Registration is now open to activate your 5x category bonus earnings on your Chase Freedom Flex℠, Chase Freedom® and Discover it® Cash Back cards. For the fourth quarter of 2023, the bonus categories are:
- Chase: purchases made with PayPal, and at wholesale clubs and select charities
- Discover: purchases made at Amazon.com and Target
Chase 5x Bonus Categories
As usual, the 5x earnings rate only applies to the first $1,500 in spending in those categories. If you max out your bonus category spending for the quarter, you’ll earn 7,500 Chase Ultimate Rewards® points.
While 7,500 Chase Ultimate Rewards (UR) points are worth $75 in cash, you can get way more value by transferring those points to any of the following cards:
- Chase Sapphire Preferred – #1 travel card for beginners
- Chase Sapphire Reserve – great for frequent travelers
- Chase Ink Business Preferred – highest Chase sign-up bonus for business customers
Once your points have been transferred to a card above, the value of those points are amplified even more! If you transfer the points to Chase’s travel partners like United Airlines, Southwest or Hyatt, you can get so much more value than the original $75. For example, 7,500 Chase UR points could be enough for a one-way flight to lots of great destinations!
For more information on Chase’s flexible points program, check out The Complete Guide to Chase Ultimate Rewards®.
Key Things to Remember
- You need to activate the 5x earnings rate by December 14, 2023
- The promotion runs from October 1, 2023 to December 31, 2023
- The promotion is valid on online purchases made with PayPal, and at wholesale clubs and select charities
- The 5x earnings rate only applies to the first $1,500 in spending across all categories, after which the earnings rate is 1x
Note: As always, there are some exclusions to be aware of. For “PayPal”, payments made through the Xoom transfer service and Person-to-Person (P2P) transactions are not eligible for the bonus. In the “Wholesale Clubs” category, gas, fuel, and specialty services such as travel, insurance, cell phone and home improvement do not qualify. Finally in the “Select Charities” category, there is a defined list of charities that qualify, so you’ll want to review those on the Chase Merchant List.
How to Activate
Unfortunately Chase doesn’t automatically enroll you into the bonus category earning promotion each quarter. To activate, go to the Chase Activation website and enter your last name, zip code and the last four digits of your credit card.
Alternatively you can log into your Chase Freedom or Freedom Flex account and activate from there. Chase sprinkles links in lots of different places on their website, making it very easy to activate. In just a few minutes, I found a few different places to activate my card for this upcoming quarter.
Option 1
Option 2
Option 3
You can also request to receive a reminder email from Chase prior to each quarter. Upon receipt of the email each quarter, you can activate via an easy 1-click activation button.
Discover 2023 5% Bonus Categories
Discover also limits the bonus earnings to the first $1,500 in spending in those categories. However, unlike Chase, there’s no option to earn points instead of cash. So maxing out your bonus category spending for the quarter will earn you $75.
That money can be redeemed as a statement credit, a direct deposit to a checking account or used to purchase 3rd party gift cards. Gift cards are often available with 5% to 20% added value, depending on the merchant.
You can also donate your cash back to charity or to pay for purchases on Amazon.com or with PayPal.
Key Things to Remember
- The promotion runs from October 1, 2023 (or the date on which you activate the 5%, whichever is later) through December 31, 2023
- The promotion is valid on purchases made at Amazon.com and Target
- The 5% earnings rate only applies to the first $1,500 in spending across all categories, after which the earnings rate is 1%
Note: “Amazon.com” purchases include those made through the Amazon.com checkout, like digital downloads, Amazon Fresh orders, Amazon Local Deals, Amazon Prime subscriptions, and items sold by third party merchants through the Amazon.com marketplace. This also includes purchases in-store at Amazon Go. “Target” purchases include those made in store at Target, Target.com, or through the Target app. Purchases from individual merchants and stand-alone stores within physical Target locations may not be eligible for this promotion. Purchases made online or through the Target app from Target affiliates, individual merchants or stand-alone stores may not be eligible for this promotion, including, but not limited to, targetoptical.com and targetphoto.com.
How to Activate
You won’t earn your 5% cash back bonus unless you activate this feature on your card each quarter. To do so, go to the Discover Online account page and click on “Log In to Activate.”
Discover also automatically emails you about 15 days prior to the start of the next quarter with a reminder. Upon receipt of the email, you can activate via an easy 1-click activation button.
Bottom Line
As has been the case for many years, both Chase and Discover chose their fourth quarter categories with holiday shopping in mind.
From a Chase perspective, having PayPal as a bonus category opens the door to earn 5x on virtually all online shopping. With PayPal, you can essentially turn every category of shopping into a bonus category! Remember to set your Chase Freedom or Freedom Flex card as the default card in PayPal.
With Discover, having a retailer like Amazon as a bonus category gets you 5% cash back on literally millions of items. If there are things you regularly buy from Amazon, consider buying in bulk this quarter. It’s also worth noting that purchases on Amazon.com gift cards, Prime subscriptions and Amazon Fresh orders also qualify for 5% cash back.
Finally with Target, you basically have a brick and mortar version of Amazon. Consider buying groceries at Target during this quarter or doing holiday shopping at Target or online at Target.com.
Happy holidays, happy spending and most of all happy bonus earning!