Chase Southwest Credit Card Benefits for Active-Duty U.S. Military Members [$2,400+]

As a service member, you face challenges balancing duty, home life, and the associated financial challenges — and we appreciate that.

These financial challenges have also been recognized and addressed with the passing of the Servicemembers Civil Relief Act of 2003 (SCRA), and the Military Lending Act of 2006 (MLA). The acts apply to credit that is granted to service members, both prior to and during active duty.

While the laws govern financial transactions in general, today we’re going to talk about the credit card benefits these laws extend to active-duty military members. Specifically, we’ll focus on popular credit card issuer Chase and its Southwest Airlines-branded credit cards.

If you’re an active-duty military member and fly Southwest Airlines, you’ll find value in our discussion today.

Here’s how the laws apply to the credit cards we’ve chosen for our article and how these Chase-issued Southwest credit cards can add value for you and your family.

How Do the SCRA and MLA Work?

The SCRA and MLA apply to a multitude of financial transactions, including mortgages, installment loans, and banking. Additionally, these acts provide relief for credit cardholders who have secured cards prior to, or during, active-duty service.

Here’s how each of the laws applies to credit granted to service members via credit cards.

• For credit cards that were obtained prior to active-duty military service, interest rates are capped at 6%.
• For credit cards obtained during active-duty military service, but after September 20, 2017, interest rates are capped at a maximum of 36% interest rate (Military Annual Percentage Rate MAPR), which would include fees, interest charges, application fees, etc. (MLA).

Chase has capped interest rates for cards acquired prior to active-duty military service at 4%, versus the 6% required by the SCRA.

Additionally, Chase waives all associated card fees, except late payment fees, for active-duty military members for cards acquired after September 20, 2017.

Bottom Line:

For credit cards acquired during active-duty military service, and after September 20, 2017, Chase will waive all associated card fees except late fees and returned check fees.

Potential Value of Southwest Credit Cards for Active-Duty Military Members

While it may seem subjective to add a specific value to each of the key benefits offered on Chase Southwest credit cards, the process can help determine whether you’ll actually benefit from having a particular card. It’s a practice we recommend for any credit card you’re considering.

Here’s our estimated potential value for each benefit on Chase Southwest-branded cards. The actual value you receive, of course, will depend on how you use the card.

Waiver of Annual Fees — Value of up to $149

Chase Southwest-branded credit cards all come with an annual fee. As an active-duty military member, Chase will waive that fee, resulting in savings for you and qualifying dependents who are approved for the card.

Here are the current annual fees for personal Southwest-branded Chase credit cards:

Card	Annual Fee
Southwest Rapid Rewards® Plus Credit Card	$69
Southwest Rapid Rewards® Premier Credit Card	$99
Southwest Rapid Rewards® Priority Credit Card	$149

Bottom Line:

Chase will waive the annual fee, and associated card fees, for personal Southwest-branded credit cards for active-duty military members and qualifying spouses/domestic partners.

Earning Potential and Redemption Options — Value of $1,500+

The Value of a Welcome Bonus Offer — Value of $600+

Chase issues 3 Southwest-branded personal consumer credit cards that come with welcome offers that may differ by card and vary over time. You can typically expect to receive hundreds of dollars worth of Southwest Rapid Rewards points and other potentially valuable bonuses for meeting minimum spending requirements within a specific period after card approval.

Check out the latest welcome offers before applying:

Bottom Line:

Each Chase Southwest credit card comes with a welcome offer that is typically worth hundreds of dollars and can be earned after meeting minimum spending requirements in the period immediately after card approval.

Referral Bonus Opportunities — Value of $520

Since Chase waives the annual fee for eligible spouses/domestic partners, you may want to refer them and earn a referral bonus of 20,000 bonus points for each approved applicant. You can earn up to 100,000 bonus points each year.

Since we value Rapid Rewards points at 1.3 cents each, just 2 referrals could result in $520 in value.

