Chase Freedom Now Comes In 2 Varieties. One is Better, One is Worse

We’ve made no secret about the fact that Chase Freedom isn’t one of our favorite cards. You have to opt-in to the rotating 5% reward programs each quarter, and the 5% rewards are limited to $800 in spending per month. On top of that, Chase seems to like switching the Chase Freedom reward program every year out of sheer boredom. In many cases, you’re better off with one of our other rewards credit cards.

However, if you’ve done your homework and have decided on the Freedom, there’s never been a better time to pounce – if you pay off your balance each month, that is.

Chase Freedom now comes in two versions

The Chase Freedom has become more attractive for those who pay off their balances each month, and less attractive for those who don’t.

The last time we checked in on this card, there was only one version. It offered a $50 sign on bonus, a 0% introductory purchase APR for 6 months, and a 0% introductory balance transfer APR for 12 months with a 3% balance transfer fee. So everybody got $50, and those who carried a balance also got the benefit of a nice promotional interest rate.

Now it’s been split into two. One version offers a $100 sign on bonus after you spend $799 on the card in the first 3 months, but it doesn’t have any introductory APR offers. The other version no longer offers the $50 sign up bonus, but it retains the introductory APR offers.

To top it off, both cards now have a 5% balance transfer fee.

If all you care about is rewards, your deal just got better

If you don’t plan on transferring a balance, and you pay off your balance each month, the Chase Freedom offer just got $50 better. Take the money and run!

… but now the Chase Freedom is a real screw-job if you carry a balance

If this is you, consider the Citi Platinum Select card with a 0% balance transfer APR for 18 months, 0% purchase APR for 12 months, and a lower ongoing rate. On top of that, at the time of this writing the balance transfer fee is only 3%, which is much more reasonable than the Freedom’s 5%. Or better yet, compare every balance transfer credit card we know of. At the moment the Citi Platinum Select reigns king of this category, but things change so check for yourself!

Cards Mentioned:

Chase Freedom® MasterCard - $100 Bonus Cash Back
	"Best Overall Card", CBS MoneyWatch 2011 Earn $100 Bonus Cash Back after you make $500 in purchases in your first 3 months 0% Intro APR for 12 months on balance transfers and 6 months on purchases 5% Cash Back on up to $1,500 spent on GAS, HOTEL, and AIRLINE purchases from 7/1/11 - 9/30/11 You'll enjoy new 5% categories every 3 months like gas, groceries, dining, department stores, and even home improvement stores. It's free and easy to activate your bonus each quarter! Unlimited 1% Cash Back on all other purchases without limits on what you can earn Up to an additional 10% Cash Back when you shop online at select merchants through Chase Cash back rewards never expire. No Annual Fee
Annual Fee Signing Promo APR, variable* Intro APR Promotions $0 100 Cash Bonus after spending $500 - in first 3 months Min APR: 11.99% Max APR: 22.99% Default APR: 29.99% Cash Adv: 19.24% Purchase: 0% for 6 mos Bal Trans: 0% for 12 mos

Chase Freedom® Visa - $100 Bonus Cash Back
	This offer is for people with a good to excellent credit history which means, among other things, that your credit history is clear of bankruptcy and seriously delinquent accounts Earn $100 Bonus Cash Back after you make $500 in purchases in your first 3 months 0% Intro APR for 12 months on balance transfers and 6 months on purchases. 5% Cash Back on up to $1,500 spent at gas stations and on Amazon.com from 1/1/12 - 3/31/12. You'll enjoy new 5% categories every 3 months like grocery stores, restaurants and even airlines. It's free and easy to activate your bonus each quarter! Unlimited 1% Cash Back on all other purchases Up to an additional 10% Cash Back when you shop online at select merchants through Chase No annual fee and rewards never expire
Annual Fee Signing Promo APR, variable* Intro APR Promotions $0 100 Cash Bonus after spending $500 - in first 3 months Min APR: 11.99% Max APR: 22.99% Default APR: 29.99% Cash Adv: 19.24% Purchase: 0% for 6 mos Bal Trans: 0% for 12 mos

Citi® Platinum Select® MasterCard®
	0% Intro APR on Balance Transfers and Purchases for 18 months. After that, the APR will be 11.99%-21.99% based upon your creditworthiness. Extra Cash from Citi: enjoy discounts on gift cards, travel, merchandise and more Citi® Identity Theft Solutions No annual fee*
Annual Fee Signing Promo APR, variable* Intro APR Promotions $0 None Min APR: 11.99% Max APR: 21.99% Default APR: 29.99% Cash Adv: 25.24% Purchase: 0% for 18 months* Bal Trans: 0% for 18 months*