Southwest unveils big credit card refresh: 50% fee hikes, but new seating and boarding perks
Over the past year, Southwest Airlines has made major changes to its business model, from ending open seating to adding checked bag fees and revamping aspects of its Rapid Rewards loyalty program.
Up next?
A significant refresh of its credit cards lineup.
The Dallas-based carrier announced on Thursday it's adding new perks to each of its Chase cobranded cards. The newly-revealed benefits include ways to earn bonus points on restaurant, grocery and gas purchases.
And, as TPG first reported in April, certain Southwest cardholders will get complimentary access to its brand-new extra legroom seats.
But the changes will come at a hefty price tag for new and existing cardholders.
Annual fees on each Southwest card are set to rise sharply, with average fee hikes hovering around 50%.
That said, there's a major deal sweetener for travelers who add a Southwest card to their wallets: Between now and Sept. 17, new applicants for any of its personal cards can earn 100,000 Rapid Rewards points after spending $4,000 on purchases within the first five months.
"We believe that our existing cardmembers as well as the new cardmembers will see the real and measurable value that the benefits convey, as well as increased flexibility and increased choice," Corbitt Burns, Southwest managing director of co-brand and payments, told TPG in an interview this week.
Here's what to know about the overhaul to the airline's card lineup, including new benefits, disappearing perks and the ones that are sticking around.
Higher annual fees
Let's get the bad news out of the way first. Each of Southwest's five credit cards will see an annual fee hike as part of this card suite refresh:
| Credit card | Previous annual fee | New annual fee |
|---|---|---|
| Southwest Rapid Rewards® Plus Credit Card | <span style="font-weight: 400;">$69</span> | <span style="font-weight: 400;">$99 (+43%)</span> |
| <strong>Southwest Rapid Rewards® Premier Credit Card</strong> | <span style="font-weight: 400;">$99</span> | <span style="font-weight: 400;">$149 (+50%)</span> |
| Southwest Rapid Rewards® Priority Credit Card | <span style="font-weight: 400;">$149</span> | <span style="font-weight: 400;">$229 (+54%)</span> |
| Southwest® Rapid Rewards® Premier Business Credit Card | <span style="font-weight: 400;">$99</span> | <span style="font-weight: 400;">$149 (+50%)</span> |
| Southwest® Rapid Rewards® Performance Business Credit Card | <span style="font-weight: 400;">$199</span> | <span style="font-weight: 400;">$299 (+50%)</span> |
Existing Southwest Rapid Rewards Cardmembers' annual fees will adjust on their 2026 Anniversary date.
The fee hikes come as a slew of credit card issuers have raised annual dues on cards over the past year (or plan to soon), particularly at the more premium end of the spectrum. In the case of Southwest's portfolio, Chase attributed the hikes to new benefits and the passage of time.
"This is the first time, in some cases, that we're increasing the fee in a decade," Chris Cracchiolo, president of cobranded cards at JP Morgan Chase, told TPG. "We believe strongly that we're pricing for value, and we think the incremental benefits on the card products justify the modest fee increases."
Related: Best time to apply for Southwest Chase cards based on offer history
New benefits
Southwest's card lineup will see a range of new benefits which, in most cases, have been re-designed for an airline that — by January — will look a lot different than it did a year ago.
Free checked bag
Like they do today, Southwest cardholders will get their first checked bag free on each of the airline's cards.
This benefit will apply to the primary cardholder and up to eight travelers flying on the same reservation.
For context, Southwest now charges customers $35 for their first checked bag, after implementing fees in late May.
Related: These 26 credit cards can get you free checked bags on your next flight
Seating benefit
All cardholders will be allowed to select a seat in some capacity, even if they're flying on a basic fare (which recently replaced Southwest's well-known "Wanna Get Away" tickets).
But the seating benefits improve as you look at cards with higher annual fees.
