Major Changes for Luxury Travelers and High Spenders
Chase, the largest U.S. credit card issuer, unveiled sweeping updates to its Chase Sapphire Reserve card on Tuesday, catering to points enthusiasts and high-net-worth travelers. The changes include:
A 77% increase in the annual fee, rising from $550 to $795—now the highest among premium travel cards.
A new Sapphire Reserve for Business card targeting entrepreneurs spending $120,000+ annually.
Expanded perks in dining, hotel stays, and lifestyle credits, alongside stricter rewards thresholds.
The adjustments take effect October 25, 2024, for existing cardholders, while new applicants face the updated fees starting June 23.
Why the Fee Hike? Chase’s Push for Premium Customers
The move reflects a broader industry shift toward elite rewards programs, as credit card companies and airlines prioritize high-spending travelers. According to a 2023 Consumer Financial Protection Bureau report:
Total annual fees across the industry more than doubled from $3.0B (2015) to $6.4B (2022).
The Sapphire Reserve’s fee has surged 77% since its 2016 launch ($450 → $795).
Competition Heats Up
The announcement follows American Express’s tease of upcoming changes to its premium cards, signaling a battle for affluent customers.
New Rewards Tiers and Perks
Cardholders can unlock exclusive benefits by hitting spending milestones:
$75K/year on Sapphire Reserve or $120K/year on Sapphire for Business:
Credits at Shops at Chase (new online store).
Elevated status with IHG Hotels & Resorts and Southwest Airlines.
Chase also introduced Points Boost, replacing older rewards structures:
8x points on Chase Travel bookings (vs. 5x flights, 10x hotels previously).
4x points on direct flight/hotel bookings (up from 3x).
No more 1.5x/1.25x redemption bonuses for Reserve/Preferred cards on Chase Travel (except for points earned before Oct. 26, 2025).
What Stays the Same?
Access to 1,300+ Priority Pass lounges and Chase Sapphire lounges.
$300 annual travel credit and $120 Global Entry/TSA PreCheck fee credit.
Over $2,700 in annual value (Lyft, Peloton, DoorDash, and Chase’s The Edit hotel collection).
Expert Tip: How to Avoid Fee Sticker Shock
Financial advisors suggest downgrading to a no-fee Chase card (e.g., Sapphire Preferred) instead of canceling, which can hurt credit scores.
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