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Over the past few years, Chase Bank USA has expanded its line of rewards credit cards with some very high quality offerings. If you’re debating between two Chase credit cards, which is better: Chase Freedom or Chase Sapphire Preferred? Let’s look at the rewards each card offers in order to make a recommendation.
Remember, which rewards credit card to use is a personal decision that is based on your personal spending habits, but CreditShout.com can guide you toward the right decision. Before choosing a rewards credit card from Chase, it makes sense to ask yourself these questions:
- Do I pay off my balance each month or carry a balance?
- What do I want to spend my rewards points on?
- In what categories do I spend the most money?
- Do I do a lot of my shopping online?
Since we’re looking for the best Chase credit card for everyday use, let’s assume that most of your purchases are in “everyday” categories — that is, gas, groceries, drug store, entertainment and department stores — rather than travel, balance transfers and the like. We’ll compare things like bonus points, rewards redemption, interest rates and fees.
We should also note that both credit cards are high quality cards with good customer service, features like Chase Blueprint and online bill pay, and no annual fee. Let’s look at the two cards:
The Chase Freedom rewards credit card has an offer going on right now where you receive 10,000 bonus points when you first activate your card. These can be redeemed immediately for $100 cash back. With no annual fee on the card, it really is like getting $50 free just for signing up.
What about the rewards after that?
- Earn 1 % cash back rewards on every purchase
- Earn 5% cash back in purchase categories that change quarterly, and include “everyday” categories like gas, groceries, and department stores
- Earn up to 10% cash back from retailers when you shop through the Chase Ultimate Rewards store
- Points never expire
- Redeem your points for cash back, statement credits, gift certificates or merchandise
The Chase Freedom card offers an introductory APR of 0% on new purchases and balance transfers for 15 months to get you started on the right foot. After that, you’ll have an interest rate of 12.99 or 22.99 %, depending on your credit history.
You can use the Chase Blueprint feature to pay off balances on specific purchases within one statement period and save considerably on interest.
Chase Sapphire Preferred
Marketed as more of a “high-end” credit card with some fantastic travel perks and benefits, along with a generous rewards program, the Chase Sapphire Preferred card is great if you spend a lot of time on the road.
The card offers a 40,000 bonus points (the equivalent of $400 of travel rewards) if you spend $4,000 in the first three months. But that’s a one-time deal, and we are looking for the best Chase credit card for “everyday” purchases.
Let’s look at what the Sapphire card offers in rewards:
- Two points for every $1 spent on dining and airfare
- One point for every other $1 spent
- Double rewards points when you book travel through Chase
- Points never expire
- No limit to the points you can earn
- Redeem points for travel, cash back or statement credit beginning at $20
The Sapphire Preferred card has a $95 annual fee (which is waived in the first year), and it has a 12.24% APR and no introductory APR.
The Sapphire Preferred card is a great travel credit card with a lot of benefits, including the ability to shop around for the best prices for airline tickets, hotel accommodations and more, and then just “pay yourself back” with a statement credit.
But ultimately, the Chase Freedom card provides greater potential to earn more points — which equals more cash back — on everyday purchases, making it the best “everyday” credit card. And it does this without an annual fee (unlike Sapphire Preferred). Additionally, with summer travel and then the holidays coming up, the 0% APR for 15 months makes the Freedom cash back rewards card even more enticing.
Last Updated: May 3, 2015