Spending on the Card — Value of $300

Spending on your Southwest credit card can be a great source of earning Rapid Rewards points. To illustrate the value of card spending we’ll focus on the Southwest Priority card and how it earns rewards.

This is the best card for earning on Southwest purchases, along with the Southwest Premier card. Plus, the card has additional elevated benefits we’ll talk about shortly. With the annual fee waived for active-duty military, the Southwest Priority card offers the best potential overall value.

Here’s an example of earning rewards on the card:

• Earn 3x points per dollar spent on Southwest purchases
  • $3,000 in purchases = 9,000 points
• Earn 2x points per dollar spent on local transit and commuting, rideshare purchases, internet, cable, phone, and select streaming services
  • $5,000 in purchases = 10,000 points
• Earn 1x points on all other eligible purchases
  • $4,000 in purchases = 4,000 points

Even with conservative spending, you can accumulate enough points for multiple Wanna Get Away fare tickets. But, there are additional opportunities to earn Rapid Rewards points by having a Southwest card.

Anniversary Bonus Points — Value of up to $97

Each card anniversary, after your renewal, you’ll earn Rapid Rewards bonus points. For the Southwest Plus card, you’ll receive 3,000 bonus points, the Southwest Premier card 6,000 bonus points, and 7,500 bonus points after the card anniversary of the Southwest Priority card.

Based on our estimates of ~1.3 cents each in value, 7,500 bonus points would be worth ~$97.

Earning Tier Qualifying Points Toward Elite Status — Value Varies

Southwest Airlines’ elite status comes with several additional travel perks. You can reach elite status faster by spending on your card. For each $5,000 spent on either the Southwest Priority card or Southwest Premier card, you’ll receive 1,500 tier qualifying points toward A-List status.

Hot Tip:

If you need to top off your Southwest Rapid Rewards points account for a specific flight redemption, and you have a Chase credit card that earns Ultimate Rewards points, you can transfer the points at a 1:1 ratio.

Redemption Options — Value Varies

You’ll have several options for redeeming your rewards but the best value will be to use your Southwest Rapids Rewards points for award flights.

Additional options at redemption time include car rentals, hotels, flights with other airlines, experiences, gift cards, and merchandise. Redemptions other than flights can result in poor value for your rewards.

Bottom Line:

You can build a bank of Southwest Rapid Rewards points by earning the welcome bonus, referring friends and family, spending on the card, and receiving the card anniversary bonus. At redemption time, the best value for your points is award flights.

Travel Protections and Benefits — Value of $575

Car Rental Insurance — Value of $200

Reserve and pay for your rental car with your Chase Southwest card, decline the rental agency’s CDW/LDW coverage, and receive secondary coverage for damage, theft, and reasonable agency charges for loss of use and towing. Secondary coverage means you must first file a claim with any other personal insurance that may apply before card coverage kicks in.

If you do not have personal auto insurance, or if you are renting a vehicle outside of your residence country, the coverage can be primary.

Baggage Insurance — Value of $100

Pay for your common-carrier ticket with your Southwest card and you could receive up to $100 per day, up to 3 days, as reimbursement for eligible incidentals if your bags are delayed more than 6 hours.

If your bags are lost or damaged by the carrier, you could receive up to $3,000 per passenger.

Roadside Dispatch — Value of $25

If stranded roadside, you’ll pay just 1 pre-negotiated discounted fee for a service call that can include jump-start service, tire changing of your inflated spare, limited towing, standard winching, lockout service, and emergency fuel delivery.

Southwest Flight Benefits — Value of up to $145

Using your card for inflight purchases will trigger a rebate and could save you money. You could also receive priority boarding opportunities by holding a Southwest credit card.

• Inflight Purchase Discount — Receive 25% of your inflight purchases back as a statement credit.
• EarlyBird Check-In and Upgraded Boardings — With the Southwest Plus card and the Southwest Premier card, you’ll be reimbursed for 2 EarlyBird Check-In purchases each year. EarlyBird Check-In starts at $15 but can be as high as $25, depending on the flight. With the Southwest Priority card, you’ll receive 4 Upgraded Boardings ($30 each) per year.

