IHG One Rewards Premier Payoff Calculator 2026

Card data, May 13, 2026

• Issuer: Chase Bank USA, N.A.
• Card type: Co-branded hotel credit card (IHG One Rewards)
• Network: Mastercard World Elite
• APR: 21.99-28.99% variable on purchases and balance transfers
• Annual fee: 99 dollars
• Rewards: 26x at IHG hotels (combined base, status, and card bonus); 5x dining, gas, travel, utilities, streaming; 3x everything else
• Points value: approximately 0.5 cents each in typical redemption
• Anniversary free night: 1 certificate per cardmember year, up to 40,000 points (roughly 200 dollar value)
• 4th-night-free on points stays: included
• Status: automatic Platinum Elite IHG status
• Intro APR: none
• Balance transfer fee: 5% (minimum 5 dollars)
• Late fee: up to 40 dollars
• Foreign transaction fee: 0%
• Global Entry / TSA PreCheck credit: up to 100 dollars every 4 years

Source: Chase IHG One Rewards Premier terms, verified 2026-05-13.

IHG card economics

The IHG One Rewards Premier provides one of the highest headline reward rates in the major-issuer market (26x at IHG hotels). The headline number is misleading without context: IHG points are among the least valuable major-program currencies, redeeming at roughly 0.5 cents each versus 1-2 cents for most competing programs. The effective rate at IHG is roughly 13%, comparable to the 6.25% effective rate of a Chase Sapphire Preferred earning 5x in the portal at 1.25 cents per point.

The anniversary free night and 4th-night-free benefit drive most of the card’s positive economics. A cardholder who uses both benefits annually extracts roughly 250-350 dollars in value versus the 99 dollar fee. For non-IHG-loyal users, the math collapses quickly. The CFPB’s 2025 Consumer Credit Card Market Report documents the structural pattern: hotel-loyalty co-brand cards heavily concentrate value in the anniversary night certificate.

Worked scenarios at the IHG Premier APR

Scenario 1: 5,000 dollar balance, 25.49% APR midpoint

• 200 per month: 33 months payoff, 1,492 dollars total interest
• 300 per month: 21 months payoff, 911 dollars total interest
• 400 per month: 14 months payoff, 660 dollars total interest

Scenario 2: 10,000 dollar balance, 25.49% APR midpoint

• 300 per month: 50 months payoff, 4,925 dollars total interest
• 500 per month: 25 months payoff, 2,360 dollars total interest
• 700 per month: 17 months payoff, 1,581 dollars total interest

Scenario 3: Anniversary night value offset

A 5,000 dollar balance at 200/month carrying 33 months: 1,492 in interest plus 3 years of 99-dollar annual fees = 297 dollars. Gross cost: 6,789 dollars (36% above original balance). Net cost after redeeming the anniversary night certificate each year at full 200-dollar value (600 dollars total): 6,189 dollars. The certificate redemption brings the net cost down from 36% to 24%; still expensive but meaningfully better than ignoring the benefit.

The pillar tool accepts the IHG Premier APR.

Rewards-versus-interest break-even

At 25.49% APR midpoint, monthly interest is roughly 2.12 dollars per 100 of carried balance. The 26x rate at IHG hotels (13% effective) means an IHG stay charged to the card produces enough rewards to cover roughly 6 months of carrying cost on that same dollar of balance. For a heavy IHG spender with a small carried balance, this can produce net positive economics.

The 3x base rate (1.5% effective) only covers carrying cost for about 21 days. For all spending outside the IHG-direct category, the rewards do not outrun the APR.

Foreign transaction fee and international IHG stays

The 0% foreign transaction fee is meaningful for IHG’s international portfolio (the Holiday Inn, Crowne Plaza, and InterContinental brands have global footprint). A 1,000-dollar international hotel stay charged to a typical foreign-transaction-fee card costs 30 dollars in fees. The IHG Premier eliminates that cost. Across a year of international travel, this benefit can be worth 50-200 dollars depending on spending patterns.

Redeem the anniversary night during payoff

The anniversary free night certificate posts within several weeks of each card anniversary date. The certificate is valid for redemption at any IHG property requiring 40,000 points or fewer per night (which includes most Holiday Inn Express properties and many Holiday Inn properties). The 4th-night-free benefit can stack with the certificate on longer stays.

