The 100,000 points question

Customs and Border Protection's Global Entry kiosks speed up the arrivals process. (Image: CBP)

My new Chase Reserve card will pay for my Global Entry renewal next year. Cha-ching! (Image: CBP)

You’ve been hiding under a rock if you’ve not heard all the hoo-hah about the new Chase Sapphire Reserve card by now. (Or maybe you’ve just taken a sabbatical 😉 )

Chase introduced the new card last month and it now appears to be one of the most successful card launches ever. So successful in fact that the bank ran out of the plunky metal cards and is sending temporary plastic ones instead.

I’m not a credit card churner or gamer. When I get one, I typically hold on to it for years because I just don’t have the time to keep up with every new card bell or whistles that comes out. Right now, I have a total of five active credit cards (three in my wallet and two in my desk drawer).

Is it time for me to get another card? Yes. So, soon I will have six cards because I’ve just been approved for the new Chase Sapphire Reserve card. It’s that good.

Why did I get it? Here are five key reasons:

Lounging around on a Korean Air A380 ICN-ATL (Chris McGinnis)

You can redeem Chase Ultimate Rewards points to lounge around on a Korean Air A380 (Chris McGinnis)

1> I can’t resist the 100,000 point sign up bonus. And those are 100,000 Chase Ultimate Rewards points…one of the most valuable currencies out there because they can be redeemed or transferred with so many top shelf travel suppliers. (Such as United, Air France/KLM British Airways, Korean Air, Southwest, Hyatt, Intercontinental, and Marriott). With a 50% bonus for booking travel with Chase Ultimate Rewards, that 100,000 points translates into $1,500 in travel. Not bad!

2> Since I put all our household expenses on a single card, I’ll easily be able to reach the $4,000 dollar spend threshold within three months of getting the card– that’s just $1,333 per month.

Earn 3 points per dollar spent in dining out and travel (Photo: Chris McGinnis)

Earn 3 points per dollar spent on dining out and travel (Photo: Chris McGinnis)

3> In our household, we spend a lot of money on travel and dining out— with the Reserve card, you get THREE points per dollar spent on those purchases. That’s significant. One downside is that you earn just one point per dollar spent on everything else.

4> I can afford the $450 annual fee (which is not waived in the first year). Chase makes it easy to swallow this bitter pill with an annual travel credit of $300. That brings the cost down to a still pricey, but easily digestible $150, especially when you consider what I’d pay for this card’s benefits. For example, my Global Entry card expires next year. With the Reserve card, Chase offers a $100 credit toward Global Entry or PreCheck. This card offers primary rental car protection and includes generous trip cancellation, delay and luggage insurance.

Bugles for snacks at the Star Alliance lounge at Barcelona El Prat airport (Chris McGinnis)

My new Reserve card provides access to 600 airport clubs, like the VIP Lounge at Barcelona El Prat Airport- which served bugles on my last visit! (Chris McGinnis)

5> It also provides access to hundreds of airline lounges in the US and abroad, saving me from having to pony up steep per-visit fees when I’m stuck at a faraway airport– and not flying business class.

So I’m convinced that this card works for me. What about you?