Chase Freedom Unlimited vs. Wells Fargo Active Cash Card: Strong Rewards Earning for Different Types of Spenders
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Written by
Melanie Pincus
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Edited by
Jasmin Baron
The Chase Freedom Unlimited® and Wells Fargo Active Cash® Card rank among the best cash-back credit cards. You’ll find a lot of overlap in their offerings, including no annual fee, low introductory annual percentage rates (APRs) and competitive cash rewards.
The Chase Freedom Unlimited is ideal if you spend a lot in the card’s bonus categories and are looking for a way into the Chase Ultimate Rewards® universe. The Wells Fargo Active Cash Card is better if you want a strong earner across all spending categories.
How the Cards Compare: Chase Freedom Unlimited vs. Wells Fargo Active Cash Card
Side By Side Comparison
Annual Fee
Purchase and Balance Transfer APR
Welcome Bonus
Ongoing Rewards
Pros & Cons
- Higher than average base rate of 1.5%
- Elevated 3-5% cash back on select categories
- Valuable bonus opportunity
PROS
- No ability to transfer points to travel partners unless you have an eligible annual-fee Chase card
- Charges a foreign transaction fee
CONS
- Low spend requirement for bonus offer
- Long intro APR period
- Cell phone protection option
PROS
- Has a foreign transaction fee so it’s not the best option for purchases outside of the U.S.
CONS
Learn More
Welcome Bonuses
The cards each offer a respectable bonus that’s typical for no-annual-fee credit cards.
Chase Freedom Unlimited Welcome Bonus
With the Chase Freedom Unlimited, you can earn a $200 bonus after you spend at least $500 on purchases in your first three months with an account. Those $200 will come in the form of 20,000 Chase Ultimate Rewards points.
You aren’t eligible to get the card and earn the welcome bonus if you already have the card or have earned a welcome bonus on the card in the last 24 months.
Wells Fargo Active Cash Card Welcome Bonus
The Wells Fargo Active Cash Card offers a $200 cash rewards bonus if you spend at least $500 in purchases in the first three months of account opening.
You may not be eligible for the bonus if you already have the card or have opened one within 48 months of your application.
CardCritics™ Opinion
If you’re set up in the Chase Ultimate Rewards universe, the Freedom Unlimited’s offer will likely appeal more. If you have a history of opening and closing cards to earn bonuses, the 24-month moratorium Chase imposes beats Wells Fargo’s 48 months.
Earning Rewards
You’ll earn rewards on all purchases with either card.
How To Earn Rewards With Chase Freedom Unlimited
The Chase Freedom Unlimited offers cash back (earned as Ultimate Rewards points) as follows:
- 5% on travel purchased through Chase Travel℠
- 3% on drugstore spending
- 3% on restaurant dining (including takeout and some delivery)
- 1.5% on all other spending
How To Earn Rewards With Wells Fargo Active Cash Card
You’ll earn 2% cash rewards on all your purchases with no limits.
CardCritics™ Opinion
The Chase Freedom Unlimited is better if you spend a lot in its bonus categories. The Wells Fargo Active Cash Card’s 2% base rate is higher, so it wins if most of your spending isn’t in the Chase card’s bonus categories.
Redeeming Rewards
These cards offer a similar slate of redemption options, starting with cash back.
How To Redeem Rewards With Chase Freedom Unlimited
You’ll get 1 cent per point when you redeem for cash back, travel or gift cards. Other redemption options can have different values.
Your redemption options are:
- Cash back: You can opt for a deposit into an eligible bank account.
- Statement credit: You can choose to receive a credit against your statement balance.
- Chase Travel: You can book flights, hotels, rental cars, cruises and activities through Chase Travel’s online portal or by calling the number on the back of your credit card.
- Gift cards: You can order gift cards at chase.com/ultimaterewards or in a Chase branch. You can also call the number on the back of your card.
If you also have the Chase Sapphire Preferred® Card , Chase Sapphire Reserve® or the Ink Business Preferred® Credit Card, you can pool your points and get access to Chase’s travel loyalty program transfer partners, such as United MileagePlus and Marriott Bonvoy.
How To Redeem Rewards With Wells Fargo Active Cash Card
Your Wells Fargo cash rewards are worth their value in cash. For instance, if you spend $100, you’ll earn $2 in cash rewards.
You can make one-time redemptions for as little as 1 point. Some other redemption options have $20 or $25 minimums.
Your redemption options are:
- Cash back: You can receive a paper check (in $25 increments), cash back at an ATM (in $20 increments) or a deposit into an eligible account (in $0.01 increments).
- Statement credit: You can use your rewards to cover purchases of at least $1 made on your card.
- Credits to another Wells Fargo account: You can use your rewards to help pay off an eligible Wells Fargo loan or other credit product.
- Gift cards: You can purchase gift cards at values in increments such as $25.
- Travel: You can redeem your rewards for travel online through the Wells Fargo Rewards portal or by calling Wells Fargo customer service.
CardCritics™ Opinion
If you prefer your rewards in the form of a paper check or in cold hard cash, the Wells Fargo Active Cash Card is better. However, the Chase Freedom Unlimited has a travel rewards edge thanks to point pooling potential.
Card Benefits
Some benefits, such as zero liability protection, come standard. But the Chase Freedom Unlimited and Wells Fargo Active Cash Card each come with some benefits that go beyond the basics.
Chase Freedom Unlimited Benefits
Chase Freedom Unlimited cardholders receive the following travel and purchase protections when they use their card to make relevant bookings and purchases:
- Secondary rental car insurance can cover costs that your primary insurance doesn’t cover if your eligible rental car is stolen or damaged, up to the value of most rentals. Coverage becomes primary abroad.
