Chase just launched the Freedom Flex credit card which is a big improvement of their popular Freedom card. The changes are very consumer friendly and you’ll want to strongly consider adding this no fee card to your wallet.
Chase just made a big move with the launch of their new Freedom Flex credit card. The Freedom Flex card is Chase’s newest no annual fee, cash back credit cards. This card essentially replaces the Freedom card because it is now no longer open to new applicants.
What makes this credit card so great is that it comes with earnings rates and benefits that are typically reserved for premium cards like the Sapphire Prefered card.
Cash back credit cards generally earn a modest flat rate purchases made with the card. Occasionally they’ll have spending categories that will earn bonus points but are generally capped at a certain amount. Aside from those bonus categories, there really aren’t any other significant benefits that come with cash back cards.
This is understandable considering cash back card usually don’t carry an annual fee. However, the launch of the Freedom Flex card has completely changed the landscape of credit cards with no annual fee. Here’s everything you need to know to see if this card is right for you.
The Freedom Flex card comes with a very generous welcome bonus for new cardmembers. First, you will earn a $200 bonus after spending just $500 within the first 3 months of opening your account. The bonus is paid by depositing 20,000 Ultimate Rewards points into your account. These points can be redeemed for $200 or you can combine them if you have one of Chase’s premium cards and redeem your Ultimate Rewards points in several different ways.
Chase will also give you 5% back on grocery store purchases made during the first year. This bonus cash back is limited to the first $12,000 spent and excludes purchases made at Walmart and Target. If you are able to max out this bonus, that’s an additional 60k Ultimate Rewards points. The total bonus is better than almost any card available today!
Unfortunately, if you already have the Chase Freedom credit card, you aren’t eligible for the welcome bonus. I’ve had the original Chase Freedom card for over 17 years so I wasn’t eligible for the bonus. However, you are able to call Chase customer service and request a product change to this card, which is precisely what I did.
The Freedom Flex card has several great new ways to earn Ultimate Rewards points. I love that the new bonus categories are for places people commonly buy things. Plus, you’ll earn an unlimited 1% cash back on all other eligible purchases made with the card.
Rotating Bonuses – You will earn 5% cash back on rotating quarterly bonus categories like the original Freedom card. These quarterly bonus categories have included purchases at gas stations, Amazon and home improvement stores. They change each quarter and the bonus is limited to the first $1,500 in combined spending in those categories. Just remember you have to log into your account each quarter and activate this bonus.
Travel – You will earn a generous 5% cash back on all travel purchased through the Chase Ultimate Rewards website.
Dining – This is my favorite bonus category. You’ll earn an unlimited 3% cash back on all dining purchases. This also includes takeout using the popular delivery services.
Drug Stores – Purchases made at drug stores will also earn you 3% cash back.
All of Chase’s credit cards have been part of the Visa network for the past several years. However, Chase has chosen to partner with Mastercard for the new Freedom Flex card. This means you will be able to take advantage of the World Elite Mastercard benefits if you have this card.
There are a few more benefits than these but here are a few of the top benefits that come with this card.
Cell Phone Insurance – This is my favorite new benefit that comes with the card. When you pay your cell phone bill with your Freedom Flex card, all of the phones listed on your account are covered by the insurance. You are covered up to $800 per claim and $1,000 per year in coverage against theft and damage. This can easily save you a couple hundred dollars a year if you’re paying for insurance through your carrier.
Shoprunner – You get a free Shoprunner membership for having the card. This gives you free 2 day shipping and return shipping at over a hundred online retailers.
Lyft Credit – Earn a $10 credit each time you can 5 Lyft rides in a calendar month. This is limited to 1 credit per month.
Chase has definitely put other banks on notice with the launch of the Freedom Flex card. The card has excellent bonus categories, valuable benefits and doesn’t charge an annual fee. I think these changes will cause other banks to make adjustments to their cards which is a win for consumers. If you don’t already have this card, I think you should strongly consider applying for it.