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SmartSpender

Why the Chase Sapphire Preferred Card is Our Top Credit Card Choice Despite the Annual Fee

Updated: Jul 9



Using a Chase Sapphire Preferred credit card is a smart financial decision as long as you can pay off the full balance each month. When you don't have to worry about credit card interest charges, you can take full advantage of the card's many benefits, including its rewards program, travel protections, and flexible redemption options.


The credit card gives you 2x points for travel and 3x points for dining, some online grocery shopping, and streaming services. This doesn't include hotels and car rentals where you'll get 5x points if you go through Chase Travel and 5x points for Peloton purchases. Lyft is also at 5x points through March 2025. DoorDash DashPass is free for a year too! For other all other purchases you will still get 1x points.


Even better, if you are new to signing up with them, you'll get 60,000 points when you spend $4000 in the first 3 months of opening your account. You can also get this bonus if you have not signed up for any Chase Sapphire card in the past 4 years. This is great if you are big on travel and dining out or getting some DoorDash since you will rack up points that much faster. If you are traveling abroad, there are no foreign transaction fees and they have comprehensive travel insurance to help give you piece of mind. In addition, the Chase Sapphire card gives you up to a $50 statement credit every account anniversary when you buy your hotel stays through Chase Travel. Likewise, you can redeem your points for 25% more value through Chase Travel (i.e. 60,000 points would be worth $750 for travel).


Their extended warranty protection and purchase protection are both good for extending the life of your products and helping to protect you in the event that something goes wrong with them.


A very cool benefit of this card is that on each account anniversary, you'll get the equivalent in points back of 10% of things you bought that year (i.e. if you spent $25,000 you would get 2500 bonus points. If you like to redeem your points for gift cards, they usually have a handful listed at discounted points each month.  By making full monthly payments, you can easily justify the annual fee of $95 and maximize the value of your card by preventing expensive interest rates from reducing the rewards and benefits you can get.

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