase Ultimate Rewards, these points are worth 1.25 cents each for travel-related purchases, while they’re valued at one cent each for cash back redemptions Forbes.
It’s worth noting that the rewards earned with this card are even more valuable when transferring points to one of Chase’s airline or hotel transfer partners. Cardholders can often get higher redemption values by leveraging partners’ loyalty programs, maximizing their points’ worth.
Here’s a summary of the Chase Sapphire Preferred® Card rewards system:
- 2 points per $1 spent on travel and dining
- 1 point per $1 spent on all other eligible purchases
- 1.25 cents per point value for travel redemptions through Chase Ultimate Rewards
- 1 cent per point value for cash back redemptions
- Potentially higher value when transferring points to partner loyalty programs
The Chase Sapphire Preferred® Card offers a variety of travel benefits that make it an attractive option for frequent travelers. One of its key features is the generous rewards earning on travel and dining purchases. Cardholders can earn 2 points per dollar spent on travel and dining, and 1 point per dollar on all other purchases.
When redeeming points for travel through the Chase Ultimate Rewards® portal, cardholders enjoy a 25% points boost, effectively increasing the value of their rewards. This means that every point is worth 1.25 cents when used for travel bookings.
Another advantage of the Chase Sapphire Preferred® Card is its comprehensive travel insurance benefits. Some of the key travel protections included are:
- Trip cancellation and trip interruption insurance
- Trip delay reimbursement
- Auto rental collision damage waiver
These benefits not only save cardholders money in case of unforeseen travel issues but also provide peace of mind when planning and enjoying trips.
In addition to the travel insurance benefits, the Chase Sapphire Preferred® Card also provides several travel-related perks, such as no foreign transaction fees and access to a variety of hotel and airline transfer partners within the Ultimate Rewards program. This flexibility allows cardholders to tailor their travel rewards strategy to their individual preferences and needs.
Aside from the main rewards and benefits, the Chase Sapphire Preferred® Card offers a number of additional perks that can enhance your overall travel and spending experience. Here are some of the noteworthy cardmember perks:
Travel Insurance: Cardholders can enjoy peace of mind with various types of travel insurance coverage, such as trip cancellation and interruption insurance, baggage delay insurance, and travel accident insurance. These additional protections can be valuable during unexpected events affecting your travel plans
Auto Rental Collision Damage Waiver: When you rent a car using your Chase Sapphire Preferred® Card, you’ll receive primary coverage for collision damage, damage due to theft, or loss of the rental vehicle. This can save you money by avoiding potentially costly insurance policies offered by car rental companies. For more information.
Purchase Protection: When you make purchases with your card, you can receive coverage for items that are damaged or stolen within a certain time period. This additional protection can provide peace of mind when buying valuable items or gifts.
Extended Warranty Protection: The Chase Sapphire Preferred® Card extends the manufacturer’s warranty on eligible items purchased with the card. This can save you from purchasing additional warranty coverage and provides added peace of mind for your valuable purchases.
Fees and Interest Rates
The Chase Sapphire Preferred® Card charges an annual fee of $95, which is relatively low compared to other cards with similar perks and rewards. It’s important to consider whether the benefits provided by the card outweigh this annual fee for your individual spending habits.
The card offers variable annual percentage rates (APRs) that range from 20.49% to 27.49%, depending on your creditworthiness. These rates apply to both purchases and balance transfers. Be aware that carrying a balance can significantly increase the cost of using the card, especially if you are on the higher end of the APR range.
The Chase Sapphire Preferred® Card has a penalty APR of up to 29.99% that may be applied if you make late payments or exceed your credit limit. It’s crucial to stay on top of your payments to avoid this higher interest rate.
For balance transfers, there is a fee of either $5 or 5% of the amount of each transfer, whichever is greater. This is a standard fee among many credit cards, but it’s something to consider if you plan on transferring balances from other cards.
The card does not charge any foreign transaction fees, which is a considerable benefit for those who travel internationally, as it allows you to make purchases abroad without incurring additional fees.
In summary, the Chase Sapphire Preferred® Card offers competitive fees and interest rates, especially for those who can take full advantage of its rewards program and other perks. However, it’s essential to evaluate your spending habits, interest rates, and potential fees to determine if this card is the right choice for you. Remember to always pay your balance in full and on time to minimize interest charges and avoid penalty APRs. For more details on the fees and interest rates, you can refer to the U.S. News review.
