Yup, good idea. Will be perfectly fine with this chuck. That's what I did with the original China 3-jaw that came with my lathe. I call it Tap-Tru.
I decided to keep it & use it for "dirty" work, sanding, polishing, CI, etc. I haven't done any heavier machining on steel with it but it hasn't slipped on me yet. It actually holds pretty good.
I think I'll start out machining mine with a close fit to see how the runout is. If it runs out considerably I'll go with the Tap-Tru method too.