JPMorgan Chase to launch first Mastercard-branded card in 5 years

Move comes less than a week after competitor Capital One cut borrowing limits to mitigate its exposure from U.S. consumers impacted by a surge in unemployment induced by the coronavirus pandemic.

JPMorgan Chase will launch its new Freedom Flex card on Sept. 15, its first Mastercard-branded card in five years with new reward offers for its Freedom Unlimited Card.

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The no-fee credit cards will allow customers to earn 5% on travel purchased through the Chase Ultimate Rewards program, 3% on dining purchases, including take-out or eligible delivery services, 3% on drug store purchases and 1% unlimited cash back on other purchases.

“Flex and Unlimited are the next evolution of the Chase Freedom credit card suite and challenge the status quo for what consumers expect from a no-fee, cashback card,” General Manager of Chase Freedom BJ Mahoney said in a statement. “Earning cash back on dining, including takeout and delivery, drug stores and travel through Chase Ultimate Rewards provides immense value for customers in both the immediate and long term.”

Photo courtesy of Business Wire

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Freedom Flex card members will be given access to Mastercard’s World Elite Benefits, including:

  • Up to $800 on cell phone insurance claims and $1,000 per year in cell phone protection against theft or damage for phones listed on cardmembers’ monthly bill.
  •  $10 in credit for every five rides taken in a calendar month with Lyft, which is automatically applied to the next ride and capped at once per month.
  • 5% cash rewards on Boxed purchases for use of future purchases.
  • A free membership for ShopRunner to receive two-day shipping and free return shipping at over a hundred online retailers.
  • Double VIP+ points for movie tickets purchased via the Fandango app or Fandango.com, which can be used towards purchasing movie tickets on Fandango or towards streaming movies and TV shows on FandangoNOW.

In addition, Freedom Flex card members will also be given rotating 5% cashback on up to $1,500 in combined purchases on bonus categories such as grocery stores, select streaming services and many others.  New Freedom Flex and Unlimited cardmembers can also earn $200 cashback after spending $500 on purchases in the first three months, 5% cashback on grocery store purchases of up to $12,000 for the first year.

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Meanwhile, Flex and Unlimited cardholders will earn 5% total cashback on all Lyft rides through March 2022 and a complimentary DoorDash DashPass for three months followed by a 50% discount price at the current rate for the next nine months.

TickerSecurityLastChangeChange %
JPMJP MORGAN CHASE & CO.92.74-1.53-1.62%
COFCAPITAL ONE FINANCIAL CORP.68.13-1.83-2.62%

The move comes less than a week after one of JPMorgan's competitors, Capital One, announced it would cut borrowing limits on credit cards to mitigate its exposure from U.S. consumers impacted by a surge in unemployment induced by the coronavirus pandemic.

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