Plus, as TPG first reported this spring, Southwest Rapid Rewards Priority and Performance Business cardholders will be allowed to select the airline's extra legroom seats within 48 hours of departure at no cost (if seats are available).
| Card | Extra Legroom seat selection | Preferred seat selection (situated closer to the front of the aircraft) | Standard seat selection |
|---|---|---|---|
| <ul> <li style="font-weight: 400;" aria-level="1"><b>Southwest Rapid Rewards Priority Card</b></li> <li style="font-weight: 400;" aria-level="1"><b>Southwest Rapid Rewards Performance Business Card</b></li> </ul> | <span style="font-weight: 400;">Within 48 hours of departure</span> | <span style="font-weight: 400;">At booking</span> | <span style="font-weight: 400;">At booking</span> |
| <ul> <li style="font-weight: 400;" aria-level="1"><b>Southwest Rapid Rewards Premier Card</b></li> <li style="font-weight: 400;" aria-level="1"><b>Southwest Rapid Rewards Premier Business Credit Card</b></li> </ul> | <span style="font-weight: 400;">N/A</span> | <span style="font-weight: 400;">Within 48 hours of departure</span> | <span style="font-weight: 400;">Within 48 hours of departure</span> |
| <ul> <li style="font-weight: 400;" aria-level="1"><b>Southwest Rapid Rewards Plus Credit Card</b></li> </ul> | <span style="font-weight: 400;">N/A</span> | <span style="font-weight: 400;">N/A</span> | <span style="font-weight: 400;">Within 48 hours of departure</span> |
Like with bags, the seating benefits for each card will apply for the primary cardholder and up to eight companions flying on the same reservation.
New bonus spend categories
Southwest also made big changes to the number of points customers can earn on everyday purchases.
Bonus spend categories for local transportation, commuting and rideshare services will disappear for most cards in 2026. So will bonus points for purchases like internet, cable and phone services, on most cards.
Instead, effective immediately, you'll see the airline reward customers more for dining, grocery and gas purchases.
Cracchiolo, of Chase, said this shift gives cardholders "much more utility" to earn points for their next redemption.
"We're pretty confident they're going to resonate with both new customers and existing customers," he said.
However, we should note: some cards have limits on how many bonus points customers can earn in that new category. Exact details below.
Related: Your ultimate guide to Southwest credit card eligibility
Boarding perk
As Southwest revamps its boarding procedures with a process that'll look a lot more like its competitors (farewell to lining up at the gate!) the airline plans to offer earlier boarding to Rapid Rewards members who carry its cards.
Those travelers will board no later than Group 5, ahead of standard boarding.
Southwest's new boarding process will include a total of eight groups.
Faster track to A-List
Also, Southwest will give some cardholders a faster track to A-List elite status than they have today, with more Tier Qualifying Points earned on card spending.
What's going away?
Along with phasing out some existing bonus spend categories, Southwest's card lineup will lose some of the benefits that were specific to its outgoing open seating model and single-file boarding process, such as the EarlyBird and Upgraded Boarding perks currently offered with some cards.
Existing cardholders will have through the end of the year to use those benefits before they disappear.
There are a handful of additional perks that Southwest and Chase are adding — or cutting — as part of this overall refresh.
Here's the full rundown of each of the cards and benefits.
Southwest Airlines credit card benefits
Here's the breakdown of Southwest's consumer credit card benefits and fees.
Consumer cards
| Plus | Premier | Priority | |
|---|---|---|---|
| <b>Annual fee</b> | <span style="font-weight: 400;">$99 (up from $69)</span> | <span style="font-weight: 400;">$149 (up from $99)</span> | <span style="font-weight: 400;">$229 (up from $149)</span> |
| <b>Welcome bonus: Earn 100,000 points after spending $4,000 in the first 5 months</b><p></p> <p><span style="font-weight: 400;">Available through Sept. 17, 2025</span></p> | <span style="font-weight: 400;">√ </span> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> |
| <b>1st checked bag free </b><p></p> <p><span style="font-weight: 400;">(for primary cardholder and up to 8 companions on the same reservation)</span></p> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> |
| <b>Standard/Preferred seating benefit </b><p></p> <p><span style="font-weight: 400;">(for flights operating in 2026)</span></p> | <span style="font-weight: 400;">Standard seat selection within 48 hours, even on basic fares</span> | <span style="font-weight: 400;">Standard or Preferred seat selection within 48 hours, even on basic fares</span> | <span style="font-weight: 400;">Standard or Preferred seat selection within 48 hours, even on basic fares</span> |