If you spent just $100 on inflight purchases, you would receive a $25 statement credit. EarlyBird Check-In or Upgraded Boardings could save you as much as $120 each year.

Southwest Travel Credits — Value of up to $75

Select the Southwest Priority card and receive an annual statement credit, up to $75, for Southwest purchases.

No Foreign Transaction Fees — Value of $30

While the Southwest Premier card and Southwest Priority card do not charge foreign transaction fees, the Southwest Plus card charges 3% of the total foreign transaction in U.S. dollars.

Fortunately, you won’t be paying foreign transaction fees regardless of the card you select, as Chase will waive these fees for active-duty military. If you spent $1,000 in foreign purchases, you would save $30.

Bottom Line:

A Southwest-branded credit card offers travel protections and benefits that can deliver hundreds of dollars in value.

Shopping Protections and Benefits — Value of $220

Purchase Protection and Extended Warranty — Value of $50

Using your Southwest credit card for eligible purchases can add protection if something should go wrong with the item.

Purchase protection provides coverage for damage and theft for up to 120 days from the purchase date. Maximum coverage is up to $500 per item, and up to $50,000 per account.

For eligible items that have manufacturer’s warranties of 3 years or less, the warranty will be extended for 1 additional year.

Chase Offers — Value of $50

Once you’ve logged in to your Southwest credit card online account, you’ll be able to select Chase Offers from select merchants and service providers to earn bonus cash-back as a statement credit. Simply add the offer to your card, make the associated purchase, and receive a statement credit.

DoorDash DashPass — Value of $120

Activate your complimentary 1-year DoorDash DashPass subscription by December 31, 2024, and receive complimentary delivery and reduced fees on eligible orders. The current monthly cost for the DoorDash DashPass is $9.99.

Additional Card Benefits

The Southwest Companion Pass Boost — Value Varies

You could categorize this as a travel benefit, but since you have to accumulate points to qualify for it, we’ll just include it under the benefits you can achieve by being a Southwest credit cardholder.

The Southwest Companion Pass allows you to bring along a companion at no extra cost, except minimal taxes/fees, when flying Southwest Airlines. The pass is secured by earning 135,000 points in a year when flying revenue flights, spending on your Southwest credit card, and making purchases with partner merchants.

Southwest cardholders also receive a Companion Pass Boost each calendar year of 10,000 Companion Pass qualifying points. Therefore, Southwest cardholders only need to earn 125,000 points in a year to qualify for the Southwest Companion Pass.

Qualification and Requesting Benefits

It’s quite apparent that a Southwest-branded credit card could add value and cost-savings benefits if you fly on Southwest Airlines.

Now let’s look at who can qualify for the military benefits, how to apply for a Southwest credit card, and requesting SCRA/MLA benefits.

Who Qualifies for Military Benefits

Chase will waive fees and grant corresponding benefits to the following eligible individuals:

• Active-duty military
• A reserve or full-time National Guard member on active duty
• Active-duty commissioned officers of NOAA or the Public Health Service

Spouses, domestic partners, and other dependents may also qualify for SCRA/MLA benefits.

How To Apply for Southwest Credit Cards as an Active-Duty Military Member

Once you’ve determined that you’re qualified for SCRA or MLA benefits, you’re ready for the next steps.

• Check Your Credit Score — We recommend that you’ll need a good to excellent credit score, preferably 700 or above, to qualify for a Chase Southwest credit card.
• Review the Chase 5/24 Rule — It’s likely that Chase will not approve you if you have acquired more than 5 credit cards from any issuer within the past 24 months. Be sure to review the rule before applying for any card.
• Verify Your Active-Duty Status — Check the Department of Defense database via the MLA website to verify if your active-duty status is up to date. If a spouse or domestic partner is applying, be sure their information is updated in the Defense Enrollment Eligibility Reporting System (DEERS). Chase will use these websites to verify eligibility for benefits.

