JPMorgan Chase (NYSE:JPM) is betting that a long list of new perks will keep affluent Americans hooked on its Sapphire Reserve card, despite a hefty bump in its annual fee.
The bank on Tuesday unveiled an update to its premium credit card, which will now carry a $795 annual fee. That is a 45% jump from its previous level and the card issuer’s largest price increase for the Sapphire since its 2016 launch.
But JPMorgan says users will now get more than $2,700 in annual benefits when the updated card launches on June 23. That includes most of its previous benefits, along with new ones tied to how customers earn and spend points on travel and dining.
For instance, the bank is promoting a new redemption program that doubles the value of points used for select travel offers and a new $500 annual credit at its collection of hotels and resorts.
There is also a new $300 dining credit at restaurants that are part of the Sapphire Reserve Exclusive Tables network, a $300 credit for purchases at StubHub or Viagogo and free subscriptions to Apple TV+ and Apple Music, worth $250 per year, JPMorgan said.
Shares in JPM stepped back two cents to $270.31.
