Guide to Chase Pay Yourself Back – Extended and new redemption options added!

Signing up for credit cards through partner links earns us a commission. Terms apply to the offers listed on this page. Here’s our full Advertising Policy.

Update: One or more card offers in this post are no longer available. Check our Hot Deals for the latest offers.

Update: Chase Pay Yourself Back has been extended through April 30, 2021. The redemption rates and categories remain the same as those listed below.

Chase recently debuted a new way to redeem Chase Ultimate Rewards points — and it’a good one.

It’s always good news when a credit card issuer or loyalty program gives us another way to redeem points. With this new option, called Pay Yourself Back, you can receive up to 1.5 cents per point (depending on which Chase credit card you have).

Originally, this feature was set to expire at the end of September. It’s being extended, but we don’t know for how long. And although they’ve also recently added an additional eligible category, we don’t know what the eligible categories will be after September 30th.

I’ll show you exactly how to use Chase Pay Yourself Back, who should use it, and why it makes the Chase Travel Portal obsolete.

What is Chase Pay Yourself Back

With Chase’s new Pay Yourself Back feature, if you have a Chase Sapphire Preferred® Card and Chase Sapphire Reserve® you can redeem points for a statement credit to offset spending on certain categories. Through September 30, 2020, eligible categories include groceries, home improvement stores, and dining. You can redeem your points at the following rates:

  • Chase Sapphire Preferred – 1.25 cents each
  • Chase Sapphire Reserve – 1.5 cents each

This return rate is substantially higher than just cashing your points out, in which case you’ll get a value of 1 cent per point. You have 90 days from the time each eligible transaction posts to erase it with your Chase points.

New eligible category added and offer extended

Chase recently added these nonprofit organizations to their list of eligible Pay Yourself Back transactions:

  • American Red Cross
  • Equal Justice Initiative
  • Feeding America
  • Habitat for Humanity
  • International Medical Corporation
  • Leadership Conference Education Fund
  • NAACP Legal Defense and Education Fund
  • National Urban League
  • Thurgood Marshall College Fund
  • United Negro College Fund
  • United Way
  • World Central Kitchen

According to Miles to Memories, Chase also plans to extend the Pay Yourself Back feature beyond September 30, and maybe even introduce a similar feature to other Chase cards.

This is excellent news, just note that the purchase categories eligible for the Pay Yourself Back feature could change. So if you’ve been able to get value from the current categories, we’d recommend redeeming your points before September 30th!

How to maximize Chase’s Pay Yourself Back

If you’ve collected Chase points for a while now, you may notice something familiar about the above statement credit redemption rates: They’re exactly the same as if you were to redeem your points for travel through the Chase Travel Portal. This means that if you tend to use your points to book travel through the Chase Portal, you should stop doing that — at least while you can still redeem your points for between 1.25 and 1.5 cents each for statement credits (I’m not sure what will happen after September 30, 2020).

So why does switching your points redemptions from travel to groceries, dining, and home improvement stores make sense? First understand that you’re getting the same value from your points. If you want to offset your $600 hotel stay this month with Chase points, you could just as easily use points to offset $600 in groceries and dining purchases. You’ll still effectively get your $600 hotel room for “free” by using the same amount of points. HOWEVER, redeeming for those non-travel related purchases is smarter for two reasons.

1. You won’t earn Chase points on your card when redeeming through the Chase Travel Portal

When you reserve travel through the Chase Travel Portal, your card is not charged the amount for which you’re redeeming points.

For example, if you have the Chase Sapphire Reserve, your points are worth 1.5 cents through the Chase Portal. If you simply use 13,334 Chase points to book the flight, your card won’t be charged, and therefore you’ll earn ZERO points.

Instead, you could use Pay Yourself Back to reimburse $200 in groceries. Then you could SPEND $200 for your flight, which will earn 3x points with your Chase Sapphire Reserve. This way, you’ll earn 600 points you otherwise would not have. 600 points is worth $9 in groceries, dining, or home improvement stores (or travel, of course).

2. You won’t earn hotel points or elite status when redeeming through the Chase Travel Portal

When you reserve travel through the Chase Travel Portal, you’re actually booking through Expedia, which is an “online travel agency.”

