Mar 7, 2014, 7:25 pm
Last edit by: der_saeufer
Why should I keep my CSP?
When downgrading, the card number does not change, but the expiration date and CVV will. The downgraded account retains the same credit limit and opening date, so it doesn't change AAoA nor count towards 5/24.
What's the best use of UR points?
Possible reasons to keep the card include
For additional details, see the CSP Benefits Guide.
Why should I cancel my CSP?- ability to earn 2 UR points/dollar on travel & dining expenses
- primary insurance coverage on rental cars
- See post #369 for an example of how this has real financial value
- 7% annual dividend (Note that this benefit ends in early 2016 with the award of the 2015 dividend.)
- no forex fees
- ability to transfer points at 1:1 (in many cases instantly) to a wide range of airline & hotel partners
- the potential difficulty in being approved again later for a second CSP
- See this wiki for details
- synergy with Freedom or other Chase card earning UR points
- you are among the few customers who receive a retention bonus offsetting the cost of the annual fee
For additional details, see the CSP Benefits Guide.
Possible reasons to cancel the card include
Why should I downgrade my CSP?- lack of interest in the UR transfer partner programs (or you hold, or will hold, another transfer-eligible premium card, such as the Ink Plus)
- you have a no-fee Freedom card to which you can transfer (and warehouse at no cost) your UR points
- you plan to re-apply & earn a second signup bonus at a later date or with a different first-year-free UR card
- Note: In 2015, Chase UR cards became much more difficult to churn
- you would rather use a 2% cashback card for most spending
- benefits of the card in your particular circumstances are outweighed by the annual fee
Possible reasons to downgrade the card include
What can I downgrade to (no AF), and why would I want to?- Opened a new CSR account for that sweet, sweet bonus. The CSP offers nothing that the CSR doesn't, so there's little point in keeping both--the AF is refunded in full if you downgrade within 60 days. There are conflicting reports of prorated refunds for downgrades >60 days after the fee is charged. AF refunds generally post within a day or two.
- You plan to re-apply & earn a second signup bonus at a later date or with a different first-year-free UR card, but have a UR balance you want to keep
- You're waiting out 5/24 to get CSR and you don't want to pay the CSP AF
- Sapphire (non-preferred). Not much point in this. No UR transfers to partners, 2x on dining, 1x on everything else. This card no longer exists for new customers, but it was still a downgrade option from CSP as of 9/16.
- Freedom. 5x bonus categories, rotating by quarter, 1x on everything else. If you downgrade and activate the bonus, you'll get the bonus retroactive to the beginning of the quarter. When they overlap, you get both (e.g. Jul-Sep '16 restaurants paid with CSP pre-downgrade get base points plus 1 extra from CSP and 4 extra from Freedom)
- Freedom Unlimited. 1.5x on everything.
When downgrading, the card number does not change, but the expiration date and CVV will. The downgraded account retains the same credit limit and opening date, so it doesn't change AAoA nor count towards 5/24.
Please read about/discuss this issue in Best use of Ultimate Rewards points [Consolidated].
Chase Sapphire Preferred - Keep, Downgrade, or Cancel?
Jul 27, 2014, 3:05 pm
#331
Join Date: Jul 2014
Posts: 88
Actually it seems I'm mistaken. I wasn't referring to a 20% bonus to Southwest, but rather the 20% discount when using the UR points to buy your airfare. It doesn't seem to exist when transferring the points to Southweset Rapid Rewards, only when you're using Chase UR portal to purchase the flight.
So I'm just going to store my points in the Freedom card.
So I'm just going to store my points in the Freedom card.
Jul 27, 2014, 4:32 pm
#332
Join Date: Feb 2003
Location: On strike
Posts: 8,135
This is the smart long-term play.
I strongly disagree on both counts. If you don't have an immediate need for the UR points in a specific partner program, it makes far more sense to warehouse the points in another UR account (whether one's own Freedom account or a spouse/partner's UR account) and then churn the CSP. I'm aware of no reason to think churning the card is especially YMMV; a 2-year wait since receipt of the last signup bonus on the same card (and anecdotally, a 1-year wait after cancellation) should work fine, barring some other factor such as a bankruptcy, excessive number of recent hard pulls, etc.
I strongly disagree on both counts. If you don't have an immediate need for the UR points in a specific partner program, it makes far more sense to warehouse the points in another UR account (whether one's own Freedom account or a spouse/partner's UR account) and then churn the CSP. I'm aware of no reason to think churning the card is especially YMMV; a 2-year wait since receipt of the last signup bonus on the same card (and anecdotally, a 1-year wait after cancellation) should work fine, barring some other factor such as a bankruptcy, excessive number of recent hard pulls, etc.
Jul 28, 2014, 5:24 pm
#333
Join Date: Jul 2014
Posts: 88
OT but if I transfer $8000 at 0% APR to my CSP, and use it as a daily spend. Is it possible to setup payments through Blueprint to pay the 0% BT in mininum payments BUT pay off the daily spending full each month?
Jul 28, 2014, 6:13 pm
#334
Join Date: Feb 2013
Location: NYC
Programs: UA 1K, AA EP, Hyatt Diamond, SPG Platinum, M life Noir
Posts: 1,279
I think so, but doesn't CSP charge a 3% balance transfer fee? The Chase Slate might be a better fit for you.
The next best offer available are 0% 12mo with a 2% fee.
Jul 29, 2014, 10:02 am
#336
FlyerTalk Evangelist
Join Date: Aug 2002
Location: Intermountain West
Programs: Too many to list
Posts: 12,082
Let's get back On Topic gang. (CSP-Keep, downgrade or cancel?)
