Feb 12, 2016, 8:56 am
Last edit by: beltway
This is the general 2016-2019 thread for weighing the relative merits
of keeping, downgrading, or canceling Chase-issued credit cards.
Post-2019 discussion continues in this thread.
of keeping, downgrading, or canceling Chase-issued credit cards.
Post-2019 discussion continues in this thread.
What's the main reason people product change (PC)?
The benefits offered by a particular card, might suit you better than the card you are holding. Many people, unable to qualify for a new Chase Sapphire Reserve application, upgraded from the Sapphire Preferred to the Sapphire Reserve, because the benefits of the CSR's cash reimbursements made the annual fee a nominal difference the first year. And vice versa- the onerous $450 yearly fee of the CSR makes an appealing case to downgrade to the Sapphire Preferred, and eventually to the no-fee Sapphire or a Freedom card.
Many people product change to avoid the annual fees on the premium versions of the card. Keeping the card open, via a product change, keeps the account open. This allows you to retain the seasoned account, and the banking relationship that the older card has established with Chase.
Why not just cancel the card and be done with it?
This may be the right choice for you, but others want some of the card benefits without having to reapply. Also, Chase has become very restrictive for new card applicants. For Chase cards, you must wait 24- 48 months since the last time you received a bonus before reapplying. Please see the threads on the individual cards for updated overlay rules.
An additional (and more stringent) overlay is the infamous 5/24 rule, which Chase instituted in May 2016 as a counter-measure against churning, or, as they refer to it, "Serial Starters." The 5/24 rule is that you won't be eligible for most Chase card products if you've opened more than 5 credit cards in 24 months. For more on this and other application-related issues, see the current "Applying for Chase Credit Cards " Master thread.
Finally, canceling certain cards--those earning Chase Ultimate Rewards--may deprive you of the ability to exchange UR for miles/points in air & hotel programs. See Ultimate Rewards transfer partners, times & rules.
Is there any way I can keep a card without paying the annual fee?
See Chase Retention Bonuses: June 2015-Present
Are there any restrictions on product changes?
Product changes are only allowed within the same card "family," and are not permitted between business and personal cards. Also, Chase cites the federal CARD Act to deny product changes on any account less that one year old.
Will a product change count as a new card?
No, you will keep your same card number, "opened on" date, credit line, automatic payment arrangements, etc. A product change does not count against Chase's 5/24 limitations on new cards.
Will I get a signup bonus when I change?
No, product changes do not result in point bonuses. Signup bonuses are reserved for new applicants only. For the complete list of public sign up offers, check the Chase sitemap here: https://creditcards.chase.com/sitemap
Is there a place I can look to compare cards?
Go here: https://creditcards.chase.com/credit...D=177087865887
Click: All cards
Place a checkmark in the Compare box for up to three cards.
Click: Compare cards...and you should see a side-by-side display.
I've figured out what I want to switch to. How do I product change my card?
Call the number on the back of your card.
Product changes for the Ultimate Reward Business and Personal Card Family
The UR family of cards includes the Chase Ink business cards, the Freedom Unlimited, the Freedom Card, and the Chase Sapphire Preferred, Reserve and Sapphire.
The Slate (personal) card is also available to downgrade to. It has no annual fee and does not earn any type of reward points. It offers a low fee (currently 0% for the first 60 days) balance transfers and APR.
Personal Cards
- Freedom: 5X points in rotating quarterly categories up to $1500 spend per quarter. If you max out the $1500 every quarter, it totals 7500 UR per quarter, or 30,000 UR per year.
- Freedom Unlimited: 1.5X for all spending, no bonus categories. $20,000 in spend would net 30,000 UR per year.
- Sapphire Reserve: $450 annual fee, $300 annual travel credit, 3X points for travel and dining. Books travel through the UR portal for 1.5 per dollar. Lounge access and other goodies. See the thread here for details.
- Sapphire Preferred: $95 annual fee, 2X points for travel & dining
- For discussion specific to the Sapphire Preferred Card, see Chase Sapphire Preferred - Keep, Downgrade, or Cancel?
- Sapphire: Not available to new applicants. Available as a product downgrade/change only, must tier down from the Sapphire Reserve to Sapphire Preferred to Sapphire or Freedom cards. No annual fee. Some Customer Service Reps are citing that the original product (i.e., the CSR), must be held for one year before downgrading. Please provide data points in the thread if this happens to you.
