The Chase Sapphire Preferred is an excellent credit card for travel. You can outweigh the $95 with benefits and the $50 hotel credit.
Chase Sapphire Preferred credit card summary
Card rating: ⭐⭐⭐⭐
For travelers, the Chase Sapphire Preferred is an excellent credit card.
The launch of the Sapphire Preferred was in 2009. Since then, it’s been one of the most popular travel credit cards.
In 2021, the benefits went through a refresh. It became a better card and kept the same $95 annual fee.
With the Sapphire Preferred, you get five points per dollar spent on travel.
It only applies when you book through Chase Ultimate Rewards. All other travel gets two points per dollar spent.
It also gets three points per dollar spent on dining and online groceries.
Chase has many valuable transfer partners. Also, you get 25% more value when you book through its travel portal.
Chase Sapphire Preferred details, rates, and fees
- Annual fee: $95
- Rewards rate: 1x-5x
- Regular APR: 15.99%-22.99% Variable APR
- Cash advance APR: 24.99%
- Welcome bonus: 60,000 points
- Foreign transaction fee: None
- Balance transfer fee: The greater of $5 or 5% of each amount you transfer
- Late payment fee: Up to $40
- Accepted credit scores: Good and excellent
- Card material: Metal
- 5 points per dollar spent on travel booked through Chase Ultimate Rewards.
- 2 points per dollar spent on all other travel purchases.
- 3 points per dollar spent on dining, takeout, online groceries, and streaming services.
- 1 point per dollar spent on all other purchases.
- 60,000-point bonus offer
- Valuable transfer partners
- $50 annual hotel credit
- Book travel through Chase for 25% more value
- Travel and purchase coverage
- $95 annual fee
- Requires good to excellent credit
- No intro APR offer
Advantages of the Chase Sapphire Preferred credit card
The Chase Sapphire Preferred is a low-cost travel credit card.
It has many benefits and is a well-rounded card. Also, it’s best with other Chase credit cards to maximize your rewards.
If you want to get into the world of points with a versatile card, the Chase Sapphire Preferred is an excellent option.
Related: Chase routing number by state
The main advantages of the Chase Sapphire Preferred credit card are as follows:
- $50 annual credit for hotels booked through Chase Ultimate Rewards.
- Complimentary DashPass subscription with DoorDash for at least one year.
- Ten percent anniversary point bonus.
- Points transfer at a one-to-one ratio.
- Trip cancellation and interruption insurance.
- Auto rental collision damage waiver.
- Baggage delay insurance.
- Trip delay reimbursement.
- Purchase and extended warranty protection.
- 5x points on Lyft rides through March 2022.
- 5x total points on each Peloton Bike and Tread purchase over $1,400.
- Maximum of 25,000 total points through March 31, 2022.
Chase Ultimate Rewards points are valuable. While the card has an annual fee, you can justify the cost.
The hotel credit, anniversary bonus points, the one-to-one ratio for points transfers, and 25% extra value make the card worth it.
Also, it comes with travel and purchase protection.
Disadvantages of the Chase Sapphire Preferred credit card
The Chase Sapphire Preferred is an excellent credit card, but it has room for improvement.
It has a $95 annual fee, which you can justify, but it’s still a fee.
Another drawback is that the card doesn’t offer airport lounge access or checked bags.
It also doesn’t reimburse the application fee for TSA PreCheck or Global Entry. The Capital One Venture is a competitor that does.
The reward categories are also a drawback.
The five points per dollar spent are only valid on travel when you book through the Chase travel portal. Otherwise, you get two points per dollar.
The 25% extra value for points redemption is also only through Chase Ultimate Rewards.
To maximize the Sapphire Preferred, keep up with the categories and redemption options.
How to redeem Chase Ultimate Rewards points
Travel is the most valuable redemption option for Chase Ultimate Rewards points.
When you book through Chase’s travel portal, you get 25% more value. So, each point is worth 1.25 cents.
It’s an excellent, straightforward, and valuable way to redeem the points you earn.
Chase Ultimate Rewards points transfer to a partner airline or hotel at a one-to-one ratio. So, you won’t lose the value of your points.
If you analyze the value of rewards with the transfer partners, each point may be worth more than one cent.
The following are Chase’s airline and hotel partners:
- Aer Lingus, Aerclub
- Air Canada Aeroplan
- British Airways Executive Club
- Emirates Skywards
- Flying Blue Air France KLM
- Iberia Plus
- JetBlue TrueBlue
- Singapore Airlines KrisFlyer
- Southwest Airlines Rapid Rewards
- United MileagePlus
- Virgin Atlantic Flying Club
- IHG Rewards Club
- Marriott Bonvoy
- World of Hyatt
Another way to redeem your points is to get the statement credit. But, it’s the least valuable method, as each point is worth one cent.
Maximize your points by using them for travel through the Ultimate Rewards portal or transfer them to a Chase partner.
Credit cards that compete with the Chase Sapphire Preferred
Chase was at the top of starter travel credit cards, but the competition has gotten stronger.
The following are the credit cards that compete with the Sapphire Preferred.
Capital One Venture
Like the Sapphire Preferred, the Capital One Venture has a $95 annual fee.
Most of your spending with the Venture credit card gets two points per dollar spent.
But, you get five points per dollar spent on hotels and rental cars booked through Capital One Travel.
You also get an application fee credit for Global Entry or TSA PreCheck, along with two free Capital One Lounge visits each year and complimentary Hertz Five Star status.
The following are key details about the Capital One Venture credit card:
- $95 annual fee.
- 5 miles per dollar spent on hotels and rental cars through Capital One Travel.
- 2 miles per dollar spent on everything else.
- Global Entry or TSA PreCheck application fee credit.
- Complimentary Hertz Five Star status.
- Two complimentary Capital One Lounge visits per year.
- No foreign transaction fee.
It can be a tough decision between the two cards. But, Chase Ultimate Rewards points are more valuable than Capital One miles.
The Citi Premier is another travel credit card with a $95 annual fee.
It offers a $100 annual hotel credit when you spend $500 or more on a single stay at a hotel booked through Citi.
You also get Mastercard World Elite benefits.
It includes a secondary car rental collision waiver and extended warranty.
It also offers discounts at the Luxury Hotel Collection and golf courses.
The Sapphire Preferred has comparable Visa Signature benefits.
The following are key details about the Citi Premier Card:
- $95 annual fee.
- 3 points per dollar spent at restaurants, supermarkets, gas stations, air travel, and hotels.
- 1 point per dollar spent on everything else.
- $100 annual hotel credit.
- No foreign transaction fee.
- Mastercard World Elite benefits.
While the Citi Premier is a good card, the Chase Sapphire Preferred has a better rewards rate.
Also, Ultimate Rewards points are more valuable than Citi ThankYou points.
Is the Chase Sapphire Preferred credit card for you?
The Chase Sapphire Preferred is for you if you want a credit card with a low annual fee and valuable benefits.
The card offers excellent redemption options and travel and purchase protections.
It’s also best if you have or want to get another Chase card like the Sapphire Reserve or Freedom Unlimited.
- Capital One Venture credit card review
- Citi Prestige® credit card review
- Chase routing number by state (ACH and wire transfers)
- Chase Freedom Unlimited review
- American Express® Gold Card review
Featured image courtesy of Chase.
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David Em is the Founder and Chief Editor of More Money More Choices. He launched the site in 2019 to empower individuals for financial health. David has a finance and leadership background. It enables him to share practical money management and growth tips and advice.