What Southwest credit cards do and who offers them
Southwest Airlines credit cards are issued by Chase Bank, not by Southwest itself. The most common version is the Southwest Rapid Rewards Premier Card, which earns points on every purchase you make. Those points convert to Southwest flight tickets, seat upgrades, or other travel perks. You can also get a business version if you have a sole proprietorship or small company.
The card comes with an annual fee — currently $69 for the personal version — but you get a free round-trip flight voucher each year you renew, which often covers the cost. The earning rate is 2 points per dollar on Southwest purchases and 1 point per dollar on everything else. Chase also offers a second personal card called the Southwest Rapid Rewards Plus Card, which has a lower annual fee ($35) but fewer perks.
Both cards report to the three major credit bureaus (Equifax, Experian, TransUnion), so opening one will affect your credit score temporarily. The impact is usually small and recovers within a few months if you pay on time. Points never expire as long as your account stays open and you use the card at least once every 24 months.
Key Takeaways
- Southwest credit cards are issued by Chase and earn points toward Southwest flights, not cash back.
- The Premier Card costs $69 per year but includes an annual flight voucher worth roughly $100 to $200.
- You need a credit score of around 670 or higher to be considered, though Chase does not publish exact minimums.
- Opening a new card temporarily lowers your credit score by a few points, but the effect fades within months if you pay your bill on time.
- Points never expire as long as your account stays open and you use the card at least once every 24 months.
How the rewards system actually works
Points earned on a Southwest card do not convert to dollars. Instead, you redeem them directly for flights on Southwest.com. One point does not equal one dollar — the value depends on the flight. A short domestic flight might cost 6,000 points, while a longer route could cost 12,000 or more. During promotional periods, Southwest sometimes reduces point costs, which is when frequent flyers book their trips.
The annual flight voucher you get with the Premier Card is a separate benefit. It is a one-time round-trip ticket good for any Southwest flight within a year of issue. You cannot split it, transfer it, or convert it to points. If you do not use it, it expires.
Points sit in your account indefinitely as long as the card stays open and you charge something to it at least once every 24 months. If your account closes or goes inactive for two years, Southwest will cancel your points. This is different from some airline cards that expire points on a fixed schedule.
Comparing the Premier and Plus versions
| Feature | Premier Card | Plus Card |
|---|---|---|
| Annual fee | $69 | $35 |
| Annual flight voucher | Yes (round-trip) | No |
| Earning rate | 2 points per $1 on Southwest, 1 point per $1 elsewhere | 1 point per $1 on all purchases |
| Sign-up bonus | Varies (typically 40,000 to 60,000 points) | Varies (typically 30,000 to 50,000 points) |
| Best for | Frequent Southwest flyers who value the annual voucher | Occasional flyers or those who want lower annual cost |
The Premier Card makes sense if you fly Southwest at least once a year. The annual voucher usually covers the $69 fee, and the higher earning rate on Southwest purchases adds up if you book directly with the airline. The Plus Card is cheaper upfront but offers no voucher and earns points more slowly, so it works better for people who fly infrequently or use other airlines most of the time.
Your spending habits matter too. If you charge $10,000 or more per year to the card, the extra point per dollar on the Premier Card can earn you an extra flight's worth of points annually. If you charge less than $5,000 per year, the Plus Card's lower fee may save you money overall.
What happens when you open a new card
explore for a Southwest card triggers a hard inquiry on your credit report. This is a formal check that Chase runs to decide whether to approve you. The inquiry itself causes a small, temporary dip in your credit score — usually 5 to 10 points — and stays on your report for about a year, though the score impact fades much faster.
If Chase approves you, opening the account adds a new line of credit to your report. This lowers your average account age (if you have other older cards) and increases your total available credit, both of which affect your score. The net effect is typically a 10 to 20 point drop in the first month, recovering to normal within three to six months as long as you pay your bill on time and do not max out the card.
