Coming Soon: Chase Ink Business Preferred Credit Card

According to an article on Bloomberg, Chase is continuing its recent push to woo credit card users away from its competition–this time focusing on lucrative business owners. The new Ink Business Preferred‘s bonus structure appears to be targeted at a different type of user than Chase’s current line of Ink Business cards.

Due to be launched in the 4th quarter, the Chase Ink Business Preferred will offer new applicants an 80,000-point signup bonus after spending $5,000 within the first three months. Card holders will also earn 3 points per $1 for the first $150,000 spent on travel, telecommunications, shipping and advertising on social-media and search engines. The card will carry a $95 annual fee, which is waived for the first year if the account is opened at a branch.

“The credit-card space is incredibly competitive, and we want to be aggressive in investing in the best products,” said Pam Codispoti, president of branded cards at JPMorgan Chase & Co., in a telephone interview with Bloomberg. “Customers tell us the way they’re marketing their products and services is changing — they’re spending more on things like Facebook paid search. To have the opportunity to earn triple points on that is important to them.”

Current Ink Business Cards

Chase currently offers two business credit cards, Ink Plus and Ink Cash.

The Chase Ink Plus card earns

• 5 points per $1 on the first $50,000 spent in combined purchases at office supply stores and on cellular phone, landline, internet and cable TV services each account anniversary year.
• 2 points per $1 on the first $50,000 spent in combined purchases at gas stations and hotel accommodations when purchased
  directly with the hotel each account anniversary year.
• 1 point per $1 on all other purchases with no limit to the amount you can earn.

The Chase Ink Cash card earns

• 5 points per $1 on the first $25,000 spent in combined purchases at office supply stores and on cellular phone, landline, internet and cable TV services each account anniversary year.
• 2 points per $1 on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year.
• 1 point per $1 on all other purchases with no limit to the amount you can earn.

The Ink Plus has a $95 annual fee and allows points to be transferred to airline and hotel partners for lucrative travel redemptions. The Ink Cash has no annual fee and its points are only worth 1 cent each unless you combine them onto a premium Chase Ultimate Rewards card.

Bottom Line

Depending on the spending patterns of your business, this card can be extremely valuable due to its high bonus limits. Three things remain to be seen once the new card is launched:

1. Will Ink Business Preferred card be subject to the Chase 5/24 rule?
2. What will become of the existing Ink cards? Will new applications still be accepted? Will existing card holders be grandfathered in to the old points earning structure or forced to the new card?
3. Is there a premium Ink Business Reserve in the works as well?

Personally, for my business, I prefer the 5x categories of the current Ink Business cards. I’m hopeful that I will be able to retain those benefits going forward.