When you apply for a new Upgrade Card, the company will check your credit using a soft inquiry, which will not impact your credit scores. Once you are approved, Upgrade will do a hard inquiry on your credit report, which can have a small negative impact on your credit scores but may not affect your loan approval.
Of course, it's worth keeping in mind that the Sapphire Reserve offers a $300 annual travel credit, which effectively lowers the cost to just $250 per year — a $155 premium over the Sapphire Preferred. If you'll be spending at least $300 on travel in a year anyway, it could be worth paying more for the Reserve.
It's worth the annual fee for many who value the card's ongoing perks. For example, it has new Lyft and DoorDash credits, and it comes with an annual $300 travel credit. The Chase Sapphire Reserve absolutely can be worth the annual fee, but it's not for everyone.
One of the most popular cards, the Chase Sapphire Preferred® Card , generally requires a minimum credit score in the high 600s, but it's easier to be approved for than the more premium Chase Sapphire Reserve®. The Capital One® Venture® Rewards Credit Card also requires an excellent credit score.
Sapphire Preferred offers rewards in the form of points and is geared toward travel, whereas Freedom positions itself as a cash-back card for everyday expenses. Sapphire Preferred isn't built for carrying a balance from month to month, but Freedom's 15-month 0% intro term gives it some financing functionality.
There are some downsides to consider before you downgrade a Chase Sapphire Reserve card. You won't receive an initial bonus or an introductory 0% APR for the new card. You'll also lose any unused portion of the Reserve card's annual $300 travel credit.
Both bonuses are equal to $750 when redeemed for travel through the Chase Ultimate Rewards® (CUR) portal. Winner: The Sapphire Preferred offers 10,000 more bonus points for the same amount of spending as the Sapphire Reserve, making the Preferred the winner.
It does not impact customer credit, and the customer can take advantage of the enhanced offering.” Whether you want to upgrade, downgrade or just get a better rewards program without a credit hit, do your research and then call your issuer about a product change.
If you ask your issuer to move you from one card to a different one — known as a "product change" — the issuer might run a credit check, particularly if the change involves an upgrade to a card that requires excellent credit, or if you also ask for an increase in your credit limit. That hard pull can ding your scores.
If you have the Chase Freedom®, you can call or message Chase to upgrade to the Chase Freedom Flex℠ — and there's really no reason not to. The only caveat is that if you're eligible, you may want to apply for the Chase Freedom Flex℠ rather than upgrading so you can earn the card's sign-up bonus.
In general, if you have one or two credit cards on hand, you're good to go. But if you pay off your bill in full every month, never use more than 30% of the credit you receive, and make informed choices, then it's not necessarily bad to have a lot of credit cards, especially if they provide a diverse array of benefits.
First, you must have had your card for at least 12 months before you can downgrade it. Also, you cannot switch between personal and business cards even if they are within the same family (i.e., Chase Sapphire Preferred to Ink Business Preferred Credit Card).
15 Signs Your Credit Card Needs An Upgrade
- You can't remember the last time you got a credit card.
- Your spending habits have changed.
- Your credit card isn't even offered anymore.
- Your credit score has improved.
- You're not earning any rewards.
- Your credit limit is ultra-low.
- You have a high interest rate.
- Your income has grown.
To get started with a card upgrade, check with your credit card issuer to see what upgrade offers are available to you. You can do this by calling the number on your card or accessing your account online. If you're a Capital One cardholder, you can sign in to your account to see if you have any offers available.
The Chase Sapphire Preferred® Card is a popular choice for consumers who want to open a travel card without paying hundreds of dollars a year. With a $95 annual fee, it ranks as one of the best credit cards with annual fees under $100. There are other factors to consider like the rewards rates and annual fee.
The Chase Sapphire is one of a few non-affiliated travel rewards credit cards with No Annual Fee attached. What does make the Sapphire unique however is that since it participates in Chase Ultimate Rewards, the rewards earned on the card can also be used for cash back with no devaluation.
The Sapphire Preferred is the better option because of the flexible travel redemption options if you book award travel on a regular basis. But the Freedom Unlimited is better if you don't want to worry about an annual fee and still want to earn unlimited cash back on all of your purchases.
Travel rewards
- A generous sign-up bonus.
- Bonus earnings on travel and dining.
- A 25% boost when redeeming for travel via chase.
- Combine points from multiple cards.
- Transfer points to airline and hotel partners.
- Worldwide acceptance.
- Coverage if your trip is canceled or delayed.
- Baggage delay insurance.
The Chase Freedom Unlimited card offers a good sign-up bonus and an impressive average rewards rate, including a 1.5% cash back rate on general purchases, making it a great starter card for collecting Chase Ultimate Rewards.
Chase Sapphire Preferred Card: Best overall mid-tier cardEarning rate(s): 5x points on Lyft rides; 2x points on dining and travel; 1x everywhere else. At $550 annually, it's not a cheap card, although $300 of that cost is effectively recouped each year through the card's annual travel credit.
Best Chase Credit Cards
- Chase Freedom Unlimited®: Best for Straightforward Earnings.
- Chase Freedom®: Best for Category Bonuses.
- Chase Sapphire Reserve®: Best Premium Card.
- Chase Sapphire Preferred® Card: Best Travel Rewards for a Low Annual Fee.
- Ink Business Preferred® Credit Card: Best Travel Rewards Business Card.
Both Chase and Capital One offer a range of different rewards credit cards as well as credit cards for people with average credit. Capital One does tend to offer more options for people with lower credit scores, while Chase tends to offer more credit cards for people with excellent credit who want high-powered rewards.
If you swap your oldest credit card for a new card, your credit history could decrease and your credit score could drop — but if your credit card issuer counts the two swapped cards as a single credit account, your age of credit will stay the same and won't affect your credit score.
You generally can have two credit cards from the same bank, as most issuers allow that, but that's only a good idea if the cards do not have an annual fee and the rewards or low APR make them worth it. And second, you would not be able to balance transfer between credit cards from the same institution.
If you find your Bank of America card no longer works for you, you can request an upgrade or downgrade to a different product with the bank. Whether you want to earn travel points or cash back, spend a bit on an annual fee to unlock perks or avoid an annual fee, there is likely a Bank of America card for you.
If you are someone who signed up for a credit card, like either of the Chase Sapphire cards, to earn the welcome bonus and now no longer want it, downgrading is still better than completely canceling the account. And it will earn you new cash-back rewards.
