The Chase Ink Business Preferred Card is a top contender for businesses seeking a rewarding credit card. With its generous bonus categories, valuable sign-up bonus, and flexible redemption options, this card offers a compelling value proposition for savvy business owners and entrepreneurs.
Earning Potential: Maximizing Rewards on Business Expenses One of the key strengths of the Ink Business Preferred Card is its ability to help businesses earn rewards on various spending categories. Cardholders can earn an impressive 3 points per dollar spent on the first $150,000 spent each account anniversary year in the following categories:
- Travel
- Shipping purchases
- Internet, cable, and phone services
- Advertising purchases made with social media sites and search engines
This broad range of bonus categories covers many common business expenses, making it easier for companies to rack up points quickly. Additionally, the $150,000 annual spending cap is relatively high, accommodating even moderate to high spenders within these categories.
Beyond these bonus categories, the Ink Business Preferred Card earns 1 point per dollar spent on all other eligible purchases, ensuring that no business expense goes unrewarded.
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Sign-up Bonus: A Valuable Head Start
The Ink Business Preferred Card currently offers a generous sign-up bonus of 100,000 Ultimate Rewards points after spending $8,000 on purchases within the first three months of account opening. This bonus alone is worth $1,250 when redeemed for travel through the Chase Ultimate Rewards portal or potentially more when transferred to airline and hotel partners.
Securing this sign-up bonus can provide a significant boost to a business’s rewards balance, enabling them to redeem for valuable travel rewards or other perks more quickly.
Redeeming Ultimate Rewards Points: Flexibility and Value
The Chase Ink Business Preferred Card earns Ultimate Rewards points, which are known for their flexibility and potential for high value. Cardholders have several redemption options:
- Travel Redemptions: Points can be redeemed for travel reservations, such as flights, hotels, and rental cars, through the Chase Ultimate Rewards travel portal at a rate of 1.25 cents per point. This option provides a solid value and the convenience of booking directly through Chase.
- Transfer to Travel Partners: For potentially even greater value, Ultimate Rewards points can be transferred at a 1:1 ratio to Chase’s airline and hotel partners, including United Airlines, Southwest Airlines, British Airways, Marriott Bonvoy, and World of Hyatt. Strategically transferring points to these partners can yield redemptions worth significantly more than 1.25 cents per point, particularly for premium cabin flights or high-end hotel stays.
- Cash Back or Gift Cards: While not the most valuable option, Ultimate Rewards points can be redeemed for cash back or gift cards at a rate of 1 cent per point. This flexibility can come in handy for businesses that prefer a straightforward cash redemption.
With such diverse redemption options, the Ink Business Preferred Card allows businesses to tailor their rewards to their specific needs, whether that’s discounted travel, luxury experiences, or simple cash back.
Valuable Benefits for Business Travelers
In addition to its rewarding earning structure and flexible redemption options, the Ink Business Preferred Card offers a suite of valuable benefits for business travelers:
- Cell Phone Protection: Pay your monthly cell phone bill with the Ink Business Preferred Card, and you’ll receive up to $600 in protection against covered theft or damage for you and your employees listed on the same bill. This benefit applies to a maximum of three claims per 12-month period with a $100 deductible per claim.
- Primary Rental Car Coverage: When renting a car for business purposes and paying with the Ink Business Preferred Card, you’ll receive primary coverage for collision damage or theft, saving you from having to purchase the rental company’s expensive insurance.
- Trip Cancellation/Interruption Insurance: If you need to cancel or cut a trip short due to covered situations like illness or severe weather, you can be reimbursed up to $5,000 per person for pre-paid, non-refundable travel expenses.
- Purchase Protection: Eligible items purchased with the Ink Business Preferred Card are covered for up to 120 days against damage or theft, with a maximum of $10,000 per claim and $50,000 per account.
These benefits can provide valuable peace of mind and potential savings for businesses that frequently incur travel-related expenses.
Annual Fee and Other Costs
The Ink Business Preferred Card comes with a $95 annual fee, which is relatively modest compared to the potential rewards and benefits earned. However, it’s essential to factor in this recurring cost when evaluating the card’s overall value proposition.
