Table of Contents
You can now earn 80,000 Southwest points when you signup for the brand new Chase Southwest Performance Business Credit Card and spend $5,000 in 3 months.
If you’ll redeem points for an average of 1.65 cents each the signup bonus will be worth $1,320. If you qualify for a companion pass that number can double to a whopping $2,640 signup bonus.
Don’t fly? You can also redeem points for gift cards!
There is a $199 annual fee, though the points and benefits are worth far more than that.
Welcome bonus terms:
You can open and get the bonus on this card even if you have other Southwest consumer and business cards.
You can get the bonus as long as you don’t have an active Chase Southwest Performance Business Credit Card or have received a bonus on the Chase Southwest Performance Business Credit Card in the past 24 months.
That means you can also get the 60K bonus on the Chase Southwest Business Premier card. You should also be able to product change between these 2 Southwest business cards. See this section of the post for a comparison chart of all Southwest cards.
However all Chase cards appear to be subject to 5/24 restrictions, meaning that you are not likely to be approved if you have been approved for 5 or more consumer credit cards in the past 24 months. Note that the Chase system automatically counts cards like authorized user cards and store cards as cards that count towards 5/24, but if you explain to Chase that those cards are merely authorized user cards or store cards they can manually approve you for a new card.
You can check your credit report for free at the federally authorized annualcreditreport.com to check how many accounts are shows as being open in the past 24 months.
- 1 point per dollar everywhere
- 2 points per dollar on social media and search engine advertising, Internet, cable, and phone services.
- 3 points per dollar on Southwest purchases.
- There are no foreign transaction fees.
You’ll need to spend $5,000 on this card within 3 months.
You can pay your federal taxes for a 1.87% fee. If you overpay your taxes you can request a refund or apply it to your next year’s taxes.
My local natural gas company allows me to prepay up to $1,000 on a credit card for a $1.65 flat fee. That’s a great way to earn miles and help meet a spend threshold. My electricity supplier allows me to pay with a credit card for free as long as I am enrolled in autopay.
Don’t fly? Redeem for gift cards!
After spending $5,000 on this card you will have at least 85,000 points.
You can use 85,000 points to get $850 worth of gift cards to places like Alamo, Amazon, Avis, Bed Bath & Beyond, Best Buy, Bloomingdales, Brooks Brothers, Budget, Carnival Cruises, Express, Fairmont, Gap, Hertz, Kohl’s, Lowe’s, Macy’s, National, Nike, Saks, Sea World, Shutterfly, Staples, Starbucks, Target, The Children’s Place, TJMaxx, Walmart, Zappos and more.
You must be a current Southwest cardholder to get these gift card redemption rates for your points.
You’ll earn 9,000 Southwest points every year on your cardmember anniversary. If you’ll redeem points for an average of 1.65 cents each you’ll receive a value of $148.50. If you qualify for a companion pass that number can double to $297.
Upgraded boarding credit:
With this card you’ll get reimbursed for 4 annual purchases of upgraded A1-A15 boarding positions so that you can get some of the best seats on the plane. Upgraded boardings may be purchased at the departure gate or ticket counter on the day of travel. These cost $30-$50, so this is a benefit worth up to $200 per year.
Inflight WiFi Credit:
You’ll receive a statement credit equal to $8 Southwest WiFi charge on up to 365 charges per year! That will let you connect all of your family’s devices when you fly Southwest so that you can save a bundle!
Global Entry/Pre-Check credit:
Cardholders will get reimbursed for Global Entry/Pre-Check Membership. You can get reimbursed for those fees ($85 for Pre-Check or $100 for Global Entry and Pre-Check) every 4 years. Membership lasts for 5 years, so you will be able to renew before your membership lapses. Global Entry/Pre-Check make flying so much easier and its great to see more cards add this benefit as I can get Global Entry and Pre-Check for free for my entire family that way!
This card earns 1,500 tier points towards A-List status for every $10,000 spent. You can earn a maximum of 15,000 tier points annually per card. You can learn more about A-List status here.
Value of Southwest points:
The value of Southwest points is variable based on the paid fare.
If you’ll redeem points for an average of 1.65 cents each, that makes a 60K signup bonus worth $990. If you qualify for a companion pass that number can double to a whopping $1,980 signup bonus.
- A one-way Honolulu-Maui nonstop flight on 12/3 is $38.80 with tax. It can also be bought for 2,105 points plus $5.60 tax. So 2,105 points gets you a value of $33.20 ($38.80 airfare less the $5.60 tax on the points ticket), imputing a value of 1.58 cents (33.20/2,105) per point.
- A one-way Los Angeles-Las Vegas nonstop flight on 12/3 is $44.98 with tax. It can also be bought for 2,227 points plus $5.60 tax. So 2,227 points gets you a value of $39.38 ($44.98 airfare less the $5.60 tax on the points ticket), imputing a value of 1.83 cents (39.38/2,227) per point.
