There are many things to consider when looking for a new credit card. A credit card not only helps you build your creditworthiness, it also gives you buying power that comes at a price. Most of us are looking for the best possible deal to get a loan for the lowest possible price. There is a whole range of credit cards with great promotional offers that are not only worth the cost of the loan but also offer rewards well in excess of the fees and APR. Chase offers two amazing credit cards that we think are worth the money. Chase Sapphire Reserve vs Preferred cards are two great cards for certain lifestyles. Here’s our comparison that might help you find one more favorable than the other.
Which is the best?
It depends on how you define the best and what you want to get from your credit card. Our Chase Sapphire Reserve vs Chase Sapphire Preferred comparison takes into account several factors that may apply to your lifestyle. First, let’s take a look at how they stack up in terms of introductory bids. We also detail and compare the APRC, fees and all costs associated with the use of each card. We are also reviewing their rewards programs. To answer the question of which card is the best, all you need to do is choose the card that suits your credit card needs, the type of reward that makes sense and which applies to you, and the card. Which offers the greatest benefits for you. , with the slightest inconvenience. For example, a card that gives you travel benefits and you never travel not even a good choice for you. The Reserve Card is intended for people who travel, dine out and stay in frequent hotels, while the Preferred Card offers other non-travel benefits.
Initial bonus programs
Most credit cards give you a sign up bonus if you meet certain conditions. Reservists and the privileged are no exception, but their agendas are different. The introductory Chase Sapphire Reserve Bonus Program offers the opportunity to earn 50,000 Bonus Points if you spend a minimum of $ 4 with your card within three months of opening your account. While this is a great opportunity to earn savings points, the Chase Sapphire Preferred Card gives you the same deal. Only Bonus Points you can earn by spending $ 000 4 in the first three months are 000 60. You can redeem them for $ 000 if you use them for qualifying travel expenses or take the refund option. If you do, the reserve points will only be worth $ 750, while the cashback value of the Sapphire Preferred Bounty is $ 500.
Verdict:
If you choose to use the cashback option when redeeming points for introductory offer, your preferred card wins. If you’d rather have $ 750 to claim the trip, that’s a draw .
Compare fees
Both cards charge an annual fee. Chase Sapphire Preferred costs $ 95 per year and the Chase Sapphire reserve fee is $ 450 per year. The Reserve is considered a luxury credit card and while the fees may seem very high at first glance, it turns out that the Reserve Card is truly an amazing offer for frequent travelers as the rewards outweigh the costs. The kicker here is that you have to spend enough traveling with the card to make it really worth it .
Verdict:
The Chase Sapphire Preferred card is over 4 times more expensive than the Preferred card. If you are looking for a card that aims to make substantial savings on frequently used items such as travel, hotels and restaurants, the Chase Sapphire Reserve Card with a higher annual fee is the best. If you don’t travel a lot, the Chase Sapphire Preferred Card will be your best choice as you need to travel frequently to enjoy the benefits of a reserve card.
Purchase protection and travel insurance
Another factor we consider is the benefits that come with the cardsuch as travel insurance and purchase protection. Many cardholders don’t think about these benefits unless they need them, and when the time comes you need a card to help you when you arrive. The Sapphire Reserve card has been found to provide protection with fewer restrictions on free roadside assistance, car rental insurance, travel accident insurance, travel cancellation insurance and protection purchases. For example, the preferential card pays life loss compensation from the regular carrier of up to $ 500,000, while the backup card pays $ 500 million. Regarding purchase protection, the senior pays up to $ 50 per claim and up to $ 10,000 per account, while the reserve card pays up to $ 00050 per claim and up to $ 000 per year. as long as your account is in good standing condition. This is a significant difference and could make a difference if problems arise.
Verdict:
Considering the level of shopping protection and travel services, Chase Sapphire Reserve is the best choice. The preferred version of the card, however, offers reduced perks which are still good, but the benefits of the reserve are excellent.
