Tag: 5% cash back

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How do I redeem my Chase Freedom Points?

The Chase Freedom credit card is one of the most popular cash-back cards on the market. The Chase Freedom card is attractive because it does not impose a fee on card members, and current promotional interest rates offer 0% on both purchases and balance transfers for qualified applicants. Card members are also drawn to the Chase Freedom rewards program as a way to earn cash-back on all purchases. The card functions as a rotating bonus rewards program, meaning additional rewards points are earned during certain times of the year for specific retailers or categories of purchases. The card also offers a flat-rate cash back for purchases made outside the bonus categories throughout the year. Before learning how rewards can be redeemed, let’s take a look at how rewards are earned.

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Chase Freedom Rewards Potential

Card members with Chase Freedom earn 5% cash back on purchases made in bonus categories each quarter. As an example, bonus categories in the past have included grocery stores and restaurants, gas stations and home improvement stores, and wholesale clubs like Costco or BJs. To earn rewards in bonus categories, card members must activate the enhanced rewards program each and every quarter. Combined purchases of up to $1,500 in bonus categories are eligible for the 5% cash back reward.

In addition to the 5% cash back potential, Chase Freedom card members earn 1% on purchases that fall outside the quarterly bonus categories. Card members are no up against a limit as far as earning rewards is concerned, and the benefit is automatically activated at the time the card is opened. Additional rewards points may be earned through promotions for new card members, including a $150 cash back bonus when $500 or more in purchases are made using the card within the first three months after account opening. Adding an authorized user also earns card members $25 bonus cash back when a purchase is made within the same three-month time frame.

Chase Freedom rewards points do not expire, giving card members flexibility as to how rewards are used over time. But the greatest benefits to the Chase rewards program is the ability to redeem points in a variety of ways.

Redeeming for Cash

Chase Freedom rewards points can be redeemed for cash easily through the card issuer’s website, by calling a representative with Chase, or by visiting a Chase Bank branch location. Card members who opt for cash can use accumulated rewards points to obtain a statement credit to reduce the outstanding balance held on the card. Card members should note that a statement credit does not alter the minimum payment due. Alternatively, cash back can be redeemed as a direct deposit in to a checking or savings account held at a financial institution within the United States. For both statement credit and direct deposit redemptions, a minimum of 2,000 points – the equivalent of $20 – is required.

Redeeming for Gift Cards or Shopping

Chase Freedom card members also have the ability to redeem accumulated cash back rewards for select gift cards made available through Chase’s Ultimate Rewards site. Participating retailers include major stores such as Lowes, Home Depot, Target, Amazon and Apple (iTunes), and more than 70 partners make gift cards available through the Chase rewards program. While it is necessary to have the same minimum accumulated rewards balance of 2,000, gift cards can be redeemed in amounts as small as $5, or 500 points.

Chase Freedom rewards points may also be used to shop directly through certain partner sites, the most notable being Amazon.com. Through the Ultimate Rewards portal, card members with at least 2,000 points can link their individual Amazon.com account to Chase and utilize points at checkout. Card members who download the Chase Freedom mobile app have additional options for direct shopping with accumulated points. Through the app, card members select the merchant they wish to pay (more than 30 are available at this time), and the amount they want to spend. Chase creates a custom gift card specifically for that store that is available through the app. When the card member is ready to pay, they simply present the phone at checkout for the amount selected.

Redeeming for Travel

One of the most attractive ways to redeem points through Chase Freedom is on travel purchases. Through the Chase Ultimate Rewards site, card members have an overwhelming number of options including air fare, hotel stays and rental car reservations. Additionally, Chase aggregates a number of activities catered to family-friendly adventures or vacations, romantic getaways or outdoor fun. The site also provides a list of location-specific activities for card members, such as museum visits, new and noteworthy restaurants and community events.

Redeeming Chase Freedom rewards through the site also requires a minimum of 2,000 points, although some travel partners may require a higher number of points to make purchases. Any purchases made above and beyond the total available points value may be completed using the linked Chase Freedom credit card, and those balances earn points at the flat cash back rate of 1%.

Card members also have the opportunity to combine cash back rewards earned through the Chase Freedom credit card with other credit cards offered through Chase Bank. Moving points does not cost the card member anything, and it can be done as long as the card remains in good standing with Chase. All Chase cards that offer the Ultimate Rewards program are eligible for points transfer, as long as the card member is the same, a spouse or a domestic partner.

