7 signs you're better off with the Ink Business Preferred and not the Chase Sapphire Reserve card
Chase Chase Sapphire Reserve®is one of the best all-round travel rewards credit cards thanks to its points-earning potential and fantastic perks.
Chase Ink Business Preferred® Credit Cardis one of the best small business cards available and earns multiple points per dollar on a broad range of purchases.
- There are a number of reasons getting a business credit card might be better for your travel strategy and your credit score.
Ink Business Preferred® Credit Cardoffers a higher sign-up bonus, more category spending bonuses, and a relatively low annual fee compared to the Chase Sapphire Reserve.
- See Business Insider's list of the best rewards credit cards.
On the other hand, Chase offers a phenomenal small business card in the
Chase Sapphire Reserve vs. Ink Business Preferred: The biggest differences
Here's a quick look at the key differences between the two cards:
And now, the eight reasons you might want to consider applying for the
1. You might need a business credit card versus a personal one
One of the things that seems to hang most people up about applying for the
The short answer is no. Issuers like Chase offer cards like the
That doesn't mean just anyone should apply for a business credit card. But if you have legitimate uses for it and have income to show from your business or work, you should definitely consider this as an option.
While you must use your own Social Security number to apply for a business card, once it's opened, the activity on it sits separately from that on your personal credit report. So, for instance, making large purchases with it will not affect the credit-to-utilization ratio on your personal credit report, which is a big factor in determining your credit score. The fact that work purchases will not affect your personal score can be especially helpful for freelancers and "sole proprietors" whose businesses are basically just themselves.
2. The sign-up bonus is much better
When it first launched, the
By contrast, the
3. The annual fee is lower - way lower
There's not much to argue about here. The
4. You can earn bonus points on more types of purchases
Why does this matter? If you're far outstripping that $150,000 cap specifically with a large sum of travel purchases, then you might be better off with the
However, if you're using your card for a combination of travel and other business-related expenses like shipping and phone or internet services, and you're not coming near the spending cap, then you'll be able to get more value from the
5. You want to redeem points by transferring them to airlines or hotels
Another major difference between the two cards is the value of their points when you redeem them through the Chase travel portal. With both the
If you have the
This method of direct redemption is good for folks who want a solid, fixed value from their points and intend to redeem them for specific, inexpensive travel purchases without having to deal with award availability for plane tickets or hotel nights.
However, one of the great strengths of the Ultimate Rewards program is its travel transfer partners. As of now, they include airlines such as Aer Lingus, JetBlue, Southwest, Singapore Airlines, and United, and hotel brands such as Hyatt and Marriott. Being able to transfer points - instantly in most cases - to any or all of these partners gives travelers the flexibility to book all kinds of valuable awards, from international business or first class airline awards to hotel rooms all over the globe. As opposed to the direct redemption option mentioned above, Ultimate Rewards points earned with either card transfer at the same 1:1 ratio to all partners.
When deciding between these two cards in particular, you need to consider which redemption option you are going to use more: a fixed rate of 1.25 to 1.5 cents depending on your card, or the option to transfer to all these partners. If you're in the transfer camp, the points earned on either card have the same value.
6. You get Global Entry and lounge access through another card
One benefit that lends the
Because you might already be carrying another card that offers one or both of these benefits. There are many credit cards that reimburse members for Global Entry and TSA application fees these days, including the Capital One® Venture® Rewards Credit Card and the IHG Rewards Club Premier Credit Card. Likewise, there are plenty of other credit cards that get you Priority Pass lounge access, including the Platinum Card® from American Express, the Business Platinum® Card from American Express, and the Citi Prestige® Card, among others. All three of those also offer Global Entry or TSA PreCheck application reimbursements, by the way.
Check your wallet and make sure you know your other cards' benefits because you might just be overlapping with ones you think you're only getting from the
7. You travel primarily for business
Both cards offer fairly comprehensive travel and purchase protections. The
As for purchase protection, you are insured up to $10,000 per claim and $50,000 per account up to 120 days after purchase.
The bottom line
There's no arguing that the
However, for those who are looking for a higher sign-up bonus and the ability to rake in thousands of bonus points not only on travel but on a variety of business-related expenses, all for a much lower annual fee, the
It's also possible to apply for this business credit card even without owning your own business, and there are great reasons for doing so, including just keeping your professional and personal purchases separate.
Ink Business Preferred® Credit Card
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