Update: DEAD! Don’t miss it if this becomes alive again. Sign up for deal notification alerts here!
On Thursday Chase added several new benefits to their Sapphire Reserve and Chase Sapphire Preferred® Card cards.
As of today, you can redeem your Sapphire Reserve Ultimate Rewards points to offset any dining, grocery store, or home improvement purchases at a rate of 1.5 cents per point or you can redeem your Chase Sapphire Preferred® Card Ultimate Rewards points at a rate of 1.25 cents per point.
This limited time promotion will expire on 9/30.
Other limited time Chase promotions include:
- A $100 Sapphire Reserve statement credit upon renewals, this is being transitioned to a $450 annual fee from July-December
- An additional 3 months to earn a signup bonus for cards opened in January-March.
- An additional 3 months to earn a 2nd tier signup bonus for cards opened in October-March.
- Bonus points for spending on groceries through June.
- Bonus points for spending on Doordash and Tock through 5/31, on top of the new Doordash statement credits on Sapphire Reserve
- Redeeming United miles at a value of 1.5 cents each to pay your Chase United annual fee.
- Between 6/1-12/31 you will get automatically reimbursed for gas and groceries with your Sapphire Reserve $300 travel credit.
You have 90 days after a purchase to redeem points for a statement credit against it. The site tells you how many days you have left to redeem points and it also works for restaurant and grocery delivery services:
You can choose to redeem points against all or part of a purchase:
Interestingly, it even allows you to redeem points against purchases that were covered by card benefits. For example this Doordash purchase was automatically reimbursed by Sapphire Reserve’s $60 annual Doordash benefit, but is still eligible for reimbursement a 2nd time by redeeming points:
That should mean that you can get a 2nd statement credit for groceries that are already refunded as part of the Sapphire Reserve’s expanded $300 travel credit, which is valid for purchases on gas and groceries between 6/1-12/31.
If you, a household member, or an additional user business co-owner have points on other cards you can combine them together to redeem them with your Sapphire card.
You can do that by clicking here to go to the combine points page. Just click on the card you want to transfer points to and from or click to add a household card account.
You can also upgrade your Freedom, Freedom Unlimited, Sapphire, or Chase Sapphire Preferred® Card to a Chase Sapphire Preferred® Card or Sapphire Reserve to take advantage of this promotion. Or you can apply for a new Sapphire Reserve or Chase Sapphire Preferred® Card card
Of course the real question is should you do this? If you redeem points for paid travel at a rate of 1.5 cents each then it’s a no-brainer to claim as many statement credits as you can during this time period. Redeeming points via Chase for travel means that you have to book via the Chase portal, which means you lose out on benefits like hotel elite perks and free baggage on United for United cardholders when using a United card.
If you use points for mileage transfers, this is much trickier. Those points can be worth much more than 1.5 cents each when you redeem for valuable redemptions. But with mileage programs devaluing their points and heading towards dynamic point redemption, who knows how much longer outsized redemptions will stick around. We can hope that airlines and hotels realize they need to offer aspirational redemptions at a good value to keep people from switching to cashback cards, but the trend has not been good.
Some people may start maximizing their dining, grocery store, or home improvement purchases. For example you can buy gift cards for hundreds of stores at those stores that you can get reimbursed at a rate of 1.5 cents per point.
But it’s also perfectly OK to just use it for regular purchases to take some chips off the table and leave yourself with enough points to still use for your trips. You can also set aside the cash redeemed to use on future travel when transferring points aren’t advantageous over paid travel.
If you need the cash now, then cashing out your points in this manner is easy to recommend. There’s certainly zero shame in redeeming Chase points for 1.5 cents cash and the extra cash can help people get through these difficult times. Plus credit card points are considered a purchase rebate, so you won’t owe any taxes on these points.
I also think it’s great that groceries is a valid category for this promotion as well as the expanded $300 travel credit promotion, as that is easily redeemable and can really help people that were hit hard financially by COVID-19. Plus many grocery stores also offer rewards for gas, which can mean that you’ll get even more perks for your reimbursed grocery purchases.