Aug 3, 2014, 8:45 am
#337
Join Date: Jul 2009
Posts: 190
With the consensus value of 2CPP for UR point, you only need $4,750 in travel spending to justify the $95 AF with the 2x bonus, which doesn't seem too bad. This is good enough for me to keep the card.
Aug 3, 2014, 9:53 am
#338
Join Date: Jun 2013
Location: SJC/SFO
Posts: 373
I think where you actually do get value is the lack of a foreign transaction fee, as most no-fee cards charge up to 3% on foreign transactions. So if your spend is mostly international, then yes, you need way less than $9500 to justify the $95 AF.
Aug 3, 2014, 1:47 pm
#339
Join Date: Jul 2009
Posts: 190
Chase Sapphire Preferred - Keep, Downgrade, or Cancel?
I already have several other cards without fx fee, so CSP has to justify itself on the bonus points. The only card I know offers generic travel bonus point is 2x cash back for costco Amex card. So for $4,750 travel spent will get me $190 back for CSP (2x point @ 2cpp) vs. $95 for costco card, or $47.5 for pretty much most other cards.
Aug 3, 2014, 8:32 pm
#340
Join Date: Aug 2012
Location: BOS
Programs: Chase Ultimate Rewards
Posts: 624
That said, I have been an expat and used the CSP for my spending abroad. I want a card with multiple transfer partners and 0% FTFs, so almost every MR card is out of play (and I don't think the Platinum is worth it). Citi is getting interesting, so we'll see how that plays out.
Aug 8, 2014, 12:36 am
#341
Suspended
Join Date: Dec 2013
Posts: 632
My annual fee just landed and I've been pretty disappointed that, with the removal of the dividend, they haven't been doing more with the fees. Guess I'll have to call up and take my chances, but I'm not very optimistic.
Aug 11, 2014, 2:42 pm
#342
Join Date: Feb 2009
Posts: 164
value of annual fee
My annual fee kicks back into place 9/1. Currently, I use/like the CSP card for:
2x dining (when the Chase freedom does not have the 5x bonus)
transferring my UR points from the other chase cards I have (i.e. Freedom, sapphire non-preferred)
int'l travel with the no-commission (which is in-frequent)
7% dividend
immediate help on the phone
In reality, the transferring the UR points to the CSP then to my United accuont is the real reason I have the card....I am having trouble really justifying the card centrally for this purpose, as $95 seems like it is quite a bit for this. Has anyone else been in a similar situation, and if so, what analysis did you come up with?
I had before a business chase card which allowed me to also transfer the UR points to my United account, but I got rid of that as the annual fee was approaching.
Any suggestions if you are in a similar situation? Does not appear that the chase people are giving me a retention bonus/stmt credit or anything else.
2x dining (when the Chase freedom does not have the 5x bonus)
transferring my UR points from the other chase cards I have (i.e. Freedom, sapphire non-preferred)
int'l travel with the no-commission (which is in-frequent)
7% dividend
immediate help on the phone
In reality, the transferring the UR points to the CSP then to my United accuont is the real reason I have the card....I am having trouble really justifying the card centrally for this purpose, as $95 seems like it is quite a bit for this. Has anyone else been in a similar situation, and if so, what analysis did you come up with?
I had before a business chase card which allowed me to also transfer the UR points to my United account, but I got rid of that as the annual fee was approaching.
Any suggestions if you are in a similar situation? Does not appear that the chase people are giving me a retention bonus/stmt credit or anything else.
Aug 11, 2014, 2:59 pm
#343
Join Date: Feb 2009
Posts: 164
I did the math, and it seems like I get about $80-90 a year worth in United miles from the catagory bonuses of the Freedom Card and the 2x dining of the CSP, when there is no 5x Freedom Card bonus.
So, if I am able to pull about 8,000-9000 extra united miles out of the $95 card, I guess it is worth it for me to keep it, when you factor in the 7% (which I know will be expiring soon) and the int'l benefits of the card.
Of course, there are oppertunity costs since each dollar I spend on say gasoline would prevent me from using the money to min spend for another credit card, and I won't be able to churn the CSP card since it is active. This has the potential to be a relatively significant oppertunity cost.
The only other option I have is to have the SPG card as my primary card and then xfer the points to United, but I lose the 5x Freedom bonuses, which for me, is pretty significant.
Any comments here will be appreciated.
(Side note--is CSP churnable, and if so, how much of a wait is there)
So, if I am able to pull about 8,000-9000 extra united miles out of the $95 card, I guess it is worth it for me to keep it, when you factor in the 7% (which I know will be expiring soon) and the int'l benefits of the card.
Of course, there are oppertunity costs since each dollar I spend on say gasoline would prevent me from using the money to min spend for another credit card, and I won't be able to churn the CSP card since it is active. This has the potential to be a relatively significant oppertunity cost.
The only other option I have is to have the SPG card as my primary card and then xfer the points to United, but I lose the 5x Freedom bonuses, which for me, is pretty significant.
Any comments here will be appreciated.
(Side note--is CSP churnable, and if so, how much of a wait is there)
Aug 12, 2014, 10:19 am
#345
Join Date: Feb 2013
Location: NYC
Programs: UA 1K, AA EP, Hyatt Diamond, SPG Platinum, M life Noir
Posts: 1,279
Why do people keep saying this? Are there any data points to support this, or are people just making stuff up?
Straight from Chase's CSP webpage:
Straight from Chase's CSP webpage:
This new cardmember bonus offer is not available to either (i) current cardmembers of this consumer credit card, or (ii) previous cardmembers of this consumer credit card who received a new cardmember bonus for this consumer credit card within the last 24 months.