Additionally, the card charges standard fees for balance transfers (either $5 or 5% of the transfer amount, whichever is greater), late payments ($40), and returned payments ($40). It’s crucial to avoid these fees by managing your account responsibly and making timely payments.
Comparing the Ink Business Preferred to Other Business Cards
While the Ink Business Preferred Card is undoubtedly a strong contender, it’s worthwhile to consider alternative business credit cards to find the best fit for your company’s needs:
- Ink Business Unlimited® Credit Card: For businesses that prefer a straightforward cash back program without bonus categories, the Ink Business Unlimited Credit Card offers an unlimited 1.5% cash back on all purchases with no annual fee.
- American Express® Business Gold Card: This card offers 4X Membership Rewards points on the two categories where your business spends the most each billing cycle (up to $150,000 in combined purchases annually), which can be valuable for businesses with diverse spending patterns.
- Capital One Spark Miles for Business: With no bonus categories to track, the Spark Miles for Business card earns an unlimited 2 miles per dollar spent on all purchases, making it a solid option for businesses seeking simplicity.
Conclusion
The Chase Ink Business Preferred Card is a top contender in the business credit card space, offering a compelling combination of rewarding bonus categories, a valuable sign-up bonus, flexible redemption options, and valuable travel benefits. While the $95 annual fee is a consideration, the potential rewards and perks can easily offset this cost for businesses that can maximize the card’s strengths.
For companies with significant expenses in categories like travel, shipping, internet/cable/phone services, and advertising purchases on social media and search engines, the Ink Business Preferred Card’s 3x earning rate can lead to a rapid accumulation of Ultimate Rewards points. The ability to transfer these points to airline and hotel partners at a 1:1 ratio opens up opportunities for high-value redemptions, particularly for premium cabin flights or luxury hotel stays.
The current sign-up bonus of 100,000 Ultimate Rewards points after meeting the minimum spending requirement is an exceptional offer that can provide a substantial boost to a business’s rewards balance from the outset. Combined with the card’s travel protections, such as primary rental car coverage, trip cancellation/interruption insurance, and cell phone protection, the Ink Business Preferred Card offers a comprehensive package for business owners and entrepreneurs.
While alternative business credit cards may be better suited for specific spending patterns or preferences, the Ink Business Preferred Card stands out as a versatile and rewarding option for businesses seeking a well-rounded travel rewards program.
Ultimately, the decision to apply for the Ink Business Preferred Card will depend on your business’s unique spending habits, travel needs, and overall goals. However, for companies that can maximize the card’s bonus categories and take advantage of its valuable sign-up bonus and travel benefits, the Ink Business Preferred Card is undoubtedly a powerhouse contender worthy of serious consideration.
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FAQs
What credit score is needed for the Ink Business Preferred Card?
While Chase does not disclose specific credit score requirements, you’ll generally need an excellent credit score (typically defined as 720 or higher) to increase your chances of approval for the Ink Business Preferred Card.
Does the Ink Business Preferred Card charge a foreign transaction fee?
No, the Ink Business Preferred Card does not charge any foreign transaction fees, making it a convenient choice for businesses that incur international expenses.
Can I transfer Ultimate Rewards points to airline and hotel partners?
Yes, one of the key advantages of the Ink Business Preferred Card is the ability to transfer Ultimate Rewards points to Chase’s airline and hotel partners at a 1:1 ratio. This flexibility allows you to potentially maximize the value of your points for premium travel redemptions.
Is the Ink Business Preferred Card’s sign-up bonus worth it?
The current sign-up bonus of 100,000 Ultimate Rewards points after spending $8,000 in the first three months is incredibly valuable, worth $1,250 when redeemed for travel through Chase or potentially more when transferred to travel partners. For businesses that can meet the spending requirement, this bonus alone can make the Ink Business Preferred Card worth considering.
Can I add employee cards to the Ink Business Preferred Card?
Yes, you can add employee cards to the Ink Business Preferred Card at no additional cost. This can be particularly useful for businesses that want to earn rewards on employee spending while maintaining oversight and control over account activity.
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