Southwest Rapid Rewards^® Premier Credit Card Review [2024]: Worth the Annual Fee?

Card basics

Who should get the Southwest Rapid Rewards Premier Credit Card?

Many people assume it’s worth getting the Southwest Rapid Rewards® credit card if you fly Southwest, but I dug deeper to see its true financial worth. I think it’s worth it if you fly Southwest frequently, meaning you take more than one or two family trips per year, because the basic points you earn with the credit card may not be as beneficial as you think.

If you either don’t fly often or aren’t loyal to Southwest, there are other non-branded travel credit cards to consider. But, if you’re loyal to Southwest and think you can hit either A-List or A-List Preferred Status, the credit card may be worth it.

So ask yourself:

Do I take at least 10 roundtrip flights per year?

You need 10 roundtrips (or 20 one-way flights) to earn 35,000 points to be an A-List member, which is a lot of flying for most people.

Do I take at least 20 roundtrip flights per year?

If you travel more frequently, taking at least 20 roundtrips (or 40 one-way flights) per year round trip, you may qualify for A-List Preferred and get all the benefits below.

• Priority boarding
• Same-day changes for no fee
• Dedicated (faster) check-in at Southwest counters
• Dedicated phone line
• Free inflight internet
• Double points on each qualifying flight
• Up to two complimentary premium drinks

This card may not be the best choice for consumers who don’t fly Southwest Airlines very often. Your best opportunity to earn bonus points with this card is on Southwest purchases and with Southwest hotel and rental car partners. So, if you’re not brand loyal, consider a different travel credit card like the Capital One Venture X Rewards Credit Card, where you can receive points for booking different kinds of travel through their portal.

Additionally, this credit card isn’t for those wanting luxury perks, such as access to airline lounges or the ability to upgrade to business class. Southwest is fairly utilitarian, so those who fly this airline are more concerned with an efficient way to get from one place to another.

Is the annual fee worth it?

The real question you should ask is if the annual fee is worth it. While $99 a year isn’t a lot, it adds up through the years. If you have the card for ten years, that’s $990 in annual fees, which isn’t a small chunk of change!

To decide if it’s worth it, here’s a look at what you can expect in earnings:

To calculate these values, we used a point valuation of 1.4 cents per point based on the average redemption value the award travel community achieved. Remember, this is an estimation. Your actual value will be determined by how much you spend and in which categories.

• Year one earnings: $1,322
• Year two earnings: $706

These values are based on the FinanceBuzz Credit Card Rewards Valuation Model, which considers points earned via spending, the welcome offer, and the annual fee.

For this particular card, the assumption is that the "travel" spending did not include any Southwest Airlines purchases or taking advantage of the 2X rewards rate on Rapid Rewards hotel and car rental partners; local transit and commuting, including rideshare; and on internet, cable, phone services, and select streaming. 

Of course, with this card, you will likely book with Southwest and its hospitality partners. So your earnings in your first year and second year would potentially be much higher than what is projected here.

Taking advantage of credits and rewards

It’s only fair to mention the extra bonuses Rapid Rewards members receive, as they can weigh in on your decision.

• 2 Early Bird check-in credits annually: Every anniversary, you can get up to two Early Bird check-in credits after purchasing the check-in with your Rapid Rewards credit card.
• Earn 6,000 points every anniversary: On your card anniversary annually, you receive 6,000 bonus points if your account is in good standing
• Earn a 25% account statement for drinks and Wifi: Inflight purchases of drinks and Wifi paid for with your Rapid Rewards card earn a 25% credit card statement credit
• 12-month complimentary DoorDash DashPass: When you activate a DoorDash membership for the first time with a Southwest Rapid Rewards® Premier Credit Card by 12/31/2024, you earn a free 12-month DashPass.

If you fly frequently, you may also earn a Companion Pass. You must have 100 one-way flights or earn 135,000 points to earn it. A companion pass allows you to bring one other person with you on your flights (the same person) for the remainder of the year you qualify, plus the following year. To get it again, you must requalify.

Best ways to earn

The best way to earn Southwest Rapid Rewards points with this card is to use it for purchases on Southwest, including buying airfare. On top of that, you can earn bonus points for hotel stays with certain hospitality partners and car rental partner purchases. This includes brands such as Choice Hotels, Best Western, World of Hyatt, Alamo, Payless, Avis, Hertz, and more.

Basically, if you travel often enough and use your Southwest Rapid Rewards Premier to pay for it, you can earn points at a faster pace. Once you reach A-List Status (35,000 tier qualifying points), you can boost your reward earnings on Southwest purchases by getting 25% more points when you use your card.

Maximizing your redemptions

Southwest Rapid Rewards points don't transfer to any other loyalty programs. To truly maximize rewards, your best bet is to redeem points for Southwest flights. Depending on the kind of traveler you are, the Southwest Companion Pass could save you thousands of dollars in a single year. And since the Southwest check-in process and boarding policy don't allow for seat assignments, you don't have to worry about seat restrictions when you book award travel.

You can also redeem your rewards for gift cards and merchandise, but the point value isn’t as high. For example, you can redeem points for a $25 gift card for 3,000 points, making the award worth less than one cent per point. On the other hand, you might be able to redeem a $343 ticket for 23,849 points, making each point worth around 1.44 cents.

Southwest Rapid Rewards Premier Credit Card FAQ

Other cards to consider

If an airline credit card feels too restrictive to you and you’re looking for more general travel rewards cards, there are a couple of other credit card offers that you might consider.

Cardholders of the Chase Sapphire Preferred^® Card will benefit from trip delay reimbursement, baggage delay insurance, trip cancellation insurance, trip interruption insurance, and primary auto rental collision damage waivers. In addition, Southwest Airlines is a Chase transfer partner, so you can earn Chase Ultimate Rewards points and use them for Southwest airfare.

Learn more in our Chase Sapphire Preferred^® Card review.

The Capital One Venture Rewards Credit Card offers cardholders a TSA PreCheck or Global Entry application fee statement credit, an extended warranty on purchases, travel coverage that includes Travel Assistance Services, and a flexible rewards program.¹ Its $95 annual fee is comparable to the Chase Sapphire Preferred and the Southwest Rapid Rewards Premier card.

Learn more in our Capital One Venture Rewards Credit Card review.

Bottom line

Personally, I would only consider the Southwest Rapid Rewards® Premier Credit Card if you frequently fly Southwest. If you aren't brand loyal, don't fly frequently, or want luxury perks like airport lounge access, you'll be disappointed in the Rapid Rewards card.

If you'll maximize the rewards offered, use perks like the Early Bird Check-In, statement credits for inflight purchases, and fly enough to earn A-List status or a Companion Pass.

Otherwise, explore other options for airline credit cards or travel credit cards in general to maximize your benefits.