Pros and Cons
The Chase Sapphire Preferred® Card has several advantages and disadvantages that potential cardholders should consider before applying. This section will outline some of the main pros and cons of this credit card.
- Generous sign-up bonus: The card offers a very attractive sign-up bonus for new cardholders who meet the spending requirements.
- Flexible points redemption: The points earned can be redeemed for cash, travel rewards, or transferred to other loyalty programs.
- Excellent travel and dining rewards: Cardholders can earn a solid return on travel and dining expenses.
- Travel perks: The card comes with a range of travel perks, including primary rental car insurance.
- Low annual fee: Considering the rewards and benefits, the annual fee is relatively low.
- Annual fee: Although the fee is low compared to other premium travel cards, it may still be a drawback for some users who prefer no-fee cards.
- No introductory APR offer: The card lacks a 0% introductory APR offer on purchases or balance transfers, which some competing cards offer.
- Limited bonus categories: The card only has bonus rewards for travel and dining, which may not be ideal for users with diverse spending habits.
- No additional cardholder benefits: Some competitor cards offer additional benefits like airport lounge access, which this card does not.
Comparison with Competitors
The Chase Sapphire Preferred® Card has several close competitors in the travel rewards credit card space. We’ll briefly compare its features with those of the Capital One Venture, American Express Gold Card, and Citi Premier.
When comparing the Chase Sapphire Preferred and Capital One Venture cards, both are strong choices, but the Chase Sapphire Preferred tends to have higher point values and travel protections. On the other hand, the Capital One Venture offers a flat reward rate for all purchases, which can be easier to manage for some cardholders.
The Chase Sapphire Preferred and American Express Gold Card both excel in travel and dining rewards. The American Express Gold Card offers higher rewards rates in certain categories like dining and groceries, but it comes with a higher annual fee. The Chase Sapphire Preferred has a more straightforward rewards system and broader worldwide acceptance of Visa.
Lastly, comparing the Chase Sapphire Preferred and Citi Premier cards, both cards have attractive sign-up bonuses and reward rates on travel and dining purchases. However, Chase Sapphire Preferred has more travel partners and better travel protections, while the Citi Premier offers slightly better rewards on everyday expenses such as gas, groceries, and air travel.
Here’s a brief comparison table of these cards:
|Card||Rewards Rates||Annual Fee||Notable Benefits|
|Chase Sapphire Preferred||5x on travel, 3x on dining, and 2x on other purchases||$95||Wide range of travel partners, travel protections, and flexible redemption options|
|Capital One Venture||2x miles on all purchases||$95||Simple rewards structure, travel statement credits, and TSA PreCheck/Global Entry fee credit|
|American Express Gold Card||4x on dining and groceries, 3x on travel||$250||Higher rewards in certain categories, dining credits, and access to The Hotel Collection|
|Citi Premier||3x on travel, dining, and gas; 2x on groceries and entertainment||$95||Attractive rewards on everyday expenses and access to Citi ThankYou travel partners|
How to Apply
The process of applying for the Chase Sapphire Preferred® Card is straightforward and can be done online. To begin, head to the official Chase website and locate the application page for the card.
When applying, you will need to provide your personal information, including your:
- Social Security number
- Date of birth
- Annual income
- Employment status
- Phone number
- Email address
- Physical address
After submitting your application, you should receive a decision from Chase within a few minutes. In some cases, it may take longer if additional information is required.
It’s essential to have a good credit history when applying for the Chase Sapphire Preferred® Card, as it is targeted towards applicants with excellent credit scores. If your application is approved, your credit limit will be determined based on your credit history, income, and other factors.
The Chase Sapphire Preferred® Card offers a solid rewards structure for frequent travelers, with an impressive 5X points on travel booked through Chase Ultimate Rewards and 2X points on all other travel. Its versatile rewards program and hefty sign-up bonus make it a popular choice for those looking to maximize their travel rewards.
One standout aspect of this card is its versatility in redeeming rewards points. Cardholders have several options for redeeming points, from transferring them to airline or hotel partners to using them for statement credits, giving users plenty of flexibility in how they use their points.
Though the card is considered a masterwork in travel cards, it’s essential that potential cardholders weigh the benefits against the annual fee to ensure the card aligns with their spending habits and travel needs. Ultimately, the Chase Sapphire Preferred® Card can provide excellent value for the right users.