With the recent updates announced to the Chase Sapphire Reserve. A lot of credit card enthusiasts have been talking about changes. One of which involves Chase teaming up with Lyft. In this article we will look at how you can earn more on Lyft Rides with Chase. Particularly 10X ultimate rewards points per dollar spent beginning January 12, 2020.

I just found out by doing some reading on lyft.com that this perk is currently slated to last until March of 2022. But I also read about some other exciting information that applies across multiple Chase credit cards.

Chase Credit Cards that earn more with Lyft

Chase Sapphire Reserve: 

        10x total points on Lyft Rides 

        1 year of complimentary Lyft Pink membership per account (business profile is not eligible)

Chase Sapphire Preferred, Sapphire, Ink Preferred, and Ink Plus: 

        5x total points on Lyft Rides 

Chase Freedom, Student, and Unlimited: 

        5% total cash back on Lyft rides 

Chase Ink, Cash, Business, and Unlimited:

        5% total cash back on Lyft rides 

How to earn

Getting started is a breeze.

Step 1: Make sure you have the latest version of the Lyft app downloaded.

Step 2: Set your eligible Chase card as your default payment method.

Step 3: Earn on rides through March 2022.

Please note starting on Jan 12, you’ll be able to activate the Lyft Pink membership. Set your Chase Sapphire Reserve card as the default payment method in the Lyft app (not available for business profiles) by March 2022 and in-app messaging will guide eligible cardmembers through the complimentary enrollment.

How each Chase card earns with lyft

Without taking into consideration other benefits and only looking at the lyft multiplier we will do the math and see where the breakeven point is.

• Chase Sapphire Reserve

With the Chase Sapphire Reserve, you will earn 10X points which can be worth up to a 20% return. Since this benefit is only being added for Chase to up the annual fee by $100. We will use that amount as the breakeven point. You’d have to spend $500 on lyft each year to cover the cost of the $100 fee increase.

$500 X 20% = $100

• Chase Sapphire Preferred, Sapphire, Ink Preferred, and Ink Plus

With the Chase Sapphire Preferred, Sapphire, Ink Preferred, and Ink Plus cards all having a $95 annual fee and earning 5X points which can be worth up to a 10% return. You’d have to spend $950 on lyft each year to cover the cost of the $95 annual fee.

$950 x 10% = $95

• Chase Freedom, Student, and Unlimited and the Chase Ink, Cash, Business, and Unlimited

With the Chase Freedom, Student, and Unlimited cards and the Chase Ink, Cash, Business, and Unlimited cards you earn a flat 5% back. These cards have no annual fee. So there is no break even point here as you have no annual fee to cover. 

What is the best Chase Credit Card to use for lyft?

If you already have the Chase Sapphire Reserve and use Lyft on a regular basis you will probably benefit from keeping it to pay for your Lyft rides.

I think the sweet spot will be to use one of the credit cards with a $95 annual fee. The Chase Sapphire Preferred, Sapphire, Ink Preferred, and Ink Plus as these cards had no increase of the annual fee as of the writing of this article. 

If you have never used lyft before, you can get a free $5.00 credit by clicking here. 

Overall Thoughts

Chase teaming up with Lyft makes sense as a way to add perks that the competitor has.  American Express and Uber have teamed up a while back now. However for those with the Sapphire Preferred in their wallets, this change is pretty lackluster for most. For those with any of the other Chase credit cards mentioned, they will probably receive the most benefit since there is no extra charge attached. 

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This amount is up from the $450 annual fee that many of the cards loyal supporters have grown comfortable with and for good reason. As this credit card offered some amazing perks, especially the initial sign-up bonus of 100,000 chase ultimate reward points.

What’s New?

Well, besides the obvious bad news of the $100 annual fee increase. Let’s look at what your new $550 annual fee will get you. The annual fee increase takes effect on January 12, 2020 for new card holders. If you currently have the Chase Sapphire Reserve you will be locked into the $450 annual fee if your anniversary date is prior to April 1, 2020. The below benefits however will go into effect on January 12, 2020 for current and new card holders alike.

• 10x points on Lyft rides — up from the current 3x rate for Lyft rides and all other travel purchases

• Complimentary Lyft Pink membership — you can activate a year for free. Lyft charges $19.99 per month for this service. This will get you access to 15% off car rides, priority airport pickups, surprise offers, relaxed cancellation policies, and up to three free 30-minute bike and scooter rides (including with Citi Bike) per month in certain metropolitan areas

• Up to $120 in DoorDash credits for food delivery — in addition to offering Sapphire Reserve cardmembers a complimentary year of DashPass membership with DoorDash for waived delivery fees and more. DoorDash charges $9.99 per month for this service. Chase is also adding statement credits for the food-delivery service DoorDash. You’ll get up to $60 in 2020, and up to $60 in 2021.

Do these new benefits justify the new annual fee?

Is Chase Sapphire Reserve annual fee increasing to $550 worth the price? It’s a simple question that has more than one answer. It really boils down to if you already use these services that are being added. One year of Lyft Pink membership is valued at $239. One year of DashPass membership is valued at $119. The two years of DoorDash credits you will get is a value of $120. That’s a value of $418 in the first year alone. If Chase decides not to extend the Lyft Pink membership or the DashPass membership you are still receiving $478 in value in the first two years alone.

But, that is only real value if you already use these services and value them as such. If you only start using these services because you have the Chase Sapphire Reserve, you aren’t saving money. The DashPass membership and DoorDash credit will most likely be easier to use and justify. Many people love their cars and rarely use rideshare services unless it’s for a ride to the airport or you live in a metropolitan area.

If you use Lyft regularly, I’d say 2-3 times per week. Getting 10X chase points per dollar now will be extremely exciting and will more than cover the $100 annual fee increase.

Is Chase Removing Any Benefits?

The Chase Sapphire Reserve will still include the same benefits you have come used to relying on, including:

• $300 in annual statement credits towards travel
• Priority Pass select membership for airport lounge access
• 3X points on travel and dining
• No foreign transaction fees
• Trip delay and cancellation coverage

It would have been nice to see an increase in the travel and dining multiplier or an added earning category like gasoline or groceries. However, at least we can breathe a sigh of relief knowing that they haven’t taken any benefits away.

The Verdict

Ultimately it will come down to your spending habits and if you find value in these new added benefits. The value provided can come in handy and save you some serious green. Sadly, if you won’t use these credits it is going to be hard to justify keeping this card in your wallet for that steep $550 annual fee. Thankfully, instead of cancelling the card you have plenty of downgrade options.

Check back for more updates soon as we will be diving into plenty of information on the Chase Sapphire Reserve card and many other great credit cards. If you like earning 5X points check out the ABOC Platinum Rewards Mastercard.

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