Chase Freedom Unlimited vs. Wells Fargo Active Cash

Cash back credit cards with no annual fee offer some of the simplest rewards available — no converting points, just straightforward earnings on routine purchases. The Chase Freedom Unlimited® and Wells Fargo Active Cash® Card are two top contenders, but they reward spending differently: Chase Freedom Unlimited® relies on bonus categories, while the Wells Fargo Active Cash® Card offers a flat 2% return. Read on to see which card best fits your spending habits.

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Rewards comparison

Both credit cards offer cash back on all purchases. The similarities end there, though. Wells Fargo Active Cash® Card provides a flat rate on all purchases, while the Chase Freedom Unlimited® offers more, but only on select purchases.

Wells Fargo Active Cash® Card rewards

Wells Fargo Active Cash® Card users receive an unlimited 2% cash back on all purchases. There’s no need to determine whether the spending falls into a specific category; you receive 2% back on all expenditures.

If you prefer to use only one credit card, the Wells Fargo Active Cash® Card is a good, competitive option. The one drawback is that it’s a flat-rate cash back card, meaning you won’t earn more in special categories. That said, its simplicity is one thing that draws many people to the card.

Chase Freedom Unlimited® rewards

The Chase Freedom Unlimited® has a base rate of 1.5% cash back on all purchases. Its value is in its category rates. Users earn 3% on drugstore and dining purchases and 5% back on travel purchases made through the Chase Travel℠ portal.

For households with regular spending on dining or at drugstores, the higher return can be lucrative. If you travel regularly and use the portal, your earnings increase more.

The downside is that the base rate is lower than that of the Wells Fargo Active Cash® Card card.

Which card earns more?

When comparing Wells Fargo Active Cash® Card vs. Chase Freedom Unlimited®, it’s important to know which card earns more.

The Wells Fargo Active Cash® Card wins when spending is broad rather than focused on specific categories. If your spending is on dining, drugstores, or travel, the Chase Freedom Unlimited® generally earns more.

Welcome bonus comparison

Welcome bonuses offer a nice perk for new credit cards. Here’s how the two cards compare.

Wells Fargo Active Cash® Card welcome offer

Wells Fargo is currently offering new users signup_reward after spending signup_bonus_spend_amount within the first three months. If you need an everyday credit card, the welcome bonus is relatively attainable. Furthermore, it’s a straightforward card with a simple earning formula.

Chase Freedom Unlimited® welcome offer

Chase is rewarding new cardholders signup_reward after spending signup_bonus_spend_amount within the first three months. Like Wells Fargo Active Cash® Card, it’s easy to earn if you use it for regular purchases. A key difference between Chase and Wells Fargo is that it rewards in Ultimate Rewards points, which you can easily redeem for cash.

Which bonus is more valuable?

The welcome bonus for both cards is the same, so the first-year value is a tie. What matters is your goal. If you value flexibility, the Chase Freedom Unlimited® is the better choice since it works within the Ultimate Rewards ecosystem.

Wells Fargo Active Cash® Card is the smarter choice if you want a simple spending requirement with no category monitoring.

Intro APR offers

Introductory APR offers are worth considering, especially if you plan to finance purchases.

Wells Fargo Active Cash® Card intro APR

Wells Fargo Active Cash® Card has an introductory 0% APR for the first intro_apr_duration. After that, you can expect reg_apr,reg_apr_type. Users can transfer balances in the first 120 days to qualify for the introductory rate.

Chase Freedom Unlimited® intro APR

Chase Freedom Unlimited® has an introductory 0% APR for the first intro_apr_duration. Users will have a rate of reg_apr,reg_apr_type thereafter. You can transfer balances within that period to qualify for the 0% rate.

Best card for financing purchases

If financing purchases is important, the Chase Freedom Unlimited® is the better choice. For people purchasing large appliances, upgrading their homes, or using it for emergencies, the Chase card offers a longer intro APR period.

Redemption options

Earning rewards is fun, but redeeming them helps you achieve your goals. Here’s what to consider when comparing the two cash back credit cards.

Wells Fargo rewards redemption

Wells Fargo Active Cash® Card offers a clear redemption process. The card is best for people who want to offset costs. You can redeem cash in various ways, including statement credits, gift cards, travel needs, or a check.

If you have a Wells Fargo mortgage, you may even be able to apply rewards towards that.

Chase Ultimate Rewards redemption

Chase Freedom Unlimited® rewards give earnings as Ultimate Rewards points. Cardholders can redeem points for cash, but the real value is their access to the Chase Ultimate Rewards program.

