Chase disrupted the credit card arena today with their announcement of the new Chase Freedom Flex card — and will add bonus categories to the Chase Freedom Unlimited card. Neither card has an annual fee.
The changes take effect on September 15.
New Chase Freedom Flex
Chase Freedom cardholders can call in and convert their card to the new Chase Freedom Flex.
- 5% bonus quarterly categories. This appears to be the same benefit offered to Chase Freedom cardholders. Cardmembers who manually activate the benefit each quarter can receive 5% cashback on up to $1,500 in combined purchases on designated bonus categories. (This quarter, it’s Amazon and Whole Foods.) In the past, it’s applied to purchases at grocery stores, on select streaming charges, restaurants, and more.
- 5% on travel purchased through Chase Ultimate Rewards, including vacation and car rentals. This is pretty massive for no annual fee card. A couple of other cards offer 5X on travel purchased through their travel portal: the Platinum Card from American Express and Business Platinum Card from American Express. But even then, those earnings are limited to flights and prepaid hotels.
- 3% on dining purchases, including take out or eligible delivery services. That’s the same as the Chase Sapphire Reserve — and higher than the Chase Sapphire Preferred (2X).
- 3% on drugstore purchases. Just in time for flu and cold season!
- 1% unlimited cash back on all other purchases.
The Chase Freedom Flex will be a Mastercard — and members will enjoy benefits such as:
- Cell phone insurance. Get up to $800 per claim and $1,000 per year in cell phone protection against theft or damage for phones listed on a cardmember’s monthly bill.
- Lyft. Cardmembers receive $10 in credit for every five Lyft rides taken in a calendar month, automatically applied to the next ride, and capped at once per month.
- Boxed. 5% cash rewards on Boxed purchases for use on future purchases.
- ShopRunner. Free membership to receive two-day shipping and free return shipping at over a hundred online retailers.
- Fandango. Double VIP+ points for movie tickets purchased via the Fandango app or Fandango.com, which can be used towards buying movie tickets on Fandango or towards streaming movies and TV shows on FandangoNOW.
I’m excited about the Freedom Flex. It’s a much more exciting version of the Freedom card, which is really a one-trick pony with its 5% quarterly cashback bonus and 1% back on everything else.
Chase Freedom Unlimited: New Bonus Categories!
The Chase Freedom Unlimited receives a touch-up on September 15, too!
- 5% on travel purchased through Chase Ultimate Rewards, including vacation and car rentals.
- 3% on dining purchases, including take out or eligible delivery services.
- 3% on drugstore purchases.
- 1.5% on all other purchases
New applicants receive a $200 cashback bonus (or 20,000 Chase Ultimate Rewards) when they spend $500 on purchases within three months of being approved.
Plus, Chase Freedom Unlimited cardholders still receive 5% cashback on Lyft rides through March 2022. They also will receive complimentary DoorDash DashPass for three months — followed by a 50% discount price at the current rate for the next nine months. (Read our tutorial about activating your DoorDash DashPass.)
It’s interesting to see Chase throw so many improvements at their no annual fee card market. I really, really like the Freedom Flex — and look forward to converting my card. Though I wish Chase didn’t have their goofy 5/24 rule — I’d love another welcome bonus! 🙂
What do you think about these announcements? Please share your thoughts in the below Comments section!
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