Chase credit card 3% cashback no more

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White Coat Investor
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Re: Chase credit card 3% cashback no more

Post by White Coat Investor »

bearwolf wrote:
EmergDoc wrote: got my notice today. I was planning to get rid of that card anyway.
Any word on annual fee? Or is it just 1% with no fee? If there is no fee you could leave it as an unused (except twice a year) card to stabilize your credit score.

BearWolf
I only got it in the first place for the 0% for 15 months deal. I think I had 25K on it at one point, but there's nothing on it now. I never intended to hold it for a long period of time and my mortgage and other cards provide plenty of stability for my score.
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runthetrails
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Post by runthetrails »

Sunny wrote:
runthetrails wrote:
Sunny wrote: The scam that the card companies were able to pull off was to legally stop merchants from charging a lower price if buyer is paying by cash. They were thus able to curve out a system where there is a disincentive of paying by cash (neither a lower price, nor rewards like credit cards). Wall street doesn't just influence Washington, they own that place.
Well, merchants can't charge a premium for using a credit card, but they can and often do provide a discount for using cash, which to my mind is the same thing.
Apparently the credit card companies won't do business with merchants to give a discount for cash buyers. I've heard that from several merchants (unless the merchants were lying).
Well, either the merchants can word their way around the restrictions, or they simply bet on not being called on it. In fact, the city I live in charges a "processing fee" for annual vehicle registration using a credit card. No fee involved if I send them a check.
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Post by Easy Rhino »

sozh wrote:Here's my question: Assuming Chase initiates an annual fee on Freedom cards and cuts back on the rewards, I'd want to switch to another card without a fee.
I'm also waiting to see how the annual fee (and indeed the modifed rewards structure) shakes out after my obsolete 5% cash rewards card gets converted.

But Chase has often been able to "convert" cards between different plans, so you could convert to a non-annual-fee card, and keep the credit history.

and mikep, I've seen other banks offer the occassional minimum payment skip. USAA and BofA come to mind.
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Post by sozh »

For the record, I was able to reach $200 in rewards and cash out for $250. Still haven't been notified of any changes.
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Post by Live Free or Diehard »

sozh wrote:For the record, I was able to reach $200 in rewards and cash out for $250. Still haven't been notified of any changes.
I'm also planning on reaching $200 this month and hopefully will be allowed to cash out before the end of the month. I still have not been notified of any changes.
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Post by leonard »

My last statement still has the reward summary and the verbage about "earning 3% cash back on the top 3 Everday categories...and 1% on everything else."

Maybe they are only eliminating the 3% cash back for certain customers?
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Post by Opponent Process »

no change for me although I do have a WaMu/Chase checking account.
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Hoosier
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Post by Hoosier »

I have also not been notified...
I happened to be checking my credit ratings a couple weeks ago and noticed that Chase had run a report on me back in March or April.
The only things that would show up are some credit cards as I have no outstanding debt of any kind. Don't know if that makes a difference or not...

I'll be cashing in $200 of rewards before the end of June, just in case.
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Post by sport »

I received the letter today. So, they are still going out.

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Post by Two Headed Mule »

No letter received yet on my end. Still, I reach $200 tomorrow, so I'll be requesting the $250 ASAP.
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Post by jpsfranks »

No word yet for me on either my Chase Freedom or Chase Rewards Plus cards.

Saw this in the WSJ about them changing Freedom customers over to an "Ultimate Rewards" program that sounds not-so-ultimate to me.
http://online.wsj.com/article/SB124408382936084065.html
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Post by Opponent Process »

got my letter today. I would actually be OK with it if not for the annual fee (which would begin after a year). who actually charges/pays annual fees on credit cards anymore? it's so 80's.

somewhat torn between Schwab and Fido cards now. who is more likely to bait and switch? where's Vanguard in all of this? are they not sleazy enough to issue credit cards? :lol:
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sport
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Post by sport »

Opponent Process wrote:got my letter today. I would actually be OK with it if not for the annual fee (which would begin after a year). who actually charges/pays annual fees on credit cards anymore? it's so 80's.

somewhat torn between Schwab and Fido cards now. who is more likely to bait and switch? where's Vanguard in all of this? are they not sleazy enough to issue credit cards? :lol:
Did your letter mention annual fees? Mine did not.

