While healthy rewards rates are the most obvious Ink Business Preferred benefits, you’ll also be able to secure your business travel and purchases with a great suite of travel and purchase protections.
Although these travel insurances and shopping protections are some of the best you’ll find on a card of this caliber, there aren’t any yearly bonuses or other features with a monetary value that will help you offset your annual fee each year.
Welcome Offer: High reward with high risk
Cardholders who can manage to spend $8,000 on qualifying purchases within the first three months of opening the card can earn a whopping 100,000-point sign-up bonus. According to Bankrate’s latest point valuations, the welcome offer can be worth up to $2,000 if you maximize your redemption options. If you redeem your points through the Chase Ultimate Rewards portal, your points are worth $1,250 in travel purchases, but other redemption options can be more lucrative.
That’s a staggering value, especially since the spending requirement has been cut almost in half from the previous $15,000 requirement. Still, it can be relatively steep for such a short time frame. It may not be attainable if your business doesn’t have a big budget, and it may not be worth it if you redeem it for cash back. Other cash back business cards with no annual fee offer bonuses valued at around $750 for half the spending requirement.
Fortunately, qualifying for the sign-up bonus is a bit more manageable if you use the Business Preferred as your primary card, factor in employee card spending and use it for any startup costs you have.
Benefits: Well-rounded protections, home and abroad
Whether your business calls for you to purchase supplies or hop on a flight, there are several travel and purchase coverage benefits outside standards like 24/7 roadside dispatch, such as:
- Trip cancellation/trip interruption insurance: Pre-paid, non-refundable travel expenses, including passenger fares and hotels, can be reimbursed up to $5,000 per person and $10,000 per trip in the event of covered situations like sickness and weather.
- Auto rental collision damage waiver: By paying for your auto rental vehicle with your card and declining the agency’s insurance, you’ll get primary coverage up to the cost of the vehicle in the event of theft or collision.
- Extended warranty protection: Eligible purchases with U.S. manufacturer’s warranties of three years or less will be protected for an additional year.
- Purchase protection: New purchases are covered for 120 days against damage or theft for up to $10,000 per claim and $50,000 per account.
- Cell phone protection: Cardholders or the employees listed on the monthly cell phone bill paid by your card can enjoy up to $1,000 per claim (three claims per 12 months with a $100 deductible) in cell phone protection against covered theft or damage. The Business Preferred provides one of the best cellphone protection plans you’ll find on a credit card, thanks to its high $3,000 coverage cap per year.
Rewards: A valuable redemption options
Chase has a 1:1 point transfer system for the Ultimate Rewards points it earns, meaning 1 point equals 1 transfer partner mile or 1 cent of cash back. For business travelers, this can translate into great savings. It’s helpful if you may need to redeem for cash back on occasion since few issuers provide a 1:1 value on a wide variety of redemption options. You’ll earn 3X points on up to $150,000 worth of combined purchases within each account anniversary year on specific travel business expenses (then 1X points). The categories eligible for 3X points are:
- The categories eligible for 3X points are:
- Shipping purchases
- Internet, cable and phone services
- Advertising purchases made with social media and search engines
The card’s point values will vary based on how you redeem them. Redemption options with a 1:1 value, such as cash back, make your points worth 1 cent each. They’re only worth 0.8 cents apiece toward Amazon.com purchases using the “Shop with Points” option, but there are two major ways to increase your point value beyond 1 cent. It might take a little bit more effort, but Bankrate’s points valuation estimates that finding the right transfer partner for your business will make your points worth 2 cents each — putting it in the upper echelon of reward values. The easiest way is to redeem points for travel through the Ultimate Rewards portal, making them worth 1.25 cents.