If you’re a young professional looking to earn rewards on all your purchases, the Chase Freedom Unlimited credit card could be a game-changer. This card stands out as one of the best options for those who want to earn cash-back rewards on everyday spending, without the complexity of rotating categories or complicated redemption systems. Whether you’re just starting your credit card journey or looking for a solid, no-fuss rewards card, the Chase Freedom Unlimited might be the ideal choice for you.
In this review, we’ll dive into the features, benefits, and comparison to other popular cards, so you can decide if it’s the right fit for your spending habits and financial goals. Let’s get started!
What Makes the Chase Freedom Unlimited so popular?
The Chase Freedom Unlimited is a cash-back credit card that offers a straightforward rewards structure. You can earn 1.5% cash back on every purchase, plus 5% on travel purchased through Chase Ultimate Rewards, and 3% on dining and drugstore purchases. This makes the card perfect for individuals who want a versatile card that rewards them for a variety of spending categories.
One of the most attractive features of the Chase Freedom Unlimited is the introductory offer: you can earn $200 cash back after spending $500 on purchases in the first 3 months from account opening. This bonus is an excellent way to jump-start your rewards balance, and for those who shop regularly, it’s relatively easy to hit this spending threshold.
Additionally, the card has no annual fee, which is fantastic for those looking to maximize their rewards without worrying about additional costs. Plus, there’s no minimum redemption for cash-back, which means you can easily access your rewards at any time without having to reach a specific threshold.
Comparing the Chase Freedom Unlimited with other top cash-back cards
While the Chase Freedom Unlimited offers excellent cash-back potential, it’s important to understand how it compares to other popular cash-back credit cards, especially if you’re trying to choose the one that best suits your needs. Here’s how the Chase Freedom Unlimited stacks up against some of the best cards available in 2024:
1. Chase Freedom Flex
If you’re considering a Chase card, you may also be looking at the Chase Freedom Flex. This card offers a similar structure but with a twist: it offers 5% cash back on rotating quarterly categories, in addition to 3% on dining and 1% on all other purchases. This is a huge benefit for people who can keep up with rotating categories, but it can also be a little more complex for users who don’t want to keep track of what categories earn the most rewards each quarter.
In contrast, the Chase Freedom Unlimited offers 1.5% back on all purchases with no restrictions or need to track categories, making it a much simpler card for everyday use.
2. Citi Double Cash card
Another competitor is the Citi Double Cash Card, which offers 2% cash back on every purchase—1% when you make the purchase and an additional 1% when you pay it off. This is higher than the Chase Freedom Unlimited’s 1.5% cash-back rate, and the Citi Double Cash card is often considered one of the best flat-rate cash-back cards.
However, the Chase Freedom Unlimited card offers more diverse categories for earning rewards (3% on dining and drugstores, and 5% on travel through Chase), which can make it a better choice if you’re someone who spends more in these categories.
3. American Express Blue cash preferred card
If you’re looking for a higher cash-back percentage on specific categories, the American Express Blue Cash Preferred card offers 6% cash back on U.S. supermarket purchases (up to $6,000 per year) and 3% on transit, which is great for grocery shoppers. However, it comes with a higher $95 annual fee and 2.7% foreign transaction fees, which might make the Chase Freedom Unlimited a better option for someone who doesn’t want an annual fee and prefers a simpler cash-back system with no restrictions.
Key benefits of the Chase Freedom Unlimited
The Chase Freedom Unlimited isn’t just a straightforward rewards card—it comes with several additional perks that make it even more attractive. Here are some of the key benefits you should know about:
- Introductory Offer: The $200 cash back after spending $500 in the first 3 months is a great way to jumpstart your rewards.
- Flexible Cash Back: With 1.5% on all purchases, 3% on dining, and 5% on travel purchased through Chase, it’s easy to earn rewards in a variety of categories, without having to deal with rotating categories or confusing rules.
- No Annual Fee: Unlike some cash-back cards that charge an annual fee, the Chase Freedom Unlimited has no annual fee, which means you get all of the rewards without paying extra costs.
- Zero Foreign Transaction Fees: If you love to travel, you’ll appreciate that the Chase Freedom Unlimited doesn’t charge any foreign transaction fees, which means you won’t incur additional charges when making purchases overseas.
- Access to Chase Ultimate Rewards: Points can be redeemed for travel, gift cards, or even transferred to airline and hotel partners. If you decide to upgrade to another Chase Ultimate Rewards card, such as the Chase Sapphire Preferred, your points can be worth more when transferred to travel partners.
- Purchase Protection: You’ll receive extended warranty protection and purchase protection on eligible items, which adds a layer of security for your purchases.
Who should get the Chase Freedom Unlimited card?
The Chase Freedom Unlimited is ideal for someone who wants to earn cash back without worrying about complicated rules or spending categories. It’s perfect for people who spend regularly on dining, travel, and everyday purchases but don’t want to track rotating categories. If you’re just starting to build your credit, the card is also a great option because it doesn’t have an annual fee and offers an easy-to-earn sign-up bonus.
It’s also a great card for travelers, as it doesn’t charge foreign transaction fees and offers an excellent travel redemption program through Chase Ultimate Rewards. However, if you’re looking for more significant rewards in specific categories like groceries or supermarkets, other cards might be a better fit.
Comparison table
| Feature | Chase Freedom Unlimited | Chase Freedom Flex℠ | Citi Double Cash Card | American Express Blue Cash Preferred |
|---|---|---|---|---|
| Annual Fee | $0 | $0 | $0 | $95 |
| Sign-Up Bonus | $200 after spending $500 in 3 months | $200 after spending $500 in 3 months | $200 after spending $500 in 3 months | $250 after spending $1,000 in 3 months |
| Rewards Rate | 1.5% on all purchases, 3% on dining, 5% on travel | 5% on rotating categories, 3% on dining, 1% on other | 2% on all purchases (1% when you make a purchase, 1% when you pay it off) | 6% on U.S. supermarket purchases (up to $6,000 per year), 3% on transit, 1% on other |
| Foreign Transaction Fees | None | None | 3% | 2.7% |
| Additional Benefits | Purchase protection, access to Chase Ultimate Rewards | 5% on rotating categories, purchase protection, access to Chase Ultimate Rewards | No bonus categories, simple 2% on all purchases | 6% on groceries, purchase protection |
| Ideal For | People who want simple cash-back rewards, travelers | People who can manage rotating categories, travelers | People who prefer a flat 2% cash-back card | Grocery shoppers, frequent transit users |
Conclusion
The Chase Freedom Unlimited is a fantastic choice for anyone who wants to earn cash-back rewards on their everyday purchases without the complexity of rotating categories. With its straightforward rewards structure, no annual fee, and $200 sign-up bonus, it’s perfect for young professionals, students, and anyone looking for a simple way to earn rewards. If you travel often or dine out frequently, you’ll also appreciate the bonus rewards on travel and dining purchases. Whether you’re new to credit cards or a seasoned spender, the Chase Freedom Unlimited is definitely worth considering.