The letter said: “We’ve UPDATED YOU TO CHASE FREEDOM. Now, there are UNLIMITED REWARDS that NEVER EXPIRE. Wow – sounds like a deal! However, they just have a great marketing department.
It really is a downgrade in benefits. Although your points never expire, you get fewer of them. Instead of 5 points for every $1 spent on gas, groceries, and pharmacies, you now only get 3 points on gas, groceries, and fast food purchases. Also, even though the banner says unlimited rewards, the triple points are limited to your first $600 of purchases. After that everything is just 1 point.
Further, they are now charging a $30 fee for “all the benefits” of this new card.
I had been expecting changes – there were rumors flying around that Chase was going to change this card. And with the government beginning to act on laws to rein in credit card companies, I expect quite a few other companies will be changing their cards before the laws take effect. They will make their money, one way or another!
I will probably be canceling this card – I do not pay membership fees for credit cards. Since there is no fee for the first year, I will keep it until I can trade in my current points for cash, then cancel. I will then probably put everything on the other card that puts money toward my mortgage – it’s also only 1%, but at least every dollar they put toward my mortgage saves me 4.75% interest on that dollar, and I pay my mortgage off quicker. Yeah!