- Extended warranty adds a year to eligible warranties of three years or fewer. You’ll get up to $10,000 in coverage per claim and $50,000 in coverage per account.
- Purchase protection provides up to $500 per claim if an eligible item is stolen, damaged or lost within 120 days of purchase. Your account has a $50,000 limit for this perk.
- Trip cancellation and interruption insurance provides up to $1,500 per person and $6,000 per trip if your trip gets cancelled or delayed for an eligible reason, such as sickness or severe weather. Plus, this perk can provide up to $250 to cover ground transportation related to an eligible trip interruption.
Wells Fargo Active Cash Card Benefits
Cardholders with the Wells Fargo Active Cash Card also get some notable perks when they use their cards for eligible spending:
- Secondary rental car insurance can cover costs that your primary insurance doesn’t cover if your eligible rental car is stolen or damaged, up to $50,000. Coverage becomes primary abroad.
- Cell phone protection can get you up to $600 per claim if your cell phone is lost, stolen or damaged, as long as you pay your monthly wireless bill with your card. You’ll have a $25 deductible and a maximum of two claims per 12 months.
CardCritics™ Opinion
The Chase Freedom Unlimited comes out on top for card benefits, unless you’re looking for cell phone protection. While both cards offer secondary rental car insurance, the Freedom Unlimited covers longer rental periods domestically. The Chase card also comes with more purchase and travel protections overall.
Fees and Costs
Both cards offer low introductory APRs, and neither charges an annual fee. You won’t have to worry about either card’s ongoing APR as long as you pay your balance on time and in full each month.
With either card, you’ll pay a foreign transaction fee of 3% for international purchases, so consider packing a different card if you travel abroad.
Chase Freedom Unlimited Fees and Costs
New Freedom Unlimited cardholders qualify for a 0% Intro APR on Purchases and Balance Transfers for 15 months, then 18.99% - 28.49% Variable. For balance transfers, you’ll pay a fee: Either $5 or 5% of the amount of each transfer, whichever is greater.
The card also charges fees for cash advances, late payments and returned payments, and you’ll pay an elevated APR for cash advances and as a penalty for a late or returned payment.
Wells Fargo Active Cash Card Fees and Costs
Similarly, the Wells Fargo Active Cash Card comes with a 0% intro APR for 12 months from account opening on purchases and qualifying balance transfers, then a 18.99%, 23.99%, or 28.99% Variable APR. Note you’ll pay a balance transfer fee of 3% for 120 days from account opening, then up to 5%, min: $5.
Cash advance and late payment fees also apply, as does an elevated cash advance APR.
CardCritics™ Opinion
The cards charge comparable rates and fees, but the Chase Freedom Unlimited has a superior intro APR offer. If you’re looking to get a longer break from interest on new purchases or balance transfers, the Freedom Unlimited is the better deal.
How To Choose Between Chase Freedom Unlimited vs. Wells Fargo Active Cash Card
The Chase Freedom Unlimited is one of the best Chase credit cards, and the Wells Fargo Active Cash Card is a top Wells Fargo card. With either card, you’ll get a respectable cash back rate as a baseline — either 1.5% or 2%. To pick the better earner for you, consider your spending habits and desire to keep track of bonus categories. If you prefer a simpler structure, the Wells Fargo Active Cash Card wins out.
You may also weigh where you have existing financial accounts. If you already bank with Chase, for instance, you may be more interested in the Freedom Unlimited to avoid adding another financial institution to your roster.
The information related to the Chase Sapphire Reserve® and Ink Business Preferred® Credit Card was collected by CardCritics™ and has not been reviewed or provided by the issuer of this product/card. Product details may vary. Please see issuer website for current information. CardCritics™ does not receive a commission for this product.
Frequently Asked Questions About the Freedom Unlimited vs. Active Cash Card
Is Chase Freedom Unlimited or Wells Fargo Active Cash Card better?
The Chase Freedom Unlimited is a better choice if you spend a lot in the card’s bonus categories or are looking for a way to either enter the Chase Ultimate Rewards universe or enhance your earnings in it. The Wells Fargo Active Cash Card is better if you don’t want to worry about bonus categories or optimizing your redemptions.
What are the drawbacks of the Wells Fargo Active Cash Card?
The Wells Fargo Active Cash Card doesn’t offer any bonus rewards categories, so you won’t be able to earn more than 2% back on your spending. Also, the card’s intro APR period, while respectable, is far from the best offer on the market. The card also isn’t a good choice abroad due to its 3% foreign transaction fee.
What are the drawbacks of the Chase Freedom Unlimited?
The Chase Freedom Unlimited charges a 3% foreign transaction fee, making it suboptimal for travel. Also, while it can link up with more valuable Chase Ultimate Rewards-earning cards, it doesn’t offer loyalty program points transfers itself. Finally, if you’re looking for a low intro APR card, you can find cards with longer introductory APR periods.
Is Chase Freedom Unlimited a good card for travel?
The Chase Freedom Unlimited is a good card for domestic travel, but it isn’t ideal for trips abroad due to its 3% foreign transaction fee. You can earn 5% cash back on bookings made through Chase Travel, and the card comes with some potentially valuable travel protections.
Is Wells Fargo Active Cash Card a good card for travel?
The Wells Fargo Active Cash Card is an OK card for domestic travel, but it also charges a 3% foreign transaction fee. Many travel credit cards offer more than 2% rewards on travel spending and a more comprehensive slate of travel protections compared to the Wells Fargo Active Cash Card.
