Is the No Annual Fee Chase Freedom Unlimited Worth It? The Answer Is OBVIOUS – I Use Mine Almost Every Day

May 12, 2019 By Joseph Hostetler

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INSIDER SECRET: The Chase Freedom Unlimited is THE best card to use for any spending that doesn’t fall into a bonus category on your other cards.

The Chase Freedom Unlimited is a key player in the world of miles and points. It’s one of best tools for earning our favorite kind of credit card rewards, Chase Ultimate Rewards points — and it has NO annual fee.

While you might overlook this card because it doesn’t come with a sign-up bonus, that would be a grave mistake. This card deserves a place in your free travel strategy. I’ve had it for years, and I use it almost every single day.

Is the no-annual-fee Chase Freedom Unlimited worth it? Take three minutes and read this post to see why the answer is HECK YES.

The Chase Freedom Unlimited has no annual fee – so it’s definitely worth it. You can use the points you earn for a trip to France.

The No Annual Fee Chase Freedom Unlimited Is Worth It

You can apply here for the Chase Freedom Unlimited

Read our review of the Chase Freedom Unlimited

It’s true, the Chase Freedom Unlimited doesn’t offer a sign-up bonus that awards you a bunch of bonus points after you meet a minimum spending level — but it does come with a welcome offer.

You’ll receive 3% cash back (3 Chase Ultimate Rewards points per $1) on all purchases for the first year, up to $20,000 spent; then 1.5% cash back (1.5 Chase Ultimate Rewards points per $1) on all additional purchases. So, for example, if you were to spend $20,000 on the card in the first year, you’d earn up to $600 cash back (or 60,000 Chase Ultimate Rewards points).

I opened this card SOLELY because of its earning rate. The ability to receive 1.5 Chase Ultimate Rewards points per $1 on all purchases is a big deal to me.

Here’s Why the Chase Freedom Unlimited Is a Keeper

1.5 Chase Ultimate Rewards points per $1 may not sound like a lot. After all, other cards earn much more than that:

The Chase Sapphire Preferred Card earns 2 Chase Ultimate Rewards points per $1 on dining and travel
The Chase Sapphire Reserve earns 3 Chase Ultimate Rewards points per $1 on dining and travel (excluding $300 travel credit)
The Chase Freedom earns 5% cash back (5 Chase Ultimate Rewards points per $1) up to $1,500 in spending in rotating categories each quarter when you activate the bonus

For spending outside each card’s bonus categories, you’ll receive just 1 Chase Ultimate Rewards points per $1.

That means the Chase Freedom Unlimited is the perfect card to use when you’re making a boring old purchase that doesn’t fall into a bonus category. I use mine all the time. When I broke a bone, I paid the doctor’s bill with my Chase Freedom Unlimited. When I bought a new car battery, I swiped my Chase Freedom Unlimited. When tummy trouble forced me down to the corner store for Kaopectate, I used my Chase Freedom Unlimited.

Important Notes

The Chase Freedom Unlimited is subject to the Chase “5/24 rule.” Chase will not approve you for most of their cards if you’ve opened 5+ cards from any bank (not counting Chase business cards and other business cards) in the past 24 months.

Another important point is that if you have only the Chase Freedom Unlimited, the points you earn are only worth 1 cent each towards cash back or travel. But if you have any of the below Chase Ultimate Rewards point earning credit cards, you can get lots more value:

Chase Sapphire Preferred Card
Chase Sapphire Reserve
Ink Business Preferred Credit Card

The information for the Chase Freedom has been collected independently by Million Mile Secrets. The card details on this page have not been reviewed or provided by the card issuer.

Depending on which card(s) you have, the Chase Ultimate Rewards points you earn with your Chase Freedom Unlimited will be worth between 1.25 cents and 1.5 cents for travel through the Chase Travel Portal, plus, you can transfer your points to valuable airline and hotel partners, like Hyatt and United Airlines. Here’s a guide on how to combine your Chase Ultimate Rewards points to another card, and here’s everything you need to know about Chase transfer partners.

I’m personally transferring the points I’ve earned with my Chase Freedom Unlimited to Hyatt for a stay at the Hyatt Zilara all-inclusive resort in Cancun next month. (I’ll let you know how it is.)

There’s no cheaper vacation than using points at an all-inclusive resort.

The Hyatt Zilara Cancun costs $425 a night for a double occupancy room, but just 25,000 Hyatt points. By opening the Chase Freedom Unlimited, spending $16,667 in the first year, and transferring those earned points to Hyatt, you’d have enough to spend a weekend at this 5-star all-inclusive resort while saving $850. That’s like getting a return of 5 cents per $1 on your spending ($850 savings / $16,667 in spending)!

Bottom Line

With no annual fee and and a flat earning rate, the Chase Freedom Unlimited is excellent for two reasons:

Earning Chase Ultimate Rewards points is easy, with no bonus categories to juggle
You’ll earn more Chase Ultimate Rewards points on non-bonus spending than any other card

If you’re a miles and points fiend like me, and you love Chase Ultimate Rewards points, you’ll be wanting this card.

Let me know what you think of the Chase Freedom Unlimited. And read these posts to become a Chase Ultimate Rewards points wizard:

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Joseph Hostetler

Writer

Joseph Hostetler is a full-time writer for Million Mile Secrets, covering miles and points tips and tricks, as well as helpful travel-related news and deals. He has also authored and edited for The Points Guy.