Jeff
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Post by zooker »

The WSJ article mentions annual fees at the end, but I don't remember my letter from Chase mentioning any extra fees.
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Opponent Process
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Post by Opponent Process »

my letter said $30 annual fee, waived for the first year.
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StarBucks1203
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Post by StarBucks1203 »

Opponent Process wrote:my letter said $30 annual fee, waived for the first year.
Mine said the same thing. Got it today and not real happy about it.
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Post by stan1 »

I just ordered a $250 check for $200 worth of rewards (6:24PM Pacific June 4).
Have not received "the letter" yet.
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Post by bearwolf »

StarBucks1203 wrote:
Opponent Process wrote:my letter said $30 annual fee, waived for the first year.
Mine said the same thing. Got it today and not real happy about it.
Out of curiosity, which card did you (all) have? Was it the 3% top 3 categories, or 3% top 6 of 15 categories, or the 5% gas card? Also if you don't mind what was the verbage in the letter? Did it give you any options, what are the specifics.

Thanks in advance!

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Post by Opponent Process »

I had the top 3% top 3 categories.

"We've updated your Chase Freedom credit card to Chase Freedom with Ultimate Rewards."

Starts July 31.
3% back on gas, groceries, fast food. Plus other categories throughout the year.
1% all other. Rewards never expire.

"There's no yearly rewards membership fee for the first year; it's completely waived. After that, you'll pay just $30 a year for all the benefits of Chase Freedom."

"The option of receiving a $250 check for $200 in rewards will no longer be available."

"In the coming weeks, you'll receive a Welcome Kit..."
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Post by leonard »

Opponent Process wrote:I had the top 3% top 3 categories.

"We've updated your Chase Freedom credit card to Chase Freedom with Ultimate Rewards."

Starts July 31.
3% back on gas, groceries, fast food. Plus other categories throughout the year.
1% all other. Rewards never expire.

"There's no yearly rewards membership fee for the first year; it's completely waived. After that, you'll pay just $30 a year for all the benefits of Chase Freedom."

"The option of receiving a $250 check for $200 in rewards will no longer be available."

"In the coming weeks, you'll receive a Welcome Kit..."
I just received the same letter yesterday with the same verbage. And, unfortunately, I am too far from the $200 reward redemption to get the $250 check to get it before July 31.

I wonder how many people will forget about the $30 per year charge, since the first year is waived.

What a PITA. Time to do the research to find another card.
Leonard | | Market Timing: Do you seriously think you can predict the future? What else do the voices tell you? | | If employees weren't taking jobs with bad 401k's, bad 401k's wouldn't exist.
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Post by frolfer »

are there any chase cards that will not begin having an annual fee? if possible i'd like to keep my chase account open and just change that card. would rather keep the credit line open for my fico score
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Post by ryuns »

leonard wrote:
Opponent Process wrote:I had the top 3% top 3 categories.

"We've updated your Chase Freedom credit card to Chase Freedom with Ultimate Rewards."

Starts July 31.
3% back on gas, groceries, fast food. Plus other categories throughout the year.
1% all other. Rewards never expire.

"There's no yearly rewards membership fee for the first year; it's completely waived. After that, you'll pay just $30 a year for all the benefits of Chase Freedom."

"The option of receiving a $250 check for $200 in rewards will no longer be available."

"In the coming weeks, you'll receive a Welcome Kit..."
I just received the same letter yesterday with the same verbage. And, unfortunately, I am too far from the $200 reward redemption to get the $250 check to get it before July 31.

I wonder how many people will forget about the $30 per year charge, since the first year is waived.

What a PITA. Time to do the research to find another card.
Bummer. Keep in mind that there's some possibility that it's actually worth it. 3% on groceries is pretty dang handy. You recoup that annual fee by charging ~$1500 in groceries per year compared to a 1% reward or $3000 pa compared to a 2% card.

I still think it might be time to get the Schwab Visa. A total guess, but I don't expect them to do a bait and switch on the terms. That card, along with investor checking account and new savings account are all contingent on the customer opening a brokerage account. I imagine they expect or accept a loss on these products with the idea that they'll make much much more money from you if you use their brokerage products/services. I have their checking and savings accounts. I've been very pleased with their service.

