Utilizing the Chase Sapphire Preferred hotel credit effectively

The Chase Sapphire Preferred® Card currently offers a 75,000 bonus point intro offer after spending $4,000 in the first three months. The card has an annual fee of $95, but you can save more than half of that cost by utilizing a simple and often overlooked perk - the annual hotel credit.

Every year, Sapphire Preferred card members can receive a $50 annual Chase Travel Hotel credit for hotels booked through the Chase TravelSM portal. To use this credit, follow these steps and consider these tips.

Chase Sapphire Preferred bonus and perks

The Sapphire Preferred's intro bonus offer is currently 15,000 points higher than the standard offer, making it a great time to apply because you're getting the same ongoing card benefits along with the additional upfront value.

The Sapphire Preferred card earns Chase Ultimate Rewards® points, which are highly valued due to their flexibility. These points can be redeemed for cash back or similar redemptions at a rate of one cent per point. Additionally, as a Sapphire Preferred cardholder, you'll receive a 25% boost in value when using your points to book travel through Chase Ultimate Rewards (1.25 cents per point).

You can maximize the value of your Chase points by taking advantage of its transfer partners. With a 1:1 ratio, Chase points transfer to 14 airline and hotel loyalty programs. Through these programs, you can book business-class award flights or luxury hotels and increase the value of your rewards. One example is booking one-way Star Alliance business-class flights from North America to Europe for only 60,000 to 70,000 Aeroplan miles, which is significantly cheaper than flights that normally cost thousands of dollars.

The Sapphire Preferred card offers numerous travel and purchase insurance benefits, including trip delay reimbursement, primary rental car collision coverage, purchase protection, and extended warranty coverage.

What is the Chase Sapphire Preferred $50 hotel credit?

Earning an automatic statement credit of up to $50 annually with the Chase Sapphire Preferred annual hotel credit requires booking a hotel through Chase TravelSM and paying for the booking with your Sapphire Preferred card.

Qualifying hotel purchases of $50 will not earn Chase points. After a qualifying transaction is posted, the statement credit will be credited within one or two billing cycles.

How to use the Chase Sapphire Preferred's $50 hotel credit?

You can use the Sapphire Preferred annual hotel credit by booking a hotel stay through Chase TravelSM, which functions similarly to other online travel agencies such as Expedia, Priceline, or Kayak. Simply search for your desired dates and location, and choose from the available options.

To use the hotel credit on your Chase credit card, log in to your account and go to the Ultimate Rewards page. Then, choose "Travel" from the drop-down menu and click "Book travel."

You can filter the results of your hotel search by star rating, brand, cost and more.

You will be able to view the final cost in dollars and points after selecting the hotel and room type.

To earn the full $50, you must charge at least $50 on your card. If you prefer to pay with points, make sure to redeem points for all but $50 of the cost. You can easily adjust the number of points used for the booking in the "Points redeemed" box, just remember to click the update button when you make changes.

To complete the reservation, please enter the traveler information and payment card details. Remember to use your Chase Sapphire Preferred card to earn credit.

When is it appropriate to utilize the $50 hotel credit offered by the Chase Sapphire Preferred card?

To qualify for the Sapphire Preferred hotel credit, simply book a hotel through Chase TravelSM. However, it's important to compare prices for the same dates, hotel, and room type to ensure you're getting the best deal. As long as you're not paying more for the booking, using this credit is a smart move.

If you value elite status perks more for a specific stay, you may want to explore maximizing credit on a different booking. This is because when booking hotels through a third-party site like Chase TravelSM, you usually won't receive elite status credit or benefits such as free breakfast or room upgrades.

Alternative cards with hotel credits

To obtain the most value from hotel credits and benefits, a co-branded hotel credit card is typically the best option, but the perks will be tied to a specific brand. On the other hand, general travel credit cards offer more universal statement credit perks.

The Capital One Venture X Rewards Credit Card offers an annual travel credit of up to $300 for bookings made through Capital One Travel, which can be used for hotels, flights, rental cars, and more. Combined with the card's annual 10,000-mile bonus, it's easy to see why this premium credit card is worth keeping. (See rates and fees)

The Altitude® Reserve Visa Infinite® Card offers a travel and dining credit of up to $325 per year, which is incredibly easy to use. You don't need to book through a specific site to qualify for the credit. Instead, you can earn the credit by paying for travel or dining with the card, and the first $325 in eligible spending will be credited towards the credit.

Bottom line

Although the Chase Sapphire Preferred has a limited-time increase welcome offer, it also offers numerous ongoing benefits for cardholders. These benefits include an annual $50 hotel credit that can be used for hotel bookings made through Chase TravelSM.

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