A massive sign-up bonus
The most appealing benefit of the Chase Sapphire Reserve card is its enormous sign-up bonus, which beats the value of most competitors’ offers by several hundred dollars. If you spend just $4,000 in the card’s first 90 days – roughly $1,334 a month – you’ll take home 100,000 bonus points that you can use to pay for free travel or redeem for gift cards or cash. Most competitors, by contrast, offer between 10,000 and 50,000 bonus points.
Because Chase Sapphire Reserve points are worth more than average, you’ll also get more value out of your points than you might expect. Depending on how you redeem it, a Sapphire Reserve point could be worth as much as $.015 or more. Most credit card rewards points, by contrast, are only worth a penny. As a result, your 100,000-point bonus could add up to more than three times the annual fee – not a bad return for a three-figure investment.
A travel credit that rivals competitors’ best bonuses
On top of its already plentiful sign-up bonus, the Chase Sapphire Reserve card also offers a $300 annual travel credit that’s more generous than many of its competitors’ best sign-up offers – and those offers only last a year. In exchange for paying a $450 annual fee, Sapphire Reserve cardholders receive what essentially amounts to a $300 discount, effectively cutting the card’s annual fee down to $150.
Unlike other cards that strictly limit how cardholders can use their travel credit, the Chase Sapphire Reserve card allows cardholders to apply the credit to most any card purchase within the travel category. You can use your credit on round-trip airfare you purchased through a discount website, on a block of luxury hotel stays or on the taxi you took to get to your hotel.
Good points bonus on travel and restaurant spending
You can also help make up for the card’s annual fee by using your card to pay for all your restaurant and travel purchases. The Chase Sapphire Reserve gives cardholders an unlimited three points for every dollar they spend on travel and dining, making it a good choice for cardholders who travel frequently or spend a lot of evenings out. Because Chase Sapphire Reserve points are worth more than an average rewards point, the bonus points cardholders receive for travel and dining are especially valuable. Like most rewards credit cards, the Sapphire Reserve card also gives cardholders one point for every dollar spent on general purchases.
Hassle-free redemption
If you don’t like dealing with a credit card’s travel service and would rather book travel through an alternate service, you’ll especially like the Sapphire Reserve card’s rewards program. Unlike most rewards cards that make you go through the issuer’s travel agents to book a rewards-funded flight or hotel room, Chase lets you book your travel yourself and have it refunded.
As a result, you could get even more value out of your rewards points by shopping around for the best deals when you book travel. Booking through an outside service also means you don’t have to worry about travel blackout dates or other travel restrictions. However, if you use the Chase Ultimate Rewards portal to book travel, you’ll earn a 50 percent bonus. If you don’t want to use your points on travel, you can also redeem your points for gift cards or cash.
Luxury perks
Like most super premium cards with three-figure annual fees, the Chase Sapphire Reserve card offers a wide array of freebies, exclusive services and other high-value perks. For example, cardholders are awarded a $100 credit for Global Entry or TSA Precheck so that they can speed through airport security lines. They are also get unlimited free entry to more than 900 airport lounges around the world. In addition, the Chase Sapphire Reserve card comes with premium travel perks, including travel and baggage insurance and exclusive discounts on travel.
All in all, the Chase Sapphire Reserve is a superior travel rewards card that should be highly coveted by rewards card enthusiasts, though rewards seekers on a modest budget will probably want to seek a different card. The steep $450 annual fee is a major barrier for cardholders who don’t have a ton of extra cash. It also charges a relatively high APR, starting at 16.24 percent and maxing out at 23.24 percent, so you wouldn’t want to use this card to carry a balance.
Reasons to get it:
- You travel and dine out frequently and so would benefit from the card’s triple point bonus on travel and restaurant spending.
- You can easily afford to pay $450 up front and wait for your rewards.
- You plan to spend at least $4,000 in the card’s first three months in order to qualify for the sign-up bonus.
- You prefer flexibility in booking travel rewards, rather than having to go through the card issuer to book travel.
- You spend enough on travel expenses to take advantage of the card’s $300 annual travel credit.
How to use it:
- Use your card for all your restaurant and travel purchases in order to cash in on the extra point bonus.
- Be sure to spend at least $1,334 a month for the card’s first 90 days in order to receive its ample sign-up bonus.
- To get the most value out of your rewards spending, book your travel through Chase’s Ultimate Rewards portal or book travel using a third-party comparison service that offers steep discounts.
- Pay off your card in full each month. The Sapphire Reserve card’s APR is steep.
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