Ink Business Preferred® Credit Card review: The “preferred” Chase business card?

A high rewards rate is the most obvious Ink Business Preferred benefit, but you’ll also be able to secure your business travel and purchases with a great suite of travel and purchase protections. These travel insurances and shopping protections are some of the best you’ll find on a card of this caliber, which makes up for the lack of other monetary bonuses and credits.

Welcome Offer: High reward with high risk 

Cardholders who can manage to spend $8,000 on qualifying purchases within the first three months of opening the card can earn a 90,000-point sign-up bonus. If you redeem your points through the Chase Travel℠ portal, your points are worth $1,125 in travel purchases, but other redemption options can be more lucrative. According to Bankrate’s latest point valuations, the welcome offer can be worth around $1,800 if you maximize your redemption options using travel transfers.

A spending requirement of $8,000 in three months is a pretty steep ask, so it may not be attainable if your business doesn’t have a big budget. It may also not be worth it if you redeem it for cash back because there are other cash back business cards with no annual fee that carry bonuses valued at around $750 for half the spending requirement.

Benefits: Well-rounded protections, home and abroad 

Whether your business calls for you to purchase supplies or hop on a flight, there are several travel and purchase coverage benefits outside standards like 24/7 roadside dispatch, such as:  

• Trip cancellation/trip interruption insurance: Pre-paid, non-refundable travel expenses, including passenger fares and hotels, can be reimbursed up to $5,000 per person and $10,000 per trip in the event of covered situations like sickness and weather.  
• Auto rental collision damage waiver: By paying for your auto rental vehicle with your card and declining the agency’s insurance, you’ll get primary coverage up to the cost of the vehicle in the event of theft or collision.  
• Extended warranty protection: Eligible purchases with U.S. manufacturer’s warranties of three years or less will be protected for an additional year.  
• Purchase protection: New purchases are covered for 120 days against damage or theft for up to $10,000 per claim and $50,000 per account.  
• Cell phone protection: Cardholders or the employees listed on the monthly cell phone bill paid by your card can enjoy up to $1,000 per claim (three claims per 12 months with a $100 deductible) in cell phone protection against covered theft or damage. The Business Preferred provides one of the best cellphone protection plans you’ll find on a credit card, thanks to its high $3,000 coverage cap per year. 

Rewards: A valuable redemption options

You’ll earn 3X points on up to $150,000 worth of combined purchases within each account anniversary year on specific travel business expenses (then 1X points). The categories eligible for 3X points are:  

• The categories eligible for 3X points are: 
• Travel 
• Shipping purchases 
• Internet, cable and phone services 
• Advertising purchases made with social media and search engines 

The card’s point values will vary based on how you redeem them, but Chase also has a 1:1 point transfer system for Ultimate Rewards points, meaning 1 point with your Business Preferred card equals 1 point or mile with several different travel partners. Business travelers should note that Chase points can translate into even greater savings with the Business Preferred card’s 25 percent redemption boost. But if you’re paralyzed for choice from Chase’s lengthy list of travel partners and travel redemption options, you can always opt for a 1:1 redemption value from cash back, making your points worth 1 cent each.

Points are only worth 0.8 cents apiece toward Amazon.com purchases using the “Shop with Points” option, so you’ll want to avoid these redemption methods.

The Ink Business Preferred is great for small businesses with high budgets and predictable expenses. It also has great redemption value for travel, especially when you factor in Chase Ultimate Rewards. Still, there are drawbacks like the annual fee and the high spending requirement for the welcome offer.

Perks: Not very business-focused.  

When looking at the bigger picture, the Ink Business Preferred’s value is rooted in the card’s point value. Beyond this, a lot of the features are pretty standard to most travel-focused consumer cards. 

The one perk that focuses only on business outside of the rewards rate is the ability to get free employee cards. Businesses can issue cards to employees who will be automatically linked to the main card limit. These cards can also have individualized limits, which can help you manage your business spending.  

While great for a chance to build up rewards quicker, business owners who don’t travel often may not see enough benefits to justify the cost of holding the card.

Annual Fee: Higher than sibling cards 

While the biggest fee is the card's $95 annual fee, there are also other fees to be aware of, such as the late or returned payment fee of $39. There isn’t a zero-interest offer for purchases or balance transfers, which means you’ll risk adding interest charges to your plate if you pay late. This increases the likelihood of a revolving credit balance on your card if you can’t pay it off relatively quickly. Transferring your balance to this Chase card will also pose a relatively high $5 or 5 percent fee for each transfer (whichever is greater).

Although these fees may seem light on their own, they can add up to a hefty balance that builds upon itself.

The Ink Business Preferred could be a prime travel card for business owners who take advantage of its bonus categories’ high annual spending limit. However, for those who want more versatility in their rewards, a flat-rate card or rewards could be good to pair with the Business Preferred.