so I have a Discover card. it's 2% cashback on restaurant and gas stations, but u haven't really utilized it. I'm pre-approved for a chase freedom unlimited card, which has more cash back, like 3-5%. Should I get this card? for clarity, I always pay bills on time, so interest never sets , and my credit score is 755, if that is relevant. I eat out once a week, and now that I recently got a car, I probably will pay for gas more. I just want to use the cashback option.
Deciding on whether to get another credit card
byu/No_Temporary5875 inCreditCards
Posted by No_Temporary5875
2 Comments
Your discover card sounds underutilized if you’re not hitting those bonus categories much. Chase Freedom Unlimited is solid for general spend at 1.5% but the intro bonus categories can be way better
With your credit score you’ll def get approved and having multiple cards actually helps your score long term. Just don’t go crazy with spending because you have more credit available – that’s where people mess up
Since you’re gonna be buying more gas now and eating out weekly, might as well maximize those rewards. The CFU pairs well with other Chase cards too if you ever want to get into their ecosystem later
I would recommend getting a credit card that earns unlimited 2% cash back on all purchases instead. The Chase Freedom Unlimited isn’t ‘3-5%’, it earns 1.5% on most purchases and 3% on dining and drugstores expenses. The 5% is only for bookings via the Chase Travel portal, almost every Chase card has that same multiplier and it’s not really all that noteworthy because many people prefer not to book travel via credit card travel portals.
Wells Fargo Active Cash, Citi Double Cash, and Fidelity Rewards are each solid options for a flat rate 2% card. Should be a nice upgrade to get that rate on every purchase you make rather than just food and gas up to a tiny quarterly cap. Also nice that they’re Visa/Mastercard network cards.
From there you can pair that with a card like the Capital One Savor (3% groceries, dining, entertainment, streaming), or the Wells Fargo Autograph (3% dining, travel, transit, gas, EV charging, streaming, phone plans), or the AAA Travel Advantage (3% groceries, dining, travel, 5% gas, EV charging).