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The Chase FreedomSM Credit Card was last reviewed on 24th October 2008
Summary - The Chase FreedomSM Credit Card used to be a very good cash back credit card where you can earn either 3% cash rebates or 3 points for every dollar you spend on gasoline, supermarkets and quick service restaurants. However, due to the credit crisis, Chase is cutting back on it's features and now only offers a 1% rebate formula. Find out more about this card and see our alternative recommendations.
Rewards - The Chase FreedomSM Credit Card is a basic cash back credit card that let's you earn 1% rebate on all your card purchases. You can earn unlimited rebates. As a teaser, you can earn 3% bonus cash back on gas, groceries and fast food purchases for the first six months.
Fees - The Chase Freedom Card has no annual fee. The APR is prime rate plus 9.99%.
Verdict - The Chase FreedomSM Credit Card used to be one of the best consumer cash back credit cards in the market because you used to be able to earn 3% rebates for the highest 3 categories which you spend in a particular month. However, since the credit crisis, Chase has reduced the rebate to 1% and they are also dramatically reducing their approvals for their credit cards. We do not recommend this card because there are much better cash back cards out there.
For example, you can get the TrueEarnings® Business Card from Costco and American Express, which pays you 5% rebates on gasoline at ANY regular station, 3% on restaurants, 2% on travel and 1% on everything else.
Capital One for example, also has a couple decent cash back cards like the Capital One® No Hassle Cash(SM) Rewards, which let's you earn 1% rebate on all purchases, but gives you a 25% bonus (so you effectively earn 1.25%).
Positives
No annual fee.Low aprAllows you to choose between points or rewards
| Rebate Formula |
Earn 3 point or 3% cash rebates for every dollar spent on the highest 3 categories of "everyday purchase" items in a given month
Earn 1 point or 1% cash rebate for every dollar spent on regular purchases |
Up to $500,000 Automatic Travel Accident Insurance
Auto rental insurance
Travel and Emergency Assistance |
Online Account Access
Zero liability on unauthorized purchases
Warranty Manager |
| Introductory rate |
N.A. |
| Annual Fee |
No annual fee |
| Purchase APR |
Prime Rate plus 9.99% |
| Balance Transfer APR |
Prime Rate plus 9.99% |
| Cash Advance APR |
Prime Rate plus 15.99% (min is 19.99%) |
| Penalty/Default Rate APR |
Prime Rate plus 23.99% |
| Min Finance Charge |
$1.00 |
| Grace Period |
20 days |
| Balance Calculation Method |
Average Daily Balance (including new purchases) |
| Balance Transfer Fee |
3% of transaction (min is $5.00, max is $99.00) |
| Cash Advance fee |
3% min $10.00 |
| International Transaction Fee |
3% of US Dollar Amount |
| Over-the-credit-limit fee |
$39.00 |
| Late Payment fee |
$15.00 - up to but not including $100
$29.00 - $100 to $250.00
$39.00 - $250 and above |
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