Credit Card Reviews

Verizon just launched the Verizon Visa Card. With rewards of up to 4% and no annual fee, it appears at first glance to be an excellent cash back credit card. Digging into the fine print, however, reveals something else, as we explain in this Verizon Visa Card review.

Today we are reviewing the Verizon Visa card. I just learned about this in an email from Verizon. We have our cell phones through Verizon. We also have Verizon FIOS. So I get their marketing emails, and I got an email this morning about the Verizon Visa card. And it initially had some appeal with some of the rewards it was offering.

First we’ll look at the rewards. Then we’ll see if the card is worth carrying in your wallet.

Verizon Visa Card Rewards

The card offers a tiered rewards structure:

• 4% rewards on groceries and gas purchases
• 3% on restaurants including takeout
• 2% on Verizon purchases
• 1% on all other purchases

My initial reaction was that’s actually not not too bad. As I dug into the details though, I’ve become less enamored with this card. I want to explain why. First let’s take a closer look at the rewards.

4% on Gas

Earning 4% rewards on gas purchases is very competitive. It compares favorably with the Costco Visa credit card, which also pays 4% on gas. The downside to the Costco card is you have to wait an entire year to get your rewards. They only issue them once a year around February.

The downside in my view is it for most people, we don’t spend a ton of money on gas. Unless you drive a lot, it’s 4% on a relatively small amount of money. For example, if you spend $100 a month you’ll earn $4 a month in rewards (not cash, by the way, but Verizon Dollars. We’ll come back to that in a minute). Still 4% on gas is quite good.

4% on Groceries

The 4% on groceries is also quite good, but not the best. In fact, there are at least two credit cards that offer high rewards on groceries.

First up is the Blue Cash Preferred card from American Express. Blue Cash Preferred pays 6% cash back on groceries, but there is a annual fee on that card and the 6% is capped to $6,000 spending a year.

Second, and the card we use a lot, is the Amazon Prime Visa. It pays 5% cash back at Whole Foods and doesn’t charge an annual fee. Of course, not everyone shops at Whole Foods. In our case, there happens to be one right down the street. And there’s spending cap on the rewards.

The bottom line is that for most people, you’re probably better off with the Blue Cash Preferred card, even factoring in the annual fee. So 4% on groceries is not bad, but it’s also note the best.

3% on Restaurants and Takeout

3% on restaurants is pretty common, actually. And for us, I would prefer the Chase Sapphire reserve card because not only do you get three x points, but then when you use them for travel through chase ultimate rewards, you get a 50% bonus. So you’re effectively getting four and a half percent.

2% on Verizon Purchases

Perhaps the best selling point of the cards is the 2% reward rate on Verizon purchases. In theory you won’t find a better deal because it’s a Verizon branded credit card. That said, you can earn 2.5% cash back from the Alliant Cashback Signature Visa. It’s a card I’ve carried for almost a year, and the cash back rewards are one of the best.

In addition, you have to ask just how much you spend at Verizon? If it’s say $100 a month, this 2% reward rate is worth just 2 Verizon Dollars a month. And that brings us to my biggest concern with this card.

Verizon Dollars

The rewards are not paid in cash or even a statement credit. They are paid in “Verizon Dollars.” What?!!

I want cash. I don’t want Verizon dollars. So what are Verizon Dollars? To answer that question, you have to dig into the FAQs on the card. First, we know they aren’t cash:

Verizon Dollars have no cash value and are issued for reward purposes only and cannot be purchased, sold, transferred, redeemed for cash or Verizon gift cards, or used for security deposits for Verizon Wireless or Verizon Fios account services.

The Verizon Visa® Credit Card and The Verizon Visa Signature® Credit Card Rewards Program Terms and Conditions

So what can you use Verizon Dollars for? According to the FAQ, they can be used on the following:

• The payment of a Verizon Wireless bill
• The payment of a Verizon Fios bill (but only online)
• The purchase of a device, including the use of Verizon Dollars toward the down payment or buyout of a device payment agreement.
• The payment of a remaining balance on a device payment agreement for a wireless device eligible for an annual upgrade.
• The purchase of an accessory

For me this rules out the card. I don’t want to earn Verizon Dollars with limited uses when I can earn equal or better rewards from other cards in cash or travel. So what are these better cards?