Business Cards
- Ink Plus: $95 annual fee, 5X office supplies, 5X cellular/landline/cable; 2X gas and hotels
- Ink Preferred: 3x on travel, shipping, internet/phone/cable, & some online advertising.
- Ink Cash: No annual fee, 5X office supplies, 5X cellular/landline/cable; 2X gas and restaurants
If you still have a legacy Ink Classic or Ink Bold business card, neither of which is available for new signups, you can product change to one of the other Ink cards.
Considerations for downgrading/upgrading:
Can I combine my UR points?
Yes, UR can be combined freely across the cardholder's own personal and business accounts.
What about transfering my UR to another person's Chase UR account? To their air/hotel partner account?
With restrictions, UR from a personal card can be transferred to a person living at the same address. Business cards allow transfer to owners of the company listed as authorized users.
However, be warned that there are transfer restrictions. Unauthorized transfers have resulted in shut-downs. Review the Chase T&C for details before planning a transfer. For discussion, see http://www.flyertalk.com/forum/chase...-accounts.html.
The Freedom cards, no-fee Ink Cash, and no-fee Sapphire cards do not allow UR transfer to airline/hotel partners. If you are downgrading from a premium UR card and will only have no-fee cards left, it may be prudent to transfer your points to the partner of your choice beforehand.
I know I can use UR to pay for travel directly (as opposed to transfering points into a travel partner program). Do the Chase UR cards differ on this?
Only the Sapphire Reserve books travel on the UR portal for 1.5. So you can stack your card bonus opportunities when your UR points are combined into your CSR account and used for booking travel. If, for instance, you earned 5x on your Ink Plus on your phone bill, and combine those 5x Ink earned points into your CSR's UR account, you'll now get an additional .5 in value when you redeem them on the travel portal.
Product Changes for United Airlines Cards
There are options to downgrade or upgrade UA cards.
- United Mileage Plus Card- no annual fee, 1 UA mile per $2 in spend
- United Mileage Plus Explorer Card- $95 annual fee, 1 mile per dollar earning, additional award inventory on UA, free checked bag, 25% bonus on the shopping portal.
- United Plus Club Card- $450 annual fee, 1.5 miles per $1, many additional premium card benefits
- Business Cards for the Mileage Plus and Club Card give you a choice to upgrade or downgrade between those two.
Southwest Airlines Cards
The difference here is a nominal $30/3000 points per year.
Personal cards
- Plus Card- $69 annual fee, 3000 bonus points upon renewal
- Premiere Card- $99 annual fee, 6000 bonus points upon renewal
Chase Product Change/Card Conversion: Downgrade, Upgrade, Keep or Cancel? (2016-2019)
Jan 14, 2016, 9:34 am
#16
Join Date: Feb 2012
Posts: 731
I would recommend applying for the Hyatt card to get the sign up bonus and keeping the Freedom for the rotating 5x categories.
Jan 14, 2016, 10:14 am
#17
Join Date: Feb 2015
Posts: 31
Note - Chase only does conversions if the account you are converting has been open for 12 months.
Jan 14, 2016, 10:53 am
#18
Join Date: Oct 2015
Location: DFW
Programs: Chase Sapphire Preferred, AMEX PRG
Posts: 24
Thanks for the info. I will give them a call today and see where I get on changing the card.
Jan 19, 2016, 5:16 pm
#19
Join Date: Dec 2005
Programs: AS MVP
Posts: 294
Keep, Cancel, or Downgrade Chase Cards (2016)
I was about to apply for the CSP. I had it a few years back, same/similar offer. Renewed it once then "downgraded" it to some no fee version of CSP, which I still have.
But, my card still says CSP, what gives? I'd assumed it would have been Premier, or just Sapphire, but no, it says Chase Sapphire Preferred.
I don't see any other Sapphires. Did they formerly have another version of Sapphire?
Should I just close my "CSP", shift the CL to my Freedom cards, then apply for a new CSP?
If so, how long does it need to be closed?
But, my card still says CSP, what gives? I'd assumed it would have been Premier, or just Sapphire, but no, it says Chase Sapphire Preferred.
I don't see any other Sapphires. Did they formerly have another version of Sapphire?
Should I just close my "CSP", shift the CL to my Freedom cards, then apply for a new CSP?
If so, how long does it need to be closed?
Jan 19, 2016, 10:07 pm
#20
Join Date: Sep 2015
Posts: 305
Can you downgrade CSP to Freedom? Can you downgrade Chase issued United card to Freedom?