Personally I’m torn. I typically transfer points to miles where I get a value of 2 cents or more per point. Having Chase points means I can transfer them on demand when I figure out exactly which airline or hotel will give me the best value for my points. But it becomes more difficult to justify that strategy when points can be cashed out at 1.5 cents each!
Loading ...
Leave a Reply
139 Comments On "Now Live! Will You Pay Yourself Back (Twice?) For Dining, Grocery, And Home Improvement Purchases With Chase Sapphire Preferred® Card Or Sapphire Reserve Points?"
All opinions expressed below are user generated and the opinions aren’t provided, reviewed or endorsed by any advertiser or DansDeals.
Any idea if we get to keep the points earned (including 5x on groceries) if we pay ourselves back?
My guess is that you will keep the points even if you use a statement credit against them.
However if the purchase is reimbursed as part of the $300 travel credit (or redeemed twice), then you probably won’t keep the points.
So, for those of us with a lot of points trying to maximize benefits, we should spend as much as possible (up to $1500) by the end of the month (today!) at grocery stores.
Does anyone know of any supermarkets in Manhattan that sell gift cards?
Why only up to 1500 dollars ? Is there a limit on the amount of points you can redeem?
No, that’s the limit for bonus points on grocery purchases per month, through the end of June.
To maximize the benefit (and assuming you have enough points that this will work), you want to spend the full $1500 on groceries in May and another $1500 in June. But May ends today.
If you have less than 200k UR points that you want to cash out, you probably don’t want to aim for the full $1500 per month. And if you have less than 100k UR, you can ignore May entirely. (My balance falls between those two, and I’ve also spent about $500 this month already on groceries, so ideally I’d want to spend about $500 today plus $1500 next month. The additional 4 UR points per dollar on $500 is worth $30, so I think I’m going to walk over to Trader Joe’s this evening and buy myself a gift card if the lines aren’t too long.)
I’m assuming here that the 5x grocery bonus isn’t extended past the end of June. I hope it is, but I’m going to assume it isn’t.
so wouldn’t it make sense to get the cash back on purchases made in march? or it doesn’t matter?
Unless you’re holding out for more value than 1.5 cents per point, there’s no reason not to use cash back on March purchases.
does it make a difference if i cash out at things that were 5x points?
in may or does it not make a difference?
On Lyft rides, you still get the bonus of 7 points per ride, even if it was paid by the $300 travel offer. I would assume that the same would be with groceries, you would get the 4x bonus point, not the 5x.
Will post DPs. Terms look to be in our favor, but let’s see…
Just got my credit and can confirm, yes. You keep the initial points accrued for the purchase.
I currently have the CSP.
If I upgrade to the CSR, I’m going to be charged $550 or $450?
Thanks
Call and ask and let us know?
Note that the answer might be different in July.
Just upgraded Today. $450
Dan – regarding upgrades, will we be charged $450 or $550? Will we be able to redeem for grocery purchases placed on the original card?
Call and ask and let us know?
Note that the answer might be different in July.
I’d have to imagine that eligible purchases on an upgraded card will be eligible after the upgrade.
I upgraded Today and it happened in instant. Allowed me to redeem prior purchases for 1.5x with the new reserve.
If I already paid for purchases can I still redeem for statement credit?
Yes, you have 90 days from the date of purchase regardless of whether you paid it already.
You can request a statement credit as well as a check for your credit balance.
When you have more than 6,000,000 points, you can talk about taking some chips off the table…
Having a bunch of Freedom and Ink Cash cards certainly helps with that 🙂
Trying to understand. How can i redeem for 1.5 cash?
“If you need the cash now, then cashing out your points in this manner is easy to recommend. There’s certainly zero shame in redeeming Chase points for 1.5 cents cash and the extra cash can help people get through these difficult times.”
Cash in your account against past or future grocery, dining, or home improvement purchases.
how far back can i go to redeem a purchase?