Compare Verizon Visa Card With Other Options

There are several cards that are a better choice than the Verizon Visa Card:

• Alliant Cashback Signature Visa–2.5% cash back on up to $10,000 a month in spending. Does come with an annual fee.
• Chase Sapphire Preferred Card–3% Chase Ultimate Rewards points on travel and restaurants redeemable for travel with a 50% bonus.
• Amazon Prime Visa Card–5% cash back at Amazon and Whole Foods. No annual fee, but requires an Amazon Prime membership.
• Blue Cash Preferred–6% cash back on groceries up to $6,000 in spend per year. Annual fee does apply.

Additional Terms, Conditions & Features

You must be a Verizon Wireless customer to get the card. Specifically, you must be an account owner or account manager with 10 phone lines or less on the account. In addition to no annual fee, there’s also no foreign transaction fees.

New Card Holder Offer: You can get up to a $100 credit applied to your Verizon wireless bill over the first 24 months. For those not interested in doing the math, it comes out to a credit of $4.17 a month for two years.

The interest rates are high, which is common with co-branded credit cards. If you plan to carry a balance from month to month, this card is not for you.

Verizon Visa Card Rating

So at the end of the day, I was pretty excited about this card. I think now it’s fair at best. You might use it if you’re a big Verizon spender and want the 2% back on Verizon purchases. But even then you have better alternatives with other cash back credit cards.

Verizon Visa Card Video

The Blue Cash Preferred® Card from American Express is known as one of the highest paying cash back cards available. It offers up to 6% cash back, a welcome bonus, and a 0% introductory APR. We’ll dig into the details in this review.

Blue Cash Preferred® Card from American Express

Learn More

• Welcome Offer: Earn $250 statement credit after you spend $1,000 on purchases in the first 3 months from account opening..
• Earn Cash Back: 6% at U.S. supermarkets up to $6,000 per year in purchases (then 1%), and 6% Cash Back on select U.S. streaming subscriptions including  Spotify, Netflix, Hulu, HBO, ShowTime, Pandora, Apple Music, Amazon Music or Video (Does not include Prime membership).
• Earn 3% at U.S. gas stations and on transit including taxis/rideshare, parking, tolls, trains, buses and more.
• 1% on all other purchases. Terms and limitations apply.
• With the Blue Cash Preferred^® Card, you can start earning cashback. No rotating reward categories. No enrollment required.
• Cashback is received in the form of Reward Dollars that can be redeemed as a statement credit. Cashback is earned only on eligible purchases.
• 0% intro APR on purchases for 12 months, then a variable rate based on your creditworthiness and other factors.
• Annual Fee: $95
• Terms Apply

American Express is perhaps best known for its travel rewards–“Don’t leave home without it.” But with the Blue Cash Preferred® Card from American Express, it also offers a top notch cash rewards card. The card has a tiered reward system ranging from one to six percent. It also has a cash bonus for new card members and a 0% introductory APR offer.

I’ve carried this card for years. While I don’t use it as much (I moved near a Whole Foods and use the Amazon Prime Visa card for groceries), it’s an excellent option for those wanting to earn cash back.

Snapshot

• Welcome Offer: Earn $250 statement credit after you spend $1,000 on purchases in the first 3 months from account opening..
• Earn Cash Back: 6% at U.S. supermarkets up to $6,000 per year in purchases (then 1%), and 6% Cash Back on select U.S. streaming subscriptions including  Spotify, Netflix, Hulu, HBO, ShowTime, Pandora, Apple Music, Amazon Music or Video (Does not include Prime membership).
• Earn 3% at U.S. gas stations and on transit including taxis/rideshare, parking, tolls, trains, buses and more.
• 1% on all other purchases. Terms and limitations apply.
• With the Blue Cash Preferred^® Card, you can start earning cashback. No rotating reward categories. No enrollment required.
• Cashback is received in the form of Reward Dollars that can be redeemed as a statement credit. Cashback is earned only on eligible purchases.
• 0% intro APR on purchases for 12 months, then a variable rate based on your creditworthiness and other factors.
• Annual Fee: $95
• Terms Apply

Cash Back Rewards Program

There are four components of the rewards program: (1) the $250 bonus; (2) 6% cash back;  (3) 3% cash back; and (4) 1% cash back.

1. $250: Spend just $1,000 on the card in the first 3 months and you’ll pocket a $250 cash bonus in the form of a statement credit.
2. 6% Cash Back: For rewards, you earn 6% cash back at U.S. supermarkets up to $6,000 per year in purchases (then 1%). You also earn 6% cash back on U.S. streaming subscriptions. This is one of the highest cash back rewards available from any card.
3. 3% Cash Back: You’ll earn 3% on transit (e.g., taxis/rideshare, parking, tolls, trains, buses and more) and at U.S gas stations.
4. 1% Cash Back: On all other purchases.

