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?
Oct 16, 2012, 9:41 am
#61
Join Date: Feb 2012
Posts: 731
I have ~60k points and the annual fee is coming due soon. I'd like to keep the points flexible to transfer to airlines. I have an idea and I dont know if it could work:
I also have a chase freedom card open. I was thinking of transferring points to that. In 3 months during my next churn I will open an ink which I've never had before and transfer the 60k freedom points into that account. From there I should be able to transfer to airlines at will.
Does this sound feasible?
I also have a chase freedom card open. I was thinking of transferring points to that. In 3 months during my next churn I will open an ink which I've never had before and transfer the 60k freedom points into that account. From there I should be able to transfer to airlines at will.
Does this sound feasible?
Oct 16, 2012, 9:44 am
#62
Join Date: Feb 2012
Posts: 731
Oct 16, 2012, 11:16 am
#63
Join Date: Jul 2003
Location: Wine Country, Finger Lakes
Programs: LFFRS BOD
Posts: 1,355
Newbie here too.. husband has the Chase Sapphire Prefered -annual fee coming up in February.
I just picked up the same card for the bonus 40k pts.
So is it obvious that husband should cancel or at least downgrade since I have the same card?
I just picked up the same card for the bonus 40k pts.
So is it obvious that husband should cancel or at least downgrade since I have the same card?
Nov 9, 2012, 1:40 pm
#64
Join Date: Oct 2012
Posts: 52
Chase Sapphire Preferred - should I cancel
I've had this card for ~ 1 year coming on renewal in a few weeks. Is it worth cancelling it ? or get downgraded .
If I cancel, do I keep my points? Roughly 70k in it or do I need to cash out or transfer to my program of choice.
If I downgraded, do I keep my points? do they give any retention bonus ?
Thanks again
If I cancel, do I keep my points? Roughly 70k in it or do I need to cash out or transfer to my program of choice.
If I downgraded, do I keep my points? do they give any retention bonus ?
Thanks again
Nov 9, 2012, 1:58 pm
#65
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,954
Moderator action
TheGirls' question has been appended to the established thread. See also this thread:
http://www.flyertalk.com/forum/credi...all-cards.html
http://www.flyertalk.com/forum/credi...all-cards.html
Nov 9, 2012, 2:59 pm
#66
Join Date: Oct 2009
Location: Land of the parrots and parrotheads
Programs: Several dozen
Posts: 4,820
Why not keep the card and use it to save the endangered spotted owl?
I've had this card for ~ 1 year coming on renewal in a few weeks. Is it worth cancelling it ? or get downgraded .
If I cancel, do I keep my points? Roughly 70k in it or do I need to cash out or transfer to my program of choice.
If I downgraded, do I keep my points? do they give any retention bonus ?
Thanks again
If I cancel, do I keep my points? Roughly 70k in it or do I need to cash out or transfer to my program of choice.
If I downgraded, do I keep my points? do they give any retention bonus ?
Thanks again
Dec 7, 2012, 11:47 am
#67
Join Date: May 2012
Programs: AA Gold, Delta Gold, SPG Gold, Marriott Silver
Posts: 26
Keep Chase Sapphire Preferred? ONLY card!
Hi there,
I've seen a lot of analyses about Chase Sapphire Preferred on here, but nothing that quite matches my personal scenario!
I currently use my Preferred as my main card. I'm debating whether to pay the $95 annual fee or downgrade it to a regular Sapphire card. I know that I lose benefits, but can't quite figure out how to estimate the value. I'm not trying to figure this out based on spend on other cards- simply whether I'll spend enough to make the Preferred annual fee break even.
If I get rid of the Preferred, I'll probably get a Capital One 1.5% cash back card to fill the spot.
1. I'm trying to figure out just how much I need to spend in 2013 to beat out the annual fee. Struggling with the math... any help? Assuming no 7% dividend since that seems to depend on renewing for yet another year?
2. I have no idea if I'll end up using the UR transfers and reduced fares. Which is why I'm trying to base it solely off the annual fee!
Thanks in advance for your help- I'm getting so confused!
I've seen a lot of analyses about Chase Sapphire Preferred on here, but nothing that quite matches my personal scenario!
I currently use my Preferred as my main card. I'm debating whether to pay the $95 annual fee or downgrade it to a regular Sapphire card. I know that I lose benefits, but can't quite figure out how to estimate the value. I'm not trying to figure this out based on spend on other cards- simply whether I'll spend enough to make the Preferred annual fee break even.
If I get rid of the Preferred, I'll probably get a Capital One 1.5% cash back card to fill the spot.
1. I'm trying to figure out just how much I need to spend in 2013 to beat out the annual fee. Struggling with the math... any help? Assuming no 7% dividend since that seems to depend on renewing for yet another year?
