The Chase Sapphire Reserve® just got significantly more expensive to carry — but a huge sign-up bonus may make the new $795 annual fee easier to swallow. Read on for more details on the card’s most valuable offer of all time and how it could justify opening a new account.
The Biggest Bonus of All
As part of the Chase Sapphire Reserve® revamp, new cardholders can earn 100,000 bonus points plus a $500 Chase Travel? promo credit. You must spend $5,000 on purchases in the first three months from account opening in order to earn the bonus.
This is a significant bump up from the previous offer of 60,000 bonus points. As for what the new offer is worth, the actual dollar value depends on how you redeem the points, but you should have no problem squeezing $1,500 or more from the points and the Chase Travel credit combined. Not too shabby, considering that nearly covers the annual fee for two years.
[Read: Best Credit Cards.]
The Fine Print
Unfortunately, if you’re an existing Chase Sapphire cardholder — including the Chase Sapphire Preferred® Card — or if you’ve opened the card previously, you won’t be eligible for this welcome offer. Chase warns that it will also consider your recent card openings and closings to determine whether you are eligible for the bonus.
If you do qualify and earn the bonus, it can take six to eight weeks for the bonus points and credit to be added to your account. Keep this in mind if you’re planning to cash in your bonus rewards to help cover the cost of coming trip.
Should I Get the Chase Sapphire Reserve® Just for the Bonus?
If you have a big trip coming up that you’d like to offset with credit card rewards, it can definitely be worthwhile to open a card with a great sign-up bonus — and in that respect, the Chase Sapphire Reserve® definitely delivers. As long as you have a few months to work with, you could open the card, earn the sign-up bonus and then book your trip using those points and the travel credit.
However, it’s also a wise approach to think beyond the short-term value to consider a card’s long-term usefulness and whether it aligns with your spending style. In other words, if the sign-up bonus weren’t a factor, would the card’s ongoing benefits and rewards still be a good fit?
[Read: Best Travel Rewards Credit Cards.]
Whom the Chase Sapphire Reserve® Serves Best
In general, a premium, high-fee card like the Chase Sapphire Reserve® is best for frequent travelers who can maximize the offers on the card, such as a couple of the annual statement credits and the VIP travel perks. For example, if you only travel once a year, you might miss out on two of the card’s more lucrative features: the flexible annual travel credit (worth $300 per year) and airport lounge access.
On the other hand, if you travel often, like to dine out and order tickets throughout the year via StubHub, you can easily come out ahead year after year. That’s because the card offers eight points per dollar spent on all Chase Travel purchases, four points per dollar on flights and hotels booked directly, and three points per dollar on all dining purchases worldwide. And you can earn the flexible $300 annual travel credit, plus the new StubHub credit worth $300 per year.
There’s a slew of other offers on this card that can help offset the annual fee.
Don’t Sit on This Offer
Chase has not specified how long this large sign-up bonus offer will last, but when card issuers increase their sign-up bonus offers to such high levels, it’s usually for a limited period of time. In other worlds, if you’ve decided that the card is a good fit for you, don’t delay.
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Chase Sapphire Reserve Offers Biggest Bonus After Raising Annual Fee originally appeared on usnews.com