The Chase Freedom Ultimate Rewards program offers a number of ways to utilize cash back earned in either the bonus categories or through regular purchases that earn a flat rate. Card members have the opportunity to redeem accumulated rewards as statement credits for their Chase Freedom credit card balance, or via direct deposit into a bank account. Gift cards and shopping experiences are also available through the Ultimate Rewards site or through the Freedom rewards mobile app. Travel, activities and local events may also be purchases using cash back rewards through Chase Freedom. As long as the minimum amount of points are available, card members can use cash back however it best fits their needs.

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Comparing the Benefits of the Discover it and Discover it Chrome

Discover is one of the largest issuers of cash back credit cards, and there is an option under the Discover brand for just about every type of spender. Cash back rewards through Discover are simple to understand and each card provides additional card member benefits at no cost. The Discover it and the Discover it Chrome are two of the most popular additions to the Discover line of cash back rewards cards. Each card option has its advantages and disadvantages, and each is best suited for a specific type of card holder. Let’s review the difference in card basics first.

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Discover it Basics

The Discover it credit card is a combination bonus cash back and flat rate cash back credit card that provides card members the ability to earn points in various ways. First, card members can ramp up cash back earnings by spending in certain categories throughout the year, up to a maximum earning limit. Discover it card members earn 5% cash back on quarterly bonus categories, such as gas, entertainment, and online shopping, up to $1,500 in purchases. Every other purchase made with the Discover it credit card earns 1% flat rate cash back which is unlimited. Regardless of the category in which cash back points are earned, rewards do not expire and they can be redeemed in any amount at any time.

 

Discover it Chrome Basics

Discover it Chrome was designed with students in mind, specifically for the card member who does not want to activate or track quarterly bonus categories to maximize cash back earnings. Instead, card members earn a flat rate of 2% cash back on purchases made at gas stations and restaurants; all other purchases earn the standard 1% rate. The enhanced cash back on gas stations and restaurants are capped at $1,000 in purchases, combined, but all other cash back earnings are unlimited. Similar to the Discover it credit card, Chrome card members can redeem rewards at any time and in any amount.

Card Member Benefits

Both the Discover it and the Discover it Chrome cards offer a variety of ways to cash in on rewards points. Card members can redeem rewards for cash, either as a statement credit or as a direct deposit into a bank account, or to check out at Amazon.com. Additionally, gift cards may be purchased with accumulated cash rewards through Discover’s rewards site. Card members may also donate cash back rewards to charity – a unique feature not found with many rewards card issuers.

In addition to flexibility in rewards redemption, card members of both the Discover it and the Discover it Chrome credit cards have a variety of other benefits that come with membership. One of the current promotions automatically built in to both card options is the cash back matching where Discover matches any cash back earned within the first year of membership, dollar for dollar. Additionally, Discover offers a free credit FICO credit score on each monthly statement for all card members, making it a breeze to track credit changes over time. Account holders also have the benefit of being able to temporarily freeze a Discover credit card through the Freeze It feature. This is incredibly helpful in preventing new purchases, cash advances or balance transfer if a card is misplaced.

Both the Discover it and the Discover it Chrome cards come with free purchase monitoring as well, which provides a text, e-mail or phone call when suspicious activity takes place on a card member’s account. Discover does not hold card members responsible for fraudulent or unauthorized purchases creating an additional level of protection. Finally, all Discover card members have the ability to reach the U.S.-based customer service line at any time, day or night.

Card Differences

While the aforementioned benefits are inherent to each Discover card member, the two cards differ slightly in promotional offers. As a card designed specifically for students, The Discover it Chrome credit card also offers an additional $20 cash back reward for card members with a GPA of 3.0 or higher throughout the school year. This additional benefit can be earned for a maximum of five consecutive years from the time the account is opened. The Discover it credit card does not currently make available additional cash back promotions aside from the matching program referenced earlier.

The Discover it credit card currently offers a 12-month zero interest promotional period for purchases and balance transfers, which is a significant bonus for card members who plan to carry a balance for the first year of ownership. The standard APR after the promotional period ends ranges from 11.24 up to 23.24% depending on the applicant’s credit score and history. For card members who select the balance transfer option, a fee of 3% for each transfer is assessed.

The Discover it Chrome credit card also offers a promotional 0% APR on purchases, but only for the first six months after an account is opened. Currently, no balance transfer offers are available for Discover it Chrome card members. The purchase APR reverts to the standard 13.24 to 22.24% after the promotional period ends. Both the Discover it and the Discover it Chrome credit cards have no annual fee and no foreign transaction fees, making both smart choices for the cost-conscious card member. Cash advances rates for both the Discover it and Discover it Chrome cards are a variable 25.24%, and the greater of a $10 or 5% fee is assessed for each cash advance transaction.

