Posted by William Charles on March 15, 2018
Credit Card Offers

Published on March 15th, 2018 | by William Charles

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Everything You Need To Know About The New Chase Iberia Credit Card

Earlier today Chuck was the first to share the details about the new Chase Iberia credit card that is now available for new applications. I thought it would be a good idea to take a deeper look at the card and answer some of the frequently asked questions regarding it.

Card Basics

  • $95 annual fee, not waived first year
  • Sign up bonus of up to 75,000 points. Bonus broken down as follows:
    • 50,000 Avios after $3,000 in spend within the first 3 months
    • An additional 25,000 Avios after $10,000 in spend within the first year
  • Card earns at the following rates:
    • Earn 3 Avios for every $1 you spend on Iberia, British Airways, Aer Lingus, LEVEL and OpenSkies purchases.
    • Earn 1 Avios for every $1 you spend on all other purchases
  • $1,000 discount voucher each calendar year (more on this below) after you make $30,000 in purchases on your card
  • 10% off Iberia flights
  • No foreign transaction fees
  • Visa Signature

Sign Up Bonus

As the card has just been launched, the 75,000 Avios bonus is the only bonus we’ve seen. That being said the bonus being offered is the exact same we currently see on the Chase British Airways card. I suspect these cards will always offer the same bonus. In the recent past we’ve seen a bonus of 100,000 Avios on that card (although it required $20,000 total spend). Because of that it might make sense to not apply for the Iberia card until the sign up bonus increases to 100,000 (and I’m fairly certain it will at some stage). Although $20,000 spend will be out of reach for a lot of people, in that case applying now would effectively get you the same bonus.

This card also has the 24 month language that states:

This product is available to you if you do not have this card and have not received a new cardmember bonus for this card in the past 24 months

At least with this card you can alternate between it and the British Airways card and soon to be launched Aer Lingus card as well.

$1,000 Discount Voucher

When you make $30,000 in purchases within a single calendar year you receive a $1,000 discount voucher. The discount voucher is in the form of a code that can be used by the card member when purchasing two tickets (must be same flight and same class of travel). The discount voucher can be redeemed at https://www.iberia.com/chase10 and is valid for 12 months from date of issue. It’s not extendable or transferable. The companion must travel with the cardmember on both the outbound and inbound journey. The voucher can only be used on flights which are operated by Iberia.

Personally don’t see a lot of value in this discount voucher, especially given you need to spend $30,000 to receive it. If you put that $30,000 on a 2% cash back card you’d earn $600. If you put it on this card you’d likely earn 30,000 Avios and the discount voucher so it can be good value if you can take advantage of it. It’s probably better value as well when the sign up bonus is higher and you’re already required to spend $20,000 to get the full bonus.

 

10% Off Iberia Flights

You receive a 10% discount on Iberia flights from any destination. You must book through https://www.iberia.com/chase10. The discount is on the flight fare only. Taxes, fees and carrier charges are excluded. On the British Airways version of this card, it covers the full fare (including taxes & fees).

Chase 5/24

Fortunately it looks like the Chase 5/24 rule does not apply to this card. Here are some datapoints confirming this: 1, 23, 4, 5, 6, (note I won’t be adding any more datapoints as I think it’s safe to say that 5/24 doesn’t apply to this card at this stage. If that changes I will update this section).

Our Verdict

It’s always nice to see new credit cards being added. As mentioned, I do think the sign up bonus on this card will increase to 100,000 points at some stage but with that will come the $20,000 spend requirement. That will be out of reach for a lot of readers. 50,000 Avios for $3,000 in spend with the option of another 25,000 for another $7,000 in spend within the first year is still quite a strong initial offer though. I don’t see a lot of reason for most people to keep this card long term though, so most people will want to cancel after the first year to avoid the annual fee.

F.A.Q.

Can you transfer points between Iberia Avios & British Airways Avios?

Yes, you can move Iberia Avios to British Airways. Transferring from British Airways to Iberia is easier, but transferring from Iberia to British Airways is still possible.  What you need to do is pull in the Avios from your Avios.com account, rather than trying to push them from the Iberia account. Hat tip to FT user Jetstreamer.

Do these points expire?

Yes, Iberia Avios expire 36 months after they are earned. Whenever you have any earning or spending activity the expiry resets and you’re given another 36 months (e.g basically earn or use them every 35 months and they won’t expire). Transfers from American Express Membership Rewards (presumably Chase UR as well) also reset the clock.

Best Uses Of Iberia Avios

This section should really be best uses of Iberia & British Airways Avios as you can transfer between the two as mentioned above. Some options:

  • Flights to Madrid. One way in business class to Madrid from Miami, New York, Boston will cost you 34,000 avios each way in business class. You’ll pay about $200 in taxes & fees on a round trip ticket.
  • Transfer to British Airways and use for American Airlines domestic flights. One way in economy to Hawaii is 12,500 Avios.
  • 25% off award sales. Recently they have been frequently having 25% off all award tickets, see here.

I suck when it comes to redeeming points, so share your favorite sweet spots in the comments below.

Also a quick note, we’re trying to improve the quality and usefulness of these review type posts. I’d love your feedback in the comments, is there something else you’d like to see? Less/more of something? Let us know below.



