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The Chase Sapphire Preferred® Card is a popular card for good reason. The card packs in a lot of value, including a generous sign-up bonus, travel protections, and is part of one of the most versatile rewards programs available. Most cardholders, like myself, find the $95 annual fee justifiable. But is the Chase Sapphire Preferred card worth it year after year? Let's go over the card's many selling points to help you see if it's right for you.
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Generous Welcome Bonus
This card regularly features a rather generous welcome bonus, and every now and then, the bonus increases even more so. New applications to the Sapphire Preferred can receive an appealing welcome offer of 60,000 bonus points after you spend $5,000 on purchases in the first 3 months from account opening. When redeemed through Chase TravelSM— one of the most straightforward uses for Chase Ultimate Rewards– these points can be worth up to $750. But if you don't mind putting in a tad more effort, this bonus can be worth multiple times that for those who take advantage of the many transfer partners this program offers.
Related: Who Is Eligible To Get a Bonus on the Chase Sapphire Preferred?
Low Annual Fee
Most cards worth applying for and keeping within reach inside your wallet come with relatively hefty annual fees. In fact, the more –and the better– the benefits, the higher the annual fee tends to be. But for a card that offers these many benefits, the Chase Sapphire Preferred charges a relatively low annual fee that makes it worth its cost.
Earning Categories for Bonus Rewards
You can earn extra points on travel and common spending categories with the Chase Sapphire Preferred. Here is a current list of the reward categories:
- 5X points on Lyft rides through September 2027
- 5X points on travel purchased through Chase Travel℠
- 3X points on dining at restaurants worldwide
- 3X points on eligible streaming services
- 3X points on online grocery purchases (excluding Target, Walmart, and wholesale clubs)
- 2X points on all other travel
- 1X point per dollar spent on all other purchases
On your account anniversary, you'll receive 10% of your total card spending back in the form of points.
- Earn 60,000 bonus points after you spend $5,000 on purchases in the first 3 months from account opening.
- Enjoy benefits such as 5x on travel purchased through Chase Travel℠, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, 1x on all other purchases, $50 Annual Chase Travel Hotel Credit, plus more.
- Earn up to $50 in statement credits each account anniversary year for hotel stays through Chase Travel℠
- 10% anniversary points boost - each account anniversary you'll earn bonus points equal to 10% of your total purchases made the previous year.
- Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
- Complimentary DashPass which unlocks $0 delivery fees & lower service fees for a min. of one year when you activate by 12/31/27. Plus, a $10 promo each month on non-restaurant orders.
- Member FDIC
- Rates & Fees
- 5X points on Lyft rides through September 2027
- 5X points on travel purchased through Chase Travel℠
- 3X points on dining at restaurants worldwide
- 3X points on eligible streaming services
- 3X points on online grocery purchases (excluding Target, Walmart, and wholesale clubs)
- 2X points on all other travel
- 1X point per dollar spent on all other purchases
Combining Chase points
If, like me, you hold multiple Ultimate Rewards earning Chase credit cards, you can combine your points into a single account. Transferring Ultimate Rewards points from other personal and business credit cards to the Sapphire Preferred can increase the value of your points. Redeeming points from the Sapphire Preferred in Chase's travel portal will yield a value of 1.25 cents per point — higher than the 1 cent you would obtain with redemptions from Chase's no-annual-fee cards.
There's no fee or limit to the number of points you can combine this way, and you can combine points with a member of your household. This allows you to create a family pool of points. The first time you transfer points to another individual's account, you'll need to call the number on the back of your card to set up this feature.
This ability to family pool can be perfect for those with a “Player 2” looking to use a combined stash of points for a bigger trip redemption. For example, one spouse with a Sapphire Preferred and one with a Chase Freedom Unlimited® might each earn points through their individual spending. When it comes time to redeem points for a trip together, moving all the points into the Sapphire Preferred account means all the points are worth 1.25 cents each via Chase Travel, rather than 1 cent each with the Freedom Unlimited. Additionally, moving the points to a card with an annual fee, like the Chase Sapphire Preferred, provides access to Chase's points transfer partners for higher-value redemptions.
Our household takes advantage of family pooling quite a bit since my spouse doesn't have a Chase credit card with access to transfer partners – making the Chase Sapphire Preferred card worth it for us.
Travel Benefits
Points transfer partners
This card is part of the Chase Ultimate Rewards program, which is a huge benefit. While there are dozens of ways to use Chase Ultimate Rewards points, the best way to use points for maximum value tends to be with Chase's three hotel and 11 airline partners.
Remember that you can redeem points in the travel portal at 1.25 cents apiece. However, AwardWallet users typically redeem Chase points at 1.95¢ each with these transfer partners. That's a significant difference. This is the full list of Chase's transfer partners:
One of our favorite redemptions is transferring to World of Hyatt for our hotel stays. The value we can obtain from these transfers is generally phenomenal. So much so that I recently transferred Ultimate Rewards into World of Hyatt to book a week long stay at the Palacio Duhau – Park Hyatt Buenos Aires that would have otherwise cost a couple throusand dollars.
