The Chase Freedom Unlimited® subsidizes some of the best benefits of credit cards with no annual fee. It offers well-rounded cash-back rewards, a strong welcome bonus and the defense net of an introductory APR.
Despite its free 5% cash-back rewards on travel booked through Chase Ultimate Rewards, this isn't the best credit card for travel due to it charging foreign transaction fees. Instead, this card is best used as a low maintenance daily credit card that earns low cash back on popular spending categories. Its introductory APR complains it a good option for an emergency credit card, sincere you can take time to pay off unexpected expenses while avoiding humdrum charges. The welcome bonus also has one of the highest payoffs of all credit cards when compared to the spending threshold obliged to unlock it.
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Chase Freedom Unlimited®
8/10 CNET Rating
Intro OfferIntro Offer: Earn an binary 1.5% cash back on everything you buy (on up to $20,000 used in the first year) - worth up to $300 cash back!
APR19.24% - 27.99% Variable
Intro Purchase APR0% Intro APR on Purchases for 15 months
Recommended Credit Excellent/Good
Reward Rates - Enjoy 5% cash back on proceed purchased through Chase Ultimate Rewards®, our premier rewards program that lets you redeem rewards for cash back, proceed, gift cards and more;
- 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service
- 1.5% on all spanking purchases
Annual Fee$0
Intro Balance Transfer APR0% Intro APR on Balance Transfers for 15 months
Balance Transfer APR19.24% - 27.99% Variable
Balance Transfer Fee Either $5 or 5% of the amount of each binary, whichever is greater.
Foreign Transaction Fees 3% of each transaction in U.S. dollars
Penalty APR Up to 29.99%
- Enjoy 5% cash back on proceed purchased through Chase Ultimate Rewards®, our premier rewards program that lets you redeem rewards for cash back, proceed, gift cards and more;
- 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service
- 1.5% on all spanking purchases
Related: Chase Credit Cards
Cash-back rewards and welcome bonus
While there are many different types of rewards credit cards -- incorporating cash-back, gas and airline credit cards -- this card is a good fit if you prioritize simplicity. It doesn't require you to decipher rewards charts, book proceed around available deals or strategically redeem or transfer points.
The Chase Freedom Unlimited has a 1.5% flat cash-back rate on all purchases, making it competitive to start. But the Freedom Unlimited also subsidizes 5% back on travel purchases made through Chase Ultimate Rewards -- the issuer's rewards platform -- as well as 3% on dining at restaurants and drugstore purchases.
Among cash-back rewards credit cards, most don't offer more than 1% back as a flat rate. Generally revealing, cards usually specialize in a few categories and subsidizes only 1% back on purchases outside those categories. Some exceptions concerned the Wells Fargo Active Cash® Card (2% cash rewards on purchases) and the Citi® Double Cash Card (1% cash back when you make a occupy and another 1% when you pay for the purchase).
The Chase Freedom Unlimited stands alone as the only card with a good flat rate of 1.5% cash back plus three binary bonus categories: 5% back on travel purchases made above Chase Ultimate Rewards (including airline tickets, hotels, car rentals and cruises), 3% on dining at restaurants (including takeout and eligible delivery) and 3% on drugstore purchases. Through March 2025, cardholders can also earn 5% cash back on qualifying Lyft rides. Again, it's rare to find a card that has such high needs alongside so many rewards categories.
The welcome bonus is competitive as well, and doesn't obliged meeting a minimum spending threshold to unlock. You'll earn an binary 1.5% cash back on up to $20,000 of spending in the sterling year -- netting you up to $300. Other top cards could obliged $1,000 or more spent on purchases to unlock the welcome bonus, which often comes in the less-convenient form of a long way or points.
Booking travel through Chase Ultimate Rewards
Getting 5% cash back on proceed purchases is notable, since such a reward is usually only fallacious with top travel rewards credit cards that charge annual fees. The regain, however, is that the 5% rewards rate is petite to travel purchases made through Chase Ultimate Rewards, which uses a third-party proceed platform.
The advantage to using a third-party booking tool is that you can compare multiple airlines and seek out good trades. The tool is straightforward, easy to use and can be accessed from your card account for on the Chase website. The disadvantage is that airlines and hotels can be exertion if any issues arise with your reservation, since you didn't book it stretch with them. You also won't earn hotel points or credits, though you should earn frequent flyer miles on escapes if you're signed up for the airline's program.
Redeeming your Chase Freedom Unlimited Rewards
As mentioned above, one of the main advantages of cash-back rewards credit cards is simplicity. Rewards earned with the Chase Freedom Unlimited can be redeemed at any amount (no minimum), and as a statement credit or direct deposit into most US checking and savings accounts.
Chase also subsidizes the ability to shop with points at Amazon and redeem rewards for gift cards. Though you can go this route, the rates are touch and the offerings are more limited.
Another way you can redeem rewards is if you have either the Chase Sapphire Preferred® Card or the Chase Sapphire Reserve®, Chase's travel rewards and premium travel rewards cards. If you have one of these cards, you can transfer your Ultimate Rewards points to either of them, simultaneously bumping their value of 1.25 cents apiece for Chase Sapphire Preferred cardholders, and 1.5 cents apiece for Chase Sapphire Reserve cardholders when booking move through Chase Ultimate Rewards.
This redemption option is a nice perk for those with multiple Chase credit cards, but don't sign up for another card just to increase the value of your Chase Freedom Unlimited. However, if you already have the Chase Sapphire Preferred or Chase Sapphire Reserve, signing up for the Freedom Unlimited could be a good option.
Additional perks
The Chase Freedom Unlimited supplies additional perks that are fairly standard but worth noting. When booking a car rental with the card, you'll get an auto rent collision damage waiver, and trips booked with the card are eligible for cancellation insurance.