Ryan
Last edited by ryuns on Fri Jun 05, 2009 2:23 pm, edited 1 time in total.
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Post by leonard »

ryuns wrote:Bummer. Kind in mind that there's some possibility that it's actually worth it. 3% on groceries is pretty dang handy. You recoup that annual fee by charging ~$1500 in groceries per year compared to a 1% reward or $3000 pa compared to a 2% card.
The primary thing I don't like about the $30 fee is that it is just unnecessarily complicated. Why would they on one hand offer cashback? But, then charge this fee, which is them taking $30 of the cashback they gave me? That is just unnecessarily complicated and just isn't worth the hassle of keeping track.

Also, to my knowledge, there are other cards out there that don't charge a fee. Going to do that research.
I still think it might be time to get the Schwab Visa. A total guess, but I don't expect them to do a bait and switch on the terms. That card, along with investor checking account and new savings account are all contingent on the customer opening a brokerage account. I imagine they expect or accept a loss on these products with the idea that they'll make much much more money from you if you use their brokerage products/services. I have their checking and savings accounts. I've been very pleased with their service.
While Schwab may have a good card, the problem is I have cut ties with Schwab (and am cutting them with Fido) when I simplified my finances and moved everything to VG. It is simply not worth the complexity of another brokerage account in my financial life just to get a rewards credit card.


I think my interim solution is going to be to put a reminder on my calendar for next July, before the $30/year fee kicks in on the rewards. Assuming I don't find a better rewards deal in the meantime, I will simply call Chase and ask them to waive the $30/year fee or I will move me credit card business somewhere else. If that doesn't work, I simply will cancel the card and move to a no fee card or go back to cash and check to pay for everything.
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Post by ryuns »

leonard wrote:
ryuns wrote:Bummer. Kind in mind that there's some possibility that it's actually worth it. 3% on groceries is pretty dang handy. You recoup that annual fee by charging ~$1500 in groceries per year compared to a 1% reward or $3000 pa compared to a 2% card.
The primary thing I don't like about the $30 fee is that it is just unnecessarily complicated. Why would they on one hand offer cashback? But, then charge this fee, which is them taking $30 of the cashback they gave me? That is just unnecessarily complicated and just isn't worth the hassle of keeping track.

Also, to my knowledge, there are other cards out there that don't charge a fee. Going to do that research.
I still think it might be time to get the Schwab Visa. A total guess, but I don't expect them to do a bait and switch on the terms. That card, along with investor checking account and new savings account are all contingent on the customer opening a brokerage account. I imagine they expect or accept a loss on these products with the idea that they'll make much much more money from you if you use their brokerage products/services. I have their checking and savings accounts. I've been very pleased with their service.
While Schwab may have a good card, the problem is I have cut ties with Schwab (and am cutting them with Fido) when I simplified my finances and moved everything to VG. It is simply not worth the complexity of another brokerage account in my financial life just to get a rewards credit card.


I think my interim solution is going to be to put a reminder on my calendar for next July, before the $30/year fee kicks in on the rewards. Assuming I don't find a better rewards deal in the meantime, I will simply call Chase and ask them to waive the $30/year fee or I will move me credit card business somewhere else. If that doesn't work, I simply will cancel the card and move to a no fee card or go back to cash and check to pay for everything.
You're right, annual fees are silly. I'm just saying that, economically, it might not be the worst deal, particularly if you don't want anything to do with Fido or Schwab, who offer two of the other most often recommended cards. In any case, it's probably worth it to you at least to continue to make things less complicated. If you shop at Costco, their AmEx is a good one.
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Post by sport »

My letter is different.

"Earn 1% cash back on all purchases with no caps and now your rewards never expire".

"Enjoy opportunities to earn 3% cash back in new spending categories throughout the year."

There is no mention of a $30 annual fee. There is also no mention of 3% on gas, groceries, and fast food.

Jeff
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Post by Live Free or Diehard »

jsl11 wrote:My letter is different.

"Earn 1% cash back on all purchases with no caps and now your rewards never expire".

"Enjoy opportunities to earn 3% cash back in new spending categories throughout the year."

There is no mention of a $30 annual fee. There is also no mention of 3% on gas or groceries.

Jeff
That means you were offered the "Standard" Freedom Card. Appartently there are 3 varieties of the new Freedom Cards: "Standard" with no fee, "Ultimate Rewards" with a $30 annual fee and "Sapphire" with a $95 annual fee.

Here's the story from the WSJ:
http://online.wsj.com/article/SB124408382936084065.html
sport
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Post by sport »

Live Free or Diehard wrote:
jsl11 wrote:My letter is different.

"Earn 1% cash back on all purchases with no caps and now your rewards never expire".

