Chase will launch a new Freedom Student card on June 9th. (All this information comes from an anonymous source.)
- Card comes with a $50 signup bonus after making your first purchase within 3 months
- Card has a special Good Standing reward of $20 (2,000 Ultimate Rewards points) for 5 years at the account anniversary date, as long as the card is open in good standing (no other requirement for this bonus)
- Card has no annual fee (like the ordinary Freedom card)
- Card earns 1% cashback on all purchases (like the ordinary Freedom card)
- Card apparently does NOT have the 5% rotating categories that the ordinary Freedom card has (it’s not mentioned anywhere in the literature)
- Card is not a secured card, it’s a regular credit card
- Card is only be available for students
- Must be 18 or older to apply
- If you graduate or stop going to school, you’ll continue receiving all the same benefits as before
- When inputting their income, students should use income from things like seasonal jobs, internships, public assistance benefits, investments, etc.
- Special focus on credit education information
- Automatic credit limit increase after 5 on-time payments within the first 10 months
Chase currently does not have any student card, and it’s interesting to see them break into that market. The $20 annual bonus for 5 years + $50 initial bonus makes the signup bonus basically the equivalent of a 15,000 bonus with no spend requirement which isn’t bad for a no-fee student card.
I’m a bit surprised the card won’t have the 5% rotating categories; from what I can tell, even after graduation all card details will remain the same (other than the $20 annual bonus which ends after 5 years) with no 5% categories. For comparison, Discover’s IT Student card does have the same 5% rotating benefit as the regular Discover IT card.