With the growing popularity of Airbnb, more and more travelers are choosing this platform over traditional hotels for its unique, personal, and often more affordable lodging options. Whether you’re renting a cozy cabin in the mountains, a beachfront apartment, or a quirky city loft, Airbnb offers a wide variety of accommodations that cater to different tastes and needs. However, for those who use credit cards to maximize travel rewards, especially cards like the Chase Sapphire Preferred, Reserve, or Freedom, the way these bookings are categorized becomes crucial. This leads to a common question among reward-savvy travelers: does booking an Airbnb count as a hotel stay when using a Chase credit card?
Credit card companies like Chase categorize purchases into different types such as dining, travel, groceries, and more, to determine the points or cashback you earn. Certain cards are designed to give you higher rewards for specific categories. For example, the Chase Sapphire Preferred and Reserve cards offer increased points for travel-related purchases, while the Chase Freedom Flex may have rotating categories that sometimes include hotels. The key is how Chase identifies and codes various transactions, which can vary significantly depending on the type of merchant. Traditional hotels almost always qualify as travel purchases, but the more flexible and non-traditional nature of Airbnb presents a more complex question: how exactly does Chase treat Airbnb bookings, and can they earn the same rewards as hotel stays?
Because Airbnb isn’t a typical hotel chain, the way these transactions are categorized by Chase can have a significant impact on the rewards you earn. For instance, if Chase doesn’t classify Airbnb stays as “hotels” or “lodging,” you might not be able to take advantage of specific bonuses or benefits tied to those categories. This is especially important for people who rely on credit card perks to enhance their travel experiences, such as earning free nights, gaining access to exclusive travel benefits, or maximizing points for future trips. Understanding how Chase codes these purchases is key to ensuring you’re optimizing your card’s potential and getting the most value for your spending.
Before you jump into your next Airbnb booking with your Chase card, it’s essential to consider how these stays are categorized and what impact that might have on your rewards strategy. Knowing whether an Airbnb counts as a hotel stay with Chase can help you plan more effectively, whether you’re aiming to rack up points or take advantage of travel perks. While the answer may depend on a few factors, digging deeper into how credit card companies categorize these kinds of purchases will provide clarity and help you make more informed travel decisions. So, does Airbnb count as a hotel with Chase? Let’s explore further to uncover what you need to know before booking your next stay.
Does Airbnb count as hotel Chase?
Booking accommodations has evolved beyond traditional hotels, with platforms like Airbnb becoming increasingly popular for travelers looking for unique, local, or budget-friendly stays. But for those who are savvy with credit card rewards, particularly with cards from Chase, the question arises: how does Chase categorize an Airbnb stay? Does it count as a hotel booking and earn hotel-related rewards, or is it classified differently? To answer this, we need to delve into how Chase processes these transactions, what categories they fall into, and how it impacts your rewards strategy.
Merchant Category Codes (MCC)
Credit card companies like Chase rely on Merchant Category Codes (MCC) to classify different types of purchases. Each business, whether it’s a restaurant, grocery store, hotel, or airline, is assigned a specific MCC that defines its type of service. When you use your credit card, the rewards or cashback you earn are based on the MCC assigned to that merchant. For instance, traditional hotel chains like Marriott or Hilton have an MCC that classifies them as “hotels,” and when you book with them, your card processes the transaction as a hotel purchase. This allows you to earn bonus points or cashback in the “hotel” category if your card offers those rewards.
Airbnb’s MCC Classification
Airbnb, however, operates differently from traditional hotels. Instead of managing large chains of standardized rooms, Airbnb connects private property owners with guests looking for temporary lodging. These can range from apartments and houses to cabins, boats, and even castles. Because of this business model, Airbnb does not fall under the same MCC as a traditional hotel. Instead, Airbnb is typically categorized under a broader “travel” category.
This distinction is important for how your Chase card rewards you. For example, Chase cards such as the Chase Sapphire Preferred or Chase Sapphire Reserve offer higher rewards for travel-related purchases. These cards define travel broadly to include flights, rental cars, trains, and accommodations like Airbnb. So, while Airbnb may not count as a “hotel” in the traditional sense, it still fits within the travel category, allowing you to earn those enhanced travel rewards.
How Chase Treats Airbnb Bookings
Let’s consider the Chase Sapphire Preferred and Chase Sapphire Reserve cards. Both cards offer 2x and 3x points respectively for travel purchases. When you book an Airbnb with either of these cards, Chase generally categorizes the transaction as “travel,” meaning you will earn those bonus points. This is good news for frequent Airbnb users because you’re still able to maximize your rewards on these purchases, even if it doesn’t strictly count as a hotel stay.
On the other hand, some credit cards, such as the Chase Freedom Flex or Chase Freedom Unlimited, sometimes offer rotating or specific categories that earn higher points on hotels or similar lodging expenses. If hotels are one of the bonus categories, your booking at a traditional hotel would likely qualify for these extra rewards. However, an Airbnb booking may not, since it might not be classified as a “hotel” by Chase. Instead, it will likely fall into the travel category but not benefit from hotel-specific bonuses.
Let’s break it down with an example. Imagine you’re planning a weekend getaway and decide to book a charming countryside cottage through Airbnb. You use your Chase Sapphire Reserve card, which earns you 3x points on travel purchases. Since Chase categorizes Airbnb under travel, you’ll earn 3x points on this booking, just like you would if you had booked a plane ticket or a car rental.
Now, imagine you’re using the Chase Freedom Flex, and for that quarter, Chase offers 5% cash back on hotels. You book another Airbnb, hoping to earn the 5% cash back. Unfortunately, because Airbnb isn’t classified as a hotel in the traditional sense, your booking might not qualify for the 5% cash back under the hotel category. Instead, it will likely earn whatever the base rate of cashback is, which may not be as rewarding.
Travel Protections and Perks
Another aspect to consider is travel protections and perks that your credit card offers. Some Chase cards, like the Chase Sapphire Reserve, offer travel insurance, trip delay coverage, and other protections when you use the card to book travel-related purchases. Since Airbnb is generally categorized as travel, these protections should apply to Airbnb bookings as well. This can give you peace of mind knowing that even though Airbnb isn’t a hotel, your travel benefits still extend to these types of stays.