Set a calendar reminder for 11 months after each anniversary to ensure the certificate is redeemed before expiration. Even during a debt payoff period, the certificate’s value (200 dollars typical) is captured at no incremental cost.

Use the Platinum Elite status

The automatic Platinum Elite status provides:

• Welcome amenity at check-in (usually points or a beverage)
• Complimentary internet (now universal across most properties)
• Priority check-in
• 4th-night-free benefit on points stays

The 4th-night-free benefit alone is worth 8,000-15,000 points on typical stays, which is 40-75 dollars in equivalent value. Across multiple stays per year, this benefit can add 100-300 dollars in annual value.

Avalanche priority

The IHG Premier APR (21.99-28.99%) overlaps with other Chase co-brand cards. If your specific rate is 26%+, the Premier is likely among your highest-APR cards and is the avalanche priority. Under the debt avalanche method, pay extras here first while paying minimums on lower-APR cards.

Balance transfer alternatives

The Premier does not offer 0% intro APR on transfers. For consolidation candidates:

• Chase Slate Edge: 18 months 0%, 3% fee in first 60 days
• Wells Fargo Reflect: 21 months 0%, 5% fee
• Citi Diamond Preferred: 21 months 0%, 5% fee

On a 5,000 IHG Premier balance at 25.49% moved to Slate Edge with 3% fee (150 dollars): 286/month for 18 months, total 5,150. Status quo on IHG Premier: 5,000 + 911 in interest at 300/month over 21 months = 5,911 plus annual fees during that period. Savings: 761+ dollars. The balance transfer calculator covers the precise math.

Downgrade option

Chase typically allows product change from IHG One Rewards Premier to the no-annual-fee IHG One Rewards Traveler card without a hard pull. The Traveler earns lower rates (17x at IHG vs 26x) and does not include the anniversary night or Platinum Elite status. For a cardholder no longer using the anniversary night each year, the downgrade saves 99 dollars annually.

Authoritative sources

• Chase IHG One Rewards Premier Schumer box and terms, Chase Bank USA, N.A., verified 2026-05-13
• CFPB 2025 Consumer Credit Card Market Report, accessed 2026-05-13
• 15 U.S.C. § 1637 Truth in Lending Act, Cornell Law
• Federal Reserve H.15 Selected Interest Rates, accessed 2026-05-13

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Related tools

• Credit card payoff calculator (home), pillar tool
• Credit card payoff by card type, full hub
• Balance transfer calculator
• Avalanche vs snowball method

Frequently asked questions

What is the APR on the Chase IHG One Rewards Premier?

21.99-28.99% variable as of May 13, 2026, per the Chase IHG One Rewards Premier pricing page. The annual fee is 99 dollars. Foreign transaction fee is 0%, useful for international IHG stays. Your specific APR is set at application based on credit profile and the prime rate, then floats with prime.

What is an IHG point worth?

IHG points typically redeem at roughly 0.5 cents each for standard hotel stays, though premium property redemptions can be lower and budget property redemptions can reach 0.7 cents. At 0.5 cents, the headline 26x IHG rate translates to roughly 13% effective rewards. The 4th-night-free benefit on points stays can effectively boost the redemption rate by 25%.

Is the IHG Premier annual fee worth it?

Yes for most IHG stayers. The anniversary free night certificate (up to 40,000 points) is worth roughly 200 dollars at typical redemption values. Plus the 4th night free on points stays (typical 5,000-15,000 points saved) and automatic Platinum Elite status. For paid-in-full users with 2+ IHG stays per year, the 99 dollar fee is well-covered.

How long to pay off 5,000 dollars on IHG Premier?

At 25.49% APR midpoint and 200 dollars per month, payoff takes 33 months and costs about 1,492 dollars in interest. At 300 per month, 21 months and 911 dollars. At 400 per month, 14 months and 660 dollars. Plus 99 dollars in annual fee per year carried. Minimum payment only exceeds 18 years per CARD Act disclosure.

Should I redeem the anniversary night before paying off the balance?

Yes. The free night certificate posts annually after the anniversary date and expires 12 months later regardless of account balance status. Redeeming it captures 200 dollars in value at no incremental cost. The certificate is a benefit you have already paid for via the 99 dollar annual fee; using it during a payoff period reduces net carrying cost.