Additional features of Chase Sapphire Reserve
The Chase Sapphire Reserve credit card has all the benefits of Chase Sapphire Preferred as well as some extras that some cardholders would greatly benefit from. One is an annual travel credit of $ 300. This is a huge plus for frequent travelers. It offsets $ 300 out of the $ 450 annual fee charged for the card, which brings it down to $ 150, but that’s not all. It also provides some handy features that are worth $ 150 a year, just $ 55 more than Preferred. A reserve card gives you 3 times the points earned for meals and travel, while the Preferred card only gives you twice as many points for this type of expenditure. A reserve card also provides elite benefits at some car rental companies, shorter travel delay insurance periods and the Priority Pass network enabling access to some airport lounges. Additionally, when you redeem points for travel purchases through Chase, you will receive a 50% bonus instead of the 30% offered by your preferred card.
Balance transfer and APR for purchases
Another point to consider is the cost of each card to transfer your balance and / or account balance from purchases. The Preferred Card has a variable annual interest rate from 18.24% to 25.24% for balance transfers and purchases. The reserve card also has a variable interest rate and ranges from 19.24% to 26.24%. As for the total APRC, the preferred card has the lowest rates compared to the reserve. These numbers depend on the individual’s creditworthiness and base rate.
When it comes to balance transfer and the annual percentage of ranks of Chase Sapphire’s reserve and preferred cards, they are quite close, but the Preferred card is on average one percentage point lower than the reserve card. We need to announce the preferred card is the winner through the nose in this valuation factor.
Advantages and disadvantages of each card
As with any credit card, there are pros and cons. Reserves and Favored People have their pros and cons, and before deciding which option is best for you, it’s important to think about how the benefits of these cards may or may not apply to your lifestyle.
- Advantages of your preferred card – With the Chase Sapphire Preferred Card, you get 2 points for every dollar spent with your card at restaurants and for travel, and 1 point for every dollar spent with your card on other qualifying purchases, with a 60 points sign-up bonus when you spend $ 000 in the first 4,000 months after opening an account. The annual fee is less than $ 3 and the option to receive a $ 95 travel discount when using bonus points or $ 750 cashback. Even if you are not a frequent traveler, the travel and meal rewards are good and the mugs can be exchanged in many ways. Adding an authorized user to your account is free.
- Disadvantages of a Favorite Card – The disadvantages of a preferential card compared to a reserve card are that the reward rates are lower when shopping, no lounge access and insurance are less favorable than a reserve card.
- Who would benefit most from the privilege over the reserve? – The Chase Sapphire Preferred Card is the best choice for those who travel, stay in hotels, or eat out as although the rewards are not that high for the Preferred Card, they are still good with an annual fee of $ 95. $ 450.
Advantages of a reserve card
The Chase Sapphire Reserve Card offers the same end result as part of the Initial Check-in Bonus Program with a travel discount of $ 750. Travel and shopping insurance provides much better protection, and point rewards are higher for travel and restaurant purchases – 3 points for every dollar spent with the card. There is also an annual travel credit of $ 300, which helps reduce the annual fee by $ 450.
- Reserve Card Cons – The biggest drawback with a reserve card is the annual fee of $ 450. If you participate in the rewards program and travel frequently, this card may be worth the fee, but if you are not spending enough to qualify for bonus credits, the preferred version of Chase Sapphire credit card is for you. best for your needs.
Determine which card is the best choice
After considering the specifics of each of these two credit cards, along with the pros and cons, it becomes easier to decide which one is really better. Chase Sapphire Reserve and Preferred credit cards are amazing resources to earn bonus points if you travel regularly, but are designed to meet a wide variety of needs. The reserve card is truly the best card for those who travel frequently and can enjoy the perks and benefits it provides to those who spend a lot of money on travel and related expenses.
final thoughts
Chase Sapphire credit cards are available in two reward options. While a backup card requires a much higher annual fee, the serious traveler enjoys many perks and benefits that make it a good choice. If you’re an occasional traveler but don’t spend a lot of money traveling or eating out, a back-up card may not be the best option for you. The Preferred Card is designed more for occasional travelers and surpasses the optional cash back reserve. It still offers great travel, meal and standard 1: 1 rewards on all other purchases. Choice is good, and Chase Sapphire credit cards have a lot to offer for frequent and occasional travelers alike.