"Enjoy opportunities to earn 3% cash back in new spending categories throughout the year."

There is no mention of a $30 annual fee. There is also no mention of 3% on gas or groceries.

Jeff
That means you were offered the "Standard" Freedom Card. Appartently there are 3 varieties of the new Freedom Cards: "Standard" with no fee, "Ultimate Rewards" with a $30 annual fee and "Sapphire" with a $95 annual fee.

Here's the story from the WSJ:
http://online.wsj.com/article/SB124408382936084065.html
The letter states "We've updated your Chase Freedom credit card to Chase Freedom with Ultimate Rewards. By July 31, 2009 your account will be automatically updated. ..."

Jeff
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Post by iamnotsteve »

On a similar note, I recently applied for a BP Chase card (5% at BP, 2% on Travel/Dining, 1% on everything else).

I got rejected.
We have determined that the projected costs of maintaining this account would exceed anticipated earnings. This decision is not a reflection on your creditworthiness but rather the need to open accounts that will be profitable.
Any other companies rejecting "bad" customers who pay their bills on time?
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Post by newerguy »

iamnotsteve wrote:On a similar note, I recently applied for a BP Chase card (5% at BP, 2% on Travel/Dining, 1% on everything else).

I got rejected.
We have determined that the projected costs of maintaining this account would exceed anticipated earnings. This decision is not a reflection on your creditworthiness but rather the need to open accounts that will be profitable.
Any other companies rejecting "bad" customers who pay their bills on time?
Not only did I get rejected when I applied for the Chase Freedom Cash Back, but they also reduced my credit limit on another card
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Post by animule »

I got the Chase letter too, retiring my 5% Rewards card. The devil is in the details of the letter. Consider this:

"We've updated your Chase Freedom credit card to Chase Freedom with Ultimate Rewards..."

"Earn triple points on eligible gas, groceries and fast food purchases.*"

*You will earn 1 point for each $1 of net purchases. You will earn an additional 1 point for each $1 of eligible airfare net purchases made online through the program booking tool. You will earn an additional 2 points for each $1 of net purhases made at retail establishments that classify their merchant locations for Visa/Mastercard in any of the following categories: grocery stores, gas stations and quick service payment/fast food restaurants. Purchases not eligible to receive an additional 2 points include, but are not limited to, purchases made at, or at stores affiliated with, convenience stores, superstores, warehouse clubs and discount stores. We do not determine whether merchants correctly identify and bill transactions as being made at locations in each particular category. However, we do reserve the right to determine which purchases qualify for the additional 2 points. You do not earn points on balance transfers, cash advances, cash-like charges such as traveler's checks, foreign currency and money orders, any checks that are used to access your account, overdraft advances, interest, unauthorized or fraudulent charges, or fees of any kind, including fees for products that protect or insure the balances of your accounts. MAXIMUM REWARD ACCUMULATION ON NET PURCHASES EARNING AN ADDITIONAL 2 POINTS IS 1200 POINTS, WHICH EQUATES TO $600 IN NET PURCHASES. There is no maximum number of rewards earned on net purchases earning 1 point, or the additional 1 point on online travel bookings. A service fee of up to $20 per ticket may be charged for the use of our toll-free number to book or change airline intineraries. Redemptions made online do not have a service fee. See Rewards Program Rules and Regulations which will be mailed after your account is updated."

The caps are mine. I called Chase and they said that the maximum reward accumulation on the additional 2% (including gas and groceries) works out to $12 per month or $144 per year.

Note that the fine print says nothing about any time limit for this accumulation. It could just as easily be $12 per year as it could be $12 per month and given the way that banks can change the terms and conditions, buyer beware.

I have read through this entire thread, and have not seen anyone address this rather major detail with this account.

Combine this with the $30 annual fee which kicks in one year down the road, and you have an unattractive rewards card. I'll be looking for a better card and would recommend everyone do the same.
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Post by leonard »

ryuns wrote:If you shop at Costco, their AmEx is a good one.
ryuns - good call on that one. I do have a Costco AmEx, for convenience until now. I am going to take another look and see if it would make sense as my primary card. It would be great if that works, because I can then carry 1 card for everything.
Leonard | | Market Timing: Do you seriously think you can predict the future? What else do the voices tell you? | | If employees weren't taking jobs with bad 401k's, bad 401k's wouldn't exist.
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Post by sport »

leonard wrote:I do have a Costco AmEx, for convenience until now. I am going to take another look and see if it would make sense as my primary card. It would be great if that works, because I can then carry 1 card for everything.
Leonard,
I use the Costco Amex too. It is a good rebate card. However, not all businesses will accept Amex. You need a MasterCard or Visa, at least as a backup.

