Earlier this year, Chase confirmed big changes were coming to both the Chase Sapphire Preferred® Card and the Chase Sapphire Reserve®. Those changes launched on Aug. 16 and the Chase Sapphire Preferred Card immediately became a more compelling option for many travelers.
In addition to the 60,000-point welcome bonus after spending $4,000 within the first three months, the Sapphire Preferred Card now earns 3x points per dollar spent on dining (previously 2x), 3x points per dollar spent on online grocery purchases (previously 1x), 3x points per dollar spent on select streaming services (previously 1x), 5x points per dollar spent on travel purchases through the Chase Ultimate Rewards portal (previously 1x), and 2x points per dollar spent on travel purchases (no change).
These updates were all made without adjusting the card’s $95 annual fee.
But in addition to all of the new earning categories for spending, Chase has also added a new $50 annual credit for cardholders to use towards booking a hotel through the Chase Ultimate Rewards portal.
Let’s take a closer look at this new benefit and how you can use it to help offset part of your annual fee.
Related Reading: 5 Ways to Use Chase Ultimate Rewards Points to Book Hotels
Click Here to learn more about the Chase Sapphire Preferred Card.
What is the New Chase Sapphire Preferred $50 Hotel Credit?
Starting Aug. 16, 2021, the Chase Sapphire Preferred Card now offers a $50 credit to cardholders each year that can be used towards booking a hotel through the Chase Ultimate Rewards travel portal.
To take advantage, all you need to do is use your Sapphire Preferred Card to book and pay for a hotel stay through Chase Ultimate Rewards and you will receive an automatic statement credit for up to $50 each year. The credit follows your account member year instead of the calendar year. So for example, if you opened your Chase Sapphire Preferred Card in September, you would receive a new $50 hotel credit each year after renewing your account in September.
Critically, there is no minimum spending or length of stay required. Simply book your stay in the Chase portal, pay with your card and the statement credit will automatically be applied. No registration to use the benefit is required, either.
However, one important note is that existing Chase Sapphire Preferred Cardholders who had the card before Aug. 2021 will not receive this benefit until their next renewal date. As you can see from the example below, I will not receive this benefit until I renew my account in January of 2022.
But if you opened the Sapphire Preferred Card on or after Aug. 16, 2021, you should have immediate access to this new benefit.
How to Use the Chase Sapphire Preferred Hotel Credit
When you are ready to use the Chase Sapphire Preferred hotel credit, simply log in to your online Chase account and navigate to the Ultimate Rewards section. From here, select the “Travel” section.
Chase’s Ultimate Rewards Travel Portal is powered by Expedia (though that is soon changing). That means any travel booking you make through Chase will yield the same result as bookings made through an online travel agency (OTA). We’ll talk more about this later.
Once you have clicked on the “Travel” section, navigate to the “Hotels” tab which is highlighted in red below.
Enter the city in which you are looking to stay, check-in and out dates, the number of rooms, adults, and children you are looking for.
Once you select your hotel, continue through the booking process. During the process, you’ll have the ability to pay with Chase Ultimate Rewards points or with cash. Chase allows you to apply any amount of points you have to your booking, or you can select “save my points for later” and opt not to use any.
If you are using points and cash, make sure the cash balance is at least $50 if you plan to use your Sapphire Preferred hotel credit. If you book only with points, you won’t earn back that $50 statement credit.
And once the charge hits your statement, Chase will automatically credit you up to $50 for your stay each year.
Tips for Using the Sapphire Preferred Hotel Credit
There are a few things to be aware of when you are looking to use your Chase Sapphire Preferred $50 hotel credit.
The first of which is that since the Chase Travel Portal is classified as an online travel agency (Expedia), the hotel will consider it a third-party reservation.
That means if you are looking to book at a hotel where you have some level of elite status, the hotel likely will not honor your status and you will also not earn points or receive other elite benefits.
Because of that, we recommend using your $50 Chase Sapphire Preferred hotel credit at hotels not associated with a large chain like Marriott, Hyatt, Hilton, IHG, etc. where you would be forgoing elite benefits or the ability to earn points by booking through Chase.
You won’t be forgoing any elite benefits for booking, and it can help reduce your overall cost.
Related Reading: Everything You Need to Know About Online Travel Agencies (OTAs)
The new $50 Chase Sapphire Preferred hotel credit is a great benefit – especially on a card with an annual fee of only $95. If you held the Sapphire Preferred before August 16, 2021, you’ll get your credit on your next card renewal date.
Maximize the credit by using it for stays at independent properties that are not a part of a large hotel group where it is possible to use other points or earn and use elite status benefits.