| <b>Extra Legroom seating benefit</b><p></p> <p><span style="font-weight: 400;">(for flights operating in 2026)</span></p> | <span style="font-weight: 400;">N/A</span> | <span style="font-weight: 400;">N/A</span> | <span style="font-weight: 400;">Within 48 hours, pending availability</span> |
| <b>Group 5 boarding or better</b><p></p> <p><span style="font-weight: 400;">(for flights operating in 2026)</span></p> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> |
| <b>Anniversary perks</b> | <span style="font-weight: 400;">3,000 points after each card anniversary</span><p></p> <p><span style="font-weight: 400;">One promotional 10% flight discount each anniversary year (excludes basic economy).</span></p> | <span style="font-weight: 400;">6,000 points after each card anniversary </span><p></p> <p><span style="font-weight: 400;">One promotional 15% flight discount each anniversary year (excludes basic economy)</span></p> | <span style="font-weight: 400;">7,500 points after each card anniversary</span> |
| <b>Rapid Rewards earnings</b> | <span style="font-weight: 400;">2 points per $1 spent on eligible Southwest purchases</span><p></p> <p><b>NEW:</b><span style="font-weight: 400;"> 2 points per $1 on the first combined $5,000 spent at gas stations and grocery stores during the card anniversary year.</span></p> <p><span style="font-weight: 400;">1 point per $1 on all other eligible purchases</span></p> <p><b>ENDING 12/31/25: </b><span style="font-weight: 400;">2 points per $1 spent on:</span></p> <ul> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">local transit and commuting</span></li> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">internet, cable and phone services and select streaming</span></li> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">Rapid Rewards hotel and car rental partners </span></li> </ul> | <span style="font-weight: 400;">3 points per $1 spent on eligible Southwest purchases</span><p></p> <p><b>NEW: </b><span style="font-weight: 400;">2 points per $1 spent on the first combined $8,000 spent on groceries and restaurants</span></p> <p><span style="font-weight: 400;">1 point per $1 spent on other eligible purchases</span></p> <p><b>ENDING 12/31/25: </b><span style="font-weight: 400;">2 points per $1 spent on:</span></p> <ul> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">local transit and commuting</span></li> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">internet, cable and phone services and select streaming</span></li> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">Rapid Rewards hotel and car rental partners</span></li> </ul> | <b>NEW: </b><span style="font-weight: 400;">4 points per $1 spent on eligible Southwest purchases (up from 3x)</span><p></p> <p><span style="font-weight: 400;"><strong>NEW: </strong>2 points per dollar at gas stations and restaurants, with no annual cap</span></p> <p><b>ENDING 12/31/25: </b><span style="font-weight: 400;">2 points per $1 spent on:</span></p> <ul> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">local transit and commuting</span></li> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">internet, cable and phone services and select streaming</span></li> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">Rapid Rewards hotel and car rental partners</span></li> </ul> |
| <b>10,000 Companion Pass Qualifying Points boost each year</b> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> |
| <b>25% back on inflight purchases</b> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> |
| <b>Perks ending after 2025</b> | <span style="font-weight: 400;">2 EarlyBird check-ins per year </span> | <span style="font-weight: 400;">2 EarlyBird check-ins per year </span> | <span style="font-weight: 400;">4 Upgraded Boardings per year</span><p></p> <p><span style="font-weight: 400;">$75 annual travel credit on Southwest</span></p> |
| <b>Boost for A-List status</b> | <span style="font-weight: 400;">N/A</span> | <span style="font-weight: 400;">For every $5,000 spent, earn 1,500 Tier Qualifying Points (TQP)</span> | <span style="font-weight: 400;">For every $5,000 spent, earn 2,500 TQP (up from 1,500)</span> |
| <b>No foreign transaction fees</b> | <span style="font-weight: 400;">√ </span><b>(NEW)</b> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> |
Business cards
| Premier Business | Performance Business | |
|---|---|---|
| <b>Annual fee</b> | <span style="font-weight: 400;">$149 (up from $99)</span> | <span style="font-weight: 400;">$299 (up from $199)</span> |
| <b>1st checked bag free </b><p></p> <p><span style="font-weight: 400;">(for primary cardholder and up to 8 companions on the same reservation)</span></p> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> |
