topic Re: Chase Freedom Flex versus Discover, which one is better for max cashback? in Credit Cards

Chase Freedom Flex versus Discover, which one is better for max cashback?

Crowhelm — Wed, 29 Sep 2021 01:46:19 GMT

So I am all set with cards now that I got the Citi Custom Cash but besides wanting my wife to also get the Citi Custom Cash card I want her to get one more 5% card. The choice is between Discover or Chase Freedom. I want to hear some input about which one is better including difficulty or ease to obtain. Her scores are 791, 794. 799, so really good.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

FinStar — Wed, 29 Sep 2021 02:00:04 GMT

How many revolving accounts has she opened in the past 24 months and is she an AU on your cards as well?

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

Crowhelm — Wed, 29 Sep 2021 02:07:17 GMT

She opened one {Citi Wayfair) and is AU on the Chase Amazon Prime and the FBNO. Other inquiries are car lease and mortgage last year. Wayfair card was opened July 17th this year

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

kilroy8 — Wed, 29 Sep 2021 02:44:45 GMT

I would recommend Discover for two reasons:

First year cashback match.

CL will grow much faster without any HPs.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

FinStar — Wed, 29 Sep 2021 02:44:46 GMT

Ok, so basically 3 cards (2 AU ones). As far as the Chase 5/24 rule/restriction, she's in the clear. The only thing that *could* potentially arise is velocity, since they'll see 3 newish accounts on CRs. Now, it depends how their UW algorithms will treat them. In most cases, AU accounts are usually stripped since she's not the primary user, so potentially she's good there. Her scores should be fine otherwise.

Does Discover have any pre-qualifications for her?

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

simplynoir — Wed, 29 Sep 2021 02:53:31 GMT

@kilroy8 wrote:
I would recommend Discover for two reasons:

First year cashback match.
CL will grow much faster without any HPs.

I'll add the continuity of their quarterly rewards is a big plus as well. Unlike the Freedom/Flex where you have to wait 15 days before the next quarter to find out what the category spend is going to be at Discover releases their calendar for the whole year so you can prepare. It also seems to be fairly consistent year in and year out as well

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

Crowhelm — Wed, 29 Sep 2021 03:14:41 GMT

@FinStar wrote:
Ok, so basically 3 cards (2 AU ones). As far as the Chase 5/24 rule/restriction, she's in the clear. The only thing that *could* potentially arise is velocity, since they'll see 3 newish accounts on CRs. Now, it depends how their UW algorithms will treat them. In most cases, AU accounts are usually stripped since she's not the primary user, so potentially she's good there. Her scores should be fine otherwise.

Does Discover have any pre-qualifications for her?

Just checked and forgot her scores are locked. Now it says to wait 7 days. My bad

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

Crowhelm — Wed, 29 Sep 2021 04:01:19 GMT

@simplynoir wrote:
@kilroy8 wrote:
I would recommend Discover for two reasons:

First year cashback match.
CL will grow much faster without any HPs.
I'll add the continuity of their quarterly rewards is a big plus as well. Unlike the Freedom/Flex where you have to wait 15 days before the next quarter to find out what the category spend is going to be at Discover releases their calendar for the whole year so you can prepare. It also seems to be fairly consistent year in and year out as well

Noted, but just looking at the Chase choices it seems to line up better with what we would buy from. We don't need Amazon, we got that covered with the Prime Card from Chase.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

Crowhelm — Wed, 29 Sep 2021 04:16:20 GMT

@kilroy8 wrote:
I would recommend Discover for two reasons:

First year cashback match.
CL will grow much faster without any

I do like that part. Even though would we really use it much past the 5% cashback limit? I mean we have a 2% card so using this card for more than the quarterly max for 5% back would be foolish, right? I guess in the first year it would be ok because the 1% is matched

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

NRB525 — Wed, 29 Sep 2021 09:56:50 GMT

I'd take the CFF over the Discover card, because I'm biased toward the value of the UR points vs plain Cash Back.

If we are talking SUB and first year earnings, the CFF has 5% back on up to $12,000 of groceries. While that looks like up to $600 to most people, those of us who know UR points see up to 60,000 UR. Now realistically that has to be cut down, since you'd get 1 UR anyway, but those UR points have other value levels.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

Anonymous — Wed, 29 Sep 2021 13:28:48 GMT

@NRB525 wrote:
I'd take the CFF over the Discover card, because I'm biased toward the value of the UR points vs plain Cash Back.

