Chase Sapphire Reserve vs Preferred: Which Card Wins?
Dreaming of travel rewards and premium perks? You’re not alone. Choosing the right travel credit card can unlock a world of benefits, from luxurious airport lounges to valuable points redemption. But with so many options, where do you even begin?
This comparison dives deep into two of the most popular travel cards on the market: the Chase Sapphire Reserve and the Chase Sapphire Preferred. We’ll break down the key differences, helping you decide which card aligns best with your spending habits and travel goals. Get ready to explore the exciting world of travel rewards!
We’ll analyze everything from annual fees and earning rates to redemption options and additional perks. Whether you’re a seasoned traveler or just starting to explore the world of credit card rewards, understanding the nuances of the Chase Sapphire Reserve vs Preferred is essential for making an informed decision.
Specs at a Glance:
| Feature | CSR | CSP |
|---|---|---|
| Annual Fee | $550 | $95 |
| Welcome Bonus | Higher Value | Competitive Value |
| Rewards on Travel | 3x points | 2x points |
| Rewards on Dining | 3x points | 3x points |
| Rewards on Other Purchases | 1x point | 1x point |
| Travel Credit | $300 Annual Travel Credit | None |
| Point Value for Travel | 1.5x through Chase Ultimate Rewards | 1.25x through Chase Ultimate Rewards |
| Global Entry/TSA PreCheck Credit | Yes | No |
| Primary Car Rental Insurance | Yes | Yes |
| Purchase Protection | Yes | Yes |
| Extended Warranty Protection | Yes | Yes |
| Foreign Transaction Fees | None | None |
Feature-by-Feature Breakdown
Annual Fee
- Chase Sapphire Reserve: $550 annual fee. This high fee provides access to premium travel perks and credits, but can be a barrier to entry for some. It’s best for frequent travelers who can utilize the benefits to offset the cost.
- Preferred: $95 annual fee. A more affordable option, offering a good balance of rewards and benefits without the high upfront cost. Suitable for those who travel less frequently or want a card with lower annual commitment.
- Winner: Preferred
Rewards on Travel & Dining
- Chase Sapphire Reserve: Earns 5x points on travel purchased through Chase Ultimate Rewards, 3x points on other travel and dining. Higher rewards earning potential on key spending categories, maximizing points accumulation.
- Preferred: Earns 5x points on travel purchased through Chase Ultimate Rewards, 3x points on dining and select streaming services. Excellent rewards on dining, but slightly lower on non-Chase travel.
- Winner: Reserve
Travel Benefits
- Chase Sapphire Reserve: Includes a $300 annual travel credit, Priority Pass Select airport lounge access, and various travel insurance coverages. Offers comprehensive travel protections and convenience.
- Preferred: Offers travel insurance benefits like trip cancellation/interruption and baggage delay, but lacks the travel credit and lounge access. Provides basic travel protections, but fewer premium perks.
- Winner: Reserve
Redemption Value
- Chase Sapphire Reserve: Points are worth 50% more when redeemed for travel through Chase Ultimate Rewards, and can be transferred to airline and hotel partners. Offers the highest redemption value.
- Preferred: Points are worth 25% more when redeemed for travel through Chase Ultimate Rewards, and can be transferred to airline and hotel partners. Good value, but lower than the Reserve.
- Winner: Reserve
Sign-Up Bonus
- Chase Sapphire Reserve: Typically offers a higher sign-up bonus, providing a significant initial points boost. Requires higher spending to achieve the bonus.
- Preferred: Offers a lower sign-up bonus, but often requires less spending to qualify. Easier to attain the bonus for some.
- Winner: It depends (Reserve often offers a higher value, Preferred is easier to achieve)
Other Perks
- Chase Sapphire Reserve: Includes Global Entry/TSA PreCheck credit, Lyft Pink membership, and DoorDash benefits. Provides valuable lifestyle perks.
- Preferred: Offers DoorDash benefits and access to select perks. Fewer extra benefits than the Reserve.
- Winner: Reserve
Authorized User Fees
- Chase Sapphire Reserve: No additional fee for adding authorized users. Enables sharing of card benefits.
- Preferred: No additional fee for adding authorized users.
- Winner: Tie
Foreign Transaction Fees
- Chase Sapphire Reserve: No foreign transaction fees. Ideal for international travel.
- Preferred: No foreign transaction fees. Also ideal for international travel.
- Winner: Tie
Winner by Category:
| Category | Winner |
|---|---|
| Annual Fee | Preferred |
| Welcome Bonus | Reserve |
| Rewards on Travel | Reserve |
| Rewards on Dining | Tie |
| Travel Benefits | Reserve |
| Point Value for Travel | Reserve |
| Overall Value | Depends on Spending Habits |
What They Have in Common:
- No Foreign Transaction Fees: Both cards do not charge foreign transaction fees, making them ideal for international travel.
- Ultimate Rewards: Both cards earn Chase Ultimate Rewards points, which can be redeemed for travel, cash back, gift cards, and more.
- Purchase Protection: Both cards offer purchase protection, covering eligible purchases against damage or theft.
- Extended Warranty Protection: Both cards provide extended warranty coverage on eligible purchases.
- Access to Chase Ultimate Rewards Portal: Cardholders of both cards can access the Chase Ultimate Rewards portal to book travel and redeem points.
Chase Sapphire Reserve Vs Preferred Buying Guide
Earning Rewards
Both the Chase Sapphire Reserve and the Preferred cards offer excellent rewards programs, but they differ significantly. The Reserve card earns a higher rate on travel and dining purchases, offering 3 points per dollar spent, compared to the Preferred’s 2 points. The Preferred card provides 1 point per dollar on all other purchases, whereas Reserve offers 1 point on all other purchases. Consider your spending habits; if you travel and dine frequently, the Reserve card’s higher multipliers will likely benefit you more. Consider the annual fee and how often you travel to decide which is best.
