5 Chase Sapphire Preferred benefits you might not know about - Android Central

5 Chase Sapphire Preferred benefits you might not know about - Android Central


5 Chase Sapphire Preferred benefits you might not know about - Android Central

Posted: 08 Oct 2020 07:30 AM PDT

Heads up! We share savvy shopping and personal finance tips to put extra cash in your wallet. Android Central may receive a commission from The Points Guy Affiliate Network. Please note that the offers mentioned below are subject to change at any time and some may no longer be available.

The Chase Sapphire Preferred Card is one of the most popular travel rewards cards out there and comes with a number of well-known benefits, as well as a new 80,000-point bonus when you spend $4,000 on purchases within the first three months and a $95 annual fee.

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Well-Known Chase Sapphire Preferred Benefits:

These benefits are among the reasons the Chase Sapphire Preferred consistently makes TPG's list of best travel credit card offers and why it was named Best Travel Rewards Credit Card at the 2019 TPG Awards. But let's look at five lesser-known benefits.

4K TVs, Amazon Echos, Beats headphones & more are already at Prime Day pricing

Related: Chase Sapphire Preferred Review

Sapphire Preferred Benefits you may not know about:

1. Trip Cancellation/Trip Interruption Insurance (up to $10,000 per person/$20,000 per trip)

If your trip is cut short or interrupted by sickness, severe weather and other covered situations (deemed so by the benefit administrator), you can be reimbursed for pre-paid, non-refundable travel expenses (such as plane tickets, hotels and tours) on up to $10,000 per person and $20,000 per trip. This coverage is available to you and your immediate family members traveling with you when you pay for the trip expenses with your Chased Sapphire Preferred.

Puerto Rico Jan 2019 Chase Sapphire Preferred Credit Card 19 CopySource: The Points Guy

I invoked this benefit for the first time when I was in Kuala Lumpur on business, staying at the Le Méridien. I had brought my wife and nine-month-old son along to see the city and enjoy the hotel while I was at work each day. From Malaysia, we had non-refundable AirAsiaX tickets from Kuala Lumpur to Busan, Korea. The day before our flight, my son awoke with a terrible cough. We decided a trip to Korea may not serve his best interests and it was time to send my wife and son back home to Japan and our doctor.

I called Chase at 3:00 a.m. Eastern Time to inquire about having the AirAsia tickets to Busan covered by the benefit. Within 10 minutes I had an email requesting the canceled plane ticket itinerary, a doctor's note and the credit card statement showing where the tickets were purchased. Soon after, I confirmed the benefit administrator had received my documentation and I was told a $625 credit would be issued back to my Sapphire Preferred card. That was pretty fantastic!

Related: Your guide to Chase's trip insurance coverage

2. Baggage Delay Insurance (up to $500 per trip)

If your checked bag is delayed by more than six hours, you can be reimbursed up to $100 per day for up to five days for essential purchases like toiletries and clothing. My mother's checked suitcase did not arrive on Air Canada's flight from Toronto to Tokyo. I immediately called Chase from Narita International Airport (NRT) to inquire about this benefit.

I was told to get a baggage delayed report from the baggage service counter and then to keep receipts for any essentials she purchased, up to $100 a day for five days or until the suitcase arrived. The suitcase was finally delivered to my Japanese address four days later. In the meantime, we took full advantage of the benefit, with my mom buying $400 worth of clothes, shoes and toiletries to get around Japan during her stay.

I sent the benefit administrator a baggage delayed report, a courier note when the bag was finally dropped off, receipts for my mom's purchases and the credit card statement showing I had paid for her ticket. Since she had flown on an award ticket, I had only paid for the fees with my Sapphire Preferred card (and not the whole fare). I was nervous this would make us ineligible for the perk, but a short time later we received a $400 check to cover the expenses.

Along these same lines, you may be eligible for up to $3,000 in lost luggage coverage. However, this benefit requires you to produce almost all of your original receipts for items over $25, making it much harder to get full value.

Baggage arrives from Delta Air Lines Inc. flights at Los Angeles International Airport (LAX) on Friday, March 29, 2019 in Los Angeles, Calif. © 2019 Patrick T. Fallon for The Points Guy

Source: The Points Guy

3. Trip Delay Reimbursement (up to $500 per ticket)

Have you ever been on the last flight of the day to your destination only to have it canceled? If it's due to weather or any other cause that allows the carrier to deflect blame, you might get a preferred rate from the local airport hotel or be out of luck altogether. Either way you'll likely be forced to pay out of pocket.

If your common carrier travel is delayed more than 12 hours or requires an overnight stay, Chase Sapphire Preferred covers you and your family for up to $500 per ticket of non-reimbursed expenses such as meals and lodging. Thankfully, I've never had to put this benefit to use, but knowing I could stay in a nice place for free would make the situation a bit more tolerable.

Summer Hull Family Travel Kids Holiday New York Shoot

Source: The Points Guy

Related: Chase paid for my $1,100-per-night hotel room thanks to built-in trip delay coverage

4. Purchase Protection (up to $500 per claim)

This benefit covers eligible personal property (purchased using your Sapphire Preferred card) in the event of theft, damage or involuntary and accidental parting with property. If something happens to an item within 120 days of purchase, it will be repaired or replaced for a value of up to $500.