Chase also offers transfer bonuses throughout the year. Earlier this year, I took advantage of a Chase Ultimate Rewards 25% transfer bonus to JetBlue at a 1:1.25 ratio to book our summer vacation flights. Watch for these limited-time transfer bonuses that can increase the value of your points.
$50 annual hotel credit
The Chase Sapphire Preferred offers up to $50 in statement credits per account year toward hotel stays purchased through Chase Travel. This credit may not seem like much, but don't underestimate it, as it covers half of the card’s annual fee. It's relatively easy to use and a perfect way to take the sting off the annual fee.
Related: How Does the Chase Sapphire Preferred Hotel Credit Work?
No foreign transaction fees
The Chase Sapphire Preferred is the perfect travel companion when you travel internationally. Some cards charge 3% extra on each purchase made outside the U.S., but you won't find those fees here. This can save you significant cash as you won't have to pay more for your purchases abroad.
Insurance Protections
When it comes to protection, the Sapphire Preferred’s insurance is hard to beat. This card covers everything from trip cancellation to lost luggage, car rental insurance, and purchase protection for items you buy with your card.
Trip cancellation and trip delay
Travel is unpredictable, and there are times when unforeseen circumstances may interrupt your travel plans. With the Chase Sapphire Preferred, you can be reimbursed up to $10,000 per person and $20,000 per prepaid, non-refundable trip if you experience a cancelation due to sickness, severe weather, or other covered situations. Note that there's a maximum of $40,000 per 12-month period.
Trip delay insurance kicks in if you experience a delay of more than 12 hours or require an overnight stay. The Chase Sapphire Preferred will reimburse up to $500 for expenses like hotel stays and meals.
When I book travel, I make sure to pay for our tickets using my Sapphire Preferred so I'm taken care of should anything happen. If I'm using my Ultimate Rewards to book flights, I still pay the taxes and fees with the Sapphire Preferred card so I have trip protection. Yes, you heard me right: Using Ultimate Reward points through Chase Travel will also provide these travel protections.
Related: Chase Sapphire Trip Cancellation and Trip Interruption Insurance
Baggage delay
Each year, airlines collectively lose or misplace thousands of bags between takeoff and arrival. If your luggage is delayed for six hours or longer, you can receive reimbursements of up to $100 per day for up to five days for all of the necessary items you may need until your bag turns up, such as toiletries, clothing, and more.
Rental car insurance coverage
If you have ever chosen to pay for car rental insurance at the counter, you know it can be costly. Chase Sapphire Preferred cardholders can qualify for primary car rental collision damage waiver by using the card to pay the total price of the car rental and refusing the insurance provided by the car rental company. This coverage provides reimbursement for damages caused by theft or collision up to $60,000 for most rental vehicles.
Related: Best Credit Cards for Rental Car Insurance
Purchase protection
This card offers purchase protection on eligible purchases made using your card. Your items enjoy protection against damage or theft for up to 120 days after the purchase date. Coverage is up to $500 per claim and $50,000 per cardholder per year.
Most of these protections have caveats and carveouts so it's always good to consult the guide to benefits provided by Chase.
Who Is the Chase Sapphire Preferred card good for?
In a highly saturated market where every bank is fighting for a share of your wallet, choosing a new credit card can feel almost impossible. If you’re considering a card with decent travel redemptions and perks, you need not go further than the Sapphire Preferred. The card offers flexible, transferable rewards with a low annual fee. If you are new to credit card points and miles, this card might be perfect for you, as it regularly features as one of the best travel cards for beginners. Even more advanced points and miles collectors hold a spot in their wallet for this card.
Related: Why the Chase Sapphire Preferred Is the Best Beginner's Travel Rewards Card
Is the Chase Sapphire Preferred card worth it?
Those looking for a new travel rewards credit card will be hard pressed to find a card that checks more boxes than the Chase Sapphire Preferred. Its $95 annual fee can be easily offset by the $50 annual hotel credit plus the value obtained from redeeming the card's welcome bonus. As if that wasn't enough, your travels enjoy many consumer and travel protections when using your card, and you'll incur no additional charges when using it abroad.
The bonus point categories offer exceptional value for most cardholders. Consider the 3 points per dollar you earn on dining and 2 points per dollar spent on travel. Many no annual fee credit cards only offer 1% cash back or 1 point per dollar. The $95 annual fee, or a little under $8 a month, is offset easily by the extra rewards you'll rake in.
All of these points make the Chase Sapphire Preferred card worth it for most people who can take advantage of its many perks.
Related: Complete Chase Sapphire Preferred review
For rates and fees of the cards mentioned in this post, please visit the following links: Chase Sapphire Preferred® Card (Rates & Fees)
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