If you’re a frequent traveler, you’ve probably heard about the Chase Freedom Unlimited card. It’s a mid-tier premium rewards card that offers two points per dollar on travel, excellent travel insurance protections, and various options for redeeming your reward points for travel at higher values. The annual fee of the card is in line with other travel-focused cards.
On the other hand, if you stay closer to home, the Chase Freedom Unlimited card may be a better choice for you. It offers 1.5% cash back on all purchases, along with 3% rewards on dining and drugstore purchases. Additionally, it has a welcome bonus that can give you up to 5% rewards on your grocery store spending.
How the cards stack up
Here’s a comparison of the main features of the Chase Freedom Unlimited and Sapphire Preferred cards:
| Chase Freedom Unlimited | Chase Sapphire Preferred | |
|---|---|---|
| Travel rewards | No airline transfers or increased value redemptions | Ultimate Rewards redeemable for travel at 1.25 cents per point, transferable to travel partners |
| Dining rewards | 3 points per dollar | 3 points per dollar |
| Introductory APR | Yes, on purchases and balance transfers | No |
| Annual fee | $0 | Annual fee |
| Foreign transaction fee | Yes | No |
| Additional perks | Extended warranty and purchase protection | Travel insurance protections, trip delay insurance, primary auto collision damage waiver insurance |
| Winner | Chase Freedom Unlimited | Chase Sapphire Preferred |
Our Take
We recommend the Chase Freedom Unlimited card as a great option for everyday purchases, especially with its current welcome bonus that offers up to 5% cash back on grocery store spending. The card’s extended warranty and purchase protection are additional benefits that make it a winning choice.
However, if you travel frequently, the Chase Sapphire Preferred card is worth considering. It offers robust travel insurance protections and rewards on travel spending. The ability to transfer Ultimate Rewards points to airline and hotel partners for increased value adds to its appeal. Holding both cards in your wallet allows you to combine their rewards earning potential and maximize the value of your points.
Bottom Line: Travel vs Everyday Use
The Chase Freedom Unlimited card is an excellent option for those looking for a no-annual-fee card that offers rewards on everyday purchases. Its current welcome bonus makes it one of the best cards for grocery store spending. On the other hand, if you travel frequently, the additional travel insurance protections and rewards offered by the Chase Sapphire Preferred card make it worth the annual fee.
Frequently asked questions (FAQs):
- Does the Chase Freedom Unlimited earn Ultimate Rewards? Yes, it does.
- Can I have both Chase Freedom Unlimited and Chase Sapphire Preferred? Yes, you can have both cards.
- Can I get a Chase Freedom Unlimited by downgrading a Chase Sapphire Preferred? Chase sometimes offers the option to downgrade your card, but the specific options may vary.