Looking for a great flat-rate cash back card, but don’t want to give up bonus spend categories entirely? You can enjoy the best of both worlds with the Chase Freedom Unlimited^® card. It is a solid choice for most situations, offering a minimum 1.5% rewards rate on all purchases, with the potential to earn additional points in a few select categories, including dining and drugstores. The combination of elevated flat-rate cash back plus limited bonus categories make it one of the highest earning no-annual-fee cards on the market.

Besides its earning potential, the Chase Freedom Unlimited^® comes with decent travel and purchase protections, plus the ability to synergize with other Ultimate Rewards-earning cards to increase its rewards value. To top things off, the card is currently offering both a hefty sign-up bonus and an introductory APR on both purchases and balance transfers.

• Sign-up bonus

  The Chase Freedom Unlimited^® card offers an excellent sign-up bonus. However, it requires a substantial amount of spending to obtain. Chase does give you plenty of time to earn it, though. Currently, you can earn a $200 bonus after you spend $500 on purchases in the first 3 months from account opening.

  This is difficult to beat among cash back cards with no annual fee.

• One of the highest earning cash back cards

  The Chase Freedom Unlimited^® card combines solid flat-rate rewards with some select bonus categories, allowing it to earn you a great overall return. Enjoy 5% cash back on travel purchased through Chase Ultimate Rewards®, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 1.5% on all other purchases.

  There are no spending caps for the 5% and 3% earning rates. We estimate that most consumers will receive a 2.0% overall return, based on typical consumer spending patterns.

• Points are flexible and easy to redeem

  While the Chase Freedom Unlimited^® is billed as a cash back card, it earns Chase Ultimate Rewards® points, which are extraordinarily flexible and valuable. Not only can you redeem your points for cash back at a rate of $0.01 per 1 point, but you can also redeem points for a variety of other rewards, including gift cards and travel.

• You can transfer points to some Ultimate Rewards cards

  If you have multiple Chase credit cards that earn Ultimate Rewards points, you can potentially get even more value out of the rewards you earn with the Chase Freedom Unlimited^® card. By transferring points to cards such as the Chase Sapphire Preferred^® Card or Ink Business Preferred^® Credit Card, you can unlock even more value by using the points at 1.25 cents each by booking with Chase Travel. Alternatively, you can transfer points to one of several travel partners.

  The ability to combine points with other cards to open up better redemption options make the Chase Freedom Unlimited^® a great complement to premium Chase credit cards.

• Good intro APR on purchases and balance transfers

  If you are currently carrying a balance, or plan to make a large purchase, the Chase Freedom Unlimited^® card offers a 0% Intro APR on Purchases for 15 months and a 0% Intro APR on Balance Transfers for 15 months. After the intro period, a 19.99% - 28.74% Variable APR will apply. This is an above-average introductory APR, although there are cards that offer an even longer 0% intro period.

• Good travel and purchase protections

  For a no-annual-fee card, the Chase Freedom Unlimited^® benefits are solid. You enjoy a nice set of both purchase protection and travel perks. These benefits aren’t as strong as those of a more premium travel card, such as the Chase Sapphire Preferred^® Card, but they are sufficient for many situations.

  • • Extended warranty: Purchase any item with your card that has an eligible manufacturer’s warranty of three years or less and enjoy an additional year of coverage.
    • Purchase protection: Eligible new purchases made using your card are covered for 120 days against damage or theft. Coverage is up to $500 per item.
    • Rental car insurance: Pay for your rental car using your Chase Freedom Unlimited^® and enjoy a collision damage waiver. You must decline the collision coverage offered by the rental agency. Within your country of residence, coverage is secondary to personal auto insurance. However, the coverage becomes primary when abroad.
    • Trip cancellation/interruption insurance: Eligible prepaid, non-refundable fares purchased using your card are covered in the event your trip is canceled or cut short due to illness, severe weather and other situations. Get up to $1,500 per person, and up to $6,000 per trip.

   

  • For full details, terms and exclusions of all the Chase Freedom Unlimited^® benefits, consult the card’s Guide to Benefits.

• Foreign transaction fees

  The Chase Freedom Unlimited^® card is a poor choice for using outside the country, as you’ll be hit with a foreign transaction fee of 3% of each transaction in U.S. dollars on purchases made outside the U.S. When outside the U.S., it’s best to use a card that doesn’t charge foreign transaction fees, such as the Chase Sapphire Preferred^® Card.

• Requires Excellent/Good credit

  Chase requires Excellent/Good credit (typically a 660 or higher FICO Score) to be approved for the Chase Freedom Unlimited^®. If you have a lower credit score, consider the Capital One QuicksilverOne Cash Rewards Credit Card, or any of our other top card picks for those with fair credit.

Chase Freedom Unlimited^® vs. Chase Freedom Flex℠

If you want the opportunity to earn an elevated cash back rate in a broader range of rotating categories, the Chase Freedom Flex℠ card may be a better fit. You’ll earn cash back in a variety of categories that rotate each quarter: 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter you activate. Enjoy new 5% categories each quarter! Plus, earn 5% cash back on travel purchased through Chase Ultimate Rewards®, 3% on dining and drugstores, and 1% on all other purchases.

The Chase Freedom Flex℠ card retains the same elevated earning in select spending categories as the Chase Freedom Unlimited^®, including dining and drugstore purchases and Chase Travel. It also has the same sign-up bonus offer. The main downside is that you’ll have to remember to activate the categories each quarter. Otherwise, you’ll earn just 1% on these categories.

Chase Freedom Unlimited^® vs. Chase Sapphire Preferred^® Card

The Chase Sapphire Preferred^® Card card is a better choice if you’re looking for a more travel-centric card and don’t mind paying a $95 annual fee. The card earns 5x on travel purchased through Chase Ultimate Rewards®, 3x on dining and 2x on all other travel purchases. It also features a fantastic sign-up bonus: Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That’s $750 when you redeem through Chase Ultimate Rewards®.

The travel perks are what set the Chase Sapphire Preferred^® Card apart from the Chase Freedom Unlimited^®. First, your points are worth 25% more when redeemed through Chase Travel. You can transfer those points to more than 10 travel partners. The insurance coverage is also better, including primary auto collision damage waiver, baggage delay insurance and trip delay insurance, in addition to the coverage benefits offered by the Chase Freedom Unlimited^®. It also doesn’t charge foreign transaction fees.

Chase Freedom Unlimited^® vs. Wells Fargo Active Cash^® Card

If you don’t spend much on dining, at drugstore or on travel, the Wells Fargo Active Cash^® Card is likely a better no-annual-fee card. It’s a card for those who value simplicity — it lets you Earn unlimited 2% cash rewards on purchases. There is no spending cap or bonus categories. You also don’t have to worry about quarterly activations.

The card also offers a 0% intro APR for 15 months from account opening on qualifying balance transfers (followed by a 19.99%, 24.99%, or 29.99% variable APR), equivalent to what the Chase Freedom Unlimited^® offers. You can also earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.

The Chase Freedom Unlimited^® is a great option for those who want to earn a high rate of cash back rate in popular spending categories as well as general purchases. But if you want the opportunity to earn an elevated rewards rate in categories that rotate quarterly — and don’t mind activating bonus categories or keeping track of spending limits each quarter — the Chase Freedom Flex℠ may be a better fit.

If neither Freedom card works for you, Chase offers many other great cards that fit a variety of lifestyles.

The information related to the Chase Freedom Flex℠ and Chase Sapphire Preferred^® Card has been independently collected by LendingTree and has not been reviewed or provided by the issuer of this card prior to publication.