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Im hiding in the corner and flapping No, No, No, I’m gonna stay good and wait a little longer to qualify for 5/24 and get Southwest cards again.
(Only Business cards please 😉)

I decided to go for it who knows I might die before I get back under 5/24 might as well milk the shit before I pass

😂😂😂

Is it an extra 25,000 for spending $10,000 on a calendar year…or is it an extra 25,000 on after the first 3,000 (meaning 13K spend for 75,000 points). Sorry for the noob question.

Love Avios for Alaska redemptions. BLI/HNL is pretty sweet or was when I lived in Vancouver

I’m on Biz class Iberia flight right now. Booked a long time ago, but very reasonable miles and fees, lie flat seats, and today for the first time – an hour of free wifi

Just scratching the surface on the multiple creative uses of Iberia Avios…. Anticipate MommyPoints, MMS, etc. will be out soon with updated posts on the options…. One “sweet spot” of interest is using Iberia Avios for short-haul round-trip itineraries on American for 11k or so. (sic) google it.

Before, the hard part was getting the BA Avios transferred over to Iberia Avios. Now the hard part may be finding award space on the ever stingy AA.

(Suspect it’s still a LOT easier just flying Southwest and enjoying their companion pass.)

Regarding Expiring Iberia Avios:

Can they be moved to BA Avios to prevent expiry? If so, can they go back to Iberia from BA for clock reset?

I don’t think BA Avios expire if you have any activity so BA Avios could be a means to extend Iberia Avios?

Reread your expiry section, looks like BA txfr unnecessary after all, sad face for RV3 🙁

Thx WC!

Any use for Avios points other than airline tickets? Gift cards, transfer to hotel points, etc?

Under the 10% discount: “On the British Airways version of this card, it covers the full fare (including taxes & fees).”

Wait, what? 10% discount with the BA card?

I totally agree its nice to see a new card offering.

I disagree with a few points in the review though. Obviously, the prediction about the bonus going to 100k at some point was just a guess, but its not really an apples to apples comparison with the BA card. To my knowledge, the 100k BA offer never had a $1000 voucher in addition to the miles. Also, even if it went to 100k without the voucher, is that really better than this offer? I dont think so. Its really only the 10k difference in the massive spend (compared to the 20k you have to spend on the BA card)

Im not arguing this card is a game changer, but I also would argue the comparison to a 2% card is a little inflated too. Presumably, you wouldn’t really compare $600 to the $1000 voucher. Most people would probably spend 10k for the full point offer anyway. So its really like $400. Obviously, this is semantics for most people as 30k is a ton of spend.

Having said all that, I’m not sure how I would value the voucher for myself. I guess for most people it’s really only for a transatlantic flight. I assume that cant be applied to taxes on the flight. It looks like taxes on an award flight from JFK-MAD are about $200. Given those assumptions, it would need to be at least a $700 ticket…and if it were exactly that much, id pay roughly $400 for 2 tickets. That alone makes the voucher less valuable as I know I can get to Europe in economy for less than $1400 almost any day of the year. Assuming I want to go to Europe, id still value the voucher at no less than $600 I think.

Sooo…is the extra spend worth 20k extra miles and a voucher? I think it is, but.not by a bunch. Also, not realistic for most.

A couple of questions for anyone who wants to venture a guess:

1. Does the voucher payment exclude every kind of tax or fee?

2. The voucher expires 12 months after issuance. Is that the last day I can fly or the last day to redeem?

I found the following confusing:
“Yes, you can move Iberia Avios to British Airways. Transferring in the other direction is easier, but transferring in this direction is possible.”
What is the “other direction” and what is “this direction”? Why not call the programs by their names. Because I’m still not sure whether it is easier to transfer from BA to Iberia or vice versa.

What Credit score do you need to qualify?

5/24 not applying means you can be over 5/24 AND it won’t add to 5/24? Or you can be over 5/24 but it will still add to 5/24?

You can be over 5/24 and still be approved. It, like all personal cards, counts/adds to the 5/24 for other Chase cards.

These can be moved to BA and used on Alaska Airlines as well, which could be a sweet deal, esp for flights on the west coast….PDX- SNA is only 15,000 pts.

You may well be able to book even better roundtrip deal via Iberia Avios platform on same route…. (e.g., 12k pts rt for routes 600-1000 miles.

Then again, I can imagine even less points via Chase UR. (given the cash rates for west coast flights on Southwest, et. al., often very reasonable too, even peak season (and you can pay the cash at major discount via CUR points)

Not sure where you’re getting the expiration rules above from, but according to the iberia website, any activity (excluding transfers in and out with avios.com or BA) will reset the clock for 36 months. (https://www.iberia.com/fi/iberiaplus/points-expiry/#ancla14) Transferring MR or Chase UR would count as new activity as would earning miles through shopping portals.

William Charles

Thanks for the great post. As far as improving things, I would say just keep doing what you are doing. I love the simplicity of the site, combined with cross posting of useful information. The fact that you have information listed on how to best use the card for other carriers and such, that we normally would have to hunt to find out, is great! Maybe you could do a full post on it and cross link to this post? I also like that you include user’s useful comments and then update the main post.

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