My Thoughts On The New Chase Ink Business Preferred Card

In the interest of full disclosure, One Mile At A Time earns a referral bonus for anyone that’s approved through some of the below links. These are the best publicly available offers that we have found for each card. Please check out our advertiser policy for further details about the partners we work with. Thanks for your support!

Yesterday Bloomberg broke the news that later this year Chase will be introducing a new business card, called the Chase Ink Business Preferred Card. The basic details of the card are as follows:

  • The card will offer a sign-up bonus of 80,000 Ultimate Rewards points after spending $5,000 within three months
  • The card will offer triple points on the first $150,000 spent annually on travel, telecommunications, shipping and advertising on social-media and search engines
  • The card will have a $95 annual fee

There are some things I find especially interesting about this new product, and how it’s being positioned.

How does this compare to Chase’s existing lineup?

Chase has two small business credit cards that they’re taking applications for right now — the Ink Plus® Business Credit Card ($95 annual fee) and Ink Business Cash℠ Credit Card (no annual fee). These cards offer some great bonus categories.

The Ink Plus® Business Credit Card offers the following rewards:

  • 5x points on the first $50,000 spent annually at office supply stores, and on cellular phone, landline, internet, and cable TV services
  • 2x points on the first $50,000 spent annually at gas stations and hotels

Meanwhile the Ink Business Cash℠ Credit Card offers the following rewards:

  • 5x points on the first $25,000 spent annually at office supply stores, and on cellular phone, landline, internet, and cable TV services
  • 2x points on the first $25,000 spent annually at gas stations and restaurants

The Ink Plus offers outright Ultimate Rewards points, which can be pooled with points earned on cards like the Chase Sapphire Preferred® Card. Meanwhile the Ink Cash is really a cashback card, with each point being worth a cent. However, in conjunction with a card earning Ultimate Rewards points, each point can be converted into an Ultimate Rewards point, and transferred to one of their airline or hotel partners.

Will this be an entirely new product?

What I find especially interesting here is that Chase is creating yet another $95 annual fee business card. The branding on this card makes a lot of sense to me. Chase’s mid-range personal card is the Chase Sapphire Preferred® Card, so I’ve always wondered why they didn’t also have “Preferred” in the name of the comparable business card.

Does Chase really intend to run these two products parallel to one another? Personally I would guess not, and I wouldn’t be surprised if the Preferred replaces the Plus. For example, Chase had the Ink Bold card in the past, though they stopped taking applications for it a while ago, while existing cardmembers can continue to use it.

That’s why I’m a bit surprised that Chase isn’t simply converting their existing Ink Plus product to the Ink Preferred.

I may have a completely wrong read on the situation, and perhaps Chase plans on continuing to offer both the Ink Plus and Ink Preferred.

How is this card’s rewards structure?

For someone looking for a business card, the Ink Preferred has a fantastic, practical rewards structure. Triple points on travel, telecommunications, shipping and advertising on social-media and search engines, covers a lot of categories that are actually useful to businesses.

While the 5x points at office supply stores offered by the Ink Plus and Ink Cash is nice in theory, in practice most businesses aren’t spending that much at office supply stores (though I know a lot of people liked to maximize that category).

Amex’s closest competitor to this card is The Business Gold Rewards Card from American Express OPEN, which offers a sign-up bonus of 50,000 Membership Rewards points upon completing minimum spend. The card offers bonus points in the following five categories:

  • Airfare purchased directly from airlines
  • U.S. purchases for advertising in select media
  • U.S. purchases at gas stations
  • U.S. purchases for shipping
  • U.S. computer hardware, software, and cloud computing purchases made directly from select providers

You can pick in which category you want to earn 3x points, and then in the other four categories you earn 2x points. For each individual category you can earn 2x or 3x points for at most $100,000 in purchases per year (which I imagine wouldn’t impact a vast majority of us).

Amex-Business-Gold-Card-2

I’d say the Ink Preferred has a slight edge over the Business Gold Rewards Card, though it depends on which category you spend most in.

A huge new cell phone benefit?

The Points Guy reports that the Ink Preferred will come with a great new cell phone benefit as well. Apparently the Ink Preferred will offer up to $600 in protection against damage or theft to cell phones, for you and any other lines listed on your bill. There’s a $100 deductible, and you can file up to three claims per year.

The card also offers 3x points on eligible telecom purchases, so this would definitely be a reason to pay your cell phone bill on this card, given how expensive cell phones can be to replace.

