AMEX BLUE vs. Chase Freedom

Atreides · #1 (**permalink**) 03-20-2008, 03:16 PM

I am shopping for a second card, which is better for someone with "good" credit. Its perfect I just still don't have enough experience to get 'excellent'. I have narrowed the search down to two cards (although if anyone has a better idea I would love to hear it)...all of which have rewards...I need advice on which is best...AMEX Blue or Chase Freedom...

All help is appreciated...

vsjhoc · #2 (**permalink**) 03-20-2008, 03:41 PM

I have both cards. But what is 'best' depends on what you want.

Cashback rewards - Chase is better because AmEx Blue gives points, not cash. But AmEx Blue Cash is a different card which does give cashback.

Interest rate - you'd have to compare these if you don't pay your bills in full. But if you don't pay your bills in full each month, it makes no sense to get a rewards card because the interest rates are higher than those on non-rewards cards and you wipe out any gain you get from the 'reward.'

A note of caution: Chase has a "Chase Freedom Signature" card. This has no pre-set spending limit (like the AmEx green card). However, if you have this card it can wreak havoc with your credit score because your credit limit is not reported to the credit bureaus. The non-Signature version offers the same benefits.

Atreides · #3 (**permalink**) 03-20-2008, 04:45 PM

So are you saying AMEX Blue cash is the best option?

Seeker · #4 (**permalink**) 03-22-2008, 12:21 AM

Take a look at the "rewards" offered for each specific card. Choose the one you like best.

The reward of "cash back" is something I like; since the reward of "points" tends to encourage a bit more spending for something that may be a spur of the moment decision (and not an item you really need). "Cash back" can be applied to the next bill and if you pay in full each month, you get the benefit of having the CC pay for some of the things you already have purchased anyway.

But if you like the rewards that "points" give you (look at these items that you can trade for the points) then go for that.

It's going to be your CC and your choices may not be the same as mine. That's why credit card companies are offering so many variants on the cards.

Just read the fine print, choose what you like and you'll be fine.

sstarch3 · #5 (**permalink**) 03-22-2008, 09:15 AM

I have the chase freedom signature card, but mine came with a preset limit?

sstarch3 · #6 (**permalink**) 03-22-2008, 10:28 AM

...just checked my credit through myfico and found out that the account truely is a n "open account" instead of revolving credit.... guess i'll have to change that some time in the next year or so.

MonkeyMama · #7 (**permalink**) 03-22-2008, 01:42 PM

IT really depends on what you are looking for.

I have Chase Freedom and the first $600 on groceries, gas, dining every month is 3% cash back. (They have a new program where you can pick your top 3 categorties as well? something like that?)

Everything else is 1% cash back.

If you wait until you have $200 in rewards, you can redeem it for $250.

For us we redeem $250 on average twice a year, or an overall 2% return on our spending. (Not bad). We always hit the $600 monthly (As a family that puts everything on the card) and we always wait until $200 to redeem the extra 25%.

I didn't research AmEx because I really prefer Visa, personally. So no input on them.

Anyway, we pay the card off monthly so I don't know or care what the interest rates are.

As you can see the "best card" is really going to vary based on your spending and needs.

mjv · #8 (**permalink**) 03-25-2008, 05:51 PM

I just made the switch over to AMEX Blue Cash from Chase a few months ago. If you plan on paying off the balance every month and using the card a lot then it is a good choice. If you go to their website they have a calculator you can use to estimate the amount your CashBack rewards will be.

One disadvantage is that there are a few places that still do not take AMEX so I have to keep my Chase Visa around for those situations. But overall that sholuldn't affect my rewards all that much.

vsjhoc · #9 (**permalink**) 03-26-2008, 07:56 AM

Quote:

Originally Posted by sstarch3

I have the chase freedom signature card, but mine came with a preset limit?

No, you have what they call an "access line" which is sort of like, but not really, a credit limit. You can exceed the limit. So they consider it a no-preset limit card.

Slug · #10 (**permalink**) 03-26-2008, 12:46 PM

Quote:

Originally Posted by MonkeyMama

IT really depends on what you are looking for.

I have Chase Freedom and the first $600 on groceries, gas, dining every month is 3% cash back. (They have a new program where you can pick your top 3 categorties as well? something like that?)

Everything else is 1% cash back.

If you wait until you have $200 in rewards, you can redeem it for $250.

For us we redeem $250 on average twice a year, or an overall 2% return on our spending. (Not bad). We always hit the $600 monthly (As a family that puts everything on the card) and we always wait until $200 to redeem the extra 25%.

I didn't research AmEx because I really prefer Visa, personally. So no input on them.

Anyway, we pay the card off monthly so I don't know or care what the interest rates are.

As you can see the "best card" is really going to vary based on your spending and needs.

Now that's a good system. A bit of a hassle factor, but a nice return.

I don't use either of these cards. I use the Pentagon Federal Credit Union VISA card (5% on gas, 3% on groceries, 1.25% on everything else). It uses these percentages and takes that amt. off your current bill. No waiting. Nice. More info on my blog or you can always Google it.