The “Chase Trifecta” is combining three specific Chase cards to gain more value than using just one of those cards.
Although Chase advertises its two Freedom cards as earning cash back, these cards actually earn points (Chase Ultimate Rewards). These points can be redeemed for cash back at $0.01 each (1 Cent Per Point, or 1 cpp). However, we can increase the value after transferring UR to a Sapphire Preferred or Sapphire Reserve card.
The Preferred makes each point worth $0.0125 each (1.25 cpp or 25% more) and the Reserve makes each point worth $0.015 (1.5 cpp or 50% more) when redeeming points against certain purchases or travel expenses. It might not sound like much, but this quickly adds up. And in some cases, the points can be transferred to Chase’s travel partners for even more value.
The value of transfer partners for Chase Sapphire cards
Six transfer partners have point values which are typically above 1.5 cpp (Singapore Airlines, Hyatt Hotels, Iberia Airlines, Southwest Airlines, JetBlue Airlines, United Airlines). The remaining transfer partners usually have lower value, so you don’t want to transfer points there (except in niche situations). In some cases, it’s more cost-effective to save UR and use your credit cards like normal.
2021 points value as per CreditCards.com
- Singapore Airlines – 2.36 cpp
- World of Hyatt – 2 cpp
- Iberia Plus – 1.7 cpp
- Southwest Airlines – 1.6 cpp
- JetBlue Airlines – 1.53 cpp
- United Airlines – 1.52 cpp
- British Airways – 1.4 cpp
- Emirates – 1.1 cpp
- Air France/KLM – 1 cpp
- Aer Lingus – 1 cpp
- Virgin Atlantic – 0.8 cpp
- Marriott Bonvoy – 0.8 cpp
- IHG – 0.55 cpp (or less)
World of Hyatt is the most interesting, because it’s easy to redeem points at 2 cpp or even 3 cpp. Very lucky people have reported getting up to 4-5 cpp in extreme situations.
Example: 5,000 UR has $50 cash value, or $75 value with the Chase Sapphire Reserve’s 1.5 cpp rate. If you find a $150 Hyatt room that takes 5,000 points, this is objectively the best value for your UR.
The downside is that Hyatt doesn’t have locations everywhere, or people prefer other hotel brands, or people don’t want hotels at all (preferring bed and breakfasts, Airbnb, Vrbo, etc).
Additional note: for airlines in alliances, you can sometimes book airlines not listed here, using the points from an airline that’s shown in the above list. The quest for free or heavily discounted flights can get complicated.
The credit card game is always subjective to some degree, and this is one example of how. As always, you’ll need to do your own research to fully maximize your credit cards. Usage depends on personal preferences, lifestyle, and future plans.
How much cash back can you earn with the Chase Trifecta?
For maximum value, the “Chase Trifecta” is:
- Chase Freedom Unlimited (CFU)
- Chase Freedom Flex (CFF)
- Chase Sapphire Reserve (CSR) or Chase Sapphire Preferred (CSP)
With savvy (and lucky) redemptions, you can earn up to 30% cash back from this combination.
The “ideal” way to get the Trifecta is often the following pathway:
- Open a checking and/or savings account to establish a relationship with Chase
- Open a Chase Freedom Flex card
- Earn 20,000 UR (shown as $200) or maybe more, depending on Chase’s current offers. Don’t use ANY points earned.
- You’ll earn at least 500 UR from meeting the SUB
- Open a Chase Freedom Unlimited card
- Earn 20,000 UR (shown as $200) or maybe more, depending on Chase’s current offers. Don’t use ANY points earned.
- You’ll earn at least 750 UR from meeting the SUB
- Open a Sapphire Preferred or Reserve card
- Earn up to 100,000 UR (shown as $1,000-1,250) minus a $95-550 annual fee. This will vary depending on Chase’s current offers, as low as 50k or 60k points. (100k points is the all-time high.) Don’t spend ANY points earned unless you’ll get at least 1.5 cpp in value from transfers.