Read the post please.
Dan, for someone like you that has “unlimited” points, than ya might as well cash as much out as you could.
Certainly not unlimited at the rate I redeem:
https://www.dansdeals.com/?s=here%27s+how+burned
And now I have to redeem for 6, ka”h!
To clarify on your earlier comment…if I want to upgrade from preferred to reserve, should I first cash out on previous purchases or do you think they will be there to cash out at the higher rate after the upgrade? Thanks!
They should be redeemable at a higher rate after the upgrade.
thanks I am redeeming it and downgrading at next annual renewal
20% bonus on apple redemption too
If I spend at apple, will it show up as possible redemption or do I need to purchase through ultimate rewards?
Terrible deal.
Buy gift cards from a grocery store instead.
Just cash out at 50% and buy with CC.
Is this only redeemable against grocery purchases made on the CSR? What about grocery purchases I made on my Freedom Card (since this quarter was 5% back)?
Needs to be CSR/CSP, though you can upgrade Freedom to CSR/CSP.
Amazing! It works for purchases in Israel, too. I usually aim for 1.8 cents value, but with the future of travel so shaky, I think I’ll redeem a chunk for statement credit.
Is there a limit on the amount of points can you redeem all 6 million?
No limit.
How does the 20% bonus work with Apple?
Once you exceed $1,500 of grocery purchases in May & June, if you buy a $500 VGC it costs $6 but you receive $7.50 when you redeem. So what am I missing- all you net is $1.50?
You’ve cashed out your points at a rate of 1.5 cents per point into the form of a VGC that can be used on anything, rather than being only available for travel booked through the (sometimes quirky and incomplete) Chase UR portal. That’s worth a lot more than $6 in my book. (Too bad none of the grocery stores near me sell VGC’s, as far as I know.)
Until this May, no one would have used the CSR for grocery spend. So I don’t see how this is a big help with a stash of points earned in the past.
You can upgrade other cards.
I don’t understand how this helps if you have a Sapphire already.
You can downgrade the other Sapphire.
So you’re saying I can downgrade my current CSR & then upgrade my Freedom & I will get another $1,500 @ 5x in grocery spend?
Spend on groceries now to free up the points you’ve earned in the past.
Once you spend $1,500 per month on grocery in May & June isn’t it better to earn 12x with the Amex Hilton Surpass?
Not if you want cash.
Also (and most obviously) not if you don’t have the Amex Hilton Surpass.
So if my current statement balance is zero, and i use points to redeem past purchases i essentially can cash out my points at a rate of 1.5c, is that right?
Yes.
Only for grocery dining and home improvement stores.
too bad ink business preferred not offer this option, yet.
Is BJs or Costco grocery?
No, but if you order from them via Instacart it would count.
And pay an extra $3 per item…
Is Walgreens a grocery ?
Is it x5 for $1500 in May plus x5 for $15oo in June ? Spend $3000?
No.
https://www.dansdeals.com/credit-cards/earn-bonus-points-spending-groceries-chase-consumer-cards/
here’s an interesting data point: for some reason my zoom subscription is also showing up for 1.5 CPP redemptions. Not sure why, but i’ll take it.
Cool, anything else interesting show up?
other than that just categories that they mentioned – supermarket, home improvement, etc.
Zoom also came up for me
walmart supercenter came up for me
Same for me. Even the electronics which has a separate checkout is redeemable. Bose headphones..
Does Chase send 1099s for statement credits?
No, as it is a purchase rebate.
“Plus credit card points are considered a purchase rebate, so you won’t owe any taxes on these points” you are right about that but what if the points are from a signup bonus, wouldn’t they give a 1099 for that?
A signup bonus is a purchase rebate as well, hence the minimum spend requirement.
Ok thanks. It’s possible that some checking account bonuses would be taxable but I guess most people have chase points from a credit card offer.
Does bingo work?
Previous reports say it is coded as wholesale.
Any use calling them to change the coding ie Bingo codes as shopping rather than groceries?