- A one-way Los Angeles-San Francisco nonstop flight on 11/6 is $53.98 with tax. It can also be bought for 2,879 points plus $5.60 tax. So 2,879 points gets you a value of $48.38 ($53.98 airfare less the $5.60 tax on the points ticket), imputing a value of 1.68 cents (48.38/2,879) per point.
- A one-way LaGuardia-Denver nonstop flight on 12/4 is $90.98 with tax. It can also be bought for 5,564 points plus $5.60 tax. So 5,564 points gets you a value of $85.38 ($90.98 airfare less the $5.60 tax on the points ticket), imputing a value of 1.54 cents (85.38/5,564) per point.
- A one-way Newark-Phoenix nonstop flight on 12/11 is $133.98 with tax. It can also be bought for 8,684 points plus $5.60 tax. So 8,684 points gets you a value of $128.38 ($133.98 airfare less the $5.60 tax on the points ticket), imputing a value of 1.48 cents (128.38 /8,684) per point.
Free changes and cancellations. Lock in low fares with no penalty:
While other mileage currencies charge up to $200 to cancel an award ticket, Southwest continues to allow you to cancel an award flight and redeposit the points in your account for future use without any penalties.
Coupled with 2 free carry-ons and 2 free checked bags per person, that’s a lot of added value. A family of 4 needing to cancel award tickets on another airline would set you back $400-$800 versus it being a free change on Southwest. A family of 4 checking 2 bags each would run $560 round-trip on another airline versus paying nothing on Southwest.
Thinking of taking a trip but not 100% sure about it? With Southwest points you can lock in a good rate and just cancel the trip free of charge at any point before the flight if you can’t make it!
You can use the points for yourself or book award tickets for anyone else you want to give a ticket to.
Southwest allows you to redeem points for any seat on any flight. There are no blackout dates or capacity controls.
When Southwest has a fare sale the amount of points go on sale as well as it tracks to the price of the ticket. Best of all Southwest will refund your points if the price of your award ticket falls! Just rebook your trip online for the same dates or give them a call for the credit.
Southwest points will never expire as long as you earn points every 24 months.
After signing up for this card and spending $5,000 you will have at least 85,000 Southwest points.
You can get a free companion pass if you earn 110,000 points in a calendar year from select sources, including earnings from credit card signups and credit card spending! If you earn 110,000 Southwest points in 2019 the pass will be good until 12/31/20. The pass allows you to bring a companion with you for free whenever you fly Southwest, including Hawaii, even if you are flying on a free ticket! That effectively doubles the value of your Southwest points. There is no limit to the number of free companion flights that you can take.
You can designate a companion and change that companion up to 3 times in a calendar year, so you can name up to 4 companions over the course of a year.
You can have one consumer Southwest card and both business Southwest cards.
If you signup for any other Southwest card together with this card you will earn a companion pass. See this section of the post for a comparison of other Southwest cards.
Alternatively you can earn a companion pass by spending on this card until you earn a total of 110,000 points in 2019.
Transfer Chase Points To Southwest to maximize the value of your Companion Pass:
You can transfer points from the following Chase cards to Southwest at a 1:1 ratio. You can redeem those Southwest points and bring a companion with you for free, doubling the value of your points!
Chase premium cards with transferable points:
- Chase Sapphire Preferred
- $95 annual fee, 60K points signup bonus, earn 2 points per dollar on dining/travel, 25% bonus value on using points for paid travel redemptions.
- Chase Ink Business Preferred
- $95 annual fee, 80K points signup bonus, earn 3 points per dollar on select business spending and travel, 25% bonus value on using points for paid travel redemptions.
- Chase Sapphire Reserve
- $450 annual fee, $300 in annual travel credit, 50K points signup bonus, earn 3 points per dollar on dining/travel, 50% bonus value on using points for paid travel redemptions, Global Entry/Pre-check, Priority Pass lounge access.
Chase no annual fee cards with transferable points if you, a spouse, or an additional user have one of the premium cards above:
- Chase Freedom Card
- No annual fee, 15K points signup bonus, earn 5 points per dollar in rotating categories.
- Chase Freedom Unlimited Card
- No annual fee, earn 3 points per dollar everywhere on up to $20K in spending during your first year, then earn 1.5 points per dollar everywhere.
- Chase Ink Business Unlimited Card
- No annual fee, 50K points signup bonus, earn 1.5 points per dollar everywhere.
- Chase Ink Business Cash Card
- No annual fee, 50K points signup bonus, earn up to 5 points per dollar.
