Sapphire Reserve vs Preferred: Which Card Wins?
Choosing the right travel rewards credit card can feel overwhelming. With so many options, how do you decide which one best fits your lifestyle and spending habits? Two popular contenders often top the list: the Chase Sapphire Reserve® and the Chase Sapphire Preferred®.
Both cards offer valuable benefits, but they cater to different types of travelers. The Sapphire Reserve® boasts premium perks and a higher annual fee, while the Sapphire Preferred® provides a more accessible entry point into the world of travel rewards. This comparison will break down the key features of each card.
We’ll delve into the rewards programs, annual fees, travel benefits, and other perks to help you determine whether the Chase Sapphire Reserve® or the Chase Sapphire Preferred® is the perfect fit for your wallet. Get ready to explore the exciting world of travel rewards and unlock your next adventure.
Specs at a Glance
| Feature | Sapphire Reserve | Preferred |
|---|---|---|
| Annual Fee | Sapphire Reserve | Preferred |
| Rewards on Travel & Dining | Sapphire Reserve | Preferred |
| Rewards on Other Purchases | Sapphire Reserve | Preferred |
| Travel Credit | Sapphire Reserve | |
| Application of Points | Sapphire Reserve | Preferred |
| Foreign Transaction Fees | Sapphire Reserve | Preferred |
| TSA PreCheck/Global Entry Credit | Sapphire Reserve | |
| Luxury Hotel & Resort Collection | Sapphire Reserve | |
| Primary Car Rental Insurance | Sapphire Reserve | |
| Card Design | Sapphire Reserve | Preferred |
| Introductory APR | Preferred | |
| Transfer of points to travel partners | Sapphire Reserve | Preferred |
Feature-by-Feature Breakdown
Annual Fee
- Sapphire Reserve: $550 annual fee. This high fee comes with significant perks to offset the cost. It’s a premium card for those who travel frequently and can utilize the benefits.
- Preferred: $95 annual fee. This is a more affordable option, making it accessible to a wider range of cardholders. It still offers valuable rewards and travel benefits, but at a lower cost.
- Winner: preferred
Rewards on Travel & Dining
- Sapphire Reserve: Earns 3x points on travel and dining, offering a high earning rate in these popular spending categories. This is a major advantage for frequent travelers and diners.
- Preferred: Earns 2x points on travel and dining, which is still a competitive rate. A solid choice for those who value rewards on these categories.
- Winner: sapphire reserve
Other Rewards Categories
- Sapphire Reserve: Rewards are generally focused on travel and dining.
- Preferred: Rewards are generally focused on travel and dining.
- Winner: Tie
Travel Credits/Benefits
- Sapphire Reserve: Offers a $300 annual travel credit, which automatically reimburses travel purchases. Also includes access to airport lounges and other travel perks.
- Preferred: No travel credit, but still offers travel protections and benefits like trip cancellation/interruption insurance.
- Winner: sapphire reserve
Point Value for Travel Redemption
- Sapphire Reserve: Points are worth 50% more when redeemed for travel through Chase Ultimate Rewards, providing enhanced value.
- Preferred: Points are worth 25% more when redeemed for travel through Chase Ultimate Rewards.
- Winner: sapphire reserve
Sign-Up Bonus
- Sapphire Reserve: Typically offers a higher sign-up bonus, providing a significant initial points boost. This can be a substantial value.
- Preferred: Offers a smaller sign-up bonus than the Reserve.
- Winner: sapphire reserve
Additional Perks
- Sapphire Reserve: Includes benefits like Global Entry/TSA PreCheck credit, and access to a Priority Pass Select lounge membership.
- Preferred: Offers purchase protection, extended warranty, and other benefits, but fewer high-end perks.
- Winner: sapphire reserve
Eligibility Requirements
- Sapphire Reserve: Requires excellent credit to qualify, making it more exclusive.
- Preferred: Requires good to excellent credit, making it accessible to a slightly broader range of applicants.
- Winner: preferred
Winner by Category
| Category | Winner |
|---|---|
| Rewards on Travel & Dining | Sapphire Reserve |
| Annual Fee | Preferred |
| Travel Benefits | Sapphire Reserve |
| Rewards on Other Purchases | Preferred |
| Overall Value | Depends on spending habits and preferences |
What They Have in Common
- Earning Rewards: Both cards allow you to earn rewards points on every purchase, providing value for your spending.
- No Foreign Transaction Fees: Both cards do not charge foreign transaction fees, making them suitable for international travel.
- Mobile App Access: Both cards provide access to the same mobile app for account management and tracking spending.
- Fraud Protection: Both cards offer fraud protection, providing peace of mind against unauthorized charges.
- Contactless Payments: Both cards support contactless payments, allowing for quick and secure transactions at participating merchants.
Sapphire Reserve Vs Preferred Buying Guide
Understanding Annual Fees
The annual fee is a crucial factor when choosing between the Sapphire Reserve and the Sapphire Preferred. The Reserve carries a much higher annual fee, justified by its premium benefits. Consider if the perks, like the travel credit and lounge access, outweigh the cost for your spending habits. The Preferred has a significantly lower annual fee, making it more accessible for those who don’t spend as much on travel or dining. Evaluate your spending patterns to determine which fee structure aligns with your financial goals.
