Chase Freedom Rise Credit Card Review — The Ideal Starter Card

The information related to the Chase Freedom Rise Credit Card has been collected by Money Crashers and has not been reviewed or provided by the issuer of this card.

When you’re looking for your first credit card, your choices are often between cards with high annual fees and others that have no rewards and free benefits. Chase has leaned into the first option — becoming one of the largest credit card issuers largely by offering premium travel rewards and cash-back cards to existing credit card users. 

But with its new Freedom Rise^SM Credit Card, Chase is making a strong push to attract applicants who are new to credit cards. And it’s using a few innovative incentives to make the card appealing and increase your chance of being approved for your first credit card. 

What Is the Chase Freedom Rise Credit Card?

The Chase Freedom Rise Credit Card is a cash-back card that’s made for those who are looking to improve their credit while earning valuable rewards at the same time. 

Although this card doesn’t have a really strong spend-based sign-up bonus, it does offer new account holders the opportunity to earn a $25 statement credit after signing up for automatic payments within the first three months of account opening. 

The card earns 1.5% cash back on all purchases, which you can redeem for cash back in the form of a statement credit or direct deposit into most U.S. checking and savings accounts. You can also use your rewards to shop with points at Amazon.com or redeem them for gift cards. Cash-back rewards don’t expire as long as your account is open, and there is no minimum to redeem for cash back.

With free credit score tracking and a higher chance of approval if you have a Chase checking account with a balance of at least $250, this card is a good option if you have poor (or just middling) credit but are eager to improve your credit score. Chase considers new-ish account holders for credit line increases 6 months after account opening, and there’s a good chance you’ll earn one if you use your card responsibly. 

This card also includes a few valuable benefits. When shopping, your purchases are covered for up to $500 against theft and damage. You can also get extended warranties on eligible items with existing manufacturers’ warranties. And when your travel plans go sideways, you can be reimbursed for up to $1,500 per person with a trip cancellation and trip interruption policy. 

There is no annual fee for this card, but it does charge a 3% foreign transaction fee. That’s something to keep in mind if you travel abroad often or ever buy stuff from merchants based overseas.

What Sets the Chase Freedom Rise Credit Card Apart?

This card has a few features that distinguish it from other credit-building cards.

• 1.5% cash back on all eligible purchases. This card earns 1.5% cash back on all purchases, which you can redeem for statement credit, cash through a direct deposit, or gift cards. Many cards of this class only earn 1% cash back.
• Automatic payment bonus. New account holders can earn a $25 statement credit after signing up for automatic payments within the first 3 months of account opening. This is a fairly unique offer among cards of this class. Most have no sign-up bonus at all.
• Increased opportunity to be approved. Those who have a Chase checking account with a balance of at least $250 are more likely to be approved. No other major card issuer advertises this feature. 

Key Features of the Chase Freedom Rise Credit Card

The Chase Freedom Rise credit card is a good option for those who are looking to build or improve their credit while still earning cash back on everyday purchases. 

Sign-Up Bonus

There is currently not a spending-based sign-up bonus offer for this card. However, there is an unusual but welcome perk for new account holders: Earn a $25 statement credit after signing up for automatic payments within the first 3 months of account opening.

Earning Rewards

All eligible purchases earn 1.5% cash back. There’s no cap on how much you can earn and your rewards don’t expire as long as your account is open.

Redeeming Rewards

You can redeem your rewards in any amount for cash back in the form of a statement credit or direct deposit into most U.S. checking and savings accounts. You can also use your rewards to shop with points at Amazon.com or redeem them for gift cards, also generally without minimums. 

Important Fees

There’s no annual fee for this card.

However, Chase charges a balance transfer fee of $5 or 5% of the amount of each transfer, whichever is greater. The cash advance fee is either $10 or 5% of the amount of each transaction, whichever is greater. 

The foreign transaction fee is 3% of the amount of each transaction in U.S. dollars. There is a late payment fee of up to $40 and a return payment fee of up to $40.

Travel & Purchase Protections

Chase Freedom Rise comes with several notable travel insurance benefits and purchase protections for shoppers, including:

• Trip cancellation coverage worth up to $1,500 per person and $6,000 per trip for prepaid, nonrefundable expenses
• Purchase protection coverage for 120 days against damage or theft on covered items up to $500 per claim and $50,000 per account
• Extended warranty for one additional year on any eligible purchased item with an existing manufacturer’s warranty of 3 years or less 

Credit Required

Chase describes Chase Freedom Rise as being best for those who are new to credit. It’s not clear what the minimum credit score is to qualify for this card, but it seems that having limited or no credit history won’t automatically justify your application.

That said, if you have a Chase checking account with a balance of at least $250, Chase indicates you have higher chances of approval. If you have poor credit or no credit score at all, open and fund an eligible checking account first before applying for this card. 

Credit Limit Increase

You may be considered for a credit limit increase in as little as 6 months after opening your account. An increase isn’t guaranteed but is certainly more likely if you’ve used your card responsibly and paid your bills on time in the meantime.

Pros & Cons

Like all entry-level credit cards, Chase Freedom Rise has several distinct advantages along with some significant drawbacks. 

Pros

Chase Freedom Rise is relatively generous for a credit card of its class, particularly for new-to-credit users.

• Unlimited 1.5% cash back on all purchases. This is an excellent cash-back rate for a starter credit card, especially one open to people with limited or no credit.
• Decent incentive for new cardholders. Chase Freedom Rise credits you $25 for enrolling in automatic payments within the first 3 months of opening your account. Setting up automatic payments is a good idea anyways, so consider it free money.
• Increased chances of approval with a Chase checking account. If you have a Chase checking account with a balance of at least $250 when you apply, you’re more likely to be approved for this card. That’s a relatively easy lift for many applicants, even those living paycheck to paycheck. 
• Strong travel insurance and purchase protection policies. These perks are especially notable in a starter credit card with no annual fee. 

Cons

Chase Freedom Rise has relatively high fees and lacks some important features found elsewhere in the cash-back category, including a 0% intro APR promotion and a spending-based sign-up bonus.

• 3% foreign transaction fee. Chase imposes this fee on transactions processed outside of the U.S., including point-of-sale purchases overseas and some purchases with foreign merchants. In short, this isn’t the best card to take on international vacations.
• 5% balance transfer fee. This fee is far above the standard 3% found on most cards in Freedom Rise’s class.
• No 0% intro APR promotion. Most other Chase cash-back and low-APR credit cards offer some sort of 0% intro APR promotion on purchases and/or balance transfers. This one doesn’t — a notable omission.
• No spending-based sign-up bonus. Chase Freedom Rise has a $25 incentive for new users to set up automatic payments during the first 3 months, but it lacks a more substantial spending-based sign-up bonus. Some other cash-back cards offer sign-up bonuses worth $200 or more.

How the Chase Freedom Rise Credit Card Stacks Up

Chase Freedom Rise’s closest competitor is probably Quicksilver Rewards for Good Credit from Capital One. The biggest difference is that Capital One’s card requires good credit. Here’s how the two cards compare:

While the Chase Freedom Rise Credit Card has more lenient underwriting standards, it charges a 3% foreign transaction fee. That might not matter if you never travel abroad or buy stuff from overseas merchants, but otherwise, it’s a potential downside.

Final Word

Most Chase cards are designed for people with established credit, but the Freedom Rise is a new offering specifically for those who are looking for their first credit card. By offering 1.5% cash back to people applying for their first credit card, and making it easier for existing Chase customers to be approved, this card competes well against starter cards that have high annual fees and others that don’t offer any rewards.