Southwest® Rapid Rewards® Premier Business Credit Card review: A decent pick for small-business owners flying Southwest

Quick highlights

• Rewards rate: Earn 3X points on Southwest airlines purchases, 2X points at gas stations and restaurants on the first $8,000 in combined purchases per year and 1X points on all other purchases
• Welcome offer: Earn 60,000 points after you spend $3,000 on purchases in the first 3 months your account is open.
• Annual fee: $149 
• Purchase intro APR: None
• Balance transfer intro APR: None
• Regular APR: 19.24% - 27.74% Variable

Current welcome offer

New cardholders have a chance at a sign-up bonus of 60,000 points after spending $3,000 in the first three months after account opening. According to Bankrate’s latest miles valuations, Rapid Rewards points are currently valued at around 1.5 cents each when redeemed for flights. This could make the card's sign-up bonus worth approximately $900, depending on how you redeem those points.

This is an incredible value compared to the value you’ll get with the offers available on many other business travel cards with a similar annual fee. However, a few general-purpose business cards in this price range feature bonuses that, while a bit less valuable, offer rewards you can redeem for travel with multiple airlines, not just Southwest and its partners.

Rewards rate

The Southwest Rapid Rewards Premier Business Card offers a tiered-rewards rate on Southwest-related spending, travel expenses and other general purchases. Southwest Rapid Rewards points can be earned and redeemed in a variety of ways — on more than strictly airfare.

How you earn

The fastest way to earn points with the Southwest Rapid Rewards Premier Business Credit Card is to book flights through Southwest Airlines, which will net you 3X points. You’ll also earn 2X points at gas stations and restaurants on the first $8,000 in combined purchases per year and you’ll score 1X points on all other purchases.

In addition, cardholders can depend on receiving 6,000 points every year on the anniversary of their account opening, regardless of how much they spend.

You can also earn points by using the Southwest Rapid Rewards shopping portal guide when making online purchases and by eating at restaurants that participate in the airline’s Dining Rewards program. Combined with the card’s Southwest and transit bonus categories, this gives you the opportunity to earn rewards on several legs of your journey.

How to redeem

Redeeming your Rapid Rewards points for Southwest flights is easy, and the best way to take advantage of your new stash of points. If you log into your Rapid Rewards account online and input your flight details, you can search flight availability and have your trip covered by your rewards balance (excluding taxes and fees). There are no restrictions or blackout dates when you redeem points for a seat, but the number of points you’ll need will depend on the airfare.

You may also redeem your points for international flights booked through a designated flight portal, hotel stays, rental cars and more. In addition to flights and travel purchases, you can redeem your points through the Southwest More Rewards portal, which allows Southwest credit card members to trade their points for gift cards to restaurants, department stores, popular retailers and other businesses. You may also contribute your points to select charities as well.

Since Bankrate's latest miles valuation estimated Rapid Rewards points to be 1.5 cents per point when redeemed for flights, the 3X rewards rate earns around 4.5 cents for every $1 spent on Southwest airline purchases and the 2X rewards rate on gas stations and restaurants (up to $8,000 in combined purchases per year) yields around 3 cents per dollar spent.

However, the value of your points may vary based on factors like your destination, travel date and more. Non-travel redemption options may not net as much value, so it’s best to save your points for air travel. After all, there’s no rush since your Southwest Rapid Rewards points won’t expire as long as your account is open.

The Southwest Rapid Rewards Premier Business Credit Card includes many appealing perks and benefits that will appeal to business travelers who frequently fly Southwest.

Cardmember anniversary bonus

Perhaps the most compelling feature of this card is the 6,000 bonus points you’ll receive every cardmember anniversary with no spending requirement. Those points could translate to approximately $90 in value toward future flights (based on a value of 1.5 cents per point). While that doesn’t fully offset the card’s $149 annual fee, it does help reduce the effective cost — especially if you also take advantage of perks like the free first checked bag for up to eight companions and Group 5 boarding.

Travel and purchase protections

The Southwest Rapid Rewards Premier Business Credit Card includes valuable travel and purchase protections to give you peace of mind on all your trips.

You’ll get extended warranty protection and purchase protection that may cover you in the event of theft or damage of new items, plus a few other handy travel perks like auto rental collision damage waiver coverage, roadside dispatch and travel accident insurance.

The Southwest Rapid Rewards Premier Business Credit Card charges an annual fee of $149, which is not waived the first year — unlike some airline credit cards, such as theCiti® / AAdvantage Business™ World Elite Mastercard®. You won’t pay any foreign transaction fees, however, and you can also add employee cards at no additional cost.

While the annual fee may seem steep, several ongoing perks help justify the cost. For instance the anniversary bonus and complimentary EarlyBird Check-Ins can make up for the cost each year. Otherwise, you can offset the annual fee by spending $3,300 per year on Southwest purchases (earning 3X points) or around $5,000 in 2X categories like gas stations and restaurants to break even on the fee through rewards alone (based on a value of 1.5 cents per point).

There is no 0 percent intro APR offer for new purchases or balance transfers, which is normal for a premium travel card, but would’ve been a beneficial perk for small business owners who need time to pay down their balance without accruing interest, as the ongoing APR with this card is 19.24% - 27.74% Variable. The lower end of this APR range is on par with the high current average interest rate.

The Southwest Rapid Rewards Premier Business Credit Card can easily help you earn Rapid Rewards points that can be redeemed for Southwest flights. With new perks like first checked bags for cardholders and up to eight companions, Group 5 boarding and flexible seat selection, it now offers more value for frequent Southwest travelers. 

But, if you need more flexibility with your points or are looking for a wider array of benefits, you might want to consider a general-purpose business travel card. There are many cards that may help you earn points faster with a comparable annual fee — particularly Chase credit cards, which earn Ultimate Rewards points that transfer to Southwest at a 1:1 ratio.