Earning Rewards
Both cards offer rewards, but the Sapphire Reserve provides a superior earning structure. It excels in travel and dining categories, offering significantly more points per dollar spent. The Preferred provides a solid rewards rate in similar categories. Think about where you spend most of your money. If you frequently dine out or travel, the Reserve’s bonus categories can lead to a quicker accumulation of rewards. If your spending is more diverse, the Preferred could still offer good value.
Redemption Options
The Sapphire Reserve and Preferred cards have flexible redemption options. Both allow you to redeem points for travel through Chase Ultimate Rewards at a favorable rate. The Reserve provides a slightly better redemption value for travel. Both cards also offer options for cash back, gift cards, and merchandise. Consider how you intend to use your rewards. If travel is a priority, the higher redemption value of the Reserve will be beneficial. If you prefer cash back, the difference is less significant.
Travel Benefits
The Sapphire Reserve provides extensive travel benefits, including a travel credit, airport lounge access, and trip interruption/cancellation insurance. These benefits can significantly enhance your travel experience and provide financial protection. The Sapphire Preferred offers travel insurance, but with fewer perks. Analyze how often you travel and what kind of protection you need. The Reserve’s premium travel benefits can justify its higher annual fee if you travel frequently.
Additional Perks and Benefits
Beyond travel, both cards offer various additional perks. The Sapphire Reserve offers credits for services like Global Entry or TSA PreCheck. Both cards have purchase protection and extended warranty. The Reserve provides a higher level of purchase protection. Evaluate which perks resonate with your lifestyle and spending habits. Consider the value you place on these extra benefits when making your decision.
Who Should Get Which Card
The choice between the Sapphire Reserve and Preferred depends on your spending habits and financial goals. The Sapphire Reserve is ideal for frequent travelers who spend significantly on travel and dining, and who value premium perks and benefits. The Preferred is better suited for those who travel less often, have lower spending, and prefer a lower annual fee. Assess your spending patterns, desired benefits, and financial comfort level to determine the best fit.
Who Should Buy What?
Buy sapphire reserve If…
- You travel frequently and want to maximize rewards on travel and dining.
- You value premium travel benefits like airport lounge access and travel credits.
- You are willing to pay a higher annual fee for enhanced benefits.
- You want access to travel partners for point transfers.
Buy preferred If…
- You want to earn rewards on travel and dining, but at a lower annual fee.
- You want to avoid foreign transaction fees.
- You prefer a card with a lower annual fee and still want strong rewards.
- You want to transfer points to travel partners.
Frequently Asked Questions
What is the annual fee for each card?
The Sapphire Reserve has a significantly higher annual fee compared to the Sapphire Preferred. This fee covers the cost of various premium benefits, such as a travel credit, airport lounge access, and higher rewards rates. The Preferred has a much lower annual fee, making it more accessible for a wider range of cardholders. Consider whether the benefits justify the cost.
How do I redeem points?
Both cards allow you to redeem points for travel through the Chase Ultimate Rewards portal, which often provides the best value. You can also redeem points for cash back, gift cards, merchandise, and other options. The redemption value for travel is slightly higher with the Sapphire Reserve. Compare the redemption options to find the best way to utilize your rewards.
What are the travel benefits?
The Sapphire Reserve offers a travel credit, airport lounge access, trip interruption/cancellation insurance, and other travel-related perks. The Sapphire Preferred provides travel insurance, but with fewer benefits. These benefits can enhance your travel experience and provide financial protection. The Reserve’s benefits are geared towards frequent travelers.
What are the main differences in rewards earning?
The Sapphire Reserve typically offers more points per dollar spent on travel and dining compared to the Sapphire Preferred. The Preferred still offers a very good rate in these categories, but the Reserve provides a higher earning potential in these spending areas. Consider your spending patterns when evaluating the rewards structure.
Which card offers better purchase protection?
Both cards offer purchase protection, but the Sapphire Reserve provides a higher level of protection. This includes coverage for damage or theft within a certain period after your purchase. The Sapphire Preferred provides a good level of purchase protection, but the Reserve offers more comprehensive coverage. Review the terms of each card to determine the specific coverage limits.
Can I transfer points to airline and hotel partners?
Yes, both cards allow you to transfer your points to various airline and hotel partners. This can provide excellent value by leveraging the loyalty programs of these partners. The transfer ratio is generally 1:1, allowing you to maximize your rewards. Check the current list of partners and their transfer rates to see where you can get the best value.
Which card is better for international travel?
Both the Sapphire Reserve and Preferred cards do not charge foreign transaction fees, making them suitable for international travel. This means you won’t incur additional charges when making purchases abroad. However, the Sapphire Reserve’s travel benefits, such as travel insurance and lounge access, can further enhance your international travel experience.
Final Verdict
The Sapphire Reserve is best for frequent travelers who spend heavily on travel and dining and can justify the higher annual fee for premium benefits. The Sapphire Preferred is a better option for those seeking a lower annual fee and still want strong rewards on travel and dining with good travel benefits.
Winner: Sapphire Reserve