Why I'm not applying for any new credit cards for a year
When applying for a new credit card, you always want to find the best welcome offer — the one that offers the most bang for your buck, the most points, the most cash back.
But what if there's a welcome offer so potentially lucrative that it keeps you from signing up for other cards for an entire year?
After getting the Chase Freedom Unlimited® (see rates and fees) in September of last year, that's the situation I find myself in. Let me explain.
Best-ever sign-up bonus
In the fall of 2023, I took advantage of a fantastic (now-expired) welcome offer on one of Chase's most popular cash-back cards, the Chase Freedom Unlimited. At the end of my first year, Chase will match all the cash back earned on the card in my first 12 months of card ownership.
This means the card's earnings rates are essentially doubled for the first year of the Freedom Unlimited. Instead of earning 5% back on travel purchased through Chase Travel℠, I'll earn a total of 10% back. Instead of 3% back on dining and drugstores, I'll earn 6%. And instead of 1.5% back on all other purchases, I'll earn a solid 3%.
Those elevated earnings rates are some of the best you'll find on any cash-back card, perhaps ever. And they are (or were) available for a full year of card ownership.
Not a bad return on just my third-ever credit card. But why am I waiting to pull the trigger on another?
Why I'm waiting
It goes without saying that the welcome offer I jumped on is pretty lucrative (and no longer available). But is it so lucrative that I've boxed myself out of getting other cards for the time being if my ultimate goal is maximizing value?
I think the answer to that question is yes. Plenty of other cards I could sign up for offer lavish travel perks and the like, but it's hard to beat 10% cash back on travel booked through Chase. And given my personal spending habits (hint: I eat out a lot), a total of 6% back on dining is also a fantastic return.
Note that this spending category also includes takeout and eligible delivery services, which is all the encouragement I need to use DoorDash a few more times a week (my Freedom Unlimited also came with three months of complimentary DashPass).
Sure, I could go for a premium travel card in the meantime and take advantage of a welcome offer I like there. But when maximizing value on day-to-day spending, the Freedom Unlimited will almost always be my best bet, at least until that lump sum of matched cash back hits my account in the fall.
Luckily, I already know what my next move will be when those first 12 months are up — and it will help me maximize the rewards on my Freedom Unlimited even further, if you can believe it.
My next card
When my first 12 months on the Freedom Unlimited are over, I plan to apply for another popular and valuable offering from Chase: the Chase Sapphire Preferred® Card (see rates and fees).
That's for a few reasons. First, Chase's 5/24 rule dictates that Chase won't approve any new card applicants who have opened five or more personal credit cards across all banks in the last 24 months. That means that, as a general rule, if I'm filling out my wallet, I'll want to prioritize getting Chase cards first, as no other card issuers have a rule like this.
More importantly, though, the Sapphire Preferred is one of a few cards — along with the Chase Sapphire Reserve® (see rates and fees) and Ink Business Preferred® Credit Card — that will allow me to convert my cash back on the Freedom Unlimited into fully transferable Chase Ultimate Rewards points.
The information for the Ink Business Preferred has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.
That means that I unlock Chase's full range of 14 airline and hotel transfer partners. And it means every cent earned with the Freedom Unlimited will be 1 Ultimate Reward point, worth 2.05 cents per TPG valuations — effectively earning me an over 20% return on all travel purchases and an over 12% return on dining and at drugstores.
To summarize: By taking advantage of the matched cash-back offer on the Freedom Unlimited (no longer available) and then converting my cash back into points with another Chase card, I will quadruple the standard return on the Freedom Unlimited for my first 12 months of card ownership.
Bottom line
The matched cash-back offer on the Freedom Unlimited was a rare one (and is no longer available). You definitely don't see welcome offers with potentially unlimited returns on popular cash-back cards every day.
But it is a great example of the need to be flexible in the credit card rewards game. I had originally planned on getting the Sapphire Preferred much earlier in my cards journey; now, I've kicked that down the road to maximize my return on spending in the meantime.
This offer also works for me, in particular, given my spending habits. I don't travel a ton, but I spend a lot on eating out, making the 6% back in that category a boon for my bottom line.
So, if you take away anything from this article, let it be this: Credit card rewards are all about what's valuable to you. Find the card, perks and welcome offer that make the most sense for your lifestyle and spending habits. And when something really lucrative comes along, be ready to take advantage. Then think about which card to pair it with next.
To learn more, read our full review of the Chase Freedom Unlimited.
Apply here: Chase Freedom Unlimited
TPG featured card
Rewards
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro offer
Annual Fee
Recommended Credit
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.
Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.