Start building your credit score while studying. This will prepare you financially after graduation. Among others, one of the best ways to do this is with the right credit card. In this Chase Freedom Student Credit Card review, I will walk you through its details to decide if this is the right credit card for you.
The Chase Freedom Student Credit Card is an excellent option for newbies. It has decent perks, including a $50 welcome bonus, a $ 20-anniversary bonus for five years, 1% cashback on all transactions, zero liability protection, and trip cancellation or interruption insurance.
Here is a summary of the rates and fees for using the Freedom Student credit card:
|Annual Percentage Rate||14.99% for a balance transfer, 24.99% for cash advance|
|Foreign Transaction Fee||3%|
|Cash Advance Fee||$10 or 5% of the transaction, whichever is higher|
|Balance Transfer Fee||$5 or 5% of the transaction, whichever is higher|
|Penalty Fees||Late and return payment – up to $40, over-credit limit, and return check – None.|
Read on to learn more about the Chase Freedom Student Credit Card, including its features, as well as some of its pros and cons.
About the Chase Freedom Student Credit Card
As a college student, applying for a credit card can be challenging. Most people probably do not have enough to build a reputable credit rating at such a point in their lives. With this, applying for a credit card specifically made for students is a good idea, and that is where the Chase Freedom Student enters the picture.
A credit card from one of the biggest and most reputable banks in the United States, the Freedom Student credit card is simple but offers decent perks to its users. It has low interest rates and no annual fee. You will also get decent bonuses.
Aside from the solid incentives, it also has exceptional credit-building features, which will prepare you for what lies ahead in your adult life.
Main Features of the Chase Freedom Student Credit Card
To start this review, let us look at some of the most notable features of the Chase Freedom Student credit card:
1. $50 Welcome Bonus
As a new user of the Freedom Student card, you will receive a $50 welcome bonus. The offer activates after making your first purchase using this credit card. This must be done within three months after you open your account.
2. 1% Cashback
One of the biggest perks of this student credit card is that you will earn a 1% cashback on all transactions. It might be smaller compared to others, but the good thing is that it has no conditions. There is no limit in terms of spending category, which means that all your expenses qualify. Plus, the cashback you accumulate will never expire if your card is active.
3. $20 Anniversary Bonus
Aside from not paying any annual fee, another benefit you will receive on your card anniversary is a $20 bonus. You can enjoy this perk for up to five years.
4. Zero Liability Protection
A common feature that you will find in many exceptional credit cards will protect you against fraudulent activities. Follow the proper reporting guidelines, and you won’t have to pay for any unauthorized charges on your credit card.
5. Extended Warranty
Eligible purchases with a warranty of three years or less can have an additional one-year warranty. Just make sure that you are using this card when paying for your purchase.
6. App Lock and Unlock
As a Freedom Student credit cardholder, you can access the Chase Mobile app. Among the many things that you can do on the latter, one of the most useful is quickly lock and unlock your card.
7. Trip Cancellation and Interruption Insurance
For members who travel a lot, this is one of the most valuable features of this credit card. The reimbursement can reach up to $1,500 each or $6,000 for every trip. You can file for this claim when a trip was cut short because of a sickness, inclement weather, or any other situation that the terms and conditions state.
8. Partner Benefits
Chase teams up with different companies to offer different benefits to its users. As of the time of writing this review, here are some of the perks you can enjoy:
- Three-month DashPass membership
- Up to 5% Lyft cashback
Rates and Fees of the Chase Freedom Student Visa Card
Users need to pay certain fees for using the card, which is how the bank earns to provide exceptional services to its clients. Below is a rundown of the rates and fees for using Chase Freedom:
1. Annual Fee
A lot of banks charge an annual fee on the anniversary of a credit card. The good thing about Freedom Student is that it has zero annual fees without conditions. It will let you save money while you enjoy the perks of the card.
2. Annual Percentage Rate
The card does not come with an introductory APR. The APR for balance transfer is 14.99% and 24.99% for a cash advance. They are quite reasonable, which we expect since it is a credit card for students.
3. Foreign Transaction Fee
If you use this credit card in another country, a 3% foreign transaction fee applies. It is better to choose a card with lower or no foreign transaction charges if you are looking for one that you can use when traveling.
4. Cash Advance Fee
While you can use your credit card as an ATM card, think twice before doing so if you need emergency cash. Note that the bank charges a cash advance fee of $10 or 5% of the total transaction, whichever is higher.