Which Card is Right for You?

The Discover it credit card is a strong option for individuals who spend heavily in the bonus categories each quarter and those who don’t mind activating each bonus category when the time comes. With no annual fee, an introductory 0% APR on balance transfers and purchases, and the additional card member benefits, the Discover it card can be a great addition to your wallet.

For students, the Discover it Chrome credit card is a sound alternative. The additional 1% flat rate cash back rewards earned for gas station and restaurant purchases is an attractive feature which eliminates the need to track categories every few months. The high GPA cash back bonus is also beneficial to card members who perform well in school. However, with a shorter time frame for the 0% purchase APR offer and no balance transfer availability, the Discover it Chrome card is not the best choice for card members who are not students.

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Discover it vs. Chase Freedom Card

In the universe of rewards credit cards, both Discover it and Chase Freedom stand out as top card options. Account holders not only have seemingly endless benefits with each card, the cash-back rewards are some of the best in the business. However, for newcomers to the credit card rewards playground, there are some nuances that make determining which card is the best a difficult task. Let’s take a closer look at both the Discover it and the Chase Freedom credit cards in terms of rewards potential, introductory bonuses and fees.

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Rewards Showdown

Both the Discover it and Chase Freedom credit cards offer robust rewards programs, but slight differences exist. First, the Discover it credit card offers 1% cash back on every dollar spent on purchases outside bonus categories that rotate on a quarterly basis. Purchases made within the bonus categories earn cardholders 5% cash back, up to a limit of $1,500 in total spending each quarter. Card members must sign up for the bonus categories as they rotate to ensure points are earned on applicable purchases, but the process is simply and free. Discover it bonus categories for cash back earnings are as follows for 2016:

  • January through March: Gas stations and ground transportation
  • April through June: Restaurants and movies
  • July through September: Home improvement stores and Amazon.com
  • October through December: Amazon.com (and others to be determined)

The Chase Freedom credit card also earns card members 1% on all purchases, with similar quarterly cash back bonuses of 5%. The bonus cash back categories do not require activation each quarter, but like the Discover it card, earnings are capped at $1,500 worth of spending. The cash back categories through Chase Freedom rotate each quarter, and for 2016 include:

  • January through March: Gas stations and local commuter transportation (not including Amtrak, tools or parking)
  • April through June: Grocery stores (not including warehouse clubs, Walmart or Target)
  • July through September: Restaurants
  • October through December: Holiday shopping with partner retailers to be determined

The fact that no additional step is needed to activate the bonus cash back rewards each quarter for the Chase Freedom card is certainly a bonus, but the category restrictions make the program slightly less attractive than Discover it. However, Discover it does not require a minimum number of points to accumulate prior to redemption; Chase Freedom card members must have earned at least $20 in cash back rewards prior to redeeming.

Upfront Bonuses

Only Chase Freedom offers an upfront cash back bonus for new card members within the first few months. Cardholders have the potential to earn $150 in cash after a minimum of $500 is spent on purchases within the first three months of account opening. The Discover it credit card offers a matching program for cash back earned, up to $200 additional cash, but the bonus is not immediate. Card members receive the matching cash back credit at the end of the first year after account opening, opposed to the first three months for Chase Freedom.

Comparison of Card Member Fees

For applicants seeking out low-cost rewards credit cards, both the Discover it and the Chase Freedom cards fit the bill. Both credit card options come with no annual fee, and no redemption fees for cash back earned. However, differences come into play as it relates to other costs associated with each credit card.

Discover it has an introductory interest rate of 0%, not just for purchases but for balance transfers as well. The promotional APR is honored for the first 12 months after account opening, after which time the standard rate and balance transfer ranges from 11.24% up to 23.24%. These interest rates are based on each applicant’s creditworthiness at the time of account opening, and rates may fluctuate over time based on broad market movements.

The Chase Freedom credit card also offers an attractive introductory interest rate for well-qualified borrowers. A 0% APR is in place for the first 15 months after account opening for both purchases and balance transfers. After the promotional period ends, card members are assessed interest on remaining balances as low as 14.24% up to 23.24%. All rates for purchases and balance transfers after the introductory rates expire are variable. Account holders looking for potentially lower interest after the promotional rate may find the Discover it card more attractive, while those looking for extended terms for 0% APR purchases or transfers may lean more toward the Chase Freedom card.