- You’ll earn at least 4,000 UR from meeting the SUB
- After 12 months, you can product change your Preferred card to the Reserve card, if you didn’t open the Reserve in step 4.
You’ll be charged $550 for opening the Sapphire Reserve; however, your points are now worth 1.5 cpp, and you’ll have a minimum of 105,000 UR – worth $1,575 at 1.5 cpp or $2,100 at 2 cpp. Plus, the Reserve has a $300 travel credit (lowering the annual fee) and other benefits. If you were able to get Chase’s promotion of 5x points on groceries, this is a terrific deal. You can always downgrade the Reserve card after a year, if you don’t want to pay a second annual fee. It’s possible to hold multiple Freedom cards.
If you don’t (or can’t) go up to the Reserve for some reason, your points are still worth a minimum of $1,312 at 1.25 cpp through the Preferred card. The Reserve is typically preferably due to its +50% modifier, but the Preferred is a reasonable enough card in itself. Especially when transferring points.
By opening 3 credit cards and 1-2 bank accounts, you can earn over $2,000 (free money) with little to no effort. You may have to report the checking account bonus to the IRS (check with a tax accountant). But credit card points legally aren’t considered currency or property, and therefore aren’t taxed as income.
For perspective, the monthly federal minimum wage in the United States is about $1,200 pre-tax.
Does the Chase Sapphire Reserve pay for itself?
Long-term, the CSR pays for itself if you redeem enough points at 1.5 cpp or higher. Redeeming 50,000 UR at 1.5 cpp is a $750 value ($250 added value from CSR). This, combined with $300+ in other CSR benefits, effectively puts the annual fee at $0. Every 10,000 UR you don’t earn raises the effective annual fee by $50. For example, redeeming 40,000 UR at 1.5 cpp is worth $600 ($200 added value from CSR).
To earn 10,000 UR ($100 at 1 cpp) you’d need to spend:
$1,000 at 10x earn rate OR
$2,000 at 5x earn rate OR
$3,333 at 3x earn rate OR
$6,666 at 1.5x earn rate OR
$10,000 at 1x earn rate
To earn 50,000 UR (to eliminate the CSR AF) an example of annual spend could be:
$1,000 at 10x earn rate + $4,000 at 5x earn rate + $3,333 at 3x earn rate + $6,666 at 1.5x earn rate.
About $15,000 total in this example. Of course, if you value points more than 1.5 cpp, then you don’t have to spend as much. You’re only aiming to get $750+ in rewards each year. This is coincidentally the amount of the CSR sign-up bonus.
At 1.5 cpp, the minimum amount of cash to spend is $5,300 in 12 months. Spend $300 on travel via CSR to get the annual travel credit, then $5,000 in 10x categories and redeem the resulting 50,000 points at $0.015 each for $750. At 2 cpp, you can save $1,000. Spending $4,000 on 10x categories nets 40,000 points that get redeemed for a $800 value.
If you max out the Freedom Flex 5% categories each year, that’s $6,000 at 5x for 30,000 Ultimate Rewards points.
Is the Chase Trifecta right for everyone?
Check your spending and run the numbers. A lot of people can get a lot of value from the Chase Trifecta. Just check those numbers versus no-fee cards if you’re not interested in paying $550 annual fees. We have comprehensive posts on the best credit cards for different categories of spending. Cards with annual fees can have more benefits, but that gets subjective quickly.
If you’d like to sign up for a Chase card, and are below 5/24, please consider using our affiliate link. The bonus 5x UR on grocery purchases is still valid with an affiliate link (as of early December 2021). Affiliate link expires 6 months from now.
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Note: This article was last updated in December 2021. Details may have changed since then. Please do your own research where applicable, to ensure you’re getting the best deal. Or contact us directly to take advantage of our personalized consulting services!