Cash back on top of points:
Chase business cards in the chart below are eligible for additional cash back via Visa Savings Edge. That means you can get points plus 2% cash back at Chevron, Sheetz, AutoZone, or Texaco. You’ll earn points plus 3% cash back at Boost Mobile. You’ll earn points plus 4% cash back at Alamo, National, and MGM hotels. You’ll earn points plus 5% cash back at Lenovo and Wyndham hotels.
Business card information, benefits, and 5/24:
This is a business card, but you may already have a business that needs a card to keep track of expenses. For example if your name is Joe Smith and you sell items online, or if you have any other side business and want a credit card to better keep track of business expenditures you can open a business credit card for “Joe Smith” as the business. You don’t need to file any messy government paperwork to be allowed to do that. Just be sure to select “Sole Proprietorship” as the business type and just use your social security number in the Tax Identification Number field.
It’s important to just write your own name as the business name if you are just applying for your own small business as a Sole Proprietorship that doesn’t have any business paperwork.
Business cards from most banks, including Chase business cards, do not get added to your 5/24 count of recently opened cards. That’s because business cards from most banks don’t show up on your personal credit report and the 5/24 count is based off of your personal credit report.
Another benefit of business cards not reporting on your personal credit report is that your credit score won’t be hurt when you spend money on your cards. When you spend money on personal cards your score will be hurt even if you pay your bill on time. That’s because a whopping 30% of your credit score is based on credit utilization, so you lose lots of points even if you pay your bills before the statement due date. You can pay off your credit card bill before your statement close date to avoid that, but that takes effort and laying out money well before you have to. Additionally it’s good to have the statement close with a couple dollars to show the card is active and being paid every month. On business cards from banks like AMEX and Chase the spending is not reported on your personal credit report, so you can wait until the money is due without it having a negative effect on your score. That also means if you close the card, it won’t have an effect on your credit score.
As always, Southwest benefits include:
- 2 free checked bags per passenger.
- Free in-flight messaging.
- Free in-flight streaming entertainment, including movies, live TV, on-demand TV, music, destination guides, and games.
- No change fees to switch your flight. Whether you are on a paid or an award flight you can change without penalty!
- No cancellation fee to cancel your flight (you will get Southwest credit for the full amount paid, even on non-refundable wanna get away fares) or to cancel and redeposit your award flight.
- A refund of the fare or point difference if the price of your flight goes down after you buy it, just call to get the credit at any time before your flight!
Comparison chart to other cards:
Here’s how the new Chase Southwest Performance Business Credit Card stacks up with the:
- Chase Southwest Business Premier card
- Chase Southwest Consumer Priority card
- Chase Southwest Consumer Premier card
- Chase Southwest Consumer Plus card
- Chase Ink Cash business card
|Card||Southwest Consumer Priority||Southwest Consumer Plus||Southwest Consumer Premier||Southwest Business Premier||Southwest Performance Business||Chase Ink Cash Business|
|Signup bonus||40K Southwest points for spending $1K in 3 months plus 20K points for spending another $11K in 12 months.||40K Southwest points for spending $1K in 3 months plus 20K points for spending another $11K in 12 months.||40K Southwest points for spending $1K in 3 months plus 20K points for spending another $11K in 12 months.||60K Southwest points for spending $3K in 3 months||80K Southwest points for spending $5K in 3 months||50K Chase points for spending $3K in 3 months|
|Anniversary Bonus||7.5K Southwest points||3K Southwest points||6K Southwest points||6K Southwest points||9K Southwest points||None|
|Annual Southwest travel credit||$75||None||None||None||None||None|
|Annual Southwest A1-A15 boarding upgrade certificates||4||None||None||None||4||None|
|Points per dollar spent on Southwest||2||2||2||2||3||5 if you buy Southwest gift cards on Staples.com or in office supply stores|
|Points per dollar spent on social media and search engine advertising||1||1||1||1||2||1|
|Points per dollar spent on Internet, Cable, and Phones||1||1||1||1||2||5|
|Points per dollar spend elsewhere||1||1||1||1||1||5 on telecom, office supplies, and gift cards from office supply stores, 2 on gas and dining, 1 elsewhere|
|Credit for Southwest in-flight WiFi||20% cash back||None||None||None||Full credit, up to 365 times per year||None|
|Credit for Southwest in-flight drinks||20% cash back||None||None||None||None||None|
|Credit for Global Entry/Pre-Check||None||None||None||None||Full credit every 4 years||None|
|Points count towards companion pass||Yes||Yes||Yes||Yes||Yes||No|
|Foreign transaction fees||0%||3%||0%||0%||0%||3%|
|Tier qualifying points towards A-list Status||1.5K tier points for every $10K spent, up to $100K annually||None||None||None||1.5K tier points for every $10K spent, up to $100K annually||None|
|Visa Savings Edge cash back||None||None||None||Yes||Yes||Yes|
Will you signup for the new Chase Southwest Performance Business Credit Card?