If we are talking SUB and first year earnings, the CFF has 5% back on up to $12,000 of groceries. While that looks like up to $600 to most people, those of us who know UR points see up to 60,000 UR. Now realistically that has to be cut down, since you'd get 1 UR anyway, but those UR points have other value levels.

Basically this! Plus CFF has a few categories outside of the 5x/1x such as 3x dining and drug stores. To mind even treating as straight cashback rather than UR, if you really had to choose just 1, the CFF is stronger, even with the disadvantages mentioned in this thread. But we rarely need to restrict ourselves that way!

And as I mentioned elsewhere recently, I think the Discover tends to be over-valued, as a cash back machine. After the first year a maximum of $300 cashback, if you were able to max out every quarter, whereas a straight 2% card would give you $120. And as you are likely to have cards that give more than 2% some quarters, such as dining/groceries/target/amazon, the potential gain is less. CFF with a transfer card has potential for higher value, or even 6.25/7.5% with CSP/CSR assuming pay yourself back continues in a usable way.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

kilroy8 — Wed, 29 Sep 2021 14:09:41 GMT

@Anonymous wrote:
@NRB525 wrote:
I'd take the CFF over the Discover card, because I'm biased toward the value of the UR points vs plain Cash Back.

If we are talking SUB and first year earnings, the CFF has 5% back on up to $12,000 of groceries. While that looks like up to $600 to most people, those of us who know UR points see up to 60,000 UR. Now realistically that has to be cut down, since you'd get 1 UR anyway, but those UR points have other value levels.
Basically this! Plus CFF has a few categories outside of the 5x/1x such as 3x dining and drug stores. To mind even treating as straight cashback rather than UR, if you really had to choose just 1, the CFF is stronger, even with the disadvantages mentioned in this thread. But we rarely need to restrict ourselves that way!

And as I mentioned elsewhere recently, I think the Discover tends to be over-valued, as a cash back machine. After the first year a maximum of $300 cashback, if you were able to max out every quarter, whereas a straight 2% card would give you $120. And as you are likely to have cards that give more than 2% some quarters, such as dining/groceries/target/amazon, the potential gain is less. CFF with a transfer card has potential for higher value, or even 6.25/7.5% with CSP/CSR assuming pay yourself back continues in a usable way.

For me, some of this is not issue, as I have many 3% dining cards, and drugstore spend almost non-existent. I actually keep forgetting about the 3% dining, which I should use more given that I have CSP to augment. I use them all, so I am likely not a good example, and Disco has been good for me, as has Chase.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

_bobby_lee — Thu, 30 Sep 2021 14:32:05 GMT

I have both these cards, and they are honestly so similar it is hard to say which is better becuase it varies on your spending a little bit and the 5% quarters can be different each year, but this year my Flex will be the top rewards earner because of my shopping habits. The 4th quarter for the flex card is Walmart, whereas the Discover is Walmart.com, Amazon.com, and Target.com, which covers a lot of bases but I just don't do as much online shopping. Flex also has built-in 3% back at dining/restaurants so if you don't have another card with a higher cash back for that category then it may be the better option. But yeah, look into each reward category and see what the cash back is. My Flex also had a SUB when I apped and my Discover did not, so look into that too. Both good companies, both good cards.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

Crowhelm — Thu, 30 Sep 2021 15:09:45 GMT

@_bobby_lee wrote:
I have both these cards, and they are honestly so similar it is hard to say which is better becuase it varies on your spending a little bit and the 5% quarters can be different each year, but this year my Flex will be the top rewards earner because of my shopping habits. The 4th quarter for the flex card is Walmart, whereas the Discover is Walmart.com, Amazon.com, and Target.com, which covers a lot of bases but I just don't do as much online shopping. Flex also has built-in 3% back at dining/restaurants so if you don't have another card with a higher cash back for that category then it may be the better option. But yeah, look into each reward category and see what the cash back is. My Flex also had a SUB when I apped and my Discover did not, so look into that too. Both good companies, both good cards.

Yeah, I think we are leaning towards the Flex, with the added 3% back for dining and drugstores plus that first year 5% on groceries . The Discover has the cash match but that would be just $300 back and the flex reduces that to just a $100 extra with their $200 sign up bonus.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

Crowhelm — Thu, 30 Sep 2021 18:29:15 GMT

Only question remaining is the Chase Freedom Flex harder to obtain compared to the Discover card?

