As of March 2022, we know that there will be changes to the IHG rewards program. I think the news is overwhelmingly positive, as there are changes coming to IHG rewards and co- branded credit cards. I wanted to talk about why this might be a good time to get a rewards club credit card.
Changes to the portfolio of Chase and IHG rewards credit cards will take place on March 24, 2022. It's not good news when there are changes to credit cards, but in this case it seems to be almost entirely good news.
The introduction of a new business credit card is one of the changes we are seeing. Let's go over the details.
IHG Rewards Premier Credit Card changes
The IHG rewards club premier credit card will be changed to the Ihg rewards premier credit card. The good news is that the annual fee will increase by $10 for existing cardmembers as of 2023. Everything else is positive.
The rewards structure on the card will improve considerably. The premier card will earn.
- 5x points on travel (vs. 1x points previously)
- 5x points on purchases at gas stations and dining (vs. 2x points previously)
- 3x points on all other purchases (vs. 1x points previously)
The card will be getting several new perks.
- Anniversary free night certificates will have more flexibility; while they’re capped at 40,000 points per night, you’ll be able to redeem them at more expensive hotels by paying the difference in points (in other words, you could book a 50,000 point hotel for a free night certificate plus 10,000 points)
- You’ll receive $50 in United TravelBank Cash each calendar year, after registering your IHG Rewards Premier Card with your United MileagePlus account
- You’ll earn 10,000 bonus points and a $100 statement credit after spending $20,000 on the card in a calendar year
- You’ll continue to receive complimentary IHG Rewards Platinum status, and will be able to earn IHG Rewards Diamond status after spending $40,000 on the card in a calendar year
The changes are fantastic, except for the $10 annual fee increase. You will get a $50 United Airlines credit each year, and free night certificates will be more flexible. We will have to wait to find out the benefits of I hg rewards diamond status, but some might consider it worth spending to earn that, especially with the improved points earning structure and threshold bonus on the card.
A fourth night free on award redemptions, a Global Entry, and other benefits will not be mentioned.
IHG Rewards Traveler Credit Card changes
The IHG rewards club traveler credit card will be renamed to the ihg rewards traveler credit card. The card will not have an annual fee, and there are a few positive changes.
You will be able to earn more rewards on the IHG Traveler Card.
- 3x points on utilities, internet, cable, phone, and select streaming services purchases (vs. 1x points previously)
- 3x points on purchases at gas stations and dining (vs. 2x points previously)
- 2x points on all other purchases (vs. 1x points previously)
The card will be getting a lot of new perks.
- Automatic IHG Rewards Silver status (no status was offered without spending previously)
- You’ll be able to earn IHG Rewards Gold status after spending $20,000 on the card in a calendar year
- You’ll earn 10,000 bonus points after spending $10,000 on the card in a calendar year
The changes here are great, as the no annual fee card will finally offer some elite status without spending, and the points earning structure will improve considerably.
New IHG Premier Business Card
As of March 24, 2022, a new IHG Premier Business Card will be introduced. The card will have an annual fee of just 99, so we hope it has a lot of great perks. We don't know what the welcome bonus will look like. It is always exciting to see new cards on the market.
What happens to the IHG Select Card?
There was an annual fee for the Select Card back in the day. The card hasn't been open to new applicants for a long time, but many people still have it. What happens to the IHG Select Card?
- The IHG Select Card will maintain its current annual fee, and won’t get any of the new benefits
- It’s anyone’s guess if the free night certificate on the IHG Select Card will have the same flexibility as the one on the IHG Premier Card, where you can “top off” a certificate with points; officially the answer is no, though personally I wouldn’t be surprised if all free night certificates will work the same way
- Those with the IHG Select Card will have the option of product changing to the IHG Premier Card or IHG Traveler Card
- However, I’m told that they won’t be eligible for the bonus on the IHG Traveler Card or IHG Premier Card while still holding the IHG Select Card
If you hold the IHG Select Card, you are eligible for the IHG Premier Card, which includes the bonus.
Should you apply for the IHG Premier Card now?
Some people are wondering if it's wise to apply for the premier card before the changes kick in. The rich benefits of this card make it a great choice. Should you apply now or wait until the card is refreshed? There are a few thoughts.
- If you apply now you’ll save $10 on the annual fee, as you’ll pay $89 the first year, rather than $99; admittedly that’s not that big of a difference
- If you also have the IHG Select Card, currently you’re eligible for the bonus on the IHG Premier Card if you apply outright, while I’m told that you won’t be once this change happens
- The IHG Premier Card is offering an exceptional welcome bonus at the moment; it’s anyone’s guess if the offer gets better or worse when the new card launches, though I tend to think there’s value in taking the sure bet
- The biggest reason to pick up the card ASAP is because the sooner you apply, the sooner you’ll get your first anniversary free night certificate, which is the most valuable perk of the card, especially with the added flexibility
I don't think there is an absolute right or wrong answer as to whether you should apply now or wait. There is a case to be made for applying now, with the lower annual fee, huge welcome bonus, etc.
Bottom line
The good news is that changes will be coming to IHG credit cards in March of 2022.
- The IHG Premier Card‘s annual fee will increase by $10, but the card will get a significantly improved points earning structure, plus will get new perks that include a $50 annual United credit, more flexible anniversary free night awards, and more.
- The IHG Traveler Card will get IHG Rewards Silver status without a spending requirement
- The new IHG Premier Business Card will be introduced, though we’ll have to stay tuned for the details of that
What do you think about the changes?
