Chase Ultimate Rewards
Back in 2021, I called Chase boring. In my view, they still are. I gave up on the bank’s draconian 5/24 rule years ago. My wife and I have zero regrets. As expected, Chase hasn’t done anything to earn back our loyalty in the form of new card pursuit. No new products have been outstanding enough where we’d cede control to Chase, get under 5/24, and hopefully be approved. Meanwhile, I’ve been plenty busy with the other Chase endeavors. We continue to maximize earning and redemption with the Chase Ink Business Cash, Freedom, and even IHG Premier cards. We’ve historically cashed out Chase Ultimate Rewards points, even before the bank’s Pay Yourself Back feature made it more attractive. But Pay Yourself Back isn’t what it once was. Should I consider other options more than I have in the past? Let’s explore.
Why We’re Here
In May 2020, Chase’s Pay Yourself Back benefit came out roaring. From the beginning, several cards offered this benefit for redemption. But perhaps the best-ever option was redeeming Chase Ultimate Rewards at 1.5 cents per point to erase grocery stores transactions via the Sapphire Reserve. Cashing out Ultimate Rewards on normal expenses and equivalents was a cinch.
But over time, Chase has chipped away at the benefit. The sole 1.5 cpp category remaining is eligible charities. Everything else is 1.25 cents per point, at most. Reserve cardholders, who continue to have the broadest access to PYB, can use the benefit at the 1.25 cpp level in the following categories currently: utilities, insurance, gas stations, gym memberships, and annual fee. These categories continue to rotate every few months, occasionally with certain ones carrying over. While we’ve continued to find solid value, the options are nowhere near what they once were. So what else is out there?
Chase Travel Portal Bookings
Fortunately, the Reserve continues to offer another redemption option at 1.5 cents per point – the Chase Travel Portal. And in October 2023, I described how changes to the Chase Luxury Hotel and Resort Collection made booking via the travel portal even more interesting. Now under its trying-too-hard-to-sound cool name, The Edit, benefits largely remain the same.
Ever since, I’ve considered stacking this Amex Fine Hotels & Resorts-like program on many properties not generally redeemable with points – and at a solid 1.5 cpp level. I had previously talked about how 1.25 outperforms 1.5 cpp with Chase. The Edit has had me considering otherwise. Still, I haven’t followed through with an Edit redemption and experience. Nonetheless, I continue to look at opportunities to redeem here instead of with Pay Yourself Back. I’m confident it’s not a matter of if, rather when.
So how can I best position myself for both Pay Yourself Back and Chase Travel Portal bookings?
Putting It Off
I generally focus on cashing out all bank points early and often. For such individuals, there’s not much of a benefit, if any, to for points to loiter in card-attached rewards accounts. Yet, I’ve decided to do more of this with Chase to maximize my flexibility.
I’ll continue to use my Sapphire Reserve for most all Pay Yourself Back-compatible categories (yes, I realize there’s a slight cost for doing this). Here’s my change. Instead of redeeming Ultimate Rewards to immediately wipe out those posted purchases, I’ll defer to a later date. Remember, individuals have up to 90 days from the transaction to erase eligible purchases with Pay Yourself Back.
As I approach the end of that timeframe, perhaps in the days 85-89 period, I’ll assess if I have a necessary Chase Travel Portal redemption where I can pick up a 1.5 cents per point valuation (if I haven’t already considered doing so). If that’s the case, I’ll book via the portal. Otherwise, I’ll redeem for the oldest Pay Yourself Back-eligible transaction at 1.25 cents per point.
Chase Ultimate Rewards – Conclusion
Of course, many of you have perfectly-fine plans for your Chase Ultimate Rewards points by transferring to the bank’s travel partner programs. I do not. I either have enough balance with those currencies or don’t have a use for those programs’ redemption options. Bravo to all of you who transfer to partners aligned with your goals! Meanwhile, I’ll continue to enjoy leveraging Pay Yourself Back, just at a more deliberate pace than before. My next Chase Travel Portal redemption is around the corner, even if I don’t know where that corner is.
How do you enjoy redeeming Chase Ultimate Rewards via Pay Yourself Back and the travel portal?
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