JPMorgan Chase hikes up annual fee cost of popular credit card | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

Paying off credit cards has become a vital part of adulthood, yet it is a dreadful one at best.

For those who like to spend more than they can afford, seeing the days get closer to the end of their billing cycle to make that minimum payment sounds scarier than any horror movie.

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What’s even worse is having to pay an annual fee on top of that, and banks seem to constantly raise their cost as if it were that easy to make an extra hundred bucks each year.

JPMorgan Chase (JPM) introduced its Sapphire Reserve credit card in 2016, assigning it an annual fee of $450. This card was created to compete with the travel rewards market and cater to clients with expensive travel and dining tastes.

Although that might have seemed like a hefty cost at the time, that number looks like a total bargain nowadays because the price has continuously increased every few years due to its popularity.

JPMorgan Chase increases annual fee for a popular credit card.

Image Source&colon; Chris Hondros/Getty Images

Chase announces annual fee increases of its Sapphire Reserve credit card

The last time Chase increased the annual fee for the Sapphire Reserve credit card was in 2020, when it raised it to $550. This left members with an unexpected extra $100 to budget into their yearly spending.

Five years had passed without more price surges, but if the pattern continues, that highly feared expiration date was past due, leaving many wondering when the next price hike will occur.

It was only a matter of time before many people’s nightmares came true because Chase has just made another significant price increase, and this one feels more painful than ever before.

The company recently announced that the yearly fee for the Sapphire Reserve credit card will now be $795, a whopping 45% increase.

However, to ease people’s minds, the massive fee increase also comes with many new perks for those who spend at least $75,000 yearly.

Chase unveils new perks and additions

Annually, Sapphire cardholders will now receive $2,700 in redeemable benefits, a $300 credit for tickets purchased on StubHub, a $250 credit for Apple Music and Apple TV+, and will maintain the same up to $300 travel credit.

Members can now earn additional points with the new Points Boost, which offers eight times as many points on bookings made with Chase Travel and four times on flights and hotels.

The Sapphire Reserve credit card will also receive a facelift, featuring a heavier metal and a new pattern.

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A new Sapphire Reserve card for business with the same annual fee was also unveiled. It contains premium perks for customers who spend at least $120,000 yearly.

The new annual fee implementation and benefits will begin on October 26 for returning members, the same day as the renewal period.

However, new members will be subject to the new fees after June 23, the day the card applications open. Welcome incentives will also be revealed on that day.