When completing the card application, be sure to list the military as your income source, as this can prompt Chase to automatically apply benefits and send you a confirmation letter. If this doesn’t happen, you can request benefits immediately after approval.

Hot Tip:

Southwest Airlines offers priority boarding (between groups A and B), flight discounts, and baggage discounts for active-duty military members. Priority boarding applies even if you are not traveling in uniform.

How To Request Benefits (Do This After You’re Approved)

Once you’re approved for a Southwest credit card, you can request benefits from Chase via secure message.

• Log in to your Chase online card account.
• In the upper left of the page, select Secure Messages from the menu.
• Select New Message.
• Select Servicemembers SCRA benefits from the drop-down menu.
• Complete the request and include your Southwest credit card account number.
• Attach the supporting documents (i.e. active-duty military orders or spouse/domestic partner documents).

There is also a dedicated SCRA/MLA center phone number to can call to ask questions or request benefits. Call 877-469-0110 (8 a.m. to 10 p.m. Monday through Friday, and 9 a.m. to 6 p.m. Saturday) or call collect at 318-340-3348 if you are out of the country.

Finally, you can request benefits via mail. Be sure to include supporting documents.

Chase, Attention: SCRA Request
P.O. Box 183240
Columbus, Ohio, 43218-3240

Bottom Line:

Once you’ve determined your eligibility for SCRA/MLA benefits, check your credit score and review Chase’s 5/24 rule. You’ll then want to verify that your status is updated in the associated government database and, finally, request benefits via secure message, mail, or call.

Additional Recommended Chase Credit Cards for Active-Duty Military Members

Since annual card fees will be waived by Chase, you may want to consider some of the best travel rewards cards Chase has to offer.

These cards provide the extraordinary value of elevated earning potential, flexible redemption options, and valuable travel and shopping protections and benefits.

Chase Sapphire Preferred® Credit Card

The Chase Sapphire Preferred card is a good first choice for active-duty military members because of its generous welcome offer, travel insurance benefits, and the fact that it earns valuable flexible rewards.

Why We Like the Card for Active-Duty Military

• Waiver of the $95 annual fee
• Earns flexible Ultimate Rewards points that can be redeemed for 1.25 cents each via the Chase travel portal or transferred to airline and hotel partners for even greater potential value
• Annual hotel credit of up to $50
• Excellent travel insurance benefits, including primary car rental insurance

Hot Tip:

Both the Chase Sapphire Preferred card and Chase Sapphire Reserve card come with trip cancellation and trip interruption insurance. One of the covered reasons for these protections to apply is a change in military orders. This can be valuable coverage for active-duty military members.

Chase Sapphire Reserve®

With its premium travel benefits, worldwide lounge access, travel statement credits, and elevated potential value at redemption time, the Chase Sapphire Reserve card makes a perfect travel rewards card choice.

Why We Like the Card for Active-Duty Military

• Waiver of the $550 annual fee
• Earns flexible Ultimate Rewards points that can be redeemed for up to 1.5 cents each via the Chase travel portal or transferred to airline and hotel partners for even greater potential value
• An up to $300 statement credit each year for travel purchases
• Complimentary Priority Pass Select membership with access to over 1,400 properties worldwide
• Global Entry, TSA PreCheck, or NEXUS fee reimbursement
• Premium travel insurance benefits, including emergency evacuation and transportation

Final Thoughts

If you’re an active-duty military member and you fly on Southwest Airlines, a Chase co-branded card could be a strong consideration, especially with the waived annual fee.

We recommend the Southwest Priority card, as it has the best earning structure and economic benefits of the 3 Southwest-branded personal consumer credit cards.

If Southwest is just one of the airlines you fly, you may want to consider a travel rewards card that earns more flexible rewards and has broader benefits. Cards that have high annual fees also tend to have more premium benefits. Since annual fees are waived for active-duty military, you could realize tremendous associated value with some of the best travel rewards cards.