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MIAMI (CBSMiami) – Calling all credit-card reward enthusiasts!
The Chase Sapphire Reserve credit card will no longer be offering it’s “jaw-dropping” sign-up bonus starting on January 12.
The way to hit the 100,000 rewards points, which translates into a travel reward valued at $1,500, is to spend $4,000 on the card within the first three months.
But now Chase is slashing the reward bonus to 50,000 points.
According to the bank’s CEO, Jamie Dimon, the card would lower JPMorgan Chase’s fourth-quarter profits by $200 million.
That helps explain why the bank is slashing the card’s sign-up bonus in half starting on Thursday.
The Chase Sapphire Reserve card may continue to make sense for consumers who can afford its hefty annual fee, which stands at $450, and who also travel regularly.
It’s also important to understand that the bonus is contingent on spending $4,000 within the first three months, which might only make sense for consumers who plan to make a large purchase soon after signing up.
While the rewards points bonus will be slashed, other perks will remain past January 12, such as a $300 credit each year for any travel spending a card holder puts on the card.
Other perks include access to airport lounges through the Priority Pass network and $100 for paying for TSA Pre-Check or Global Entry.
So consumers who have been sitting on the fence may want to apply before January 11.