Jan 20, 2016, 4:34 pm
#21
Join Date: Dec 2005
Programs: AS MVP
Posts: 294
I'm guessing CSP is downgraded to Chase Sapphire. (I had suggested moving the CL from my CSP to the Chase Freedom cards, if that's what prompted this question.)
And I'm also guessing that you can not "downgrade" a United card to Freedom, (but may be able to carry the CL over).
Jan 26, 2016, 12:04 pm
#22
Join Date: Aug 2015
Posts: 3
Effect on credit score. [Close card immediately after bonus posts]
I have just been approved for a Chase Sapphire card. I would like to spend the required amount up front, get the 50,000 points, transfer the points to a partner (such as United) and then close the card.
Is this something I can do, and if so, does it have any negative impact on my credit?
Thanks.
Is this something I can do, and if so, does it have any negative impact on my credit?
Thanks.
Jan 26, 2016, 12:35 pm
#23
Join Date: Jul 2013
Posts: 384
It's impossible to answer such questions with none of the information needed and even with information we can't tell you that you'd see a change of X points. Impact isn't just about the change itself but about one's credit profile and how the change factors in. Two people with very different profiles could see very different results doing the same thing. Best you can do is learn about the standard factors and consider how they are affected.
http://ficoforums.myfico.com/t5/Unde...-p/ficoscoring
You've already reduced your AAoA, incurred a hard pull and you have a new account. Closing won't change any of that. The additional available credit may have helped your revolving utilization. Closure will affect your revolving utilization but to what degree is unknown without knowing the balances and limits of your revolving accounts. You can do the math to see the impact to your revolving utilization.
http://ficoforums.myfico.com/t5/Unde...-p/ficoscoring
You've already reduced your AAoA, incurred a hard pull and you have a new account. Closing won't change any of that. The additional available credit may have helped your revolving utilization. Closure will affect your revolving utilization but to what degree is unknown without knowing the balances and limits of your revolving accounts. You can do the math to see the impact to your revolving utilization.
Last edited by takeshi74; Jan 26, 2016 at 12:47 pm
Jan 26, 2016, 12:47 pm
#24
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,954
In the case of Chase there is no benefit to closing the card account immediately. Eligibility for a repeated new account bonus is based on when you last received a bonus, not when you closed the account.
This product is available to you if you do not have this card and have not received a new cardmember bonus for this card in the past 24 months.
Jan 27, 2016, 7:07 am
#25
Join Date: Sep 2011
Posts: 1,857
I have just been approved for a Chase Sapphire card. I would like to spend the required amount up front, get the 50,000 points, transfer the points to a partner (such as United) and then close the card.
Is this something I can do, and if so, does it have any negative impact on my credit?
Thanks.
Is this something I can do, and if so, does it have any negative impact on my credit?
Thanks.
Jan 29, 2016, 12:25 am
#26
FlyerTalk Evangelist
Join Date: Aug 2009
Location: ZOA, SFO, HKG
Programs: UA 1K 0.9MM, Marriott Gold, HHonors Gold, Hertz PC, SBux Gold, TSA Pre✓
Posts: 13,811
Jan 29, 2016, 11:46 pm
#28
Join Date: Aug 2015
Programs: Hyatt Globalist, JB Mosaic, SW AList + CP
Posts: 383
Downgraded csp to freedom. Same cc # .. Good for credit average age of accounts??
Will it report as new card or existing 3 year old acct???
Jan 30, 2016, 3:52 am
#29
Join Date: Mar 2011
Location: Silicon Valley, CA
Programs: IHG Diamond Ambassador
Posts: 194
You've already reduced your AAoA, incurred a hard pull and you have a new account. Closing won't change any of that. The additional available credit may have helped your revolving utilization. Closure will affect your revolving utilization but to what degree is unknown without knowing the balances and limits of your revolving accounts. You can do the math to see the impact to your revolving utilization.
If Op is trying to do a mortgage or a refi, the strategy of closing the card immediately after getting bonus points can put their entire effort at risk.
They also have to consider that in the mortgage/refi scenario they may be asked why they opened and closed an account so quickly and I think there isn't any good answer to that question.
Depending on how soon after the points are credited the account is closed, Chase may take back those points.
Jan 30, 2016, 5:58 am
#30
Join Date: Apr 2002
Posts: 587
Since the account was downgraded, it should report as an existing account.