Chase will also run a soft inquiry on your ChexSystems banking history, which does not affect your credit score. This checks for patterns of overdrafts or closed accounts. If you have had multiple accounts closed for cause in the past two years, this can work against your approval odds even if your credit score is good.
Credit score requirements and approval odds
Chase does not publish a minimum credit score for the Southwest cards, but data from cardholders suggests approval is most common with a score of 670 or higher. People with scores between 650 and 670 sometimes get approved, especially if they have a long credit history and no recent missed payments. Scores below 650 face much lower approval odds.
Your income, existing debt, and recent credit applications also matter. If you have applied for multiple cards or loans in the past three months, Chase may deny you even with a good score. If you have high credit card balances relative to your limits, that also works against approval. Chase looks at your debt-to-income ratio, which is your total monthly debt payments divided by your gross monthly income.
You can check your own credit score for free through your bank, your credit card issuer, or sites like Credit Karma or AnnualCreditReport.com. Checking your own score is a soft inquiry and does not hurt your credit. Knowing your score before you explore helps you decide whether to proceed or wait until your score improves.
When a Southwest card makes financial sense
The Premier Card is worth the $69 annual fee only if you actually use the annual voucher and earn enough points to offset the cost. If you fly Southwest once a year, the voucher alone probably justifies keeping the card. If you never fly or fly once every three years, the fee is money down the drain.
The sign-up bonus — typically 40,000 to 60,000 points — is the real value in the first year. That bonus alone can cover a domestic flight or most of a longer trip. But you only get it once, so the card's long-term value depends on your ongoing spending and travel plans.
If you carry a balance and pay interest, the rewards do not offset the interest charges. A card earning 2 points per dollar is only worth it if you pay the full balance each month. If you cannot do that, the interest cost will exceed any rewards value. The average credit card interest rate is around 20%, which means paying interest on a $1,000 balance costs you $200 per year — far more than any rewards you would earn.
How to compare this card to other travel options
Southwest cards are not the only way to earn travel rewards. Other airlines issue their own cards through Chase, Bank of America, or American Express. General travel cards like the Chase Sapphire Preferred earn points that work across multiple airlines and hotels, giving you more flexibility. Cash-back cards earn a flat percentage back on all purchases, which you can use however you want.
The choice depends on your travel habits. If you fly Southwest exclusively and book directly with them, a Southwest card wins. If you use multiple airlines or book through travel sites, a general travel card or cash-back card may be better. If you do not travel much, a cash-back card is simpler and avoids the annual fee entirely.
You can also compare the cost of the annual fee against the value of the voucher. In some years, Southwest runs promotions that reduce the annual fee or increase the voucher value. Checking Chase's website or calling their customer service line before you explore can tell you what the current offer is. These promotions change several times per year, so timing your process can matter.
Frequently Asked Questions
Do I have to use the annual flight voucher in the same year I get it?
No. The voucher is good for one year from the date it is issued, so you have 12 months to book and fly. If you do not use it within that window, it expires and you lose it. Southwest does not roll unused vouchers into the next year.
What if my credit score drops after I open the card?
A temporary drop is normal and expected. The score usually recovers within three to six months if you pay your bill on time and keep your balance low. Avoid opening other cards or taking out loans during this recovery period, as that will delay the bounce-back.
Can I transfer my Southwest points to someone else?
No. Points are tied to your account and cannot be transferred, gifted, or sold. You can use them to book flights for other people, but the points stay in your name. The annual flight voucher also cannot be transferred.
What happens if I close the card after getting the sign-up bonus?
You keep the points you earned, but you lose access to future rewards and the annual voucher. If you close the card and reopen it later, you may not be may be able to access for the sign-up bonus again for several years. Chase typically limits sign-up bonuses to once every 24 months per person.
Is the sign-up bonus taxable income?
No. Credit card rewards and sign-up bonuses are not considered taxable income by the IRS. You do not need to report them on your tax return.