Chase and Lyft just expanded their longtime partnership, rolling out a new monthly credit for top-tier *chase sapphire reserve* cardholders … but it comes at a cost: You'll earn fewer points on Lyft rides going forward.
Starting Tuesday, April 1, travelers with a Sapphire Reserve get up to $120 in annual Lyft credits (split into monthly installments of up to $10). The downside? You'll now only earn 5x points per dollar when paying for your ride – half the previous 10x return.
Still, this new, easy-to-use credit should easily outweigh that negative chance for all but the most frequent Lyft riders. And most importantly: Chase is giving Reserve cardholders up to $120 a year toward Lyft rides without raising its current $550 annual fee – at least not yet.
Chase Freedom cardholders will also see their earnings cut from 5% cashback down to 2% with this news, which is no doubt a bummer for anyone with the no-annual-fee *chase freedom unlimited*. Meanwhile, if you’ve got a *chase sapphire preferred* or Ink card in your wallet, not much is changing – you’ll keep earning 5x points (or 5% cashback) every time you ride.
Still, this is surely welcome news for anyone carrying Chase's most expensive Sapphire Reserve Card.
We've wondered aloud if the Sapphire Reserve was starting to get stale. But this new credit, coupled with a new(ish) DoorDash benefit could be just the tweaks it needed to cement its spot in many travelers wallets. Add in the easy-to-use $300 annual travel credit, unlimited complimentary access to Chase's growing list of Sapphire Lounges, and the $550 price tag really look like a bargain.
Only the most religious Lyft riders won't come out ahead by swapping a $10 monthly credit for earning half the points on Lyft rides. Only those regularly spending around $200 per month or more on Lyft rides – and thus earning 1,000 points per month (worth at least $10) instead of the previous 2,000 points (worth at least $20) with a 10x points per dollar return – should view this as a negative. That said, that breakeven point could be even lower than $200 a month depending on how you value Chase Ultimate Rewards.
If a monthly rideshare credit sounds familiar, that's because it is.
American Express has long partnered with Uber, offering those with the pricey *amex gold* and *amex platinum* up to $200 of Uber Cash per year. More recently, the suite of Delta SkyMiles credit cards got a new monthly rideshare credit and Chase's own portfolio of United cards just rolled out a similar perk last week.
Banks are continually turning to sponsored third-party partnerships, like this one with Lyft, as a way to give cardholders more value – or perceived value, at least – without footing the full bill for a new perk. In this case, it's refreshing to see perks get added without an accompanying annual fee increase.
Here's what you'll get with each card starting tomorrow:
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Chase Sapphire Reserve®: Earn 5x points on Lyft rides and get a new $10 monthly Lyft credit (up to $120 per year)
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Chase Sapphire Preferred®: Earn 5x points on Lyft rides
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Chase Freedom® Unlimited: Earn 2% cashback (or 2x Ultimate Rewards) on Lyft rides
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Chase Ink® Cards: Earn 5x points (or 5% total cashback) on Lyft rides.
Related reading: Which Chase Sapphire Card is Best For You?
The best part? There’s no opt-in required. If you’ve got an eligible Chase card, you’ll automatically earn bonus points and get the monthly credit. Just know, the Sapphire Reserve's $10 Lyft credit doesn't apply to “Wait & Save” rides or bike and scooter rides.
One negative of Chase's partnership with Lyft? The company doesn't offer an easy delivery option like “Uber Eats” – a go-to for many Amex cardholders to burn up their $10 or $15 credits before each month comes to a close.
Bottom Line
Chase and Lyft's expanded partnership should be a win for Sapphire Reserve cardholders … or most of them, anyway.
Starting April 1, Chase Sapphire Reserve cardholders get $10 a month to use toward Lyft rides. While that comes with a major cut of how many points you'll earn when paying for Lyft rides – from 10x down to 5x points per dollar – it should be an easy win for most travelers.
Meanwhile, Sapphire Preferred and Ink cardholders will continue earning 5x points per dollar, while those with the Chase Freedom card will only earn 2% cashback (or 2x points).