Bottom line

In my opinion it makes a lot of sense for Chase to align their marketing on business and personal cards, so the “Preferred” branding is logical. The triple points offered on this card are also practical, given that they include categories in which many businesses spend a lot of money.

The big question is whether the Ink Preferred is replacing the Ink Plus, or complementing it. While the benefits are different, offering two cards with the same annual fee seems like it would add some confusion for consumers.

What do you make of the Ink Preferred, and do you think Chase will keep around the Ink Plus?


Non-Affiliate Product Disclaimer: The information for the Ink Business Cash℠ Credit Card has been collected independently by One Mile At A Time. The card details on this page have not been reviewed or provided by the card issuer.

Regarding Comments: The comments on this page have not been provided, reviewed, approved or otherwise endorsed by any advertiser, and it is not an advertiser's responsibility to ensure posts and/or questions are answered.

Comments

  1. Very good point about not falling for your favorite bloggers card pushing. Keep your powder dry. If you had already used up your powder (aka applications) over the last two years you wouldn’t be able to get all the latest lucrative cards. Your favorite blogger won’t help you over the 5/24 while he/she/it relaxes in the first class.

  2. So if I have a chase personal card and apply for this, I can get the sign up bonus and have that pooled into my current ultimate rewards account? Do they simply link it with my existing card at the time of application?

  3. @Credit:

    What’s with the entitlement of the readers of travel blogs? No one is forcing you to read or buy (or sign up for) anything. Not to mention that what they are offering you, comes at zero cost to you.

    Are you in the habit of working for free? If so, shoot me a line, I’m sure I can find a use for entitled self-important free labor.

  4. Hey Ben
    Do any of the chase cards have a limit on the amount of points you can receive per transaction or in a certain period?
    it does not have to be any of the cards in this article.
    for example
    if i spend 10K or 100K or even a 1 million USD would i still get the points?
    or does Chase say that up until a certain amount of use you get point. more than that and you dont get anything.

  5. @ Daenil — There’s no limit to how many points you can earn on any of those cards as far as I know. Sometimes there are limits to the bonus categories. For example, it will be $150K on the Ink Preferred, and it’s $50K on the Ink Plus and $25K on the Ink Cash. I don’t know of any such limits on personal cards, though.

  6. I’m definitely going to apply for this. I have the AMEX gold mainly for the 3x on advertising but I’ll usually hit my max in the middle of the year. This wiill let me continue to get 3x on advertisting and diverisfy my points in the process.

  7. Maybe. With the new AMEX business platinum bonuses gold MR points have become really valuable. The 50% back on premiums cabin redemptions and 1.5X on purchases over $5k make my points 3% return put that with the 3X on shipping from the gold makes those hold points worth almost 5% back

  8. I currently run a small business and we are in the process of switching from Amex SPG to Chase Ink Plus. Should we be applying for Preferred instead? Doesn’t Plus pay 5X on office supplies, which include Internet, Cell, Office phone, etc? It was my understanding that these categories are considered office supplies. If that is the case, what is the benefit to going with Preferred (although I do like the cell phone insurance)?

  9. @ Woodrow — Indeed, the Ink Plus offers 5x points on telecom, internet, etc., so if that card works for you then it could make sense to sign-up. The Preferred won’t offer as many points in those categories, but will offer 3x points on travel and select advertising. So I guess it depends which you value most. You can potentially even get both of them, if you wanted to.

  10. Too bad most of us won’t be able to get this new card. Chase is denying apps on the Ink Plus for anyone who has opened more than 5 new accounts in the past 24 months, and will almost certainly do the same with the Preferred. ;(

  11. Aside from the 80k points, this one just doesn’t really grab my attention. Probably a pass on this, for now.

  12. Is there going to be a no annual fee version of the card? Forgetting about the Ink Plus for a moment and whether it will be replaced by the Preferred, I can’t imagine they’ll keep the Ink Cash the way it is, earning 5x points on office supplies and telecom, while the Preferred earns 3x.

  13. This is a biz card so 5/24 is not an issue, right? Wonder how the non points benefits of this card compare with the Sapphire and Ink?

  14. Do you know if the new Ink Preferred Business card will have the bonus points back on air tickets booked directly with Ultimate rewards?
    I believe the current Ink Plus has this benefit of 25% or 30… i think.
    Please correct me..
    And let me know about the new one!
    Thanks!

  15. RE: “triple points on the first $150,000 spent annually on travel, telecommunications, shipping and advertising on social-media and search engines”

    Do the triple points apply to 3rd party travel booking sites or does the travel have to be booked direct with each respective airline/hotel/etc?

Leave a Reply

Your email address will not be published. Required fields are marked *