Review: Chase Sapphire Preferred Credit Card

Despite the popularity of its bigger sibling (the Sapphire Reserve credit card), the Sapphire Preferred remains a great alternative for all travelers. When I first became interested in points and miles the Chase Sapphire Preferred was the one card that interested me the most. As a recent college grad I wanted to travel for as little as possible—the Sapphire Preferred was the only way to get discounted flights and hotel rooms with travel partners that I was already familiar with. The sleek metal card was also very appealing, and it seemed to be in everyone else’s wallet.

This review is intended to be a reminder of one of the cards that is still a great alternative for all travelers. Consider this a reminder, not a sensational endorsement of something bright and shiny … though as i said the metal is very appealing!.

Earning

The Sapphire Preferred has a sign-up bonus of 50,000 Ultimate Rewards (UR) points after spending $4,000 in the first 3 months.

It earns 2x UR points per $1 spent on travel and dining. It also earns 1x UR point per $1 on all other purchases.

Chase has a broad list of what includes travel and dining. Some travel purchases that I have made that earned 2x points include airfare, hotel stays, a car rental, and toll road fees. Dining purchases include restaurants, coffee shops, and bars.

By itself, the Sapphire Preferred is nice, but its potential can be maximized if you have multiple Chase UR-earning cards. If you have either Freedom card and/or an Ink Business card, you can earn points with those cards and transfer them to your Sapphire Preferred account. This feature is arguably the most powerful that Chase has to offer as it’s the lifeblood of many people’s earning strategies.

LINK: More information on this card

Burning

Earning points is fantastic, but points earned are useless if you cannot redeem them for anything of value. Chase has multiple options for redemption:

Transfer Partners

Transfer partners are by far Chase’s most valuable option. They are the reason why so many points and miles enthusiasts love the Ultimate Rewards family of credit cards so much. With Chase, the name of the game is quality over quantity. Chase has 13 travel partners (compared to American Express’ 21):

Hotels

  • IHG
  • Marriott
  • Ritz-Carlton
  • World of Hyatt

Airlines

  • Aer Lingus
  • Air France / KLM Flying Blue
  • British Airways
  • Iberia
  • JetBlue
  • Singapore Airlines
  • Southwest Airlines
  • United Airlines
  • Virgin Atlantic

Your mileage may vary for each partner. But for most partners, you should be able to easily redeem your points for at least 1.5 cents per point (CPP). For example, I used my Sapphire Preferred to send my mom to Arizona on Southwest. I redeemed 17,000 points for a $300 round-trip economy flight on Southwest, a 1.75 CPP redemption. Thanks to Chase and Southwest, my mom had a great time visiting our extended family and celebrating a family friend’s birthday party. She made many great memories in the process.

Other Options

Chase also provides cardholders the option of booking travel through its own travel portal at a fixed rate of 1.25 CPP. You should use the portal if you cannot redeem your points for more than the fixed rate.

Chase also lets cardholders redeem their points for cash back and gift cards at 1 CPP. Sometimes, Chase discounts some of their gift card options, enabling cardholders to redeem for more than 1 CPP. Neither cash back or gift cards are recommended.

If cash back is more attractive than points, then the Chase Sapphire Preferred is probably not for you.

Benefits

As a mid-tier travel card, Chase includes many great benefits to make life easier when away from home. Some of them can even pay for the annual fee with enough use.

Primary Car Rental Insurance

This benefit covers the entire loss, damage, or theft of your car rental. Because Chase offers Primary coverage with this card, you don’t have to accept the car rental company’s insurance policy if you use your Sapphire Preferred.

No Foreign Exchange Fees

While these fees are becoming less common every year, the Sapphire Preferred was one of the first cards to do without them. You will save 3% on all purchases made outside the United States with the card.

Trip Cancellation / Trip Interruption Insurance

If you need to cancel your trip because of an unexpected event, this benefit gives you up to $10,000 per trip for non-refundable expenses. Plane tickets, hotel rooms, and tours are included.

Trip Delay Insurance

This benefit covers you up to $500 per ticket if your plane, train, or other common carrier is delayed at least 12 hours. It also kicks in if you require an overnight stay as a result of a delay. The $500 helps cover un-reimbursed expenses such as meals and lodging.

Baggage Delay Insurance

This benefit gives you $100 per day up to 5 days if your luggage is lost or delayed. If your luggage is delayed for more than 6 hours, you can redeem for toiletries, clothing, and other essentials.

Rules & Regulations

Chase has two major rules in place to prevent “churners” from scoring their sign-up bonuses too many times. These rules are the 5/24 Rule and the One Sapphire Rule.

The 5/24 rule states that you will not be approved for any UR-earning card if you were approved for five or more new accounts in the last 24-months. Some Chase co-branded cards also fall under this rule as well.

The One Sapphire Rule states that your will not be approved for the Sapphire Preferred or Sapphire Reserve if you received a sign-up bonus within the last 48 months. It also applies to the discontinued no annual fee Sapphire card.

Final Thoughts on the Sapphire Preferred Card

The Chase Sapphire Preferred has been on the market since 2009. Since its introduction, this card remains a balanced and well thought out stalwart, especially for those with low travel and dining spend, as well as those who are new to points and miles.

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