2. I have no idea if I'll end up using the UR transfers and reduced fares. Which is why I'm trying to base it solely off the annual fee!
Thanks in advance for your help- I'm getting so confused!
Dec 7, 2012, 12:10 pm
#68
FlyerTalk Evangelist
Join Date: Aug 2002
Location: Intermountain West
Programs: Too many to list
Posts: 12,082
1. If you keep the CSP as your only card how will your spend be in 2013? Approx?
2. What are your miles & points goals? Free flights? Free hotel stays?
3. Chase UR points are pretty valuable for some airlines & hotels. Usually you hear about 1.5 to 2 cents a point. So $95 per year, divided by .02 equals $4750 in spend. Plus your 7% refund. Plus the UR pts you earn from the $4750 spend. You also get a 25% discount if you use your UR pts to book travel.
Sounds like a keeper to me. Check out some of the blogs for more analysis.
You can also get another 50K UR pts by applying for the Chase Bold or Ink business cards. They require you charge $5000 w/in 3 months. I'm sure you have some type of business.
2. What are your miles & points goals? Free flights? Free hotel stays?
3. Chase UR points are pretty valuable for some airlines & hotels. Usually you hear about 1.5 to 2 cents a point. So $95 per year, divided by .02 equals $4750 in spend. Plus your 7% refund. Plus the UR pts you earn from the $4750 spend. You also get a 25% discount if you use your UR pts to book travel.
Sounds like a keeper to me. Check out some of the blogs for more analysis.
You can also get another 50K UR pts by applying for the Chase Bold or Ink business cards. They require you charge $5000 w/in 3 months. I'm sure you have some type of business.
Dec 7, 2012, 12:21 pm
#69
Join Date: May 2012
Programs: AA Gold, Delta Gold, SPG Gold, Marriott Silver
Posts: 26
Ha! Sure seems like everyone has a business out there somewhere
Thanks so much for your reply.
1. My personal monthly spend is about $800. Sometimes my credit card bills are higher though, because I sometimes travel for work. That adds in about another 300-500 per month, for travel months. Problem is, I have nooo way to predict travel! I cover hotels, dining and transit costs when I travel (and then am reimbursed). But there's no real rhyme or reason to how much I travel, so it's really hard to predict.
2. I know this is going to hurt you, but I don't have exact goals. I know I will be taking a couple of trips to weddings and family trips this year, but don't have a concrete goal I'm working toward. I have plenty of miles on American right now to handle a few of those weddings, so I'm not particularly concerned about miles. I'm down to 10K miles on United bc I just redeemed a ton, but don't know of a need for them in the coming year. I'm basically mostly interested in maximizing the cash back side of the rewards, though I'll admit I might use them to redeem travel if it proves helpful. That 20% discount is huge!
I guess I keep getting stuck because the Capital One 1.5% cash back sounds so much higher than 1.07? And since a lot of the benefits of UR are hypothetical (unless I do end up using them), I'm having a hard time quantifying the potential benefits.
Thanks so much for your reply.
1. My personal monthly spend is about $800. Sometimes my credit card bills are higher though, because I sometimes travel for work. That adds in about another 300-500 per month, for travel months. Problem is, I have nooo way to predict travel! I cover hotels, dining and transit costs when I travel (and then am reimbursed). But there's no real rhyme or reason to how much I travel, so it's really hard to predict.
2. I know this is going to hurt you, but I don't have exact goals. I know I will be taking a couple of trips to weddings and family trips this year, but don't have a concrete goal I'm working toward. I have plenty of miles on American right now to handle a few of those weddings, so I'm not particularly concerned about miles. I'm down to 10K miles on United bc I just redeemed a ton, but don't know of a need for them in the coming year. I'm basically mostly interested in maximizing the cash back side of the rewards, though I'll admit I might use them to redeem travel if it proves helpful. That 20% discount is huge!
I guess I keep getting stuck because the Capital One 1.5% cash back sounds so much higher than 1.07? And since a lot of the benefits of UR are hypothetical (unless I do end up using them), I'm having a hard time quantifying the potential benefits.
Dec 7, 2012, 12:38 pm
#70
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,954
I would downgrade the Sapphire Preferred to the free Sapphire card, and apply for the Capital One card, or one of the cards which earns 2%. You need to have more than one card account as a backup.
Dec 7, 2012, 12:42 pm
#71
Join Date: May 2012
Programs: AA Gold, Delta Gold, SPG Gold, Marriott Silver
Posts: 26
The redemption thing makes sense. I wish I had a plan for those points! That's why I keep defaulting to pure cash value. But I'm sure if I kept UR I'd end up using the 20% off eventually, because I do have a lot of domestic trips ahead. I don't usually love redeeming credit points for things bc I find it harder to work out any potential issues, but that discount is hard to resist.
