Update: This offer for The Business Gold Rewards Card from American Express has expired. Learn more about the current offers here.
When considering the value you can get out of credit cards, I think of the welcome bonus, the return on spend, and the perks the card offers. When you take all of those things into account, I don’t think there’s a card more compelling than the Ink Business Preferred℠ Credit Card.
For about two years now the card has offered the single best publicly available welcome bonus of any credit card (by my valuation), so in this post I wanted to look at what makes this card so lucrative, for any small business owner who doesn’t have it:
A big 80,000 point welcome bonus
The Ink Preferred Card was launched in November 2016, and is intended to be the business version of the Chase Sapphire Preferred® Card. The card has a massive welcome bonus of 80,000 Ultimate Rewards points after spending $5,000 on purchases within the first three months. Those points can be combined with the Ultimate Rewards points earned on other cards.
I value Ultimate Rewards points at 1.7 cents each, so to me the 80,000 points are worth ~$1,360.
The card has a reasonable $95 annual fee, but for that you get an incredible return on spend and also some great purchase protection.
As a comparison, The Business Gold Rewards Card from American Express OPEN has been offering a 50,000 point welcome bonus after spending $5,000 in the first three months. The annual fee on the Amex is $195, though it’s waived for the first year.
Triple points on great bonus categories
The Ink Preferred Card offers triple points in the following categories:
- Shipping purchases
- Internet, cable and phone services
- Advertising purchases made with social media sites and search engines
You earn triple points on the first $150,000 spent in combined purchases in the above categories each account anniversary year (which means they’re not using a January 1 through December 31 calendar, but rather it’s based on when you applied).
That’s a huge return on spend, and makes this one of the most valuable business credit cards, in my opinion.
Great protection benefits
In addition to a huge welcome bonus and great return on spend, the card also has some other valuable perks that you don’t see on many other business cards. Specifically, the Ink Preferred Card offers:
- Primary collision damage waiver coverage
- Trip cancelation and interruption coverage, of up to $5,000 per trip
- Extended warranty protection, for up to a year on eligible purchases
- Cell phone protection of up to $600 per claim
That last point is a unique benefit you don’t see on many cards. The coverage is for up to $600 per claim in cell phone protection against covered theft or damage for you and your employees listed on your monthly cell phone bill when you pay it with your Ink Preferred Card. You can make at most three claims in a 12 month period, and there’s a $100 deductible per claim.
This is huge, as I don’t know of any other card that offers such a generous cell phone benefit (and who hasn’t broken their cell phone at one point or the other?).
Terms and conditions apply to each of the above, so make sure you read the cardmember agreement to figure out all the rules associated with this.
This card lets you maximize the value of four no annual fee cards
Specifically, Chase has four fantastic no annual fee cards that can help you earn more Ultimate Rewards points:
- Ink Business UnlimitedSM Credit Card
- Ink Business Cash℠ Credit Card
- Chase Freedom® Card
- Chase Freedom Unlimited®
By having a card that earns Ultimate Rewards points, like the Ink Business Preferred, you can convert the points earned on the card (where one point is ordinarily wroth a penny) into Ultimate Rewards points, which I value at ~1.7 cents each. So just having this card makes other cards more valuable as well.
Getting approved for the card
The Ink Preferred Card is subjected to Chase’s 5/24 rule, meaning that you won’t typically be approved for the card if you’ve opened five or more new card accounts in the past 24 months.
This card is considered a separate product from the no annual fee Ink Business Unlimited and Ink Business Cash. So you can potentially get all three cards, and there’s plenty of value in getting all three, since the cards have different useful perks.
Also keep in mind that even a small business (including a sole proprietorship) makes you eligible for a business card, so this would include things like having a rental home, selling things online, freelance work, etc. There are lots of benefits to keeping business and personal expenses separated.
If you do have a sole proprietorship, you can use your social security number as your tax identification number for your business, and your name can also be the name of your business.
When it comes to credit cards I look for three things – the welcome bonus, the return on spend, and the long term perks it offers. In all three areas, the Ink Preferred Card excels. If you don’t yet have this card and are eligible, I’d highly recommend applying.