Now it’s not all good news when it comes to the Blue Cash Preferred® Card from American Express.  There is a $95 annual fee that is NOT waived for the first year. But when you take into account the welcome bonus and cash back rates in a variety of categories, big spenders will love this card long-term.

For example, if you just take advantage of the 6% cash back on $6,000 at U.S. Supermarkets, you’ll earn $360 a year. That more than makes up for the annual fee and doesn’t account for cash back earned in the other categories.

Reward Dollars

With the Blue Cash Preferred® Card from American Express, the cash back is paid in what Amex calls “reward Dollars.” Whenever I see rewards paid in anything but cold, hard cash, I start asking questions. Here, it turns out that the reward Dollars can be used as statement credits. You can’t get a check sent to you or a direct deposit into your checking account.

Generally, I don’t think that limitation matters much. Money is fungible, after all. But there are at least two potential limitations.

First, you make take advantage of the 0% offer on purchases (see below). If you do, you probably want to make the minimum payment until the 0% offer is about to expire. If you make a large purchase, you may want to receive your rewards in cash while making that minimum payment. You can’t do that with this card.

Second, you can’t use reward Dollars to satisfy your minimum payment. They get applied as a statement credit, but you must still make the minimum payment from your own funds. For many this may not be a problem. But for some it may cause you to look at other credit card offers.

0% APR Introductory Offers

The Blue Cash Preferred® Card from American Express also offers an introductory 0% APR on both purchases. The 0% APR lasts for [p_time post_id=”34857″] on purchases.

Note that the card at one point offered 0% on balance transfers. Like many cards, however, it removed this feature given the economic uncertainties brought about due to COVID-19.

Other Card Benefits

Car Rental Loss and Damage Insurance: When you use the card to reserve and pay for the entire eligible vehicle rental and decline collision damage waiver, you can be covered if the car is damaged or stolen. As always, be sure to read the fine print on this coverage.

Global Assist Hotline: You get 24/7 access to medical, legal, financial and other emergency assistance when you travel more than 100 miles from home.

Return Protection: If a seller won’t accept a return, you can return eligible purchases to American Express up to 90 days from the date of purchase. Coverage is up to $300 per item, $1,000 per calendar year per card account. Only purchases made in the U.S. or its territories are covered.

Entertainment Access: Get exclusive access to ticket presales and card member-only events.

Fraud Protection: You won’t be held responsible for fraudulent charges on the card.

Compare

Chase Freedom Unlimited

Signup Bonus
150 cash

Annual Fee: $0

Learn More

Chase Sapphire Reserve Card

Signup Bonus
50,000 points

Annual Fee: $550

Learn More

Blue Cash Everyday Card from American Express

Signup Bonus
150 cash

Annual Fee: $0

Learn More

Frequently Asked Questions

Blue Cash Preferred® Card from American Express Rating

The Chase Sapphire Reserve Card is an elite credit card that Chase created to cater to frequent travelers. I’ve carried the card since Chase first introduced it in 2016. While it’s well known for its signup bonus and earning Chase Ultimate Rewards, some of its most valuable features are not as well known. We’ll cover all of this, and even a Chase Sapphire Reserve Rewards Calculator, in this detailed review.

A word about my approach to credit cards. As regular readers know, I save and invest ALL of my credit card rewards. For Chase Ultimate Rewards, I use them to book travel through Chase, thereby taking advantage of the 50% rewards bonus offered by the Chase Sapphire Reserve Card (more on that below). When I book this “free” travel, I then take what the trip would have cost me out of my checking account and deposit it into what I call my Credit Card Financial Freedom Fund (CCFFF). As of March 2020, my CCFFF totals nearly $10,000.

I mention this because I evaluate all credit cards based on numbers and nothing else. Save the Instagram pictures of somebody sipping champaign on an 8-hour flight in first class. What you never see on Instagram is the same person a week later back in their cubicle grinding away in real life. I’d prefer the financial freedom I can enjoy investing the rewards I earn.