Jeff
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Post by DiscoBunny1979 »

Just to add my two cents. . .Chase did buy Washington Mutual, which did buy Providian. . .and since Providian was one of the sub-prime credit card issuers with extremely high fees and interest rates, it seems to me that Chase is just following suit. They might need to cut down the reward programs to make up for the BAD debt and BAD credit card loans that they purchased by acquiring Washington Mutual and Providian.

For instance my Providian, then Washgington Mutual and now Chase Card has a $15,000 limit with a $59 annual fee. When Chase aquired Washington Mutual, did they change my annual fee? No, but they lowered my interest rate from 29.9% to 24.9% - big woopie! So, maybe all of you complaining about the $30 annual fee are actually getting a deal considering Chase has other cards that are more expensive.

I also have another Chase rewards card getting 1% . . . but it has no annual fee, yet.
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fine print

Post by tibbitts »

animule wrote:I got the Chase letter too, retiring my 5% Rewards card. The devil is in the details of the letter. Consider this:

"We've updated your Chase Freedom credit card to Chase Freedom with Ultimate Rewards..."

"Earn triple points on eligible gas, groceries and fast food purchases.*"

*You will earn 1 point for each $1 of net purchases. You will earn an additional 1 point for each $1 of eligible airfare net purchases made online through the program booking tool. You will earn an additional 2 points for each $1 of net purhases made at retail establishments that classify their merchant locations for Visa/Mastercard in any of the following categories: grocery stores, gas stations and quick service payment/fast food restaurants. Purchases not eligible to receive an additional 2 points include, but are not limited to, purchases made at, or at stores affiliated with, convenience stores, superstores, warehouse clubs and discount stores. We do not determine whether merchants correctly identify and bill transactions as being made at locations in each particular category. However, we do reserve the right to determine which purchases qualify for the additional 2 points. You do not earn points on balance transfers, cash advances, cash-like charges such as traveler's checks, foreign currency and money orders, any checks that are used to access your account, overdraft advances, interest, unauthorized or fraudulent charges, or fees of any kind, including fees for products that protect or insure the balances of your accounts. MAXIMUM REWARD ACCUMULATION ON NET PURCHASES EARNING AN ADDITIONAL 2 POINTS IS 1200 POINTS, WHICH EQUATES TO $600 IN NET PURCHASES. There is no maximum number of rewards earned on net purchases earning 1 point, or the additional 1 point on online travel bookings. A service fee of up to $20 per ticket may be charged for the use of our toll-free number to book or change airline intineraries. Redemptions made online do not have a service fee. See Rewards Program Rules and Regulations which will be mailed after your account is updated."

The caps are mine. I called Chase and they said that the maximum reward accumulation on the additional 2% (including gas and groceries) works out to $12 per month or $144 per year.

Note that the fine print says nothing about any time limit for this accumulation. It could just as easily be $12 per year as it could be $12 per month and given the way that banks can change the terms and conditions, buyer beware.

I have read through this entire thread, and have not seen anyone address this rather major detail with this account.

Combine this with the $30 annual fee which kicks in one year down the road, and you have an unattractive rewards card. I'll be looking for a better card and would recommend everyone do the same.
Nobody mentioned the detail because when most of us were converted from our 5% Chase cards more than a year ago, we acquired the $12/mo limitation. So it wasn't news to us.

Paul
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Post by Sunny Sarkar »

Live Free or Diehard wrote: Appartently there are 3 varieties of the new Freedom Cards: "Standard" with no fee, "Ultimate Rewards" with a $30 annual fee and "Sapphire" with a $95 annual fee.
I received another letter saying that my Chase Freedom card has been "upgraded" to a Chase Freedom Exclusives card. The rewards program seemed like the same 3%/1% deal as the original Freedom card. The question of annual fees didn't even cross my mind - so I wasn't looking for it when I glanced over the letter. Now you guys have scared me so I think I'll call today and ask if they've sneaked in an annual fee.

