I was starting to think about my spending plans for 2015. I usually use the Chase Freedom card on most of my “non-category” purchases, as I earn additional points because I have a Chase checking account. Specifically I earn 10% extra points per $1 spent PLUS 10 bonus points on every purchase. (Note-this benefit is ending 12/31/15). I also like accumulating Chase Ultimate Rewards. I use my Chase Sapphire Preferred card frequently as well.
However, as I have been writing a lot of these posts, I have started thinking about my own spending habits and cards. I have decided that I can do better than the Freedom card for everyday “non-category” spending. Also, I would have been forced to make a new card decision by the end of 2015 anyway because the checking account benefit is ending 12/31/15.
I applied for and WAS ONCE AGAIN approved for the Barclaycard Arrival Plus World Elite MasterCard. With my offer, I will receive 40,000 BONUS MILES offer after I spend $3,000 in the first 90 days of account opening.
I will also earn unlimited 2X miles on every purchase. I can then redeem my miles for a travel statement credit toward all or a portion of my travel purchases. Redemptions start at 2,500 miles for $25, toward travel purchases. In addition, I will get 10% of my miles back, every time I redeem for travel statement credits. (Now 5% since the time of this post)
If I was to compare these redemption rates to the redemption rates of Chase Ultimate Rewards points, the Barclaycard Arrival Plus card comes up short. With Chase, one Ultimate Reward point equals $0.0125 incremental ticket value on travel. To put it in the above terms, you are essentially getting 20% of your points back when you redeem. (versus the 10% above).
However, I feel that I will make up this shortfall in that the earning potential with the Barclaycard Arrival Plus is much greater than the earning potential with my Chase Freedom. For example, using a purchase of $200–with the Freedom card I was earning 200 points + 20 points (10%) + 10 points–for a total of 230 Chase Ultimate Rewards points. With the Barclaycard Arrival Plus card, I will be earning 400 miles on that purchase.
I am happy with my decision. I will keep you up to date on how I end up redeeming the miles!