When you book hotels through an online travel agency, you won’t get the benefits that come with booking direct with the hotel, namely:

  • You won’t earn hotel points for your stay
  • You won’t earn elite night credits for your stay
  • Your elite status will not be recognized, and you won’t get any perks that come with it (like room upgrades, free breakfast, spa credits, etc.)

Instead of using points to book through the Chase Portal, you can use your card to book directly with your desired hotel, receive all of the above perks, and reimburse yourself for the cost by using Chase Pay Yourself Back for groceries, dining, and home improvement stores.

You could even book a hotel through an online portal and earn bonus cash back or points. You can read about how to do that here.

How to use Chase Pay Yourself Back

Step 1. Navigate to the Chase Ultimate Rewards website

Head to the Chase Ultimate Rewards website and choose which Chase card you want to view. Only the Chase Sapphire Reserve® and Chase Sapphire Preferred® Card qualify for this Pay Yourself Back benefit, so choose one of those.

Step 2. Click the Pay Yourself Back button

At the top of the page is a drop-down menu showing you all the possible ways to redeem your Chase points. This is where you’ll find the Pay Yourself Back feature, and it’s extra easy to find because it’s tagged as NEW. Click it.

Step 3. Enter the amount you’d like to be credited

You’ll be taken to a screen that shows all your recent eligible transactions (groceries, home improvement stores, and dining). With each purchase, you can stipulate the amount of points you’d like to cash out. Below, I’ve decided to be reimbursed for $1 of my $45 order.

I have the Chase Sapphire Preferred, which means my points are worth 1.25 cents each through this method. I’ll have to spend 80 points to get $1 off my order.

Step 4. Confirm and submit

Click the Confirm & Submit button, and you’re done! Your statement credit will post within three business days. Note that with each transaction, you’ve got one opportunity to reimburse yourself. In other words, if you decide to only reimburse half of a purchase, you won’t be able to reimburse yourself for the other half later — the purchase will disappear from your list of eligible transactions.

Chase transfer partners are still the best option

Yes, you can get up to 1.5 cents per point by redeeming with Pay Yourself Back. But we estimate Chase points value to be around 2 cents each. That’s because you can get vastly outsized value for your points by converting your points to airline miles or hotel points with valuable Chase transfer partners, and then redeeming for luxury hotels or business/first-class flights.

For example, I transferred 25,000 Chase points to Hyatt for a stay at the Hyatt Zilara Cancun. The hotel was selling for around $550, meaning I received a value of 2.2 cents each. That’s $175 more value than even the best return you’ll get with Pay Yourself Back. By redeeming 25,000 points via Pay Yourself Back, you’d get:

  • $375 if you hold the Chase Sapphire Reserve
  • $312.50 if you hold the Chase Sapphire Preferred

Read our post about how to transfer Chase Ultimate Rewards points for more details and ideas to getting huge value from your points.

Bottom line

While we do know Chase plans to extend the Pay Yourself Back feature beyond the end of September, we don’t know what it will look like long-term. That said, between May 31 and Sept. 30, 2020, you can redeem your points for eligible categories including groceries, home improvement stores, select charities and dining at the following rates:

  • Chase Sapphire Preferred – 1.25 cents each
  • Chase Sapphire Reserve – 1.5 cents each

You can also transfer the points you earn from other Chase Ultimate Rewards cards to these two above cards to unlock the biggest return for your spending.

Just remember, we usually recommend using Chase transfer partners to get the biggest bang for your point. We estimate that Chase points are worth 2 cents on average when using your points this way. However, if you want money now, this is as good as time as ever to cash out.

To learn more about how to best use Chase points, you can subscribe to our newsletter!

Meghan Hunter is a contributor to Million Mile Secrets, she covers topics on points and miles, credit cards, airlines, hotels, and general travel.

Editorial Note: We're the Million Mile Secrets team. And we're proud of our content, opinions and analysis, and of our reader's comments. These haven’t been reviewed, approved or endorsed by any of the airlines, hotels, or credit card issuers which we often write about. And that’s just how we like it! :)

Join the Discussion!

Notify of
Inline Feedbacks
View all comments