Chase Sapphire Reserve Card At a Glance

[card_art_no_button post_id=”35060″]

While it does come with a high annual fee ($550), the rewards that come from using this card will make up for the annual fee cost for those who travel frequently. You’ll receive a valuable signup bonus if you meet the spending requirements, earn 3x points on travel and dining purchases, and earn $300 in annual travel credit.

Pros

• Signup Bonus of [add_comma num=”signup_bonus” post_id=”35060″] points
• $300 in annual travel credit
• 3x points on worldwide travel and dining
• 50% more value when redeeming through Chase Ultimate Rewards
• No foreign transaction fees
• $100 Global Entry or $85 TSA Precheck Application Fee Statement Credit
• $120 DoorDash Credit
• $199 Lyft Membership Credit
• Complimentary Airport Lounge Access (through Priority Pass Select)
• Excellent travel and purchase protections
• Transfer points 1:1 to Chase airline and hotel travel partners

Cons

• $550 annual fee that Chase does NOT waive the first year
• Requires excellent credit
• Base rewards rate is 1%, which is not ideal for those who want to use just one credit cards.

Chase Sapphire Reserve Card Rewards

The Chase Sapphire Reserve Card reward structure centers around Chase Ultimate Reward (CUR) points. That’s the “currency” Chase uses for rewards on several of its credit cards (Chase Sapphire Reserve Card, Chase Sapphire Preferred Card and Chase Freedom, to name a few). The key is to understand that this “currency” has different values depending on how you use it.

Before we can use CUR points, however, we must earn them. That’s where the Chase Sapphire Reserve Card comes in. With the card you earn CUR points in one of three ways: the Signup Bonus, 3x rewards, and 1x rewards.

Signup Bonus Points

The Chase Sapphire Reserve Card offers [add_comma num=”signup_bonus” post_id=”35060″] CUR bonus points once you spend $[add_comma num=”signup_bonus_spend” post_id=”35060″] or more within your first 3 months after opening your account.

So how much are [add_comma num=”signup_bonus” post_id=”35060″] CUR points worth? Simply put, they are worth 1 cent each. As we’ll cover in more detail below, however, CUR points earned from the Chase Sapphire Reserve Card enjoy a 50% bonus when you redeem them for travel through Chase Ultimate Rewards. Thus, [add_comma num=”signup_bonus” post_id=”35060″] CUR points redeemed for travel through CUR are worth $750.

The 48-Month Rule

Here we need to add an important caveat. If you have any other Sapphire cards and received a bonus within the past 48 months, you will not be eligible for this offer. I call this the 48-Month Penalty Box.

Here’s some language from the Chase Sapphire Reserve Card application website: “This product is not available to either current cardmembers of any Sapphire credit card, or previous cardmembers who received a new cardmember bonus for any Sapphire credit card within the last 48 months.”

3x Rewards

The Chase Sapphire Reserve Card pays 3x CUR points for every $1 spent on worldwide travel and dining. With the 50% bonus when used for travel through CUR, the reward rate clocks in at 4.5%.

There are a few things to keep in mind about 3x rewards. First, you don’t earn 3x points on the first $300 spent on travel. Why? Because the card offers a $300 annual travel credit that covers these costs (more on credits below).

Second, whether a purchase qualifies for the 3x rewards depends on what are called Merchant Category Codes (MCC). Every purchase on a credit card is placed into a merchant code. Sometimes the merchant code is obvious, like when you buy gas at a gas station. Sometimes it’s not so obvious, like when you buy gas at a warehouse such as Costco.

For the most part, travel is travel and dining is dining. But keep in mind that sometimes how a purchase will be categorized may surprise you. If it’s a big purchase and you have any doubts, confirm the MCC ahead of time.

1x Rewards

All purchases other than traveling and dining earn 1x rewards. Given that there are plenty of cards that pay 1.5%, 2.0% and even 2.5% on all purchases, I don’t use this card for anything other than travel and dining. That said, if you use all rewards for travel through Chase, the 50% bonus when book travel through CUR turns 1x rewards into a 1.5% rewards rate. Not the highest, but still a good rate.

As a result, the Chase Sapphire Reserve Card could be the only card you carry.

Shop through Chase

You can also earn CUR points when you shop through the Chase website. Once you are a card member, you’ll have access to the Chase Ultimate Rewards website. In the Deals section, you’ll see shopping deals that can also earn enhanced points.

For example, as of the time of this review, shopping through the Chase website at ProFlowers earns 7 points per $1; Nike 2 points per $1; and Noton LifeLock 15 points per $1. These deals can and do change.