Update: The "Exclusives" status will give me 3% for the top 5 (up from 3) spending categories. There is no change in interest rates and no annual fees. After a year, the card will be changed to a version of "Ultimate Rewards" card that has no fees (I re-verified). All this love because I opened a Chase checking account few months ago to use a $150 opening bonus offer.
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Post by Mister Moolah »

I still haven't received my notice of anything changing. I'm just waiting for that letter to drop in the mail slot.
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Post by Leif »

jsl11 wrote:
Live Free or Diehard wrote:
jsl11 wrote:My letter is different.

"Earn 1% cash back on all purchases with no caps and now your rewards never expire".

"Enjoy opportunities to earn 3% cash back in new spending categories throughout the year."

There is no mention of a $30 annual fee. There is also no mention of 3% on gas or groceries.

Jeff
That means you were offered the "Standard" Freedom Card. Appartently there are 3 varieties of the new Freedom Cards: "Standard" with no fee, "Ultimate Rewards" with a $30 annual fee and "Sapphire" with a $95 annual fee.

Here's the story from the WSJ:
http://online.wsj.com/article/SB124408382936084065.html
The letter states "We've updated your Chase Freedom credit card to Chase Freedom with Ultimate Rewards. By July 31, 2009 your account will be automatically updated. ..."

Jeff
I got the same letter as Jeff. It is the Chase Freedom with Ultimate Rewards. There was no mention of an annual fee, however.

I don't like these rotating category cards. Discover has the same type of program (only worst since ever 3 months in need to call to get authorized). That is why I rarely use my Discover card.
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Post by bearwolf »

Leif Eriksen wrote: I don't like these rotating category cards. Discover has the same type of program (only worst since ever 3 months in need to call to get authorized). That is why I rarely use my Discover card.
You can sign up online for the Discover categories.

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Post by sport »

bearwolf wrote:
Leif Eriksen wrote: I don't like these rotating category cards. Discover has the same type of program (only worst since ever 3 months in need to call to get authorized). That is why I rarely use my Discover card.
You can sign up online for the Discover categories.

BearWolf
Discover uses tiered rewards which start at only0.25%. They also use two month average balance for finance charges. Their rebates also expire. When I called to ask about the expired rebate, I got a smart-mouthed CR. Since they are so "customer unfriendly" I avoid using it, except where it is the only card accepted.

Jeff

Jeff
TheEternalVortex
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Post by TheEternalVortex »

jsl11 wrote:
bearwolf wrote:
Leif Eriksen wrote: I don't like these rotating category cards. Discover has the same type of program (only worst since ever 3 months in need to call to get authorized). That is why I rarely use my Discover card.
You can sign up online for the Discover categories.

BearWolf
Discover uses tiered rewards which start at only0.25%. They also use two month average balance for finance charges. Their rebates also expire. When I called to ask about the expired rebate, I got a smart-mouthed CR. Since they are so "customer unfriendly" I avoid using it, except where it is the only card accepted.
They have special categories every 3 months which earn 5%. That's the only thing I use my Discover for. Every 3 months you can spend $400 to earn $20 in rewards, which you can redeem immediately for cash. So it's not so bad.
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Post by Live Free or Diehard »

TheEternalVortex wrote:Every 3 months you can spend $400 to earn $20 in rewards, which you can redeem immediately for cash. So it's not so bad.
They're starting to change the maximum amount of spending you can earn 5% on per quarter from $400 to $300. So, you'll only be able to make $15 per quarter. Of course, you can make 5% off of Restaurants during the month of June for a maximum of $200 of purchases; so you can make $10 in June alone.
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Post by mathwhiz »

I recently got a Fidelity American Express Investment Rewards card. 2% cash back on every purchase with no fees and it all gets automatically sent to my fidelity core account in $50 increments.

So far so good. Everywhere I regularly shop accepts American Express. I'll keep the chase freedom Visa as a backup card as long as it is free. Canceling cards willy nilly can lower your FICO score substantially.
duhmel1
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Post by duhmel1 »

jsl11 wrote:
leonard wrote:I do have a Costco AmEx, for convenience until now. I am going to take another look and see if it would make sense as my primary card. It would be great if that works, because I can then carry 1 card for everything.
Leonard,
I use the Costco Amex too. It is a good rebate card. However, not all businesses will accept Amex. You need a MasterCard or Visa, at least as a backup.

