Chase Ultimate Rewards-What A Crock

[ktkerber]

I have the Chase Freedom Rewards card which I use to pay my utility bills with and then I pay off every month. You get 3% back on your top 3 spending categories in the list of 15 they allow. So I intentionally took this card so I could get 3% back for just paying my phone bill etc.
I get a letter in the mail today from Chase saying that the Chase Freedom will basically no longer exist, but now I will have Chase Ultimate Rewards.

It makes me so mad because the letter makes it out to be like it is a great thing and how wonderful they are. They will be offering 3% back on a wider variety of spending categories that change whenever they feel like it, otherwise only 1%. They make it sound like they are doing me a favor.

Why don't they just tell it like it is? We know you have been a good customer who paid your bill in full every month so we are going to Ultimately reward you by cutting your cash back. Joe Smith down the street quit paying his bill because we gave him too much credit and now you get no more rewards.

You also used to able to get a cash back check for $250 when you accumulated $200 in reward dollars. They cut out that little goody too. Although, I do have to say that one was really good reward and I was waiting for that to go too. I am happy to report that I cashed in for that $250 check just last week so at least I got it before they took it away.

 

[NYCDiane]

The banks, cc companies, etc are in it to make money. They entice consumers with these silly little "reward" programs only to make you spend, spend, spend.

The only way these programs could ever work in the consumer's favor is if you use the card, pay it in full every single month, and eventually accumulate enough points to get some reward back. The majority of consumers don't do this --- they will have a running balance and pay more in interest over time than those rewards will ever be worth.

Hopefully, you can call Chase and get them to at least do something for you since you had already earned rewards with the previous program they had. Maybe they'll give you extra points or something.

The problem with being a "pay in full every month" customer is that you're not doing them any favors. They're extending $$ to you, you're paying it back immediately. The only money they make is the small amount from the merchant you use the card with. The banks make the real money off the interest they charge you.

 

[ccgirl]

Oh my goodness...I have a Chase Freedom too. I wonder if the letter is waiting for me at home??? I don't realy use that one though. I use my Chase Disney Visa and pay it off every month. They did raise my interest rate but since I pay it off every month I really don't care. I also have a Visa card through my bank that automatically comes out of my checking. I enrolled that with Visa Rewards and get a ton of points from it. Since it's essentially a debit, there is no interest rate. I just got a $100 gc for Avis.

 

[rlduvall]

Yes . . . I got this sweet little bit of information in the mail a couple of weeks ago. When I first signed up for this Chase card years ago, it was 5% cashback for gasoline and groceries. Then they decided Wal Mart didn't qualify for the grocery status anymore because it was a discount store, so I lost my grocery cash back. Then they changed it to 3% for gasoline and now this.

Of course, I'm considered a deadbeat because I pay my bill off each and every month. BUT don't let them tell you they don't make money off of us. They charge the retailer a fee when we use it, so it's not a total wash for them. When all this credit card reform starting happening to protect those who don't, can't or won't pay their bills, this is what the experts said would happen. For once, they were right.

Okay, I'm starting to get angry again. Please return to your regularly scheduled programming.

 

[SiennaFrost]

I also received this letter in the mail last week. Like you, we pay our bill in full each month. If you look closely at the information that came, there is a phone number in fine print that you can call and "opt out" of the new card. I called the number and they said that we could keep the Chase Freedom card we already have rather than having to switch. She said she was unsure of how long that would last, but we could keep it and our current rewards program for now.

 

[Mickeypooh99]

Yes . . . I got this sweet little bit of information in the mail a couple of weeks ago. When I first signed up for this Chase card years ago, it was 5% cashback for gasoline and groceries. Then they decided Wal Mart didn't qualify for the grocery status anymore because it was a discount store, so I lost my grocery cash back. Then they changed it to 3% for gasoline and now this.

Of course, I'm considered a deadbeat because I pay my bill off each and every month. BUT don't let them tell you they don't make money off of us. They charge the retailer a fee when we use it, so it's not a total wash for them. When all this credit card reform starting happening to protect those who don't, can't or won't pay their bills, this is what the experts said would happen. For once, they were right.

Okay, I'm starting to get angry again. Please return to your regularly scheduled programming.

I still have the 5% back on gas, grocery, and drugstore card. Everyone else I know got switched to the 3% one awhile ago. Not sure why mine didn't get changed before. It probably will now.

 

[momof1princess]

i have a chase card, i think it was a freedom. i was notified 2-3 months ago it would be switching to a rewards card. instead of getting a % back, i get one point for each dollar i spend, and i need 2,500 points for a $25.00 check. i used to get gasoline rewards, usually $7-$8 per month at least. that's mainly what we use it for. we charge our gas all month then pay the card in full. i think the situation stinks, but it was my very first credit card, so i hesitate to cancel.

 

[tinkarooni]

I also received this letter in the mail last week. Like you, we pay our bill in full each month. If you look closely at the information that came, there is a phone number in fine print that you can call and "opt out" of the new card. I called the number and they said that we could keep the Chase Freedom card we already have rather than having to switch. She said she was unsure of how long that would last, but we could keep it and our current rewards program for now.

Do you have that phone number to opt out? I probably got this letter and tossed it in the trash without realizing what it was. I get so many darn things from these people.

 

[jabberwockgee]

According to here:

www(dot)lowcards.com/forums/viewtopic.php?p=544&sid=f0b334a3bc769700f7b43cd38ded0092

There's now a fee to be on the chase freedom rewards....

 

[RachelTori]

That sneaky Chase! Yup, DD24 got the "notice" too. It doesn't look like an official notice so she just put it aside and didn't read it. I'm glad I saw your post ktkerber. "Earn More Cash Back Everyday" didn't exactly scream "we're going to gut your rewards, but we're hoping you won't notice."

It's what we've come to expect from Chase (unfortunately).

 

[starwood]

I have the Discover card for 5% back on gas and just got a letter that it is no longer gas and auto maintainance it is gas and restaurants. AND it is not 5% it is 2%.

 

[boettj]

When the banking system fell apart, financial advisers commented that this would happen. However, with debit card use outpacing credit cards now, you would think that the credit companies would keep incentives. Instead they are reducing benefits left and right. Even more of a reason to not use credit cards.


We've been a cash family for almost a year. Only for emergency's do I use credit cards. Right now, we are down to two credit cards. Hopefully by the end of Q1 2010, we'll be down to 1.