Still have the original Chase Freedom? Here’s why I switched to the Freedom Flex

I’ve had the legacy Chase Freedom®* since 2017, and for years, it was one of those cards I had no reason to get rid of.

It had no annual fee, 5% rotating bonus categories (upon activation on up to $1,500 in spending each quarter) and, because I also have premium Chase cards, I could turn the cash back I earned into transferable Ultimate Rewards points.

But after nearly a decade, I called Chase and asked to product change my legacy Freedom to the Chase Freedom Flex® (see rates and fees).

For me, the decision came down to two changes that make the Flex substantially more useful, particularly for someone who lives abroad.

*This card is no longer available to new applicants. The information for the Chase Freedom has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.

Why I finally made the switch

The original Chase Freedom hasn’t been available to new applicants since late 2020, when Chase introduced the Freedom Flex. Existing cardholders could continue using their legacy cards, which is what I did.

The problem for me was that the legacy Freedom charges a 3% foreign transaction fee.

I moved to Spain last year, and that essentially put the card in my sock drawer. What’s the point of earning 5% back in a rotating category if I’m immediately giving 3% back to Chase because I’m using the card outside the U.S.?

That was especially frustrating because grocery stores and gas stations have been recurring Freedom bonus categories over the years. Those are exactly the kinds of purchases you might make while traveling internationally, whether you’re buying groceries in Spain or filling up a rental car on a road trip through France.

The Freedom Flex changed that equation. Chase recently eliminated foreign transaction fees on the card, so it can now be used abroad without that 3% surcharge. That was enough to get my attention. (Note it lost its cellphone protection perk at the same time.)

Then Chase gave me another reason to make the switch.

This quarter, the Freedom Flex earns an elevated 7% back on dining (compared with 5% on the legacy Freedom; activation required). The $1,500 quarterly spending limit is shared across the bonus categories, so I’ll prioritize dining and then use any remaining capacity for groceries (earning 5% this quarter).

If I spend $125 a week on dining, I’ll reach the full $1,500 limit. If I don’t quite reach that amount, I’ll use the remaining portion for groceries, which I spend about $100 a week on.

And this isn’t the first time we’ve seen Chase offer an elevated 7% rate. Dining has received the 7% treatment three times in recent years, including in the first and fourth quarters of this year. So while it’s not an everyday benefit, it’s something I now want to be positioned to take advantage of when it comes around.

How I made the switch from the Freedom to the Freedom Flex

The actual product change took me 10 minutes on the phone.

I called the number on the back of my legacy Freedom card and asked Chase to product change it to the Freedom Flex. There was no need to apply for a new card.

Chase reminded me that I wouldn’t receive the Freedom Flex’s welcome bonus because I was product-changing rather than opening a new account.

I didn’t care. I’m already over Chase’s 5/24 limit, so I wouldn’t have been eligible to open the Freedom Flex as a new card anyway. If you’re under 5/24, though, that’s a very different calculation.

The Freedom Flex currently offers the chance to earn $250 cash back after spending $500 on purchases in the first three months of account opening. That’s the best welcome bonus we’ve seen on the card in more than three years.

So if you’re eligible and willing to use one of your 5/24 slots, I’d consider applying for the Freedom Flex rather than giving up your legacy Freedom.

Who should consider switching?

My decision makes the most sense for a few specific types of legacy Freedom cardholders:

• People who frequently travel abroad. The legacy Freedom’s 3% foreign transaction fee eats up more than half of its 5% earning rate. The Freedom Flex no longer charges foreign transaction fees, making those categories much more useful overseas.
• People who regularly spend in the Freedom Flex’s elevated categories. The Freedom Flex has offered 7% back on select categories at various points, including dining three times in recent years. If you’re able to maximize one of those categories, the extra 2 percentage points can add up. Just remember that quarterly bonus categories are limited to the first $1,500 in combined spending each quarter.
• People who can turn their cash back into transferable Ultimate Rewards points. If, like me, you have a more premium card like the Chase Sapphire Preferred® Card (see rates and fees), your Freedom Flex cash back can effectively become transferable Ultimate Rewards points, making the higher earning rates more valuable than simple cash back.
• People who are over 5/24 or otherwise wouldn’t qualify for the Freedom Flex’s welcome bonus. That’s the situation I’m in. Product-changing lets me get the Freedom Flex’s benefits without using a new card application slot.

Who should keep the legacy Freedom?

Product changing isn’t automatically the right move. I’d think twice if you:

• Have a specific reason to keep a Visa card. The legacy Freedom is a Visa, while the Freedom Flex is a Mastercard, so the old card can be used at Costco. But wholesale clubs haven’t been a rotating Freedom bonus category for the past three years. If Costco is the only reason you’re hanging on to the card, I’d consider whether another Visa card in your wallet would be more useful.
• Are under 5/24 and want the Freedom Flex’s welcome bonus. You can’t get the welcome bonus by product-changing. With the current welcome bonus, applying for the Freedom Flex separately could be more valuable than converting an existing Freedom.
• Already have enough cards for your spending. There’s no need to change a card that’s working well for you simply because the Freedom Flex exists.
• Want to keep both cards. Chase allows you to hold the legacy Freedom and Freedom Flex at the same time, so you don’t necessarily have to choose between them.

That’s actually what TPG’s editor-in-chief, Nick Ewen, does. He has both cards and is using them strategically this quarter: maximizing the legacy Freedom’s 5% grocery bonus category while using the Freedom Flex for 7% back on dining purchases (including dining abroad; activation required).

That gives him a combined quarterly limit of $3,000 across both cards and earns him a maximum of $180 in cash back this quarter (or 18,000 points when transferred to a premium card).

For some cardholders, that may be a better strategy than product-changing.

Bottom line

For me, product-changing my legacy Freedom to the Freedom Flex was an easy decision.

I live in Spain, so the old card’s 3% foreign transaction fee made its rotating categories difficult to use abroad. Now that the Freedom Flex no longer charges that fee, I can maximize those categories again.

The elevated 7% dining rate available this quarter was another push (on up to $1,500 in spending), especially since I can convert my Freedom cash back to Ultimate Rewards points through my Sapphire cards.

But I wouldn’t tell every legacy Freedom cardholder to make the same switch.

If you’re under 5/24, the current welcome bonus makes applying for the Freedom Flex separately worth considering. If you need a Visa card, that’s also a reason to keep the legacy Freedom card (though I wouldn’t keep it solely for Costco). And if you can maximize both cards’ bonus categories, holding both may make more sense.

To learn more, read our full review of the Chase Freedom Flex.

Apply here: Chase Freedom Flex

Editorial disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

Source: thepointsguy.com