If you are looking for a rewards card, two of the best choices today are the Citi® Diamond Preferred® Card and Chase Freedom. Both are excellent cards for those who are building their credit, but which one is right for you? If you know your needs and your own lifestyle, it will surely be easier to pick the right card for yourself.
What’s Your Credit Score?
You may already know that all cards come with a credit score requirement. The Citi® Diamond Preferred® Card and the Chase Freedom are not an exception. If you wish to apply for the Chase Freedom, you need to have at least 660 FICO score. On the other hand, the Diamond Preferred from Citi requires a much higher score of at least 750.
Do You Carry a Balance?
If yes, then you should get the Citi® Diamond Preferred® Card. Chase Freedom does not actually prohibit monthly balances, but you will be subject to high penalty fees and finance charges. Both the purchases and balance transfer APRs on the Freedom card are lower than that of the Diamond Preferred. Nevertheless, both of them have an introductory offer on purchases and balance transfers, which may last up to 18 months. Another good aspect is that these two cards do not have an annual fee.
Do You Like Rewards?
Unfortunately, the Citi® Diamond Preferred® Card is not a cash back or a rewards card. No matter how frequently you use your card on daily purchases, it will not earn you any point. On the other hand, the Freedom card from Chase is created for those who want a good deal on the fees and on the rewards as well. Chase Freedom® Visa offers a ton of bonuses, right from the moment you sign up for the card.
With Freedom, newbies are eligible to earn a cash back bonus, which could amount to a hundred dollars. This bonus can be availed if you are able to reach the required minimum spending limit for the first three months. The Freedom card is also great for those who always travel abroad. You have a choice between a MasterCard and Visa version here. Whichever you choose, you are eligible to receive cash backs on hotels, airline tickets, and at select supermarkets. You can increase the amount of bonus points you can gain each quarter by signing up for the regularly rotating categories, which range from restaurants to gas stations to home improvement expenses. Activation is free and very easy, so you can get 5% more bonus every three months.
The rewards do not stop there; Chase Freedom offers 1% cash back on all purchases you make. You can earn and collect as much as you want, since they will never expire.
Clearly, those who want a card that comes with rewards should definitely pick Chase Freedom. The strength of the Citi® Diamond Preferred® Card lies in its introductory offer and low interest rates. This card is the right card to get if you carry balances, more often than not. There are also no annual and foreign transaction fees and you get to enjoy a number of perks as well.