Redemption Options
Both cards allow you to redeem points for travel through the Chase Ultimate Rewards portal at a value of 1.5 cents per point for the Reserve and 1.25 cents per point for the Preferred. This is a significant advantage over redeeming for cash back, where the value is typically lower. Transferring points to airline and hotel partners is another valuable option, allowing you to potentially get even more value. Evaluate the partners and your travel preferences when choosing between the two cards.
Travel Benefits
The Chase Sapphire Reserve card includes a more comprehensive suite of travel benefits. This includes a $300 annual travel credit, which automatically reimburses travel-related purchases, making the effective annual fee lower. The Reserve card also offers Priority Pass Select airport lounge access, primary rental car insurance, and other travel protections. The Preferred card lacks many of these perks, but still provides benefits such as trip cancellation/interruption insurance and secondary rental car coverage. Decide if the additional travel benefits justify the higher annual fee.
Annual Fees & Costs
The annual fee is a significant differentiator. The Chase Sapphire Reserve has a much higher annual fee compared to the Chase Sapphire Preferred. However, the Reserve card’s $300 annual travel credit can offset a large portion of this fee. Consider the value you’ll derive from the card’s benefits, such as the travel credit, lounge access, and other perks, to determine if the higher fee is worthwhile. The Preferred card is a more affordable option, making it accessible for those who don’t travel as often.
Eligibility & Approval
Approval for both cards depends on your creditworthiness and other factors. Generally, the Chase Sapphire Reserve card requires a higher credit score than the Preferred card. Chase also has a “5/24 rule,” which means you won’t be approved if you’ve opened five or more credit cards (from any bank) in the past 24 months. Check your credit score and review the application requirements. Check your overall credit profile before applying to give yourself the best chance of approval for the card you desire.
Overall Value Proposition
The Chase Sapphire Reserve card provides a more premium experience with its higher rewards rates, extensive travel benefits, and valuable redemption options. The Chase Sapphire Preferred card offers a more budget-friendly option with still strong rewards and travel benefits, making it an excellent choice for those new to travel rewards or who don’t spend as much on travel. Consider your spending habits, travel frequency, and desired benefits when assessing the overall value proposition of each card. Both are great options.
Who Should Buy What?
Buy Chase Sapphire Reserve If…
- You travel frequently and can take advantage of the $300 annual travel credit.
- You want premium travel benefits, such as airport lounge access and Global Entry/TSA PreCheck credit.
- You are willing to pay a higher annual fee for enhanced rewards and benefits.
- You want the highest point value when redeeming for travel.
Buy Preferred If…
- You want a card with a lower annual fee.
- You spend a significant amount on dining and travel.
- You want a card that offers valuable rewards without a high annual fee.
- You are looking for a good starting card with travel rewards.
Frequently Asked Questions
What is the difference in annual fees?
The Chase Sapphire Reserve has a significantly higher annual fee than the Chase Sapphire Preferred. The Reserve’s annual fee is much higher. However, the Reserve card offers a $300 annual travel credit to help offset the cost. The Preferred card has a much lower annual fee, making it more accessible for some cardholders. Consider the benefits and how much you will use them.
How do I redeem points?
Both cards allow you to redeem points for travel through the Chase Ultimate Rewards portal, with the Reserve card offering a higher redemption value. You can also transfer points to airline and hotel partners for potentially greater value. You can also redeem points for cash back, statement credits, gift cards, and other options. However, these options often provide a lower value than travel redemptions.
Which card offers better travel insurance?
The Chase Sapphire Reserve offers more comprehensive travel insurance, including primary rental car insurance, trip cancellation/interruption insurance, and baggage delay insurance. The Chase Sapphire Preferred also provides travel insurance, but it is less extensive, with secondary rental car insurance. Consider your travel needs and the level of protection you require when choosing a card.
What are the rewards rates for each card?
The Chase Sapphire Reserve earns 3 points per dollar on travel and dining, and 1 point on all other purchases. The Chase Sapphire Preferred earns 2 points per dollar on travel and dining, and 1 point on all other purchases. Consider your spending habits. If you spend more on travel and dining, the Reserve card may be more beneficial due to its higher earning rate.
Does the Reserve card have airport lounge access?
Yes, the Chase Sapphire Reserve card provides complimentary access to airport lounges through Priority Pass Select. This benefit allows you and authorized users access to a network of lounges worldwide, offering a comfortable space to relax before flights. The Preferred card does not offer airport lounge access. Consider if airport lounge access is important to you.
What is the Chase “5/24 rule”?
Chase’s “5/24 rule” states that you won’t be approved for a new Chase credit card if you’ve opened five or more credit cards (from any bank) in the past 24 months. This rule applies to both the Reserve and Preferred cards. Keep this rule in mind when applying for these cards. The rule also applies to authorized users.
Which card is better for beginners?
The Chase Sapphire Preferred is often considered a better option for beginners due to its lower annual fee and easier approval requirements. It offers a strong rewards program and travel benefits without the higher costs and more stringent requirements of the Reserve card. It is a good way to start building your credit and travel rewards profile.
Final Verdict
The Chase Sapphire Reserve card excels with its higher rewards rates, comprehensive travel benefits, and valuable redemption options. However, the Chase Sapphire Preferred offers a more accessible, budget-friendly option with solid rewards and travel perks. The best choice depends on your spending habits, travel frequency, and desired benefits.
Winner: Chase Sapphire Reserve