It's annoying that I can't predict my actual spend. My work travel ebbs and flows so much- sometimes I'm on the road three weeks in a row, sometimes I'm home for two months straight!
Do you know of a 2% non annual fee card? The only 2% i've seen have fees. If i downgrade this card, i dont plan to pick up a fee card elsewhere.
It's annoying that I can't predict my actual spend. My work travel ebbs and flows so much- sometimes I'm on the road three weeks in a row, sometimes I'm home for two months straight!
Do you know of a 2% non annual fee card? The only 2% i've seen have fees. If i downgrade this card, i dont plan to pick up a fee card elsewhere.
Dec 7, 2012, 12:58 pm
#72
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,954
I do
Start here:
https://www.fidelity.com/cash-manage...-express-cards
Fidelity offers Amex-network card which earns 2%, and a VISA which earns 1.5% (increases to 2% if your spend exceeds $15,000 in a year which probably does not apply to you.)
See also this thread:
http://www.flyertalk.com/forum/credi...verywhere.html
There are others that I do not have time to track down at this moment,
Start here:
https://www.fidelity.com/cash-manage...-express-cards
Fidelity offers Amex-network card which earns 2%, and a VISA which earns 1.5% (increases to 2% if your spend exceeds $15,000 in a year which probably does not apply to you.)
See also this thread:
http://www.flyertalk.com/forum/credi...verywhere.html
There are others that I do not have time to track down at this moment,
Last edited by mia; Dec 7, 2012 at 1:35 pm
Dec 7, 2012, 1:36 pm
#73
Join Date: Sep 2012
Location: Born and raised in South Carolina, now in New York City.
Posts: 534
https://www.applyonlinenow.com/USCCa...ry?sc=VABBUH#b
It's unlimited 2% cash back everywhere ($50 into your Fidelity account after reaching $2500 spend). Once the money is in your Fidelity account you can withdrawal the money with your ATM card or just send yourself a check with Bill Pay.
Dec 7, 2012, 1:47 pm
#74
Join Date: Oct 2006
Location: USA
Programs: DL PM, Hyatt Globalist
Posts: 2,367
NASA FCU offers a card that once you spend 2K a year you earn 2% unlimited. The Fidelity Amex, as mentioned above, is an excellent choice too but the NASA or Priceline cards are good alternatives if you are somewhere that does not accept visa. If you live in one of five states there is also a card issued by JCB that is nearly 3% back albeit with a small annual fee and convoluted rewards system.
Dec 7, 2012, 6:36 pm
#75
Join Date: Dec 2012
Posts: 1
i have a csp, and honestly the csp is a marginal card by itself in my opinion. if you only have one card, i would not pick the CSP. the 2% on restaurants and travel isn't great for an AF card, there are better options out there (eg amex, us bank cash+).
what makes it powerful is when you couple it with a chase freedom (or even better, add a chase checking to get the trifecta) - the 5% rot and 10 pts per swipe can earn you a mess of UR points, which you can transfer to your csp UR account. these then can be used to redeem a ton of miles at a 1 to 1 ratio. this gives your UR points a value of 1.5 to 2 cents per, far higher than any other reward point (discover points and straight cash are 1 to 1, and ty points are typically worth less than that). this feature and it alone makes the csp so valuable.
without the trifecta to suck in UR points at an incredible pace, the CSP simply earns too few pts to make it worthwhile for 95 bucks. imo you have two options - complete the chase trifecta and use the CSP mostly as a delivery system for UR points, or downgrade to the chase sapphire and get another card or set of cards depending on your spending habits and priorities. obviously you have high credit, so it's time you plan out what portfolio of cards work best for you.
what makes it powerful is when you couple it with a chase freedom (or even better, add a chase checking to get the trifecta) - the 5% rot and 10 pts per swipe can earn you a mess of UR points, which you can transfer to your csp UR account. these then can be used to redeem a ton of miles at a 1 to 1 ratio. this gives your UR points a value of 1.5 to 2 cents per, far higher than any other reward point (discover points and straight cash are 1 to 1, and ty points are typically worth less than that). this feature and it alone makes the csp so valuable.
without the trifecta to suck in UR points at an incredible pace, the CSP simply earns too few pts to make it worthwhile for 95 bucks. imo you have two options - complete the chase trifecta and use the CSP mostly as a delivery system for UR points, or downgrade to the chase sapphire and get another card or set of cards depending on your spending habits and priorities. obviously you have high credit, so it's time you plan out what portfolio of cards work best for you.