I receive compensation for content and many links on this blog. Citibank is an advertising partner of this site, as is American Express, Chase, Barclays and Capital One. Any opinions expressed in this post are my own, and have not been reviewed, approved, or endorsed by my advertising partners. I do not write about all credit cards that are available -- instead focusing on miles, points, and cash back (and currencies that can be converted into the same). Terms apply to the offers and benefits listed on this page.
Last week Chase announced the biggest-ever public offer for the Chase Sapphire Preferred® Card: 80,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening.
This is the indisputable best credit card initial bonus offer available right now. Period.
The card’s previous offer of 60,000 points was the best public offer ever for the card. They’ve increased it by one third – 20,000 more points – and haven’t even increased the spending requirement. This is huge for the $95 annual fee card.
- Earning: Double points on travel and dining at restaurants; 5X points on Lyft rides through March 2022.
- Transfer points to airlines and hotels: points transfer to United, Hyatt, Southwest, British Airways, Virgin Atlantic, Singapore Airlines, Air France KLM, JetBlue, Aer Lingus, Iberia, Emirates, Marriott, IHG Rewards Club.
- Or use them for statement credits: The new Pay Yourself Back tool lets you redeem points at 1.25 cents apiece in value against eligible card charges (currently, grocery, dining, and home improvement).
- Food delivery benefit: 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 DoorDash’s DashPass (activate by December 31, 2021).
- Also right now: Earn triple points on Instacart, plus $50 in statement credits towards yearly or monthly Instacart Express membership; triple points on gas; and 5 points per dollar on some streaming services.
But let’s ignore for a moment the card’s ongoing benefits. Let’s just look at the bonus.
- Minimum value: if you use it to pay for travel through Chase’s portal, or use it for statement credits as part of the ‘Pay Yourself Back’ program you’ll get 1.25 cents apiece in value, so the initial bonus offer is worth $1000.
- Maximize value: I value Chase points at 1.8 cents apiece, making the bonus ‘worth’ $1440. That’s because of the tremendous flexibility in transferring points to airline and hotel loyalty programs, and redeeming the points for premium rewards where you might get far more value.
There are 100,000 point offers for some cards, but the two things to keep in mind are:
- Chase points are more valuable than most points because of their flexibility, you can transfer them to a wide variety of different places.
- The spending requirement to earn the bonus is relatively low.
An initial bonus worth $1440 represents a 36% rebate on $4000 spend which is almost unheard of. The bonus is big, it’s paid in the form of a valuable currency, and the requirements to earn the bonus are reasonable.
If you think there’s any better initial bonus offer out there then, please, make the case in the comments – because I’m not seeing it.