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Update: Based on comments and Tweets it sounds like everyone who received a letter will receive 4,200 points. However, I don’t know if everyone who had an account last year will receive the letter. My mom has not yet received hers and she got her card late in 2011. 4,200 is 7% of 60,000, so I have no clue what that amount is based on. The sign-up bonus for most of us last year was 50,000, not 60,000, but otherwise that would be a good guess in terms of what the bonus is tied to since it is a constant for most accounts.
Update #2: There are now reports of some bonus amounts that differ from 4,200. The plot thickens………….
I received a letter in the mail today that highlights two things about the Chase Sapphire Preferred Card 7% annual dividend for all points earned based on your spending for the year. The first portion of the letter was positive. The second part of the letter was less positive. First, the letter said that due to a “system error” my 2011 dividend was incorrect, so they have added 4,200 points to my account. It’s always a good day when you get 4,200 points you weren’t expecting!
The letter goes on to say that the 7% bonus will be paid on all new points earned on purchases made with the Chase Sapphire Preferred card during the previous year. For these purposes, “year” means the day after your December statement date one year, through the final date on the December statement the following year. It will post in January or February annually. However, the big “change” is that the 7% bonus will not be earned on new account bonus points, annual points dividends from the previous year, points transferred into the account, or purchases that you returned.
I absolutely received a 7% dividend on my sign-up bonus points earlier this year, so I am sad to see that benefit go away for folks in the future. I also know based on comments and emails that some received the 7% dividend on points they transferred into their Sapphire Preferred account from other Ultimate Rewards earning accounts. I did not fall into that category, but it was a nice bonus for those who received it. Essentially for the current 40,000 point sign-up bonus that is 2,800 additional points that would have been paid out.
The letter goes on to state that you earn the 7% bonus on the 2 points per dollar spent on travel, the 2 points per dollar spent at restaurants, and the 1 point per dollar spent on everything else. I commend Chase for paying out points retroactively for some unknown error that occurred for this year’s dividend. I also commend them for clarifying what points are eligible for the bonus next year. However, I don’t like that the 7% is no longer awarded for the sign-up bonus or points transferred in, but it is a fair decision in my book. What is missing from this letter is info about points earned via the Ultimate Rewards shopping portal. I am guessing those now don’t count either, but it doesn’t seem to spell them out specifically on the excluded list – it just doesn’t include them on the “included” list. I need to do a little research on that issue.
Did you receive a similar letter? How many extra bonus points were you awarded? Here is a copy of the letter in case you have not yet received one.
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