You might have better luck contacting someone higher up at Bingo to get them to change to grocery…
Can you redeem the same purchase more than once?
Probably not, but try and let us know.
Can I get the money in my account since I paid already a big CC bill? Or is a statement credit the only option?
Also once I get the statement credit can I spend that credit for anything, or only in the catagories mentioned?
You can use the credit for anything or you can request a refund check for the credit balance.
Thanks Dan I redeemed successfully your the best!
Do I have to call for a check once it posts on my CC statement?
Yes, or wait 90 days.
By redeeming points in this manner are you essentially using up your points and exchanging then for cash as opposed to using them for travel, for example?
I made a purchase that I received 2x on the CSP as it was coded as “grocery”, yet when I tried to redeem for 1.25 it doesn’t show up under eligible transactions? I called chase and they said they are 2 different programs so I received bonus points but wouldn’t be able to use points towards it. Any ideas Dan?
If you got 2x, then it’s not coding as a grocery purchase.
I don’t think it’s a bad idea for you Dan. Tachlis, where will you travel? You may find some great offers and deals yes but burn 1 million points for 15k in food and groceries and you’ll be ahead.
Your points are not incurring interest. Hence investing 15k you would otherwise spend could net you some real $$ too.
First of all, where am I spending $15K on groceries by September and how will I earn interest on that?
Second, I very much treasure how I’ve used my points:
https://www.dansdeals.com/?s=here%27s+how+burned
HD and Kroger are very aspriational and very grammable. *Not
I guess it might be on a bucket list if the bucket is Orange an is a 5 Gal. Homer bucket. 🙂
That said trips we’ve taken with points and those memories are treasured and far more valuable than groceries or goods at a Home improvement store.
Yet 1.5x it is not a reasonable exit manner for the interim for many.
What the stores in Home Improvement, is it restricted to only Lowes & Home Depot type or are suppliers included as well?
Anything that is categorized as Home Improvement should work.
“We are unable to process your order at this time and apologize for the inconvenience. Please try again later or head back to the Ultimate Rewards Homepage to check out other things you can do with your points.”
Same here. Any luck? Did you find out the reason for this?
Sorry Dan, I meant I received 3x for the purchase and it does show up as grocery by the purchase. Bottom line, if it works for that bonus shouldn’t it be coded the same for the new “pay yourself back” ?
Jade is good Chinese
The mala chicken is amazing!
Whats the “plus 50% more value” – is that on top of the 1.5 cents per point? Whats the total value you receive?
You mention about redeeming points for paid travel at 1.5.
Do they offer that as well besides on the grocery etc. Categories?
Is Best Buy counted??
Does this also apply to the Business Preferred Card?
Anyone know if get disqualified for bonus at later time if u upgrade preferred to reserve?
Also If ye for how long ?
Anyone having trouble getting the statement credit feature to work? Does it get hung up if this is attempted the same day points have been transferred from a different UR acct? Or near the end of a statement period ?
Anyone else getting this message: We are unable to process your order at this time and apologize for the inconvenience. Please try again later or head back to the Ultimate Rewards Homepage to check out other things you can do with your points.
Same —see my post below. Thinking its only a temporary glitch ..
I never heard of the CSR doordash credit. Good thing I read this post. Lol.
Anyone knows how gas purchases at Costco/Sams club will work towards Sapphire Reserve $300 travel credit? Thanks.
ERROR MSG: We are unable to process your order at this time and apologize for the inconvenience. Please try again later or head back to the Ultimate Rewards Homepage to check out other things you can do with your points.
Any luck with this?
Upgraded today. They said as of today the rate is still 450 on the annual fee. Can change any point
Nice!
Just called to upgrade and they said $550. Did HUCA and got same answer. I’m waiting for now. Dan – it should switch to $450 on 7/1, correct? Thanks!
Is the $300 in addition to yearly travel credit (like Amex did with Dell) or just expanded categories?
No, expanded categories.
is this something that will end after covid?
“This limited time promotion will expire on 9/30.”
