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Sapphire Preferred Bonus Worth Hundreds

Earn this with the Chase Sapphire Preferred Card after spending $3,000.Chase’s new sign-up bonus makes the Sapphire Preferred credit card a worthy addition to your wallet.

You’ll receive 40,000 Ultimate Rewards points if you spend $3,000 within your first three months of card ownership.

You can redeem your rewards for $400 in cash, a statement credit or gift cards, or for more in travel. As a Sapphire cardholder, Ultimate Rewards points are worth 25% more when you redeem them for airfare, hotels, rental cars or cruises, making this bonus potentially worth $500.

The last time we wrote about the Chase Sapphire Preferred card was in 2011. Back then, the card offered a sign-up bonus of 50,000 points worth $500 in cash or $625 in airfare with the same spending requirement.

The new bonus is 20% less generous but still pretty great compared with other current credit card sign-up bonuses. The card also offers 2 points per dollar spent on dining and travel, and 1 point per dollar spent on everything else.

This card ( still has a $95 annual fee that’s waived the first year, and if you choose to hang on to the card and pay the fee, you’ll still get a 7% points dividend.

The 40,000 promotional points are included in the dividend, giving your dividend an automatic 2,800-point bump. But with points typically worth $1 to $1.25, depending on how you redeem them, the $28 to $35 value of the extra dividend points doesn’t offset the annual fee.

I’ve held this card in the past, and my favorite thing about it was that it took just seconds to convert my points to a statement credit. You just need a minimum of 2,000 points to convert to $20, which everyone who follows this promo’s rules will earn.

You can then redeem the full value of your points, so if you earned 44,225 points for your spending plus the sign-up bonus, you could redeem them for a statement credit worth $442.25. That sum could pay for a lot of holiday gifts.

Another easy option is to redeem points for gift cards: 5,000 points will get you a $50 gift card.

9 tips to earn your credit card bonus

9 Tips to Earn Your Credit Card Bonus: Often that great credit card sign-up bonus comes with strings attached. Follow these tips to ensure that you don’t miss out.

While cashing out your points is the easiest way to redeem them, it’s not the most lucrative option if you like to travel.

In addition to the 25% bonus for using your points for travel, Chase’s Ultimate Rewards program also lets you transfer points to other airlines’ frequent-flyer programs.

If you’re looking to top off a frequent-flyer account because you don’t quite have enough miles for the ticket you want and the miles you have accumulated are languishing, the Chase Sapphire Preferred bonus offers a great opportunity to make the most of your existing miles.

Points transfer at a rate of 1 point to 1 mile to Southwest, United, Virgin Atlantic, Korean Airlines and British Airways, which is a much better conversion rate than some other programs we’ve seen. The 1-to-1 transfer also applies to the following hotel brands: Ritz-Carlton, IHG, Marriott and Hyatt. The only catch is that you have to transfer points in increments of 1,000.

Here’s another perk: If you have more than one Chase card (like the popular Freedom card), you can combine your Ultimate Rewards points from both accounts. The Ultimate Rewards points you earn with your Freedom card become more valuable because you can then get the 25% travel bonus when you redeem them as a Sapphire cardholder. This perk isn’t normally available to Freedom cardholders.

Chase’s new Sapphire Preferred bonus is a much better deal than the new Citi ThankYou Premier offer I recently wrote about. You’ll earn the same bonus (after factoring in the Premier card’s $125 annual fee) but in three months instead of 15, and if you want to redeem your points for gift cards, you won’t have to use 6,000 points to get a $50 gift card.

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