For both novice point and mile collectors and seasoned award travel professionals, the Chase Freedom Unlimited credit card is a great rewards credit card. Every purchase made with the card gets cash back, some of which are eligible for bonus earnings, and there is no annual charge.
Here are some things to consider before applying for the Chase Freedom Unlimited credit card, if you’re thinking about doing so.
Pre-purchasing information for the Chase Freedom Unlimited credit card. It will not cost you anything to hold the card.
Because there is no annual charge, applying for and maintaining the Chase Freedom Unlimited credit card won’t cost you a dime. Because of this, maintaining the account open year after year and raising the average age of your accounts is a simple decision that can raise your FICO credit score. The better for your credit record is the longer you maintain open credit card accounts.
1. The fact that rewards on the Chase Freedom Unlimited credit card never expire is another advantage of having one for the long run. To ensure that you don’t lose your money back, make sure your account is always in good standing.
2. There is a good earning structure on the card.
High rewards on regular purchases are available with the Chase Freedom Unlimited® credit card, along with extra cash back in the following categories:
5% off reservations made through the Chase Chase Freedom Unlimited credit card Ultimate Rewards travel website.
5% is available on Lyft trips until March 2025.
3% on restaurant and pharmacy purchases.
1.5% on all other items.
Applying for the card now will earn you an extra 1.5% on purchases up to $20,000 in the first year of the card.
With no annual fee, the earning structure is very impressive for a credit card. While there are a lot of credit cards available that provide additional rewards for eating, this one stands out from the others thanks to its 1.5% annual percentage rate.
Consider the options: a dental clinic, a hair salon, or an auto repair shop are examples of pricey purchases that might qualify for 1.5% rewards but don’t normally come under the bonus category.
3. There is no minimum quantity required to receive cash back.
Before you receive your money back, certain credit cards have minimum requirements that must be met. It is not necessary to reach a specific number of rewards with the Chase Freedom Unlimited credit card in order to exchange them for credits.
When applied to a direct bank deposit, statement credit against your bill, or trip reservation made via the Chase Freedom Unlimited credit card travel portal, each point is valued at one cent.
Whether you choose to redeem 10,000 points or just 1 point—or any other amount—you are in charge of your rewards.
4. Travel could be financed with rewards
The benefits you can accrue with the Chase Freedom Unlimited credit card go beyond just cash back, despite the card’s cash back promotion.
The cash benefits on this card are not transferrable to hotel or airline loyalty programs. However, you can combine points and convert cash rewards from the Chase Freedom Unlimited credit card to Chase Ultimate Rewards points if you own either the Chase Sapphire Preferred Card or the Chase Sapphire Reserve. These points can be transferred to any of the about twelve hotel and airline reward programs, or they can be redeemed directly through Chase.
Since flexible points typically have a higher value than cash back, combining all of your Chase rewards onto one Ultimate Rewards® earning card and moving them to travel partners can significantly boost the value of your rewards. This card might be a wonderful method to earn extra points on purchases outside of the Sapphire cards’ bonus spending categories because it earns 1.5 points per dollar on all purchases.
5. Keep an eye out for foreign transaction costs
While it is good to receive 1.5% cash back on all nonbonus transactions, bear in mind that utilizing the Chase Freedom Unlimited® to make purchases abroad may quickly offset the value of your benefits.
A 3% foreign transaction fee is added to all transactions made with this credit card that are made outside of the United States. Hence, for every $100 invested, you will receive $1.5, but obtaining those benefits will cost you $3. The next time you pack for a foreign vacation, leave this card at home because it’s obvious that it won’t be financially advantageous even if you’re not very strong at math.
6. A high credit score is not a requirement for approval.
Those with strong to exceptional credit ratings undoubtedly have access to many more credit options. Keep on even if you’re at a crossroads in your credit journey.
While getting authorized is more likely if your score is higher, some Chase Freedom Unlimited credit card cardholders have reported getting approved with scores in the mid-600s. Obtaining a credit card is not just dependent on your credit score; additional criteria may impact your chances of acceptance.
7. The Chase 5/24 rule restricts use of the card.
Chase has an unwritten policy known as Chase 5/24, which is well known in the points and miles world. This rule states that if you have opened five or more consumer credit cards with any bank in the last 24 months, the bank will not approve you for one of its credit cards.
In case the Chase Freedom Unlimited credit card appeals to you
For individuals who want to earn cash back, the Chase Freedom Unlimited credit card is a terrific choice. However, it really shines when paired with either of Chase’s premium travel cards, the Chase Sapphire Preferred® Card or the Chase Freedom Unlimited credit card
The points can be combined into a single Chase Freedom Unlimited credit card Rewards account, which can then be used to purchase expensive things like hotel and airfare. With no additional expenses, the Chase Freedom Unlimited credit card expedites the process of collecting rewards.
Frequently Asked Question (FAQs):-
1. What makes the Chase Freedom Unlimited Credit Card unique?
A. The Chase Freedom Unlimited Credit Card stands out with its cashback rewards, flexible redemption options, and no annual fee.
2. How does the cashback system work with this credit card?
A. Cardholders earn unlimited 1.5% cashback on all purchases. This straightforward system allows for easy accumulation of cashback rewards on everyday spending.
3. Are there any sign-up bonuses for the Chase Freedom Unlimited Credit Card?
A. Yes, there are often sign-up bonuses for new cardholders. Check the current offers, as they may include cash rewards or promotional APR periods.
https://www.chase.com/personal/credit-cards/freedom/unlimited
4. Can I transfer my existing credit card balances to the Chase Freedom Unlimited?
A. Chase generally allows balance transfers, but terms may vary. Be sure to check the current terms and any associated fees for balance transfers.
5. Is there an annual fee for the Chase Freedom Unlimited Credit Card?
A. No, the Chase Freedom Unlimited Credit Card typically does not have an annual fee, making it an attractive option for those seeking rewards without extra costs.
6. What are the redemption options for the cashback rewards earned?
A. Cashback rewards can be redeemed as a statement credit, direct deposit, or for travel through the Chase Ultimate Rewards platform, providing flexibility in how you use your rewards.
7. How does the Chase Freedom Unlimited Credit Card handle foreign transactions?
A. The card charges foreign transaction fees, so it may not be the best choice for international spending. Consider other Chase cards with no foreign transaction fees for such use.
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