Chris2013

I now have the 3 main Chase cards and I'm trying to figure out the best way to use each to attain maximum value for my dollar. Is my thought process correct?

Here's my thinking:

Chase Reserve: Use on all dining and travel expenses (3 points per dollar)
Chase Freedom: Use for rotating categories (Gas stations for this quarter and grocery stores for Q2 for 5 points per dollar)
Freedom Unlimited: When not utilizing a rotating category or dining/travel, use this card for all other purposes. (1.5 points per dollar)

Now since I have a Reserve card, all my points are effectively multiplied by 1.5X correct? So in essence I'm getting 4.5 points per dollar for travel/dining, 7.5 points per dollar in rotating categories, and 2.25 points per dollar in all other purchases? This is correct?

Just trying to think out loud to maximize my UR points.

gregsfortytwo

Your points are all worth 1.5 cents once you transfer them to the Reserve, so you can think of it as 4.5%, 7.5%, and 2.25% back on purchases, yes. But they aren't going to magically multiply and become larger numbers of miles when transferred to a partner mileage program!

mia

Not quite. Don't confuse points with cents. Holding Sapphire Reserve does not change the number of points that you earn with other cards. It sets the monetary value of the points at $0.015 each, but only if used to purchase travel through Chase's portal. That's not always the best value. If you transfer to airline or hotel program partners it's still 1:1.

Appleman

It seems to me that if you get 1.5x on the Chase travel portal, and something else is better, then the thing that is better is worth even more than 1.5x, even if the particular travel program is denominated differently. But maybe I am thinking of it wrong.

Oreto

I think what s/he is implying is that UR points can be used as 1.5¢ each on the Chase travel portal when purchasing revenue flights or hotels, etc. However, they can also be transferred to individual partners on an equal basis where the better thing could be business class or a suite which would make the points used worth more than 1.5¢ each.

A different but similar line of thinking: let's say that one can buy a ticket on the travel portal from L.A. to N.Y. for $200 (using 13,333 UR points). That would be a better deal than transferring 25,000 UR points to United, for example, and using them for an award ticket between those 2 cities.

Need

I did exactly the same as what you said. Except that I would say 90% of my spending are on everyday non-category spend so most of my points are from Chase Unlimited. I am thinking of my return as 2.25 cents on the dollar minimum because I either use it on CSR UR portal for travel or transfer to other programs (in that case it should be > 2.25 cents).

Well actually there are occasions where I may transfer some "filler" miles or hotel points for a reward... in that case, it could be < 2.25 cents.

paperwastage

think about it that way

UR + CSR - guaranteed minimum 1.5 cents per point* (on UR portal), can get better value when transferring to airline for premium travel

with FU, it's basically a guaranteed 2.25 cents per $ spent


(*unless chase devalues it)

in comparison:
TYP + Prestige - guaranteed minimum 1.6 cents per point (on AA until July, then 1.25 on any airline after), can get better value when transferring etc....

MR + Plat Business - Can get 2.0 cents per point if you have enough points to redeem(many hoops to jump thru: economy only on your selected airline or business/first on any airline, need twice the points and get half rebated), can get better value when transferring etc...




now, I wonder why CSR is so hyped compared to the other premium cards

darthbimmer

I have found that the prices available through the Chase travel portal are not always the best generally available rates. Often I can find a rate ~10% lower with comparable restrictions/cancellation terms directly from the travel provider. So a "better" points conversion could be slightly less than 1.5%.

Need

Well CSR is hyped probably because of the huge 100K sign up bonus. But even just for the points earn vs used on travel ratios you listed, CSR is better than the others slightly.

Also if not transferring, UR portal could be used for both hotel and airline and even cruise to get the 1.5x. I think Amex could only be used on airline and only 1st/bus class or the airline you picked for economy.

Although I am looking at Amex Small Bus.. as I do make many monthly purchases over 5k. So earning at 1.5x and used 50% less points for first/bus tickets seems pretty good to me. ;p And the spending is actually for my business.

Citi Prestige's most attractive feature for me is the 4th night free....that's about it.

Oreto

One other reason that UR may seem hyped when compared to other issuer's is the relative stability (thus far) of the UR structure. I still have a bitter taste in my mouth from a Citi Thank you point devaluation many moons ago. They have since devalued like 2 or 3 more times that I can't even keep count so I feel like I made a good decision in keeping my distance.

paperwastage

Amex did have 100k signup for plat, so did CNB (which had geographical restrictions)

Chase did deval CSP once (lost 7% annual dividend on points, but they gained primary car rental insurance and trip cancellation/interruption)

garykung

The key is how much you think you will spend. Contrary to popular beliefs, everyday spending in fact earns you the least reward compare to the opening bonus.

Chris2013

I realize this, that the 104k points from the bonus is what made me initially get the Reserve. However I plan on keeping it and trying to utilize UR points instead of churning cards.

I'm happy earning a minimum of 2.25 cents per dollar.

garykung

You won't - as you forgot to factor the AF.

Once you add the AF into the equation, you will realize how much you are losing.

gregsfortytwo

That depends a great deal on your spending habits. If you neglect sign-up bonuses (because some people like those, but others just want low-hassle good rewards), and you count UR as worth 1.5 cents:
$450 annual fee - $300 travel credit = $150 net cost
$150 / 4.5% = $3333, but obviously that's unfair because can get 2% back for free.

$150 / 2.5% = $6000

So, if you spend >$6k/year on travel and restaurants, you get more from the CSR than anything else common on the market. That's a ridiculous spend for some people, and negligible to others. If you frequently travel for work and pay on your own card, it can be worth an awful lot.

Once you've made that calculation, the increase in value of your Freedom Unlimited Rewards is another bonus, though admittedly a much smaller one.