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

BlackOpzFX — Thu, 30 Sep 2021 21:48:42 GMT

I'd pick Disco unless you plan on travelling and getting a CSP/CSR eventually for greater redemption multipliers (1.25/1.50). Disco CL's are SP. Chases are HP and Disco ALWAYS offers BT's just in case you need them. I have 2X IT's and every month they have different BT offers. I have a Chase Freedom but its not worth taking a HP for CL's when I have other cards that do SP CL's. Eventually I'll take a HP for a new card and just transfer some of the limit.

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

SoonerSoldier33 — Fri, 01 Oct 2021 18:53:59 GMT

@Crowhelm wrote:
Only question remaining is the Chase Freedom Flex harder to obtain compared to the Discover card?

I think you've gotten great advice on both ends here already, but I'll throw my 2 cents in...with the disclaimer that I'm Team Discover. LOL

1. With the 700+ FICOs you mentioned for your wife, I don't think she'll have trouble getting either, but Discover is definitely 'easier' to get bc of Chase's crazy internal stuff. If your wife isn't at 5/24, has 12 months with another creditor (unless she banks with Chase), not too much recent velocity, and has the income requirements, then a Chase approval is probably no issue for her, but Discover approves much 'easier'.

2. The 5% categories are a crapshoot sometimes, but you can look back historically at which would be more beneficial to her spend in the long run.

3. Discover offers soft pull CLI requests. Chase CLI requests are always a HP. Team Discover here for sure.

4. SUBs. Discover's cash back match is worth more 1st year as it's really 10% rotating 2% uncategorized, but Chase's requires less spend to realize. Which is going to benefit more over a 12 month period? Spend on Discover for 12 months to max their CB match SUB, or $200 from Chase quicker?

5. Do you already have 3% dining and drugstore on another card, or will this be a big benefit going forward to have from Chase?

6. Discover's customer service is only matched by the very best lenders out there. Chase can sometimes leave something to be desired here. How important is this to you?

7. Do you plan on possibly getting a CSP/CSR to explore maximizing point options, or are you just going straight cash back rewards? Those who churn points or use the Chase Trifecta will tell you that you can turn your CFF rewards into better than face value with points. I'm not an expert on this, but others have perfected this system.

So, there's my 2 cents. Hope you found something useful, and good luck!

Re: Chase Freedom Flex versus Discover, which one is better for max cashback?

Crowhelm — Fri, 01 Oct 2021 22:55:58 GMT

@SoonerSoldier33 wrote:
@Crowhelm wrote:
Only question remaining is the Chase Freedom Flex harder to obtain compared to the Discover card?
I think you've gotten great advice on both ends here already, but I'll throw my 2 cents in...with the disclaimer that I'm Team Discover. LOL

1. With the 700+ FICOs you mentioned for your wife, I don't think she'll have trouble getting either, but Discover is definitely 'easier' to get bc of Chase's crazy internal stuff. If your wife isn't at 5/24, has 12 months with another creditor (unless she banks with Chase), not too much recent velocity, and has the income requirements, then a Chase approval is probably no issue for her, but Discover approves much 'easier'.

2. The 5% categories are a crapshoot sometimes, but you can look back historically at which would be more beneficial to her spend in the long run.

3. Discover offers soft pull CLI requests. Chase CLI requests are always a HP. Team Discover here for sure.

4. SUBs. Discover's cash back match is worth more 1st year as it's really 10% rotating 2% uncategorized, but Chase's requires less spend to realize. Which is going to benefit more over a 12 month period? Spend on Discover for 12 months to max their CB match SUB, or $200 from Chase quicker?

5. Do you already have 3% dining and drugstore on another card, or will this be a big benefit going forward to have from Chase?

6. Discover's customer service is only matched by the very best lenders out there. Chase can sometimes leave something to be desired here. How important is this to you?

7. Do you plan on possibly getting a CSP/CSR to explore maximizing point options, or are you just going straight cash back rewards? Those who churn points or use the Chase Trifecta will tell you that you can turn your CFF rewards into better than face value with points. I'm not an expert on this, but others have perfected this system.

So, there's my 2 cents. Hope you found something useful, and good luck!

Thanks for your reply but we decided to go with Chase Freedom Flex. And yes, the main reason is the categories and the 3% back on dining and drugstores. Plus the great one year 5% back on groceries. Our Custom Cash cards will be 100% on home improvement for the foreseeable future, at least a year, so after that, they will probably do %5 on groceries on one card and maybe 5% on gas on the other. So since we decided one of the moderators can close this as well, thank you