Chase Freedom’s 5% Activation Is Retroactive; Discover’s Is Not

Chase's cards pay bonus rewards on purchases for the full quarter as long as you activate by the 14th day of the last month. Discover pays bonus rewards only on purchases made after activation.
Erin El Issa
By Erin El Issa 
Updated

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The Chase Freedom® and its successor card, the Chase Freedom Flex℠ offer 5% cash back in rotating bonus categories each quarter. But to get that great rewards rate, you have to opt in or "activate" the bonus category each quarter.

Chase Freedom Flex
NerdWallet rating 

The good news is that you have plenty of time to opt in. As long as you activate by the 14th day of the third month of the quarter, you'll receive bonus rewards even on category purchases made before you activated. So these are the opt-in deadlines:

  • Q1 (January - March): March 14.

  • Q2 (April - June): June 14.

  • Q3 (July - September): Sept. 14.

  • Q4 (October - December): Dec. 14.

If you fail to activate by the due date for a quarter, you won't receive 5% rewards for purchases in the category for that three-month period. You'll just get 1% cash back for those purchases.

The Chase Freedom®, which is no longer, accepting applications, and the Chase Freedom Flex℠ earn 5% cash back up to $1,500 per quarter in spending in the bonus categories.

Chase Freedom® and Chase Freedom Flex℠ bonus rewards categories for 2023

Q1 (Jan. 1-March 31)

  • Target.

  • Grocery stores.

  • Fitness clubs and gym memberships.

Q2 (April 1-June 30)

  • Amazon.com.

  • Lowe's.

Q3 (July 1-Sept. 30)

  • Gas stations and electric vehicle charging.

  • Select live entertainment.

Q4 (Oct. 1-Dec. 31)

  • PayPal.

  • Wholesale clubs.

  • Select charities.

Discover 5% activation is not retroactive

Several cards offered by Discover have a cash back rewards structure similar to that on the Freedom-branded cards discussed above, but activation for those cards is not retroactive. You earn bonus rewards only on purchases made after you opt into the categories.

Discover it® Cash Back
NerdWallet rating 

These Discover cards earn 5% cash back in categories you activate, on up to $1,500 per quarter in category spending, and 1% on other purchases:

Terms of the 5% cash back program are spelled out on Discover's website. The fine print of the 5% program page says that the bonus rewards are available on purchases made starting from the first day of the quarter "or the date on which you activate 5%, whichever is later." Bonus category purchases made before activation earn only 1% cash back.

Discover bonus rewards categories for 2023

Q1 (Jan. 1–March 31)

  • Grocery stores.*

  • Drugstores.

  • Select streaming services.

Q2 (April 1–June 30)

  • Restaurants.

  • Wholesale clubs.

Q3 (July 1–Sept. 30)

  • Gas stations.

  • Digital wallets.

Q4 (Oct. 1–Dec. 31)

  • Amazon.com.

  • Target, including Target.com and the Target app.

*The grocery stores category does not include grocery purchases at Walmart or Target or at other superstores or wholesale clubs.

Which card is better for you?

Choosing between the Chase Freedom Flex℠ and one of Discover's cards boils down to the bonus categories — which card will offer higher rewards more often in the places where you spend more money? Our Freedom vs. Discover comparison article can get you started. Also take a look at the past and present bonus categories on these cards to see which one more closely aligns with your spending.

Chase Cards from our Partners
Chase Freedom Unlimited Credit Card

on Chase's website

Chase Freedom Unlimited®
5.0
NerdWallet Rating
Rewards rate

1.5%-5%

Enjoy 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, 5% cash back on travel purchased through Chase Ultimate Rewards®, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; and 1.5% cash back on all other purchases.

Cashback

Intro offer

Unlimited Matched Cash Back

Unlimited Matched Cash Back. Chase will automatically match all the cash back you earned at the end of your first year! There is no limit to how much cash back you can earn.

Chase Sapphire Preferred Credit Card

on Chase's website

Chase Sapphire Preferred® Card
5.0
NerdWallet Rating
Rewards rate

1x-5x

Enjoy benefits such as a $50 annual Ultimate Rewards Hotel Credit, 5x on travel purchased through Chase Ultimate Rewards®, 3x on dining and 2x on all other travel purchases, plus more.

Points

Intro offer

60,000

Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 toward travel when you redeem through Chase Ultimate Rewards®.

Points
Chase Freedom Flex

on Chase's website

Chase Freedom Flex℠
5.0
NerdWallet Rating
Rewards rate

1%-5%

Earn 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter you activate. Earn 5% on Chase travel purchased through Ultimate Rewards®, 3% on dining and drugstores, and 1% on all other purchases.

Cashback

Intro offer

$200

Earn a $200 Bonus after you spend $500 on purchases in your first 3 months from account opening.

See more Chase cards

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