Dreaming of that next vacation? Maybe you’ve got your eye on a flight across the country, a cozy hotel stay, or just love collecting points you can actually use for travel. If you’re navigating the world of rewards credit cards in the United States, chances are you’ve heard whispers about the Chase Sapphire Preferred® Card. It consistently ranks as a top choice for travelers and rewards enthusiasts, and for good reason. It’s not the most expensive card out there, but it packs a punch, offering a sweet spot of valuable rewards and useful travel perks that make it a favorite for unlocking new adventures.
But what makes this card so popular? Is it just hype, or does it genuinely deliver? Let’s dive into the specifics of the Chase Sapphire Preferred, explore its key benefits, understand its costs, and see why it’s often recommended as a fantastic entry point into serious travel rewards in the US market.
Earning Points That Actually Go Places
The heart of the Chase Sapphire Preferred is its rewards program, centered around Chase Ultimate Rewards® points. These aren’t just any points; they’re widely considered some of the most valuable and flexible out there.
The card offers accelerated earning in key spending categories:
- You get 5x points on travel purchased through Chase Ultimate Rewards®. Booking flights, hotels, rental cars, and cruises via Chase’s portal earns you a generous return.
- Score 3x points on dining, including eligible delivery services and takeout. This is a broad category that covers everything from fancy restaurants to your local pizza joint.
- Earn 3x points on online grocery purchases (excluding Target, Walmart, and wholesale clubs). This is a valuable addition for everyday spending.
- Pick up 3x points on select streaming services. Binge-watching your favorite shows can actually help fund your next trip!
- All other eligible purchases earn 1x point per dollar.
While you might find cards that earn slightly higher rates in one specific category, the beauty of the Preferred is its solid multipliers on common spending areas like dining and travel, making it easy to rack up points quickly through everyday life.
Redeeming for Maximum Value: The Ultimate Rewards Power
Earning points is great, but how you redeem them is where the Chase Sapphire Preferred truly shines. Those Ultimate Rewards points are incredibly flexible.
- Travel Booked Through Chase: This is a major perk. When you redeem points for travel (flights, hotels, car rentals, etc.) through the Chase Ultimate Rewards portal, your points are worth 25% more. So, 10,000 points become worth $125 towards travel instead of $100. This built-in bonus makes redemptions simple and valuable.
- Transfer Partners: This is where the most value can often be found for savvy travelers. You can transfer your Ultimate Rewards points at a 1:1 ratio to a variety of airline and hotel loyalty programs. Think United MileagePlus, Southwest Rapid Rewards, Marriott Bonvoy, Hyatt World of Hyatt, and more. By transferring points, you can sometimes book flights or hotel stays that would cost significantly more cash or require more points if booked directly, extracting outsized value (sometimes worth 2 cents per point or even more!). This flexibility is a key reason experienced travelers love this card.
- Other Redemptions: You can also redeem points for cashback (at 1 cent per point), gift cards, or statement credits, though these usually offer less value than travel redemptions. The “Pay Yourself Back℠” feature also sometimes allows you to redeem points at an elevated value (like 1.25 cents per point) for statement credits against specific spending categories, offering flexibility beyond travel portal bookings.
Travel Perks That Make Your Trip Smoother
Beyond earning and redeeming points, the Chase Sapphire Preferred offers several travel benefits that add value and peace of mind:
- Primary Car Rental Insurance: Decline the rental company’s expensive collision insurance. When you rent a car with your Preferred card and decline their coverage, the card provides primary coverage against theft and collision damage. This is a huge money-saver and benefit.
- Trip Cancellation/Interruption Insurance: If your trip is cancelled or cut short due to covered reasons (like illness or severe weather), you can be reimbursed for non-refundable travel expenses booked with the card.
- Trip Delay Reimbursement: If your common carrier travel is delayed by more than a certain number of hours (currently 12 hours) or requires an overnight stay, you can be reimbursed for reasonable expenses like meals and lodging.
- Baggage Delay Insurance: If your checked luggage is delayed by the carrier, you can be reimbursed for essential items.
- Lost Luggage Reimbursement: If your checked or carry-on luggage is lost or damaged by the carrier, you can be covered up to a certain amount.
- No Foreign Transaction Fees: Use this card for purchases when traveling abroad without incurring extra fees on each transaction. Essential for international travel.
These built-in protections can save you money and hassle compared to buying separate travel insurance.
The Cost: Understanding the Annual Fee
The Chase Sapphire Preferred Card has an annual fee. At the time of writing, this is a modest $95.
Compared to premium travel cards with annual fees of $400 or $500+, $95 is quite reasonable for the value it provides, especially considering the earning rates and travel protections. For many users, the value from the sign-up bonus in the first year alone far outweighs the initial fee, and the ongoing rewards and benefits easily justify it in subsequent years if you use the card effectively. There is no introductory annual fee; the $95 is due in the first year.
Is the Chase Sapphire Preferred Right for You?
This card is typically a fantastic fit for:
- People who spend a good amount on travel and dining.
- Those who want flexible rewards they can transfer to airline and hotel partners for potentially higher value.
- Travelers who will utilize the built-in travel insurance benefits.
- Individuals with good to excellent credit (generally a score of 670 or higher) who are likely to qualify.
It might be less ideal if you rarely travel, don’t spend much on dining, or prefer simple cashback with no annual fee.
Ready to Apply? How to Get the Chase Sapphire Preferred® Card
If you’ve weighed the benefits and costs and think the Chase Sapphire Preferred is the right card to help you earn valuable rewards for your spending and travels in the US, the application process is straightforward.
- Check Your Credit Score: Before applying, it’s wise to know where your credit stands. Aim for a good to excellent score (typically 670+ for FICO). You can check your score for free through various services like your bank, credit card issuer, or sites like Credit Karma or Experian.
- Visit the Official Chase Website: The safest and most direct way to apply is through the official Chase Bank website or a reputable financial comparison site that directs you to the official application page. Be wary of unofficial links or unsolicited emails asking you to apply.
- Complete the Online Application: The application will ask for personal information (Name, Address, Date of Birth, Social Security Number), contact information, employment status, annual income, and housing payment information. Fill out all sections accurately and completely.
- Review Terms and Conditions: Before submitting, carefully read the terms and conditions, including the APRs, fees (including the $95 annual fee), and details of the welcome bonus offer.
- Submit the Application: Once reviewed, submit the application online. You may receive an instant approval decision, or your application might go into review, which could take a few days or weeks.
If approved, your card will be mailed to you. Once it arrives, activate it according to the instructions provided and start using it responsibly to earn those valuable Ultimate Rewards points and take advantage of its travel perks! Applying is the first step towards making this popular card your own travel passport.
