Tag Archives: chase hyatt

Why I’m Canceling My Chase Hyatt Card

A lot of bloggers have said that the Chase Hyatt credit card is one of the cards to keep and pay the annual fee on every year because the card offers a free anniversary night certificate redeemable for a category 1-4 Hyatt property for an annual fee of $75.

Since the annual fee just posted on my account, I was forced to think about whether this made sense for me. Even though paying $75 for a night at a category 4 Hyatt property makes sense in comparison to paying the cash rate at many hotels, that’s more than I’d typically spend on a single night since I’m often content skimping on lodging and doing things like staying at capsule hotels or using Airbnb. The card does offer double points  on restaurants and some travel expenses and has no foreign transaction fees, which is nice given that I no longer have a Chase Sapphire Preferred.

But then I realized that all of this thought process was irrelevant. It makes almost no sense for me to keep the credit card given that I regularly apply for new credit cards. Chase cards can be churned every 24 months, and you keep award night certificates earned in your Hyatt account even if you close your credit card. Thus, I can cancel my credit card right now, keep the free category 1-4 certificate that has already posted to my Hyatt account, and then reapply for the same credit card in 12 months and get two annual free nights.

Screen Shot 2014-11-04 at 2.05.31 PM

Screenshot from current offer

Scenario 1: Keep the credit card and pay the annual fee.
October 2013 – Applied for credit card. Received 2 free night certificates and $50 statement credit.
October 2014 – Pay $75, receive 1 free night category 1-4 certificate
October 2015 – Pay $75, receive 1 free night category 1-4 certificate
End result: Pay $100 ($75 annual fee x 2 – $50 statement credit), get 2 free night certs and 2 free night cat 1-4 certs.

Scenario 2: Close the credit card and churn at next opportunity.
October 2013 – Applied for credit card. Received 2 free night certificates and $50 statement credit.
October 2014 – Close card, receive 1 free night category 1-4 certificate.
October 2015 – Apply for credit card #2. Receive 2 free night certificates and possible additional statement credit.
End result: Receive $50 (or more), get 4 free night certs and 1 free night cat 1-4 cert.

Granted, in scenario 2, there might be a slight delay in terms of when I can apply for credit card #2 since the terms do state that it should be 24 months since the last time receiving the bonus and not the last time applying for the credit card, but still, scenario 2 is strictly better for almost everyone. And while scenario 2 does require meeting another minimum spend requirement, it’s only $1000 for this credit card.

Results from My Last Round of Credit Card Applications 2

Today was my churn day, 3 months after my last round of credit card applications. I discussed my thought process of applying for credit cards this time around in a previous post, and I settled on applying for 4 credit cards: the US Bank Club Carlson Personal, US Bank Club Carlson Business, Bank of America Alaska Airlines, and Chase Hyatt.

In preparation for applying for the US Bank Club Carlson cards, I sent requests to ARS and IDA to place security freezes on my profile about two weeks ago. This tactic has been widely discussed in the Flyertalk thread on the Club Carlson credit card, and the linked post on HackMyTrip is a great reference. Essentially, US Bank pulls reports from ARS and IDA, and people who are actively applying for multiple credit cards every year have had problems getting approved for new cards. For some reason, once people freeze their credit reports on ARS and IDA, they usually get instantly approved, in spite of active credit card churning activity.

Given that I’ve applied for 8 new credit cards in the past year, I thought it would be a good idea to freeze my reports on ARS and IDA, and lo and behold, I was instantly approved for the US Bank Club Carlson Personal card. This was my only instant approval for the day. I was met with a pending decision for the business version, and I’m not too surprised by that.

I next applied for the Bank of America Alaska Airlines card. I last got this card a year ago, and I called last week to cancel the credit card, but the customer service rep ended up downgrading my card to a no annual fee card rather than canceling my card. After applying, I got a pending screen, but I called Bank of America’s personal credit card status application phone number (877-721-9405, then option 3) and heard that my application was approved.

My final application was for the Chase Hyatt card. The card now has no annual fee for the first year, but as an added bonus, if you start to make a Hyatt reservation via Hyatt.com, prior to booking you should see an offer for the Chase Hyatt card that offers an additional $50 statement credit after first purchase. I did this and applied via the $50 statement credit application and received another pending screen. I called Chase’s reconsideration line at 888-245-0625 and was told that my application merely needed to be verified and was approved after a very short hold time.

All in all, that’s 3 approvals out of 4 applications with one application still pending. The card that I most wanted the approval for was the US Bank Club Carlson card, and I’m happy that that came through with an instant approval.