Chase Freedom Card Offers Reward Flexibility, Increased Gas Rebates
by Justin McHenry
Chase launched its new Freedom Visa today with the promise of greater flexibility in switching between its cash back and reward programs, but the generosity of its gas purchase reward may be the bigger draw for consumers who’ve seen these rewards cut back in recent months. In addition, the ability to get an extra $50 tacked on to redemptions of $200 should bring in heavy card users.
The Chase Freedom Card is offering 3 points (or 3% with the cash back option) for purchases at grocery stores, gas stations and quick service restaurants on the first $600 of these purchases per month. All other purchases earn one percent back (or one point per dollar). Customers who choose to earn cash back get a $50 bonus if they can hold out until reaching the $200 threshold.
While the Chase Freedom Card’s highlighted feature is the ability for cardholders to switch between a points program and cash back option, past Chase reward programs and other card issuer programs have allowed consumers to exchange points for cash.
Recent cutbacks in rewards have alarmed heavy credit card users who enjoy the cash back, travel and merchandise rewards they can bring. Earlier this year, Chase stopped offering its Cash Plus Rewards card, which offered 5% back on gas and other purchases, while Citibank pulled its Citi Dividend card, which also offered 5% rebates on gas, groceries and other “everyday” purchases. American Express also discontinued double points rewards on similar purchases.