Unanswered Travel Hack Questions from the "Choose FI: Chase Gauntlet"

[Captain Cactus]

Good morning,,
I have some unanswered questions from the Choose FI travel hacking article on the Chase Guantlet.  Answers are vague, Brad/Jonathan aren't answering the questions on the comments section and that makes me suspicious.  Hopefully this community can help.  Here's the article:

http://www.choosefi.com/travel-hacking-part-2-the-chase-gauntlet/

Here's my question:  After you open a Chase credit card and get the initial bonus points by doing the required spend within 3 months, do people close the cards, or do the cards have to remain active in order to keep the earned points?  The reason I want to know is because there are annual fees with the cards (one waives the fee in first year) and that cost needs to be considered when calculating the value of CC travel points. 

So are people keeping these cards open for the full 24 months, or closing them after they get the rewards?

[engineermom21]

They probably don't want to advise people on whether or not to close the cards.  I did tons of Chase bonuses in the past (for the cash bonuses, not travel, but should work the same) and I always closed the card before the annual fee hit.  If you have another Chase card open, you shouldn't lose points because they are all banked in one account.  Another option is to ask them to downgrade your card to one of the non-annual fee options (the regular Chase Sapphire, for example) and that should also allow you to keep your points.  Not sure if downgrading your card counts as one of the 5/24 though....Chase might have to answer that.

[Blonde Lawyer]

I switch off with my spouse.  One year the card is in my name.  Near end of year, he opens a card.  I transfer him my points and close my card.  Near the end of his year, I open a card and he transfers me the points.  Rinse and repeat. 

[bacchi]

It depends on the card.

Co-branded points/miles are safe after they're at the partner (United, Marriott, etc.) Cancel away (though I recommend keeping the card until month 11 and asking for a retention bonus).

Chase UR points will be lost unless you can transfer them to another Chase UR card (even Freedom works as a bank) or to a co-branded partner.

[DarkandStormy]

Here's my question:  After you open a Chase credit card and get the initial bonus points by doing the required spend within 3 months, do people close the cards, or do the cards have to remain active in order to keep the earned points?  The reason I want to know is because there are annual fees with the cards (one waives the fee in first year) and that cost needs to be considered when calculating the value of CC travel points. 

So are people keeping these cards open for the full 24 months, or closing them after they get the rewards?

Read the fine print - Chase reserves the right to decline your cards and take away your Ultimate Rewards if you are opening credit cards solely for the purposes of earning the bonuses.

Best practice is to leave the card open until it comes time for the Annual Fee.  Some people keep them open if they like the benefits (travel insurance, etc.).  If your goal is to avoid the annual fee, I'd put a small charge on there once/month, and then close it in month #11 to avoid the annual fee.  You could also product change to the Freedom or Freedom Unlimited if you don't currently have one of those cards (the sign-up bonuses are minimal anyway).

As an fyi - you are ineligible for the reward again for 24 months after EARNING the reward, not when you close it.  So when you decide to close it is irrelevant to timing your next reward with that card.

Hope that helps.

[Blonde Lawyer]

Here's my question:  After you open a Chase credit card and get the initial bonus points by doing the required spend within 3 months, do people close the cards, or do the cards have to remain active in order to keep the earned points?  The reason I want to know is because there are annual fees with the cards (one waives the fee in first year) and that cost needs to be considered when calculating the value of CC travel points. 

So are people keeping these cards open for the full 24 months, or closing them after they get the rewards?

Read the fine print - Chase reserves the right to decline your cards and take away your Ultimate Rewards if you are opening credit cards solely for the purposes of earning the bonuses.

Best practice is to leave the card open until it comes time for the Annual Fee.  Some people keep them open if they like the benefits (travel insurance, etc.).  If your goal is to avoid the annual fee, I'd put a small charge on there once/month, and then close it in month #11 to avoid the annual fee.  You could also product change to the Freedom or Freedom Unlimited if you don't currently have one of those cards (the sign-up bonuses are minimal anyway).

As an fyi - you are ineligible for the reward again for 24 months after EARNING the reward, not when you close it.  So when you decide to close it is irrelevant to timing your next reward with that card.

Hope that helps.

I asked about the travel insurance and if you booked the trip with the card, you are covered, even if you close the card before you leave on your travel.  Awesome customer service.  Also, the reps know about the switching off spouses thing and are really helpful about making sure the points transferred.  I've never received any push back that it is not allowed.  I think they are more looking for people that open and close within months and have 20+ cards just for point churning. 

[slappy]

Good advice so far. Closing cards is a personal decision. I wouldn't be suspicious of them not answering comments. They did a question very similar to this on one of their podcasts. You can always join their Facebook group and ask there too.  According to their podcasts, their group is amazing. ;) (I don't have Facebook so sadly, I miss out.)

There are some people who keeps open with a $450 annual fee because they find value in the fee. If you don't, just close or downgrade the card.