Here’s what some of the deals look like in my Chase Sapphire Reserve account:

Combining Points with Other Chase Credit Cards

A little known secret is that you can move Chase Ultimate Reward points between Chase credit cards. Each card must be eligible to earn CUR points. One way to take advantage of this is to get the Chase Freedom card, which pays up to 5% cash back. Those rewards can be turned into CUR points and transferred to the Chase Sapphire Reserve Card where the enjoy the 50% bonus on travel purchased through CUR (see below).

Transactions that Do Not Earn Points

There are some transactions on the card that will not earn CUR points:

• travel purchases that qualify for the $300 Annual Travel Credit
• balance transfers
• cash advances
• travelers checks, foreign currency, money orders, wire transfers or similar cash-like transactions
• lottery tickets, casino gaming chips, race track wagers or similar betting transactions
• any checks that access your account
• interest
• unauthorized or fraudulent charges
• fees of any kind, including an annual fee, if applicable

Redeeming Rewards

Chase offers its card holders many options when it comes to redeeming their rewards. These redemption options, however, are not created equal. We’ll get into the details, but here’s a table on redemption values:

*Some gift cards are sold at a 10% discount, increasing the value of Chase Ultimate Reward points.

The takeaway here is clear. Chase Ultimate Reward points should be redeemed for one of two things, and only two things–travel through Chase Ultimate Rewards or transferred to travel partners. We’ll cover those two options first, and then look at the remaining redemption methods.

50% Chase Ultimate Rewards Bonus

A key feature of the Chase Sapphire Reserve Card is its 50% point bonus when you redeem points for travel through Chase Ultimate Rewards. The bonus turns points normally worth 1 cent into 1.5 cents. The effective result is that travel and dining purchases earn a rewards rate of 4.5% (3x points + the 50% bonus).

A word of caution. I’ve found that sometimes the cost of travel through Chase Ultimate Rewards is higher than what I can find on other websites. This is particularly true with hotels, in my experience. Chase even points this out in the fine print of Chase Ultimate Rewards terms and conditions:

The cost of travel is based on the rates and fares available through the Ultimate Rewards website and travel center, and may not reflect all rates and fares that are available through other sales channels.

Chase

So compare prices before making a final decision on any travel.

Transferring Points to Chase Travel Partners

There is no set value for points transferred to Chase travel partners. It all depends on the airline or hotel, and how you use the points or miles after the transfer. As a general rule of thumb, we assume the Chase points have a value of 1 to 2 cents after the transfer. Of course, you’ll need to do your own assessment based on the specific transfer partner and how you’ll use the rewards.

What we do know is how many points or miles you earn for each CUR point–it’s 1:1. We also know that points must be transferred in 1,000 point increments. Here are the travel partners:

• Airline Partners
  • Aer Lingus AerClub
  • British Airways Executive Club
  • Emirates Skywards
  • Flying Blue AIR FRANCE KLM
  • Iberia Plus
  • JetBlue
  • Singapore Airlines KrisFlyer
  • Southwest Airlines Rapid Rewards
  • United Airlines MileagePlus
  • Virgin Atlantic Flying Club
• Hotel Partners
  • IHG Rewards Club
  • Marriott Bonvoy (including Ritz-Carlton)
  • World of Hyatt

Here are more details on the other redemption option:

• Cash
  • Redeem points for cash through an account statement credit
  • Redeem points for cash through an electronic deposit into an eligible savings or checking account located in the U.S.
• Gift Cards
  • Choose from over 150 different companies for gift cards such as Lowe’s, Amazon, Home Depot, Airbnb, and more. Points that are used for redeeming gift cards are currently valued at 0.1 cents each, although some cards offer a 10% discount.
• Checkout
  • When using points at checkout, such as on Amazon, the current point value is 0.8 cents.
• Shop on Amazon
  • Connect your Chase Sapphire Reserve card account to your Amazon account and begin shopping. With this option, you can use points to help pay part or even all of an order.

Chase Sapphire Reserve Card Rewards Calculator

To help you estimate the value of the Chase Sapphire Reserve Card based on your specific spending habits, we’ve created the following calculator. Just enter an estimate of how much you spend with the card each month for travel, dining, and all other purchases.

Payment options

Please enter the security code

Security Code (lowercase letters)

Submit

Note that the first $300 spent on travel does not earn CUR points due to the $300 travel credit. Keep in mind that if you redeem points for something other than travel through CUR, the value will be higher or lower than what’s reflected in the calculator.