There's a lengthy list of excluded items, including animals, antiques, anything with an engine, perishable items and used/pre-owned items. Still, when I bought my latest iPad, I felt a bit more at ease knowing I had 120 days of coverage in case I spilled coffee on it or left it behind while traveling.

Plenty of other cards offer similar benefits (such as Amex purchase protection), but it's good to know Chase is keeping up with the competition.

Related: The best credit cards for price protection in 2020

5. Extended Warranty Protection (up to $10,000 per claim)

This benefit can really save your bacon. Receive an additional year of coverage on eligible purchases with a manufacturer's warranty of three years of less. Boats, automobiles, aircraft, medical equipment, leased or pre-owned items and items for commercial use are ineligible.

In 2010, I purchased what was then a top-of-the-line flat-screen TV for $1,200, with a manufacturer's warranty of two years. One day in April of 2013, my wife and I were watching a football game when a loud pop occurred and a puff of smoke appeared from the back of the TV.

I called Chase, and a representative asked for a copy of the original purchase receipt and a letter from the TV manufacturer stating it was out of manufacturer's warranty. I was then instructed to get an estimate from a TV repairman (yes, they still exist) of what it would cost to fix the TV. I flipped through the yellow pages and a few days later had an estimate saying the TV was broken beyond repair. After I submitted the estimate, I got a credit back for my original purchase price of the TV from 2010, as well as a credit for the TV repairman's fee.

I then bought a TV for $800 that was better than what I had paid $1,200 for three years earlier. Chase promises reimbursement within five business days of receipt and validation of all required documents. Needless to say, I was pretty excited this benefit was on the card.

Related: Best credit cards for extended warranties

Bottom Line

Several of these benefits have provided excellent value for me and made life easier when I could have otherwise been out of luck. As always, make sure you read the fine print for benefit terms and conditions. Clearly defined and labeled documentation submitted in a logical order has made the claim processes rather painless for me.

Also note that the above five benefits are by no means the only perks of the Chase Sapphire Preferred Card. Travel accident insurance, zero liability protection and travel and emergency assistant services could all make a sour situation a little bit sweeter.

Apply here for the Chase Sapphire Preferred Card with a 80,000-point bonus after you spend $4,000 in the first three months.

Additional reporting by Madison Blancaflor

Featured photo by Eric Helgas for The Points Guy.

We may earn a commission for purchases using our links. Learn more.

Why the Chase Freedom Flex is better than Chase Sapphire Preferred - Business Insider - Business Insider

Posted: 07 Oct 2020 12:43 PM PDT

This article is brought to you by the Personal Finance Insider team. It has not been reviewed, approved, or otherwise endorsed by any of the issuers listed. Some of the offers you see on the page are from our partners like Citi and American Express, but our coverage is always independent. Terms apply to the offers listed on this page.

Chase recently announced a new addition to its lineup of no-annual-fee credit cards. The Chase Freedom Flex℠ replaces the original Chase Freedom card and is a strong alternative to the Chase Freedom Unlimited®, which also has no annual fee.

The Chase Freedom Flex℠ includes the same 5% cash back for rotating quarterly bonus categories (once activated) as the original Chase Freedom, and also earns bonus cash back on grocery store purchases and drugstores, among other types of purchases.

In fact, the welcome offer and ongoing value proposition of the new Freedom Flex card are so attractive that it could be a better card for you than Chase's flagship Chase Sapphire Preferred® Card

Annual Fee

None

Regular APR

14.99% – 23.74%

Credit Score

Good to Excellent

Editor's Rating

Featured Reward

$200 Bonus after you spend $500 on purchases in your first 3 months from account opening

Intro APR

0% for the first 15 billing cycles
Chevron iconIt indicates an expandable section or menu, or sometimes previous / next navigation options.
  • Details
  • Pros & Cons
  • Earn a $200 Bonus after you spend $500 on purchases in your first 3 months from account opening.
  • Earn 5% cash back on grocery store purchases (not including Target® or Walmart® purchases) on up to $12,000 spent in the first year.
  • Earn 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter you activate. Enjoy new 5% categories each quarter!
  • Earn 5% on travel purchased through Chase, 3% on dining at restaurants and drugstores, and 1% on all other purchases.
  • No annual fee.
  • 0% Intro APR for 15 months from account opening on purchases, then a variable APR of 14.99 - 23.74%.
  • No minimum to redeem for cash back. Cash Back rewards do not expire as long as your account is open.
Pros
  • No annual fee
  • Generous bonus cash-back categories
  • Great welcome bonus
Cons
  • Booking through Ultimate Rewards portal can restrict outside earning potential
  • Varying percentages and rotating calendar categories require extra attention
  • 3% foreign transaction fees

We're focused here on the rewards and perks that come with each card. These cards won't be worth it if you're paying interest or late fees. When using a credit card, it's important to pay your balance in full each month, make payments on time, and only spend what you can afford to pay.

