Cash back credit cards come in all shapes and sizes to help you maximize your spending potential. We spend money on the things we enjoy, but finding a tremendous all-around credit card can be hard.
The Chase Freedom Unlimited helps to create opportunities to maximize your everyday spending with a flat rate for almost everything and some great category bonuses. You will soon be making this one of your favorite cards.
The Chase Freedom Unlimited card comes with no annual fee, and it can be the card that opens up your eyes to the world of travel rewards and travel hacking.
Let’s see how this card can help enhance your cash-back and travel rewards strategy.
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Who Should Get the Chase Freedom Unlimited?
The Chase Freedom Unlimited is a great credit to start with. It provides an easy cash-back percentage on everything. There is no annual fee so that you can leave it in your pocket for years without any annual fee. The great thing is that you can transfer your Ultimate Rewards Points to a higher card like the Chase Sapphire Preferred.
So who is the Chase Freedom Unlimited for? It can be for anyone. If you are looking for a sound cash-back card, look no further than Chase Freedom Unlimited.
It gives you a 120-day warranty on products you purchased. You can get secondary insurance on a rental car. The welcome bonus could be worth up to $300 after only spending $500 in the first three months.
These are many reasons people may want to have Chase Freedom Unlimited, but many more perks and benefits come with the card.
Let’s see what those benefits could be for Chase Freedom Unlimited.
The Chase Freedom Unlimited Benefits
When looking at benefits for a credit, it is best to look at spending bonuses, annual fees, value, and any additional perks that can come with it.
With a large enough welcome bonus, a card can be worth it!
Earning Category Bonuses:
The Chase Freedom Unlimited has added more earning categories to make this card even better than it was before.
It earns a flat 1.5% on everything, but the new categories add to that 1.5%. Now the benefits are even better than cards like the Citi Double Cash.
- 5% back on travel booked through Ultimate Rewards Portal
- 3% back on dining out.
- 3% back on drugstore purchases
- 5% on gas purchases up to $6,000 a year for the first year.
- 1.5% on everything else
If you plan to travel or even drive a lot, this card could be great for earning extra bonus points on your purchases. It will also give you 3% back on dining and drugstore purchases.
Those are things that a lot of people do not think about getting cash back on. If you have a card like the Citi Double Cash, you would only get 2% back on those items.
What about the other perks of the card?
The Perks of the Chase Freedom Unlimited
Extra perks help ease your mind when you are out there purchasing things. These perks will include warranties, purchase protection, and a low APR.
- APR of 0% for the first 15 months; afterward, the APR will be 15.74-24.49%. So try to pay the balance off.
- Extended warranty on items. Chase will extend your warranty up to one extended year on items purchased.
- Purchase protections of items from damage or theft for up to 120 days. There will be a value of up to $500 per claim and $50,000 for each account.
- Secondary car rental insurance. If you rent a car, it is always good to have insurance. The Chase Freedom Unlimited will provide secondary insurance on the rental car.
- Credit card rewards do not expire. As long as you keep your card open, these rewards do not expire.
- There are transferable rewards to Chase Sapphire or Chase Ink cards. The rewards can transfer to other Ultimate Rewards accounts so you can use them for travel.
These perks are in addition to the bonus categories for spending on this card. There are higher perks on cards with annual fees, but for a non-annual fee card, you cannot go wrong with it.
The Amazing Sign-Up Bonus
The Chase Freedom Unlimited has great perks, earning potential, and even an amazing sign-up bonus.
The welcome bonus right now is $200 after you spend $500 in 3 months. Included with that sign-up bonus is 5% on gas purchases of up to $6,000 for the first year.
As someone that likes sign-up bonuses, an extra $200 for spending $500 is a no-brainer. You can spend that much money on bills, groceries, and gas within one month.
The bonus can be transferred to a card like the Chase Sapphire Preferred card, making these points worth 1.25 cents per point. Effectively, making that $200 worth $250. If it transfers to the Chase Sapphire Reserve, then that would be worth $300. You must open the card, spend $500 in 3 months, and receive free money.
How to Redeem The Points
Since Chase Freedom Unlimited is a cash-back credit card, you can redeem the points for cash. It can be redeemed for a statement credit, deposited into a checking account or savings account, or used to purchase things through Amazon. You can even purchase gift cards with the cash back.
One of the great bonuses is that you are earning cash back for the money you are already spending. You could use those bonuses to invest in simple index funds like VTSAX or FZROX. That can help your investing journey.
If you want to maximize the points potential, use the points in the Ultimate Rewards portal paired up with a Chase Sapphire or Ink Card. These cards can give you 1.25 or 1.50 cents per point or even allow you to use them for transfer partners like United or Southwest.
If you are a travel hacker, it is a great way to earn more points to help you find cheap flights for your next adventure.
What Are The Competitors to the Chase Freedom Unlimited?
The Chase Freedom Unlimited is not alone in some of the best cash-back cards on the market. There are numerous options that you can choose from. Chase Freedom Unlimited is an excellent choice to be primarily in Chase.
Chase also has the Chase Freedom Flex that gives out 5% cash back on rotating categories throughout the year. So maybe one quarter there could be 5% on gas and grocery stores, the next quarter could be Amazon and Walmart. There is a new category bonus for each quarter.
The Citi Double Cash makes cash-back straightforward. You get 2% back on all purchases. That is great because it is simple. You will get 1% when you spend the money and 1% when you pay off your balance.
The Amex Everyday Credit Card from American Express provides 2% back on points purchased at grocery stores up to $6,000 a year. The great thing is that you can transfer these points to American Express travel partners right away. The points are worth 2 cents a point, according to The Points Guy. Those points could be something to consider.
The Chase Freedom Unlimited is one of the best rewards credit cards out there. It allows you to collect extra cash while spending money on things you would already spend. If you can connect this with other Chase credit cards, you could form a Chase Trifecta creating an avenue to collect the most Chase points as possible.
Let's get started in getting more cash back. Take a look at what you spend money on, figure out a strategy to get the most money out as possible, and start getting that cash back. It is as easy as applying.
I’m Steve. I’m an English Teacher, traveler, and an avid outdoorsman. If you’d like to comment, ask a question, or simply say hi, leave me a message here, on Twitter (@thefrugalexpat1). Many of my posts have been written to help those in their journey to financial independence. I am on my journey, and as I learn more I hope to share more. And as always, thanks for reading The Frugal Expat.