Chase Freedom Unlimited® is often confused with Chase Freedom®, another cash back credit card from Chase which has been around for a lot longer. Both cards are heavily marketed online and if you are looking for a good cash back credit card, you may have come across these two cards and wondered what the difference is.
|Credit Card||Features||Intro APR||Regular APR||Annual Fee||Why we like it||We least like||Credit Required||Related links|
Chase Freedom Unlimited®
0% Intro APR for 15 months from account opening on purchases and balance transfers
17.24% - 25.99% Variable
|Related Links Read our review of Chase Freedom Unlimited® or view more details of Chase Freedom Unlimited®. See more Chase credit cards.|
We at GET.com have found the answers to all the important questions relating to Chase Freedom Unlimited® so that you can make the best use of this awesome card.
Questions And Answers For Chase Freedom Unlimited®
Answer: Chase Freedom Unlimited® is a good credit card to use if you want to use just one main credit card to earn a flat rate of cash back on all your purchases. You earn 3% cash back on all purchases in your first year up to $20,000 spent. After that you earn unlimited 1.5% cash back on every purchase, automatically. Many other cards only let you earn cash back when you shop at certain categories of merchants, so this card takes away a lot of the hassles. 1.5% cash back is a fairly good amount of cash back, considering the fact that you earn this on every purchase.
Answer: Both cards are issued by Chase and both let you earn cash back. The difference is the way in which you earn cash back. Chase Freedom Unlimited® lets you earn 3% cash back on all purchases in your first year (up to $20,000 spent), and after that you earn unlimited 1.5% cash back on every purchase, automatically. Chase Freedom®, on the other hand, lets you earn 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter you activate. But you also earn unlimited 1% cash back on all other purchases (it's automatic). So the difference is that when you use Chase Freedom Unlimited® you earn cash back automatically, without having to activate each quarter, and you earn cash back on all purchases. With Chase Freedom® you earn much higher cash back, but only for a certain amount of purchases you make in specific categories each quarter, and you have to activate this cash back program every quarter to earn the cash back. All other purchases still earn cash back, but at a lower flat rate than you enjoy with Chase Freedom Unlimited®.
Answer: No, Chase Freedom Unlimited® has no annual fee, so you do not pay a card fee each year in order to use this card and earn cash back.
Answer: If you take advantage of the card's cash back earning potential as well, then Chase Freedom Unlimited® certainly can double as a balance transfer card. You enjoy 0% intro APR for 15 months from account opening on purchases and balance transfers, then a 17.24% - 25.99% variable APR. That is a very long introductory low APR period. The main drawback to transferring the outstanding balances on your other card accounts to this card is that you pay a balance transfer fee of either $5 or 3% of the amount of each transfer, whichever is greater. Still, you could save a lot more than that in interest over that long period.
Answer: No. The standard 17.24% - 25.99% variable APR is not particularly low, so you should avoid carrying balances on this credit card. Make sure to pay off all card debt in full before the end of the introductory low APR period and after that, always make your payments on time, in full if possible.
Answer: You earn cash back on all purchases made with this card, except for purchases which are returned or refunded. However, you do not earn cash back when you use this card to buy foreign currency (at a bank or exchange bureau, for example). You don't earn cash back on cash advances either in the U.S., or abroad, so this is not the right card to use to get foreign currency at ATMs either. Plus, you pay a foreign transaction fee equal to 3% of each transaction in U.S. dollars, so you pay extra just to use this card to make purchases in a foreign currency. There are other debit cards and credit cards which don't charge you a foreign currency transaction fee when you make purchases or ATM withdrawals in a foreign currency. Chase Freedom Unlimited® is a fantastic card to use in the U.S., but don't bother taking it with you when you leave the country.
Answer: Not really. When you use this card, you earn cash back rewards as points, which you can then redeem for an account statement credit. You can also redeem your cash back into an eligible checking or savings account at a U.S. financial institution. A big plus is that your cash back rewards never expire, as long as your account is open and in good standing.
Answer: Yes. Aside from cash back, you can choose to redeem rewards in other ways including for gift cards, merchandise, travel, and services as offered by Chase.
Answer: Chase Freedom Unlimited®, like other cash back credit cards, does place some limits on what purchases qualify for cash back. You will not earn cash back on purchases which you return or get refunds for. You also will not earn cash back when you purchase casino gaming chips, lottery tickets, race track wagers and other betting instruments. Obviously, transactions which don't actually involve buying something, such as making a wire transfer, money order, check or balance transfer also do not earn cash back.
Answer: Chase is not easy-going on late payments. If you make your credit card payment late, you pay up to $15 if the balance is less than $100; up to $27 if the balance is $100 to less than $250; up to $37 if the balance is $250 or more.
Answer: Aside from the cash back, Chase Freedom Unlimited® delivers a number of benefits which add value over using cash or a debit card to pay. Purchase protection is a type of insurance that covers stuff you purchase using this card against damage or theft for 120 days from the date of purchase. You can receive a benefit of up to $500 per claim and $50,000 per account if your things are accidentally damaged or stolen.
Answer: No, there is no benefit to using this card to get cash at ATMs or other possible locations. First of all, you do not earn cash back when you use this card to get cash advances. You also pay a high cash advance fee (either $10 or 5% of the amount of each transaction, whichever is greater) and on top of that, you get a 27.24% variable cash advance APR and this is charged right from the transaction date (so it is virtually impossible not to pay interest on cash advances). Debit cards are generally the better option for getting cash, although a few credit cards provide more affordable cash advances.
Answer: Yes. Although this is not a good card to use for international travel, it is a good card for U.S. travel for several reasons. First of all, Chase has branch offices in most U.S. cities, so you are never far from face-to-face support. Secondly, when you use this card to pay for automobile rentals, you benefit from a complimentary car rental insurance, specifically an auto rental collision damage waiver (coverage is secondary and adds to the coverage you get with your other insurance policies). Thirdly, this is a Visa card, so you won't have any trouble using it to pay nationwide.
Answer: Chase Freedom Unlimited® is a card for people who like to keep things simple and who want to earn cash back at a good rate no matter what purchases they make, get a long introductory low APR, enjoy solid shopping benefits and start off with 3% cash back on all purchases in your first year (up to $20,000 spent) and 1.5% cash back thereafter, all at no annual fee. If you prefer flat-rate cash back or want to combine a category cash back card with a flat-rate card to cover all bases, this is a good choice.