One of the other aspects that differentiates the Discover it card from the Chase Freedom card is the foreign transaction fee. Chase Freedom card members are assessed a 3% transaction fee for all purchases made outside the U.S., while Discover it cardholders are not assessed an additional fee for foreign transactions.

Additional Perks

One of the more helpful perks associated with the Discover it credit card is the free access to individualized credit scores through FICO reporting tools. Card members can view their FICO score for free through the Discover portal online, at any time. Additionally, Discover it card members have the benefit of a waived late payment fee for the first occurrence, and a single late payment does not mean a higher APR. These extra benefits are attractive to credit card users concerned about their credit health and status.

The Chase Freedom credit card does not currently provide access to credit monitoring or scores, but does protect card members who make a payment late. No penalty APR is imposed upon the first occurrence of a late payment, although a late payment fee will be assessed. Chase Freedom also offers superb protection against lost or damaged purchases liability protection against identity theft or fraud.

Final Thoughts

Both the Discover it and Chase Freedom credit cards offer smart, low-cost options for individuals looking for rewards programs. The Discover it card is a stronger choice for cardholders who purchase items or utilize their card overseas, or those who do not want to mess with accumulating a substantial number of points prior to redeeming for cash back. The Chase Freedom card is a great choice for individuals who do not want to activate the bonus cash back categories each quarter, or those who are seeking an extended 0% promotional period for purchase or balance transfers.

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Simply Cash Business Card Review

Finding the right business credit card is a strategic step in shoring up cash-flow for a large number of small companies. A revolving credit account with a relatively high limit, comparably low interest rate and a solid rewards program can be a lifesaver for entrepreneurs when revenue does not perfectly align with cash outlay over a given time frame. The Simply Cash Plus Business credit card offered by American Express has the potential to be the saving grace for certain business owners who need or otherwise want access to credit for their business spending needs.

 

American Express has a consistent reputation among business owners for providing credit accounts that are not only simple to manage, but also offer a wide range of perks that can be used in a myriad of ways. The Simply Cash Plus Business card is a strong contender among business credit cards because of its cost effective maintenance, cashback rewards program, and a slew of added benefits not found with similar business credit cards. Let’s first take a look at the basics of the Simply Cash Plus Business credit card.

Card Basics

The best feature of the Simply Cash Plus Business credit card by American Express is there is no annual fee assessed for cardholders. For the cost-conscious business owner, not needing to pay for use of your credit card each year is a helpful perk. In addition, the Simply Cash Plus Business credit card currently offers up to a $500 cash back bonus for purchases made within the first six months after account opening. This equates to a 2% cash back bonus, paid via statement credits, on up to $25,000 in purchases made with the credit card. Cardholders qualify as long as the account is opened on or before August 3, 2016.

The upfront benefits of the Simply Cash Plus credit card are attractive to business owners who utilize credit for the majority of their spending, but the ongoing rewards are what make the credit card shine. Cardholders earn 5% cash back on wireless telephone services purchased directly from service providers (within the United States), as well as any office supply store purchases. Cash back of 3% is also earned on a category of the cardholder’s choice, including the following options:

  • Airfare
  • Hotel stays
  • Car rentals
  • Gas station purchases
  • Advertising
  • Shipping
  • Restaurant meals
  • Computer hardware or software

If a category is not selected, gas station purchases are the default option for earning the 3% cash back. For both the 5% and 3% cash back categories, cardholders receive a statement credit for accrued rewards at the end of each monthly billing statement, and earnings are limited to $50,000 of purchases annually. All other purchases that do not fall into the higher percentage categories will earn 1% cash back with no spending limit.

Added Perks

Simply Cash Plus Business credit cardholders have a number of additional perks on top of no annual fee and high cash-back potential. For a limited time, American Express is offering a 0% introductory interest rate on all purchases for a period of nine months after account opening, saving account holders who spend heavily on the card a great deal in interest charges. Additionally, the Simply Cash Plus Business credit card allows cardholders the ability to repay over time, instead of requiring the full charged amount to be paid in full at the end of each billing cycle. This flexibility is an important feature for business owners with substantial spending in certain months, and smaller charges in others.

Cardholders also gain access to helpful business management tools when utilizing the Simply Cash Plus Business credit card. American Express offers a tool called ReceiptMatch, which helps business owners keep track of transactions in a clear, concise way. Also, employee cards are available at no additional cost, and account alerts can be easily added to control spending for all authorized users. American Express also offers account manager access through the Simply Cash Plus Business credit card, which allows either a trusted employee or an outside business partner full access to previous statements, payments, and charge dispute processes. Finally, cardholders also receive a year-end overview of all charges, making accounting for spending a breeze.

