[[Update: Some offers mentioned below have expired. You can view the current offers from our partners here — Chase Freedom, Capital One Quicksilver, and Citi Double Cash. Disclosure: Cards from our partners are mentioned below.]
If you were thinking of applying for a new cash-back credit card in the coming months, your list of options just got a little longer.
Chase plans to offer a new Chase Freedom Unlimited credit card that offers more rewards on base purchases than the current cards in its lineup.
The new card allows cardholders to automatically earn unlimited 1.5% cash-back rewards on every purchase, a representative wrote in an email. It will feature no annual fee and is expected to become available this spring.
According to Reuters, which first reported the story, Chase is introducing the new offering to compete with cards from Capital One Financial Corp and Citigroup Inc.
The Capital One Quicksilver, for instance, offers unlimited 1.5% cash back on all purchases, while Citi’s Double Cash Card offers 1% cash back on purchases and another 1% back when customers fully pay off said purchases. The Double Cash Card took first place in the most recent ranking of the best cash-back credit cards in America. (Full Disclosure: Citibank, Capital One, and Chase advertise on Credit.com, but that results in no preferential editorial treatment.)
One of Chase’s current cash-back credit cards — the Freedom (see full review here) — lets cardholders earn 1% back on all purchases and 5% back on up to $1,500 in purchases in revolving quarterly categories. The bonus category from January to March, for example, is Gas Stations and Local Commuter Transportation.
Chase said the Freedom “will continue to be available and play an important role in our credit card growth strategy.”
Existing Freedom cardholders may choose to switch to the Freedom Unlimited or apply separately for the new card, a bank spokesperson said in an email.
Getting a New Credit Card
No matter what plastic you are considering, it’s important to comparison shop ahead of time to find a credit card that’s right for you. Be sure to read all terms and conditions carefully to know what fees or annual percentage rates you may be charged with, and what benefits may be available to you.
You should also check your credit before filling out an application, since a good credit score can help you qualify for premium cards and/or lower APRs. Learn where your credit currently stands by viewing two of your credit scores for free each month on Credit.com.
At publishing time, the Chase Freedom, Capital One Quicksilver, and Citi Double Cash card are offered through Credit.com product pages, and Credit.com is compensated if our users apply and ultimately sign up for these cards. However, this relationship does not result in any preferential editorial treatment.
Note: It’s important to remember that interest rates, fees and terms for credit cards, loans, and other financial products frequently change. As a result, rates, fees, and terms for credit cards, loans, and other financial products cited in these articles may have changed since the date of publication. Please be sure to verify current rates, fees, and terms with credit card issuers, banks, or other financial institutions directly.
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