Chase Sapphire Reserve Card Travel Credits

One key feature of the Chase Sapphire Reserve Card are its travel credits. The primary credit is $300 toward travel purchases, but that’s just the start.

• $300 Travel Credit: An annual credit of $300 will automatically be applied to travel purchases on the card.
• $100 Global Entry or $85 TSA Precheck Application Fee Statement Credit: From the Chase website, “To be eligible for this statement credit you must use your Chase Sapphire Reserve card to either complete the Global Entry application and pay the $100 application fee, or complete the TSA Precheck application and pay the $85 application fee. A statement credit will be processed after the Global Entry program application fee OR TSA Precheck application fee (whichever program is applied for first) is charged to your Chase Sapphire Reserve card. You are entitled to either: one (1) $100 statement credit per account, OR one (1) $85 statement credit per account, every 4 years in connection with the Global Entry or TSA Precheck program application fee.”
• $120 DoorDash Credit: Earn up to $120 in statement credits on qualifying DoorDash purchases through 12/31/2021. You can earn $60 in statement credits through 12/31/2020 and another $60 in statement credits through 12/31/2021. Statement credits will automatically be applied to your account when you make qualifying DoorDash purchases, up to an annual maximum accumulation of $60.
• $199 Lyft Membership Credit: Your Chase Sapphire Reserve account will receive one complimentary Lyft Pink membership for 12 consecutive months, a minimum value of $199, when the membership is activated with a Chase Sapphire Reserve Card by 03/31/2022.

Chase Sapphire Reserve Card Travel and Insurance Protection

Auto Rental Collision Damage Waiver: When using your Chase Sapphire Reserve Card for rental car usage, you can receive primary collision and theft coverage. To be eligible you have to decline the waiver from the rental car company collision insurance. Coverage is primary and provides reimbursement up to $75,000 for theft and collision damage for rental cars in the U.S. and abroad.

Extended Warranty Protection: Upon purchasing an item with your Chase Sapphire Reserve Card, Chase will extend the U.S. manufacturer’s warranty by one year on eligible warranties of 3 years or less.

Purchase Protection: Items bought with a Chase Sapphire Reserve Card will be protected up to 120 days from the date of purchase against damage or theft. This card will cover up to $10,000 for each claim and $50,000 each year.

Trip Cancellation/Interruption Insurance: If your trip is canceled or cut short by sickness, severe weather and other covered situations, you can be reimbursed up to $10,000 per person and $20,000 per trip for your pre-paid, non-refundable travel expenses, including passenger fares, tours, and hotels.

Lost Luggage Reimbursement: If you or an immediate family member bring any luggage that becomes damaged or lost by the carrier, you will be covered up to $3,000 per passenger.

Trip Delay Reimbursement: If your carrier service becomes delayed for more than 6 hours, or requires an overnight stay, you and your family will be covered for unreimbursed expenses up to $500 per ticket.

Emergency Evacuation & Transportation: This benefit helps cover you or an immediate family member up to $100,000 in medical expenses. This is only accepted if you or the family member get injured or become sick on a trip away from home that results in an emergency evacuation.

Complimentary Airport Lounge Access: This allows you access to the 1,000+ VIP lounges in over 500 cities worldwide after an easy, one-time enrollment in Priority Pass™ Select. This gives you great relaxation time prior to your flight departure.

Lyft: You can earn 10X points on Lyft rides through March 2022.

Annual Fee

The annual fee for the Chase Sapphire Reserve Card is $550. Of course, the $300 travel credit makes up more than half of this amount. The other credits, if you use them, can make up much of the rest. Ultimately, however, how you use the card will determine if the card is worth the cost.

Last year the card generated $1,151.72 in rewards for me. The vast majority of this came from earning 3x rewards on travel and dining (only $28.93 came from 1x rewards). Factor in the $300 travel credit and subtract the $550 annual fee, and the net value to us was $901.72.

In contrast, had I used a 2% cash back card with no annual fee, the total rewards value would have been $537.59. So clearly the Chase Sapphire Reserve Card was well worth the cost for us. And these calculations don’t account for the other benefits, such as lounge access and travel protections.

Frequently Asked Questions

Final Thoughts

For my money, the Chase Sapphire Reserve Card is the best travel card available today. Its rewards are easily worth $1,000 or more each year, even after factoring in the annual fee. Of course, your mileage may vary, so make sure to do the math before applying.