For those about to pull the trigger on a Chase Sapphire Preferred application, you may want to hold off for 1 week, until February. According to the official CSP program details:
You’ll receive a 7% Annual Points Dividend on all new points earned on purchases made with your Chase Sapphire Preferred card during the previous year. (“Year” means, for your first year as a cardmember, the period beginning with your Enrollment Date through your billing cycle with a December closing date of that same year. For each year thereafter, “Year” means the twelve billing cycle period beginning the day after your billing cycle with a December closing date through your billing cycle with a December closing date of the next year.) Your 7% Annual Points Dividend will appear on your January or February billing statement.
If you apply and get approved for a CSP today or any other day in January you may end up in a situation 1 year from now where you want to close/downgrade your card in order to avoid the $95 annual fee, but you're still waiting for your 7% annual points dividend to post. If you apply in February (or ideally March to be safe) you should have enough time between the posting of your 7% dividend and the end of your free intro period to transfer the bonus points out and then close/downgrade the card. Of course, if you plan to hold the CSP forever, and pay the recurring annual fee, this makes no difference.
Just some food for thought.
That's great info. to be made aware of. Thanks!
I have no plans to get a CSP in 2013, but then again, one never knows for sure.....for we humans are fickle and crazy, and thus are apt to do just about anything, anytime!