| <b>Standard/Preferred seating benefit </b><p></p> <p><span style="font-weight: 400;">(for flights operating in 2026)</span></p> | <span style="font-weight: 400;">Standard or Preferred seat selection within 48 hours, even on basic fares</span> | <span style="font-weight: 400;">Standard or Preferred seat selection within 48 hours, even on basic fares</span> |
| <b>Extra Legroom seating benefit</b><p></p> <p><span style="font-weight: 400;">(for flights operating in 2026)</span></p> | <span style="font-weight: 400;">N/A</span> | <span style="font-weight: 400;">Within 48 hours, pending availability</span> |
| <b>Group 5 boarding or better</b><p></p> <p><span style="font-weight: 400;">(for flights operating in 2026)</span></p> | <span style="font-weight: 400;">√</span> | <span style="font-weight: 400;">√</span> |
| <b>Anniversary perks</b> | <span style="font-weight: 400;">6,000 points after each card anniversary</span> | <span style="font-weight: 400;">9,000 points after each card anniversary</span> |
| <b>Rapid Rewards earnings</b> | <span style="font-weight: 400;">3 points per $1 on Southwest purchases</span><p></p> <p><span style="font-weight: 400;"><strong>NEW: </strong>2 points per $1 on the first $8,000 in combined purchases each anniversary year at gas stations and restaurants</span></p> <p><span style="font-weight: 400;">1 point per $1 on all other eligible purchases</span></p> <p><b>ENDING 12/31/25: </b><span style="font-weight: 400;">2 points per $1 spent on:</span></p> <ul> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">local transit and commuting</span></li> <li style="font-weight: 400;" aria-level="1"><span style="font-weight: 400;">Rapid Rewards hotel and car rental partners</span></li> </ul> | 4 points per $1 on Southwest purchases<p></p> <p><strong>NEW:</strong> 2 points per $1 at gas stations and restaurants (no annual cap)</p> <p><strong>NEW: </strong>2 points per $1 on hotels booked directly</p> <p>2 points per $1 on local transit, rideshare and commuting</p> <p>1 point per $1 on all other eligible purchases</p> <p><strong>ENDING 12/31/25: </strong>3 points per $1 spent on:</p> <ul> <li>Rapid Rewards hotel and car rental partners</li> </ul> <p>2 points per $1 spent on:</p> <ul> <li>social media and search engine advertising</li> <li>internet, cable and phone services</li> </ul> |
| <b>Global Entry, TSA PreCheck or Nexus fee credit</b><p></p> <p><span style="font-weight: 400;">(Up to $120 statement credit every 4 years)</span></p> | <span style="font-weight: 400;">N/A</span> | <span style="font-weight: 400;">√</span> |
| <b>Inflight benefits</b> | <span style="font-weight: 400;">25% back on inflight purchases</span> | <span style="font-weight: 400;"> </span><b>NEW: <span style="font-weight: 400;">25% back on inflight purchases</span></b> |
| <b>Perks ending after 2025</b> | 2 Early Bird check ins per year<p></p> <p>$500 fee credit for point transfers per year</p> <p> </p> | 4 Upgraded Boardings per year<p></p> <p>$500 fee credit for point transfers per year</p> <p>Up to 365 inflight internet credits per year</p> |
| <b>Boost for A-List status</b> | For every $5,000 spent, earn 2,000 TQPs (up from 1,500) | For every $5,000 spent, earn 2,500 TQP (up from 1,500) |
| <strong>No foreign transaction fees</strong> | √ | √ |
Bottom line
Southwest's credit card revamp will mean higher annual fees and the end of some perks that were specific to its longstanding open seating setup.
Now, a new-look airline has ushered in a new-look card lineup, with first-time rewards like extra legroom seat access.
Going forward, Rapid Rewards flyers who carry Southwest's cards will be able to sidestep some of the airline's newest hurdles, like the bag fees and seat selection limitations now facing passengers who purchase the carrier's cheapest (Basic) fare.
That's by design: Southwest leaders have said, for months, that as part of the wholesale changes at the airline, they hoped to reward A-List members and cardholders — and to entice other customers to carry a card and earn status.
How customers take to the new card tradeoffs remain to be seen, but Southwest is confident about the value proposition it's offering.
"We believe a lot of these [rewards] are unmatched in the industry, and industry-leading," Burns said.
Related reading:
- Your complete guide to maximizing Southwest Rapid Rewards
- The best Southwest Airlines credit cards
- How to quickly earn the Southwest Companion Pass
- Maximize your airfare: The best credit cards for booking flights
- The best credit cards to reach elite status
- How to change or cancel a Southwest Airlines flight
Editorial disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.
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