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Is the Southwest Rapid Rewards Plus Card Worth Its Annual Fee?

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In the event you’re questioning whether or not the Southwest Rapid Rewards® Plus Credit score Card is price its annual price, you’ll have to ask your self these two questions: “Do I fly Southwest sufficient to wish to pace up incomes factors?” and “Are the rewards price the price?”

The primary query is yours to reply, however as for the second, right here’s what you’ll obtain together with your card that will help you resolve if the annual price is best for you.

What’s the annual price?

The Southwest Rapid Rewards® Plus Credit score Card has a simple annual price of $69 yearly.

The present welcome bonus is as follows: Earn as much as 75,000 factors. Earn 40,000 factors after you spend $1,000 on purchases in the first Three months your account is open. Plus, earn 35,000 factors after you spend $5,000 on purchases in the first 6 months your account is open.

Utilizing NerdWallet’s valuation of Rapid Rewards factors at 1.four cents apiece, the full welcome bonus is price as much as $1,050, which greater than compensates for the annual price.

In the event you’re questioning whether or not retaining the card is price it after the first yr’s bonus, take into account this: Cardholders obtain 3,000 bonus factors each card anniversary. Utilizing NerdWallet’s valuation, this annual bonus is price about $42, which covers over 60% of your annual price.

» Study extra: Southwest Rapid Rewards Plus evaluation: Stable rewards for much less

Is it price it?

That annual 3,000 bonus doesn’t quantity to a lot if you happen to aren’t persevering with to make use of your card to earn extra factors. Many passengers on Southwest select the no-frills service for its low cost flights and free checked luggage. In the case of redeeming factors for flights, the charges differ primarily based on the fare.

Rapid Rewards members earn 6 factors per $1 spent on Wanna Get Away fares (the least expensive Southwest fares accessible). Let’s say you guide a round-trip flight for beneath $200; you’ll obtain lower than 1,200 factors. In the meantime, Anytime fares earn 10 factors per $1, so a $200 flight can earn you 2,000 factors.

Whenever you use your Southwest Rapid Rewards® Plus Credit score Card, to pay for the flight, you’ll earn an additional 400 bonus factors.

» Study extra: Which Southwest Airways bank card ought to I get?

The underside line

The welcome bonus from this card can go a great distance if you happen to redeem it for Wanna Get Away fares. We predict you may positively get extra worth out of it than the $69 annual price you’re paying. However if you happen to aren’t a frequent flyer — or spender — with Southwest, this card might not be price it when you attain the second yr, particularly contemplating it doesn’t include many different perks.

How you can maximize your rewards

You need a journey bank card that prioritizes what’s vital to you. Listed here are our picks for the finest journey bank cards of 2020, together with these finest for:

Planning a visit? Try these articles for extra inspiration and recommendation:
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