Its category bonuses are higher — and better, for most people

The Chase Sapphire Preferred® Card offers only 2 Ultimate Rewards points per dollar spent on dining and travel, while the Freedom Flex gives 3% cash back on dining and 5% cash back on travel (though only when booked through the Chase Ultimate Rewards portal). Plus, the Freedom Flex earns 3% cash back at drugstores. 

Yes, the Sapphire Preferred does have a better welcome offer (currently 80,000 points after you spend $4,000 in the first three months), but that is a one-time offer. You'll need to think about whether the rewards you earn in subsequent years are enough for you to pay the card's $95 annual fee.

The first-year bonus on groceries is tough to beat

In addition to the ongoing category bonuses in dining, travel, and at drugstores, the Chase Freedom Flex℠ offers 5% cash back spent on groceries for your first cardmember year. This bonus excludes Walmart and Target and is limited to your first $12,000 in grocery spending. This bonus on spending at grocery stores is in addition to the welcome offer of $200 (20,000 Ultimate Rewards points) after spending $500 in the first three months of having the card.

5% cash back (5 Ultimate Rewards points per dollar) ranks the the Freedom Flex as one of the best credit cards for groceries, at least for the first year. Both the Freedom Flex or the Chase Freedom Unlimited® offer this first-year grocery bonus, so if you're looking at these two cards, make sure to check out our Chase Freedom Flex vs. Chase Freedom Unlimited comparison.

The Freedom Flex has no annual fee

Finally, remember that the Chase Freedom Flex comes with no annual fee. It is true that having the Chase Sapphire Preferred® Card allows you to get more value from your Ultimate Rewards points, by allowing you to redeem them for 1.25 cents instead of only 1 cent per point for travel booked through Chase Ultimate Rewards Travel or through Chase Pay Yourself Back for grocery, dining, home-improvement, and eligible charity purchases.

However, you need to redeem a lot of Ultimate Rewards points to make up for the $95 annual fee on the Sapphire Preferred. If you prefer the cash in hand now versus the possibility of saving money on travel or other purchases later, the Chase Freedom Flex℠ is a better option.

Annual Fee

$95

Regular APR

15.99%-22.99% Variable
Credit Score
Good to Excellent
Editor's Rating
Featured Reward
80,000 points
Chevron iconIt indicates an expandable section or menu, or sometimes previous / next navigation options.
  • Details
  • Pros & Cons
  • Earn 80,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $1,000 toward travel when you redeem through Chase Ultimate Rewards®.
  • 2X points on travel and dining at restaurants worldwide, eligible delivery services, takeout and dining out & 1 point per dollar spent on all other purchases.
  • Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards. For example, 80,000 points are worth $1,000 toward travel.
  • Get unlimited deliveries with a $0 delivery fee and reduced service fees on orders over $12 for a minimum of one year on qualifying food purchases with DashPass, DoorDash's subscription service. Activate by 12/31/21.
  • Earn 5X points on Lyft rides through March 2022. That's 3X points in addition to the 2X points you already earn on travel.
Pros
  • High sign-up bonus starts you off with lots of points
  • Strong travel coverage
Cons
  • Doesn't offer a Global Entry/TSA PreCheck application fee credit or any other statement credit benefits
Read Our Review Read Our ReviewA looong arrow, pointing right

It could be worth having both cards

There are compelling reasons why you might want to hold on to your Chase Sapphire Preferred® Card. One reason is that having a premium Chase card like the Chase Sapphire Preferred® Card, Chase Sapphire Reserve®, or Ink Business Preferred® Credit Card is valuable because it unlocks the ability to transfer your points to hotel and airline travel partners.

Without a premium Chase card, you can only redeem your Ultimate Rewards points for statement credits or travel at a rate of 1 cent per point. Having a premium Chase card not only unlocks the ability to transfer to travel partners but also lets you redeem through the travel portal for 1.25 or 1.50 cents per point, depending on which card you have.

If you do have another premium Chase card, you might take a look at what the Freedom Flex card offers and see if it could help you earn even more points on every purchase you make.

Disclosure: This post is brought to you by the Personal Finance Insider team. We occasionally highlight financial products and services that can help you make smarter decisions with your money. We do not give investment advice or encourage you to adopt a certain investment strategy. If you take action based on one of our recommendations, we get a small share of the revenue from our commerce partners. This does not influence whether we feature a financial product or service. We operate independently from our advertising sales team.

Business Insider may receive a commission from The Points Guy Affiliate Network, but our reporting and recommendations are always independent and objective.

Please note: While the offers mentioned above are accurate at the time of publication, they're subject to change at any time and may have changed, or may no longer be available.

Disclosure: This post is brought to you by the Personal Finance Insider team. We occasionally highlight financial products and services that can help you make smarter decisions with your money. We do not give investment advice or encourage you to adopt a certain investment strategy. What you decide to do with your money is up to you. If you take action based on one of our recommendations, we get a small share of the revenue from our commerce partners. This does not influence whether we feature a financial product or service. We operate independently from our advertising sales team.

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