Annual Fee increase for the Chase Sapphire Reserve from $450 to $550

Photo by CNBC

It’s confirmed! Chase has raised the annual fee for the Chase Sapphire Reserve from $450 to $550. Although this seems like bad news, Chase has added additional benefits to Sapphire card holders. Lets take a look to see if it’s worth it.

Increased Annual Fee increase starts on January 12

Rumors of the increase were confirmed by The Points Guy, which learned that the increase will start on January 12. If you already have the card and are due to renew before April 1, 2020, you’ll be able to renew at the $450 rate; after April 1, everyone will pay the $550 annual fee.

Apply before January 12 to pay the $450 annual fee for the first year. This is an incredible opportunity, since you’ll not only recieve the lower annual fee for the first year, but you’ll get both the old and new perks.

Added Benefits to Chase Sapphire Reserve Users.

With the increased annual fee come a few extra perks for users to take advantage.

DoorDash DASHPASS Membership

• Free DashPass for up to 2 years, immediately upon activation. Normally $9.99/month.

  • Save an average of $4 - $5 per order

  • Enjoy zero delivery fees and reduced service fees on orders over $12.

• Up to $120 in statement credits, $60 through 12/31/20 and $60 through 12/31/2021, on DoorDash purchases. No activation required.

Lyft Pink

• Free Year of Lyft pink membership (actual cost $19.99 per month)

  • 15% off unlimited car ridesSave on every car ride you take — any time, anywhere. 

  • Priority airport pickups Get picked up faster at the airport when it’s busy.

  • Relaxed cancellations We’ll cover three cancel fees per month if you rebook within 15 minutes.

  • Surprise offersGet seasonal discounts and exclusive savings.

  • Waived lost and found feesWe’ll take care of the return fee every time. 

  • Bikes and scootersEnjoy 3 free 30-min. bike or scooter rides per month (in select markets).

So is it Worth it?

Bottom line, this isn’t good news for Chase Sapphire Card holders. The perks seem to be very identical to American Express Platinum Uber credit and the American Express Gold Door Dash credit, but does it justify the $100 annual fee increase? No, unless you already use Lyft & DoorDash on a regular basis.

Even though the annual fee will increase, we still find incredible value through the Chase Sapphire Reserve earning potential and redemptions for the UR portal and transfer partners.

Are there other options?

Yes! If you feel like the annual fee increase doesn’t justify your expenses and you’re getting a negative ROI, here are some options for you.

1. Downgrade to the Chase Sapphire Preferred.

   • The Annual fee is still $95 and you have 25% increase value in the UR portal and the same transfer partners as the Reserve.

2. Move to American Express.

   • American Express has a great network of cards that can yield just as much or more than the Chase card system. You also pay a bit more for better travel partners and travel perks.

3. Move to Citi Bank

   • Why?? because the CITI trifecta is an amazing point yielding system that has been under the radar the last few years. The newly changed benefits to the Citi Thank you card to 2x back, the ability to combine CITI ThankYou points, and CITI’s transfer partners makes the ROI for first class flights even better than the Chase Trifecta! (We go over this in the Credit Hacker Mentorship)