Well this is news to me! As reported by atlas310 on the DansDeals Forums, and confirmed by myself with a Secure Message to the Chase Sapphire team, you do earn the 7% annual bonus on the 50K signup bonus! I had figured that the 7% bonus applied to the bonus categories, but never knew that it would also apply to the signup bonus.
The annual 7% bonus is awarded every January or February on your statement.
So let’s say you open the card today. How big will your signup bonus be after you spend the requisite $3,000?
-Single points categories: You get 53K points now for spending $3K within 3 months and then 3,710 points in 4 months from now with the dividend for a total of 56,710 miles within 4 months.
-Double points categories: You get 56K points now for spending $3K within 3 months on flights, hotels, car rentals, and dining (Charges made in airports, with travel agencies, at caterers, and on timeshares, trains, buses, taxis/limos, ferries, bridges, tolls, and parking also all qualify for double points!) and 3,920 points in 4 months from now with the dividend for a total of 59,920 miles within 4 months.
-Triple points categories: You get 59K points now for spending $3K within 3 months on travel booked via the Chase booking tool and 4,130 points in 4 months from now with the dividend for a total of 63,130 miles within 4 months.
So your total points earned for opening the card and spending $3,000 will be somewhere between 56.710 and 63,130, depending on what you spend the $3,000 on. Not too shabby!
With its array of bonuses, lack of foreign exchange fees, and great award transfer partners like Continental and Hyatt among other mileage transfer options, the Sapphire Preferred card is one of the best non-AMEX cards out there today. Other bennies like $500 per item of return protection, no annual fee for the first year, a customer service rep whenever you call so there’s no automated phone-tree maze, and a heavy metal eye-catching card are just icing on the cake.
The award benefits can be made even sweeter if you also have a Chase Freedom or Ink Cash card in conjunction with the Sapphire Preferred card to take advantage of the 5 points per dollar categories on those cards that can then be transferred over to a Sapphire Preferred (or Ink Bold Business) card and then into valuable Continental miles or Hyatt points. It gets even sweeter yet when you have a Chase Freedom card with a Chase checking account as you then get an additional 10 points per transaction on the Freedom card and a 10% bonus on all points earned on the Freedom card, all of which can then be transferred over to a Sapphire Preferred (or Ink Bold) card and then into Continental miles or Hyatt points.