The Fine Print

For business owners considering the Simply Cash Plus Business credit card offered by American Express, it is necessary to understand the fine print. First, American Express requires excellent credit to qualify for the credit card, so business owners with lackluster credit scores or personal credit history may not be best suited for the card. For those who qualify, the regular purchase APR ranges from 12.49% up to 19.49% after the nine-month introductory rate expires. A rate of 25.49% applies to any cash advances taken against the credit card, and the penalty APR is 29.49%. American Express does not offer a balance transfer feature with the Simply Cash Plus Business credit card, so business owners seeking that benefit should look elsewhere.

While there is no annual fee associated with the Simply Cash Plus card, there are other transactional charges of which cardholders should be aware. Any foreign transactions are assessed a 2.7% fee, regardless of the denomination in which the purchase the made. Cash advances also bear fees – the greater of $5 or 3% of the total advance amount. Any late payments or returned payments for insufficient funds result in a $38 fee.

The Verdict

The Simply Cash Plus Business credit card offered by American Express is a strong business credit card for business owners who plan to spend frequently on wireless telephone service providers or on office supply store purchases within the United States. For those who want additional flexibility in cash back earnings, the Simply Cash Plus card is a great choice given its 3% cash back categories available to cardholders. No annual fee and relatively low interest rates make the card an affordable choice – an added perk for cost-conscious business owners. However, because the cash back rewards are paid through a statement credit only, and earnings are capped at $50,000 of annual spending, this business rewards card may not be everyone’s cup of tea. Prior to applying for an utilizing the Simply Cash Plus Business credit card, business owners should weigh these options against other available cards on the market.

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Category Bonus Comparison: Discover it vs. Chase Freedom

Everyone loves a little extra bit of moolah in their pocket, especially in the form of cash back on your credit cards!  The Discover it® and Chase Freedom® credit cards do just that, in the form of their famous bonus categories that change each quarter.

These categories, a rotating list of stores and types of purchases, offers up 5% bonuses for the first $1,500 in purchases each quarter.  After that, the bonus will resort back to just 1% cash back for each dollar you spend in the category.  Let’s compare the two cards’ categories, and see which ones is right for you, shall we?

 

Discover It

As stated above, Discover It has four rotating categories each year.  This year began with restaurants and movie theaters.  Any purchase the company considered was a restaurant or a movie theater, you earned 5% cash back (up to $1,500).  This category ended on March 31st.

The current category that we are in is ‘home improvement stores, furniture stores, and Bed, Bath and Beyond.’  Think of it as sort of a spring cleaning event for you!  This quarter ends June 30th.

In the future quarter, from July 1st until September 30th, we only have a vague ‘Summer Fun’ category to go off of at this time.  In 2013, this category featured 5% cash back on gasoline purchases, no doubt to help families on their summer road trips.  Only time will tell which shops we will earn 5% cash back on this year, but check back here in May for the details!

The final quarter for this card is also just as vague, dubbed ‘Holiday Shopping.’  In 2013, this category was online holiday shopping, and featured Amazon.com, iTunes, and facebook purchases.  I would imagine that similar stores will offer up 5% cash back October through December this year!

 

Chase Freedom

The current Chase Freedom categories are similar, but with some key differences that you will want to take note of.  The past quarter from January until March was gas stations, movie theaters, and Starbucks stores.  In the current quarter, restaurants and Lowe’s home improvement stores are in the 5% bonus categories.  You must activate by June 14th, 2014 to reap the benefits!

In the summer months of July until September, you’ll have gas stations and Kohl’s stores.  You can begin activation on June 15th, 2014 for this category.

Finally, during the holiday months of October until December, Amazon, Zappos, and select department stores (click here for a list) will be offered up.  You can activate that category on September 15th, 2014.

 

Conclusion

So, which card is best for you in 2014?  It’s hard to say, since we don’t know exactly which stores Discover It will offer in the last two quarters of 2014.  We do know, however, all of the Chase stores.  I would say that both cards offer similar benefits, so it’s all about which categories appeal most to you and make the most sense for your personal spending.

Though we can’t yet see Discover it’s upcoming categories, looking at last year’s offerings should help you with what to expect.  It’s hard to go wrong with either card, as they both have solid benefits, including no annual fee and the ability to earn 5 points per dollar!

What do you think?  Which card tickles your fancy?