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For those with or considering the Chase Freedom card, Chase has just announced what categories will be earning 5% cash back for Q3, from July 1 through September 30, 2019. Payments at gas stations will earn cardholders 5% back for 3 months starting in July, a solid offering as summer tends to be the most popular time of the year to hit the road. However, Chase has added another category - in fact, a completely new category - to their quarterly offer: streaming services. This is a new venture for Chase but seems to be a growing direction for a number of credit card companies as streaming popularity continues to grow at an exponential rate.
Rotating categories
Earn 1% cash back on all purchases and 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter. Earn a $150 bonus after you spend $500 on purchases in your first 3 months. 0% Intro APR for 15 months from account opening on purchases and balance transfers (variable APR of 17.24-25.99% after that).
Customers will, on top of gas stations, also earn 5% cash back on all streaming services that are paid with using the Chase Freedom card. Included in the offering ranges widely to cover not only the expected services like Netflix, Hulu, Spotify, and Apple Music, but also things that might not come first to mind like Vudu, Sling, and even SiriusXM. While this is certainly an appreciated offer for Chase Freedom customers to enjoy, it comes right up against another card that has recently announced 6% cash back on streaming services: the Blue Cash Preferred Card from American Express.
All the time
This card gets you 6% cash back on U.S. streaming services, 6% cash back at U.S. supermarkets (up to $6,000 per year then 1%), 3% cash back at U.S gas stations and on transit, and 1% cash back on all other purchases. You'll earn a valuable sign-up bonus to the tune of a $250 statement credit after you spend $1,000 within the first 3 months. There is also a 0% intro APR on purchases and balance transfers for 12 months, then a variable APR, 15.24% to 26.24%.
The card offered by American Express not only beats Chase's offering on streaming services by one percent but it also never ends. While Chase's offer expires at the end of September, cardholders of the Blue Cash Preferred Card can earn a consistent 6% cash back every month of the year. If you're looking for a card for earning on all your streaming all the time, you'll earn higher and more rewards by going with the offering from American Express. That said, the Amex does come with a $95 annual fee and the Chase does not so make sure to do the math and figure out which card will put you ahead in the long run.
Both cards focus on different categories to earn overall, so understanding your spending habits and how that will translate to rewards is the best thing you can do to make the right long term decision. Whether or not Chase's offering ends up being the best option, it is nice to see more card companies embracing popular services that will benefit more and more customers.