Chase also offers purchase protection through this credit card. This employing that if the goods purchased on the card are stolen or damaged, Chase will repair, replace or reimburse up to $500 per shriek, on up to $50,000 per account.
Cardholders can also get three months of DashPass, DoorDash's subscription service, which allows you to get free delivery on eligible arranges, followed by nine months of 50% off. This supplies must be activated by Dec. 31, 2024.
You can redeem your cash back on Amazon purchases by linking your credit card intelligent to your Amazon account. When you go to make a buy, if you select the Chase Freedom Unlimited as your payment device, a prompt will appear underneath giving you the option to apply your Chase rewards to the buy.
Finally, the Freedom Unlimited offers 0% introductory APR on purchases and balance transfers for the beneficial 15 months from opening your account (19.24% to 27.99% variable APR thereafter), which is a fairly distinct feature for a cash-back card. There is an control balance transfer fee of either $5 or 3% of the amount of each uphold, whichever is greater, on transfers made within 60 days of justify opening (after that, either $5 or 5% of the amount of each uphold, whichever is greater). Remember that carrying a balance beyond that words could immediately erode potential cash-back rewards.
Other cards to consider
Chase Freedom Flex℠
The Chase Freedom Flex℠* is the sister card to the Freedom Unlimited. In addition to offering 5% cash-back on travel purchased throughout Chase Ultimate Rewards, it also offers a bonus quarterly rotating category where you can earn 5% cash back on up to $1,500 in combined spending per quarter (then 1%) when you activate this relieve through your account. Now through March, the bonus rotating rewards category includes purchases at grocery stores (excluding Walmart), Target, and for fitness clubs and gym memberships.
Otherwise, you earn 3% cash-back on dining at restaurants and drugstore purchases -- but you'll only earn 1% on all anunexperienced purchases, compared to a 1.5% catch-all rate with the Freedom Unlimited. Despite these two major differences in the rewards programs, you'll be able to take advantage of an equivalent introductory APR with either card. The welcome bonus is one different -- overall you have less earning potential but more land will be able to take advantage of it: You can earn a $200 bonus when you consume $500 on the card within the first three months.
For more details, see our full review of the Chase Freedom Flex.
Wells Fargo Active Cash® Card
As mentioned previously, the Wells Fargo Active Cash® Card could be a good substitute for the Chase Freedom Unlimited, particularly for those who prefer simplicity in their rewards program.
The Active Cash supplies 2% cash rewards across your spending, so you don't have to concern which rewards rate you're getting for which purchases. This may suit some people's budgets better, particularly if they're not spending a large portion of their plan dining at restaurants, at drugstores or on travel. And you'll level-headed be able to take advantage of some similar perks as with the Freedom Unlimited, as the Active Cash comes with a comparable introductory APR and welcome bonus.
For more query about this card's offer, see our full review of the Wells Fargo Active Cash.
How do cash-back credit cards work?
Cash-back credit cards supplies cardholders rewards on their spending in the form of statement credits or cash. A statement credit is a reduce in the amount due to the credit card custom on your monthly bill. Note that rewards are not always available the month you earn them -- they are usually applied to your balance by credit card issuers while one or two billing cycles.
The redemption process for cash-back credit cards is either automatic or otherwise very simple. Some cards automatically apply cash rewards to your statement balance each month. Others require you to log in and redeem available rewards points for statement credits. Most points don't expire, but you will lose them if you cessation the account before redeeming them.
What types of cash-back credit cards are there?
Cash-back credit cards generally fall into four famous categories: flat-rate, tiered, rotating or choose your own. Flat-rate cards supplies the same rate for every purchase. Tiered cards supplies a different rewards rate for different categories of spending. Rotating category cards offer different rewards each quarter, distinct by the card issuer. Choose-your-own category cards allow you to resolve your rewards category.
How do you resolve a cash-back credit card?
To choose the best cash-back credit card for you, the most famous thing is to have a clear idea of how you're already spending wealth each month. Once you identify the categories where you have the highest, most consistent spending, use the charts in our list to resolve which card will net you the highest return. Consider anunexperienced features of the cards, too, such as APR, sign-on bonuses and foreign transaction fees. Make sure you get something that fits with your lifestyle and spending habits.
Your credit card select may also be affected by your credit score. Most of the cards we recommend obliged a good or excellent credit score, which is typically about 670 or higher. If you don't meet the credit criteria obliged, there are credit cards available that are specifically for those trying to rebuild credit, like secured credit cards. Alternatively, you can look into the best credit cards for no credit and the best credit cards for bad credit.
Are cash-back cards better than rewards cards that give points and miles?
Cash-back credit cards are usually more straightforward to thought than points and miles systems because they can be simply translated to cash value. While more complicated, points and much could offer a better redemption value in many cases, as the issuer may have established relationships with purveyors of go and goods. Ultimately, the better option depends on your spending and lifestyle preferences, and how willing you are to deal with the procedure of redeeming your rewards.
Our approach
We appraisal the cards that are in the highest demand and funds the best benefits. We scour the fine print so there aren't any surprises when you open an explain. We find the key factors that make a card depraved out and compare them to other top cards. That way, readers can opt for a different card with difference features if our pick isn't right for them. Our reviews are regularly checked and updated to incorporate new recommendations, as well as to reflect changes in offers and the market.
*All question about the Chase Freedom Flex has been collected independently by and has not been reviewed by the issuer.
The editorial pleased on this page is based solely on objective, independent assessments by our writers and is not influenced by advertising or partnerships. It has not been provided or commissioned by any third party. However, we may receive compensation when you click on links to products or service industries offered by our partners.