So, most likely not during, not after, covid.
This 1.5 redemption for groceries is also working on grocery store purchases in Israel.
Still getting this ERROR MSG after a week:
We are unable to process your order at this time and apologize for the inconvenience. Please try again later or head back to the Ultimate Rewards Homepage to check out other things you can do with your points.
Anyone figure out the problem, when receiving this message?
Can upgrade preferred to reserve within the first 13 months?
FYI I ran a 19k transaction at home depot through the card assuming it would be repairs and maintenance like it has been in the past. The merchant (or chase) changed it to a different category so I wouldn’t be eligible for the pay yourself back!
“ That should mean that you can get a 2nd statement credit for groceries that are already refunded as part of the Sapphire Reserve’s expanded $300 travel credit…”
Is this confirmed? I know those purchases are eligible and are available to use via PYB, but will you actually get a statement credit? I thought this PYB feature is just “covering” your purchases? Which would mean that you’d be wasting points to “cover” a purchase which was already refunded and you didn’t pay for. I’m not so sure that the fact that it’s “eligible” means anything. It’s possible they list all eligible purchases. (without factoring in if it was refunded or not)
TIA!
If you only have the CSP and redeem at 1.25. Would it be wise to spend 1500 on groceries and redeem credit?
Where do I go to redeem miles for grocery charges? I am searching and can’t seem to find that option anywhere.
Link is in the post.
Is ikea home improvement?
So, it is now the end of June, I have some transactions eligible for PYB, and I am STILL getting the following:
We are unable to process your order at this time and apologize for the inconvenience. Please try again later or head back to the Ultimate Rewards Homepage to check out other things you can do with your points.
The transactions that I am selecting were included in the $300 travel credit.
Has anyone succeeded in getting PYB to work on these transactions? Feeling frustrated.
Thanks!
“We are unable to process your order at this time and apologize for the inconvenience. Please try again later or head back to the Ultimate Rewards Homepage to check out other things you can do with your points.”
Anyone any luck?
Had an issue with the link.. try going to the page “reward yourself” without the link….
new CSR accounts are $550 af?
Dan, if I cash out the points against a purchase & then i get a refund or return that item/purchase, how would that work? Would they take back the points I redeemed? Would it raise those red flags and possible shut down my accounts that you’ve discussed in the past?
Will these credits for gas and grocery purchases work in a foreign country (Canada)?
Yes.
So if my upgrade fee didnt post after 2 months, did i get away with it?
What I like about this is that even though the points are worth1.25 for travel as for groceries, on the ultimate rewards portal the “prices” of flights are sometimes more than elsewhere so that effectively reduces the value of the points, ma she’ein kein if you use them for groceries and just buy tickets elsewhere. Thanks r Dan for your clear and concise reports!
You may want to post a reminder for people to redeem their credits before the deadline this week.
I dont understand the value of this program. If I have a Freedom unlimited card, I am earning 1.5 cents per dollar and I can get cash back of 1.5 cents for every dollar. So why is this 1.5 cent/ 1.25 redemption valuable? You can get that any day with cash back on a Freedom unlimited purchase. What am I missing here?
How do you get 1.5×1.5 (2.25% back) on Freedom Unlimited alone?
If i buy visa gift cards in home depot will that come up as home improvement or it will be charged straight from visa?
If I make a grocery purchase and I pay my credit card balance can I still redeem points towards the paid purchase?
Is Lowes considered home improvement?
In case someone has thoughts, or if Dan has time to answer this –
I just opened a Freedom Flex card in December (just managed to max out on the bonus 5% category before the end of the year).
They now give me 5% back on all grocery shopping (up to $12,000), but if I put the grocery shopping on my Sapphire Reserve, I can pay myself back with points at the 1.5% rate.
Not sure how quickly I’ll be spending points on travel now, and if I really need that many points, but am I better off putting my grocery shopping on the Freedom Flex card, and getting 5% back, or putting it on the Sapphire Reserve, and paying myself back?
Thanks a lot!!