If you pair the Chase Freedom Unlimited® with the Chase Sapphire Preferred® Card or Chase Sapphire Reserve®, you can unlock powerful travel redemption options. Cardholders don’t need to do this initially, but if you learn you like Chase, it can be an opportunity to leverage points for more value in the future.

Which rewards program offers more value?

Value is in the eye of the beholder. Wells Fargo is simple – you know exactly what you earn. If cash is the primary concern, Wells Fargo Active Cash® Card is the wiser option.

However, if you want flexibility, Chase Freedom Unlimited® is the better choice, particularly if you envision pairing it with the Chase Sapphire Reserve or Preferred card.

Benefits and perks

Credit cards offer more than rewards. They also extend numerous benefits to cardholders.

Wells Fargo Active Cash® Card benefits

Popular benefits of the Wells Fargo Active Cash® Card card include:

• $600 cell phone protection, after a $25 deductible
• Roadside assistance
• Emergency card replacement
• Auto rental collision damage waiver

Chase Freedom Unlimited® benefits

Popular benefits of the Chase Freedom Unlimited® card include:

• Trip cancellation/interruption insurance
• Roadside assistance
• Auto rental collision damage waiver
• An extended warranty of an additional year on qualifying warranties of three years or less

Which card has better benefits?

Perks, like rewards, depend on your needs. If you value your phone or have numerous family members with cell phones on your account, Wells Fargo Active Cash® Card is a good fit.

Chase Freedom Unlimited® is likely the better choice if you want warranty extensions or travel frequently.

Chase Freedom Unlimited® vs. Wells Fargo Active Cash® Card for different users

Identifying the best cash back card for your needs depends on your spending habits.

Best for everyday spending

Wells Fargo Active Cash® Card is best for everyday spending, thanks to its 2% back on all purchases. Chase Freedom Unlimited® is lower at 1.5% for base spending.

Best for simplicity

Wells Fargo Active Cash® Card is best for users prioritizing simplicity. There are no categories to remember, and you get the same amount regardless of the purchase.

Best for travel rewards

Chase Freedom Unlimited® is best for travelers, thanks to its 5% back on Chase Travel portal purchases. If you pair it with a Sapphire card later, there’s more value.

Best for Costco shoppers

Wells Fargo Active Cash® Card is more rewarding for Costco purchases thanks to unlimited 2% cash back on all purchases.

Best for families

This is a tie, depending on your needs. For families that spend a lot across categories, Wells Fargo Active Cash® Card is better. If your family frequently dines out or travels, Chase Freedom Unlimited® is the wiser option.

Best for beginners

For true beginners, Wells Fargo Active Cash® Card drives more value. However, if you want to optimize earning rewards in the future, the Chase Freedom Unlimited® is best.

Best for rewards maximizers

Chase Freedom Unlimited® is undoubtedly the better choice for frequent travelers when paired with a Sapphire card. It’s less attractive as a cash back card, but if you plan to travel, Chase Freedom Unlimited® is the better choice.

Who should get Wells Fargo Active Cash® Card?

Wells Fargo Active Cash® Card is a top choice for cardholders who want a simple, predictable approach to earning cash back. If you plan on using one card, it’s a compelling choice for various reasons, including:

• Unlimited 2% cash back
• Predictable rewards structure
• Frequent Costco shoppers
• Cell phone protection
• You don’t want to track categories

Wells Fargo Active Cash® Card is one of the best no-annual-fee credit cards for people who value straightforward rewards.

Who should get Chase Freedom Unlimited®?

Chase Freedom Unlimited® is a good choice for people who want versatile rewards. Other reasons to consider getting the Chase Freedom Unlimited® include:

• People who want Ultimate Rewards points
• Frequent travelers
• Heavy dining or drugstore spenders
• People who want warranty extensions
• Cardholders who want to be strategic with rewards
• People planning to get other Chase cards

Chase Freedom Unlimited® is a top choice for rewards enthusiasts or people who want to employ the Chase Trifecta to maximize travel rewards.

Final verdict

Selecting a credit card requires knowing your goals. Earning cash back is enticing, and for people who prize predictability and no monitoring, Wells Fargo Active Cash® Card is the better fit. It’s good for consumers who want unlimited 2% cash back and nothing else. If that’s not you, and you want to strategically leverage earnings and travel extensively, Chase Freedom Unlimited® is a good entry card to accomplish that. Both are no-fee cards, so you can try either without paying to earn rewards.

Frequently asked questions

These are some common questions readers have when comparing Chase Freedom Unlimited® vs. Wells Fargo Active Cash® Card.