5. Balance Transfer Fee
You can consolidate outstanding credit card debts in Freedom Student. However, note that you will pay $5 of 5% of the total transaction, whichever is higher.
6. Penalty Fees
You have to be responsible and pay your dues on time. Otherwise, there are corresponding penalties, including the following:
- Late Payment Fee: Maximum of $40
- Return Payment Fee: Maximum of $40
- Over-Credit Limit Fee: None
- Return Check Fee: None
Again, what does the Chase Freedom Student Credit Card offer? You can earn a $50 welcome bonus, a $ 20-anniversary bonus for five years, and 1% cashback on all transactions when you use the Chase Freedom Student Credit Card. Other perks include zero liability protection and trip cancellation or interruption insurance.
Pros and Cons of the Chase Freedom Student Credit Card
Is this the right credit card for you? To help you answer this question, I will walk you through some of the good and bad things about Chase Freedom.
Pros of the Chase Student Credit Card
If you’re looking for compelling reasons to choose this credit card, below are some of its best benefits:
1. From One of the Biggest Banks in the US
One of the best reasons to choose this credit card is that it is from one of the best and biggest banks in the US. This way, you can be more confident of its quality. Plus, you can enjoy a wide acceptance. Not to mention, it’s also a great way to build your credit standing so you can eventually apply for a better card from Chase and other banks once you graduate.
2. Automatically Increase your Credit Line
You don’t have to contact the bank if you want an increase in your credit line. Within ten months, pay on time in five consecutive months, and you will instantly qualify for higher credit.
3. Does Not Require a Credit History
As a student credit card, the application is easy with lenient requirements. You do not need a credit history. This will increase the likelihood of approval.
4. Get Free Credit Score
Building your credit score early is a good thing, which is why you should start as a student. With this credit card, you can access Chase Credit Journey, the bank’s credit monitoring tool. This way, you are updated about your latest credit standing.
5. Simple Rewards Program
The simplicity of the credit card’s rewards programs is another benefit. All purchases will earn 1% cashback. This is unlike others with limitations depending on the category of the expenses. Plus, there is no minimum requirement for redemption.
Cons of the Chase Student Credit Card
Despite the good things, however, there are also some issues, including those I will list down below:
1. Low Cashback Rate
While it is good to get a cashback for eligible purchases, some people might find it relatively low. It is only 1%. Other starter credit cards will offer a higher rate to make the most of your expenses.
2. No Introductory APR
Many credit cards offer an introductory APR, a great way to save on balance transfers and purchases interest rates. Unfortunately, Chase Freedom Student does not provide such a benefit.
3. High Foreign Transaction Fee
If you are traveling to another country, you might want to think twice about using this credit card. It charges a 3% foreign transaction fee, which is relatively high. Globe-trotting students might want to consider alternative cards charging lower charges on foreign transactions.
Frequently Asked Questions
Have you got questions about the Chase Freedom Student Credit Card? We’ll answer some of them below:
Do I Need to Be a Student to Apply for a Chase Freedom Student Credit Card?
Yes, only students can apply for this credit card. Nonetheless, once you have the card, you can keep on using it until you graduate.
How Do I Earn Rewards?
The rewards exist in the form of cashback. All that you must do is to use the card for payments. There is no other requirement, such as spending category. Keep using your card to accumulate more rewards.
How Do I Redeem Rewards?
Redeem your rewards anytime in the form of cashback. If you have 5,000 points, then it means that you can redeem $50. You can redeem it as a statement credit. Alternatively, it can be automatically deposited into your savings or checking account. Other ways to redeem your rewards include gift cards and travel expenses. There is no minimum requirement for reward redemption.
Can I Transfer Points?
Yes, you can transfer points from the Freedom Student card to another eligible Chase credit card. This is done through Ultimate Rewards, as long as you transfer points to people from the same household.
Conclusion – Chase Freedom Student Credit Card
While you are in college, it is a good idea to start building your credit score. One of the best ways to do this is to apply for a student credit card, such as Chase Freedom. It is not only from one of the largest banks in the United States, but it also offers exceptional benefits, such as wide acceptance and zero annual fees.
Other compelling reasons to choose this student credit card include the $50 welcome bonus to new users, a $20 credit on your card anniversary up to five years, zero liability protection, and cashback on all your purchases. Nonetheless, there are also some drawbacks, such as the lack of an introductory annual percentage rate and the high fee for foreign transactions.