Guest Post: Holly Johnson and Caitlin Mims
Rewards credit cards and loyalty programs can help you save on Uber and Lyft rides
Ridesharing has completely transformed the way consumers worldwide get from place to place, and that’s especially true in the U.S.
A Gallup poll from 2018 reported that 30 percent of Americans use ridesharing services from companies like Uber and Lyft at least part of the time, and that percentage climbed to 45 percent for those ages 18 to 29.
High-income and urban Americans were also more likely to lean on ridesharing to get around, which makes sense. City dwellers are less likely to own cars and those with high incomes are, well, wealthy enough to splurge for an Uber when they don’t want to drive.
While many people have opted to drive during the pandemic instead of using rideshares, it continues to be a viable means of transportation for essential workers. During the coronavirus era, this could be a safer way to get around instead of using public transportation. But making the switch to ridesharing could come with a significant increase in transportation costs.
Thankfully, the right card – and a few loyalty programs – can help you save money on your rides.
One of the premier travel rewards cards, the Chase Sapphire Reserve is an excellent choice to help you earn more on ridesharing. Though it will cost you $550 a year, this card covers the first $300 you spend on travel (in the form of statement credits). After that, travel spending will earn you 3X points per dollar.
If you frequently use Lyft or are open to switching, the Chase Sapphire Reserve could offer even more value, as through March 2022 you’ll earn 10 points per dollar on Lyft purchases. You’ll also get a free membership to Lyft Pink, Lyft’s subscription service, for one year (usually $19.99 per month). Lyft Pink promises 15% in savings on all Lyft rides, priority airport pickups, relaxed cancellations and more.
But you don’t have to shell out a huge annual fee to earn outsized rewards on Lyft rides. Through March 2022, the Chase Sapphire Preferred card (with a $95 annual fee) offers 5 points per dollar on Lyft rides and the no-annual-fee Chase Freedom offers 5% cash back on Lyft rides.
Chase Ultimate Rewards points also transfer 1:1 to popular airline and hotel brands like Hyatt, Southwest, British Airways and Marriott, which could lead to even more value.
Travel rewards and airline expert Ramsey Qubein also recommends looking into The Platinum Card® from American Express if you’re considering a premier travel credit card. While this card comes with a hefty $550 annual fee, you get a big welcome bonus and 5X points on flights booked with AmexTravel.com or airlines and hotels booked and prepaid through AmexTravel.com.
You also get airport lounge access, an annual $200 airfare credit and a $15 monthly Uber credit (plus bonus $20 in December) – good for up to $200 in rides per year, among other benefits.
If you don’t want to pay a big annual fee, you can also consider the Wells Fargo Propel American Express® card* since it gives you 3x points in popular categories like dining, travel and rideshares with no annual fee.
Click here to read the full story