Jeff
AMEX is at it also. Got a letter that gasoline on my COSTCO Business card is being reduced from 5% to 4%. The 3% at restaurants remain. I use my Schwab VISA for everything elese.
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Post by leonard »

duhmel1 wrote:
jsl11 wrote:
leonard wrote:I do have a Costco AmEx, for convenience until now. I am going to take another look and see if it would make sense as my primary card. It would be great if that works, because I can then carry 1 card for everything.
Leonard,
I use the Costco Amex too. It is a good rebate card. However, not all businesses will accept Amex. You need a MasterCard or Visa, at least as a backup.

Jeff
AMEX is at it also. Got a letter that gasoline on my COSTCO Business card is being reduced from 5% to 4%. The 3% at restaurants remain. I use my Schwab VISA for everything elese.
The costco emphasis on Gas and Restaurants for their highest rebate categories is the big downside of using that card full time. I don't buy a lot of gas. And, don't really eat out that often.

I don't understand what Chase is thinking. My guess is that they are going to see a HUGE churn of customers leaving and closing their credit accounts with Chase. Do they not see this coming?
Leonard | | Market Timing: Do you seriously think you can predict the future? What else do the voices tell you? | | If employees weren't taking jobs with bad 401k's, bad 401k's wouldn't exist.
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Post by leonard »

mathwhiz wrote:I'll keep the chase freedom Visa as a backup card as long as it is free. Canceling cards willy nilly can lower your FICO score substantially.
If sending Chase the message that they are making a stupid business decision costs a few FICO points, so be it.
Leonard | | Market Timing: Do you seriously think you can predict the future? What else do the voices tell you? | | If employees weren't taking jobs with bad 401k's, bad 401k's wouldn't exist.
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Post by Sunny Sarkar »

leonard wrote:
mathwhiz wrote:I'll keep the chase freedom Visa as a backup card as long as it is free. Canceling cards willy nilly can lower your FICO score substantially.
If sending Chase the message that they are making a stupid business decision costs a few FICO points, so be it.
I wouldn't cancel the card, but I'd just convert it to a some other Chase card with no fees and then shred the card.
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Post by sport »

Sunny wrote: I wouldn't cancel the card, but I'd just convert it to a some other Chase card with no fees and then shred the card.
Sunny,
There seems to be two versions of the new Chase Freedom Card. One has better rewards and a $30 fee. The other has lower rewards and no fees. However, there is no need to shred the no-fee card if you switch to another bank. Just put it away and use it only once every 6 months so they don't cancel it. This will prevent any negative effect on your FICO score, and it will actually cost Chase a little to keep the account open. This can also serve as a backup card, if there is trouble on your preferred account.

I have a card that I don't use because it has no rebates. I used it today for a $3 purchase. The last time I used it was in January. However, it is an old account and I want to keep it open.

Jeff

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preserve
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Post by preserve »

Live Free or Diehard wrote: That means you were offered the "Standard" Freedom Card. Appartently there are 3 varieties of the new Freedom Cards: "Standard" with no fee, "Ultimate Rewards" with a $30 annual fee and "Sapphire" with a $95 annual fee.

Here's the story from the WSJ:
http://online.wsj.com/article/SB124408382936084065.html
Just got an email saying that I can upgrade to the "Sapphire". They specifically state there are no annual fees.

I don't see anything in the terms that make me want to upgrade though.
stan1
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Post by stan1 »

preserve wrote:
Live Free or Diehard wrote: That means you were offered the "Standard" Freedom Card. Appartently there are 3 varieties of the new Freedom Cards: "Standard" with no fee, "Ultimate Rewards" with a $30 annual fee and "Sapphire" with a $95 annual fee.

Here's the story from the WSJ:
http://online.wsj.com/article/SB124408382936084065.html
Just got an email saying that I can upgrade to the "Sapphire". They specifically state there are no annual fees.

I don't see anything in the terms that make me want to upgrade though.
I just got the same email. Sapphire with no annual fee. Appears to be a flat 1% back with the potential for 2% back on airfare if you book through their reservation system.

Sapphire appears to be a credit line without a pre-approved limit, instead of a credit card with a pre-approved limit. Also I haven't found any place on the Sapphire website where it says if the card is a VISA or Mastercard. Is it something else?
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Post by Sunny Sarkar »

jsl11 wrote:there is no need to shred the no-fee card if you switch to another bank. Just put it away and use it only once every 6 months so they don't cancel it. This will prevent any negative effect on your FICO score, and it will actually cost Chase a little to keep the account open.
You guys are brutal :lol:
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