Chase Freedom Unlimited (CFU) is a general-use no-fee credit card with extra opportunities for rewards. Although the card is advertised as a cash back card, it really earns points (Chase Ultimate Rewards, or “UR” for short). This is important because of the “Chase Trifecta” rewards strategy. CFU earns at least 1.5% cash back on all purchases and can earn much more.
FEATURES AT A GLANCE
- No annual fee
- 3% foreign transaction fee
- 5x points on travel purchased through Chase Ultimate Rewards (flights, hotels, car rentals)
- 3x points at restaurants (including takeout and delivery)
- 3x points at drugstores and pharmacies
- 1.5x points on everything else
- Chase Offers
SIGN UP BONUS
The bonuses for Chase Freedom cards vary. As of early 2022, you can earn $200 (20,000 UR points) after spending $500+ in 3 months. Plus, you’ll get 5% cash back (5x points instead of 1.5x points) on gas station purchases for 12 months (or until you spend $6,000 on gas, whichever comes first). The Chase Freedom Unlimited also has 0% APR for 15 months.
Previously (in the second half of 2021) Chase Freedom cards gave 5% cash back on groceries instead of 5% back on gas. It might be worth waiting to see if that deal comes around again. Most people usually have higher spending levels on groceries. However, you’d probably have to wait until July or so. Chase has recently been changing sign-up bonuses (SUBs) about every 6 months. In all cases, there’s $200 + 0% APR for 15 months, so it’s always a fair SUB.
OTHER BENEFITS OF THE CHASE FREEDOM CARD
- Visa Signature benefits (if eligible) including trip cancellation/interruption insurance and extended warranties
- 3 free months of DoorDash Dashpass (must activate by March 2022)
- 5x points with Lyft (until March 2025)
RESTRICTIONS AND CREDIT SCORE
Recommended credit score: 670+
Chase Bank has what’s known as the “5/24 rule.” If you’ve applied for 5 or more credit cards in the past 24 months, you’ll automatically get denied when applying for a new Chase card. Aspiring credit card churners often get Chase cards early on, because other issuers don’t have this exact restriction. However, Chase also prefers that applicants have 12+ months of credit history. Being approved for a card has varying odds if you’ve never held a credit card before. Chase is often for a second or third card instead of first.
MAXIMIZING REWARDS WITH THE CHASE FREEDOM CARD
Points can be redeemed for statement credit at $0.01 per point (1 cpp). Sometimes the Chase Freedom has extra opportunities to get bonus value from the points. It’s usually around 1.1 cpp in that case. For the best bang for your buck, see our article on the Chase Trifecta strategy. That way you can get up to 1.5 cpp with no effort, or even upwards of 2 cpp.
The sign-up bonus is considerable. Although $200 may sound fairly low, you only have to spend $500 (40% return) and you earn points on that $500. Then if you have a Chase Sapphire card and redeem UR at $0.02+ each (2+ cpp), getting the Chase Freedom SUB is worth more than $400 (80+% return) not including other bonuses or points earned.
Check the “Chase Offers” section in-app and on their website for other temporary opportunities.
Points are unlimited and don’t expire.
ALTERNATIVES TO THE CHASE FREEDOM UNLIMITED
If you don’t have a Chase Sapphire card, the Freedom Unlimited is lackluster. The 1.5% cash back is beaten by any of the best everyday cards. You’ll want to earn at least 2% cash back on all purchases. With a Chase Sapphire Reserve, however, the Freedom Unlimited earns at least 2.25% cash back on everything.
For drugstore/pharmacy purchases, a good alternative is the Citi Custom Cash or Venmo card. Venmo’s “drugstore” category is fairly expansive. It also covers cosmetics, health clubs, tennis courts, golf clubs, and more. The Upgrade Triple Cash Rewards is similarly versatile. There are a few different options in this category depending on your needs. Chase Freedom cards are still better than most options but it does depend on where you go.
For dining-related expenses, the US Bank Altitude Go or Citi Custom Cash are high earners. Read about the top cards on our list here. Earning 3% back isn’t the best rate.
5x points on select travel is fine. It’s generally better than most other no-fee travel cards which earn around 3% cash back. Higher rewards aren’t always better though. Many people prefer to book directly with airlines and hotels. Going through an intermediary like Chase or Expedia may have downsides (potential miscommunication, improper booking procedures, vague cancellation policies, etc.)
CONCLUSION
Chase Freedom cards work best when combined with a Sapphire Reserve or Sapphire Preferred. This way, you can earn more than 2% cash back on all purchases. Earning 1.5% cash back isn’t competitive without a Sapphire. Fortunately the CFU earns extra points with restaurants, drugstores, pharmacies, and some travel. This elevates the Freedom card to something that’s above average. A typical 1.5% card like the Capital One Quicksilver is no longer “good enough” for earning cash back.
The sign-up bonus alone is good enough that most people will consider opening a card. The Chase Freedom Flex can be a better overall option, but either Chase Freedom card is good at least in the short term. Its long-term utility depends on your spending habits and whether you plan to get a Chase Sapphire credit card.
We rate the Chase Freedom Unlimited card 4 out of 5 stars. ⭐⭐⭐⭐
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Note: This review was last updated in February 2022. Details may have changed since then. Please do your own research where applicable, to ensure you’re getting the best deal. Or contact us directly to benefit from our personalized consulting services!