Credit Card Programs - Banks revoking miles?

Has anyone actually had a bank remove miles that had already posted to your frequent flyer account? For example, has Citi/Chase removed miles that already posted to your AA/UA account? If this has happened to you, why?

I've never had this happen. I've never had any incorrect sign up bonuses post to any of my accounts from a bank, but perhaps someone has....?

I'm also curious about situations where you cancel the credit card too soon. I know some banks say they will revoke the points if the account isn't open for X months, but I'm curious if this ever happens or if the banks are even able to actually do this.

I'm also curious about situations where you cancel the credit card too soon. I know some banks say they will revoke the points if the account isn't open for X months, but I'm curious if this ever happens or if the banks are even able to actually do this.

With Citibank, as long as you have met the spending requirements, you keep the miles/points.

Read the terms and conditions before applying for the card. If there is a minimum amount of time the account has to remain open, it should be stated in the terms and conditions.

With Citibank, as long as you have met the spending requirements, you keep the miles/points.

Read the terms and conditions before applying for the card. If there is a minimum amount of time the account has to remain open, it should be stated in the terms and conditions.

Thank you, Jeanie, but I'm actually curious to know if this has ever happened to anyone. I know some banks include this language in their offers (Chase: "If your account is not open for at least six months, United and Chase reserve the right to deduct the bonus miles from your MileagePlus Program account."), but I'm curious if anyone has any experience with it actually happening. It would be interested to know definitively if United (or any other carrier) allows a bank to do this.

Thank you, Jeanie, but I'm actually curious to know if this has ever happened to anyone. I know some banks include this language in their offers (Chase: "If your account is not open for at least six months, United and Chase reserve the right to deduct the bonus miles from your MileagePlus Program account."), but I'm curious if anyone has any experience with it actually happening. It would be interested to know definitively if United (or any other carrier) allows a bank to do this.

Yes. Chase took a UA bonus from me for not keeping the account for 6 months (it was a condition in the T&C). It even had the courtesy to send me a letter to inform me so. Miles clawed back 3 or 4 months after account closing. I was actually alerted by a friend that because his was clawed back. So I checked my UA account, and saw the same thing. Letter arrived that very same day when I discovered miles clawed back.

Granted, Chase seems to do it randomly. So it would not happen in every case when account is closed before 6 months. In fact I only had one out of several cancellations before the 6 months were up. It only took one such incident though to keep me stay within the term, needless to say.

If you are wonder if United or AA allows a bank to do this, the answer is a resounding YES.

Yes. Chase took a UA bonus from me for not keeping the account for 6 months (it was a condition in the T&C). It even had the courtesy to send me a letter to inform me so. Miles clawed back 3 or 4 months after account closing. I was actually alerted by a friend that because his was clawed back. So I checked my UA account, and saw the same thing. Letter arrived that very same day when I discovered miles clawed back.

Granted, Chase seems to do it randomly. So it would not happen in every case when account is closed before 6 months. In fact I only had one out of several cancellations before the 6 months were up. It only took one such incident though to keep me stay within the term, needless to say.

If you are wonder if United or AA allows a bank to do this, the answer is a resounding YES.

That answers it! Thanks, Happy. Sad that this is the answer, but glad to know definitively.

An oft repeated axiom is not to close cc < 6 months after opening, lest rewards be clawed back.

I wonder though, maybe bloggers' commissions for opening the acct are actually what is at risk of being clawed back?

Anyone know?

Move to better forum if this is inappropriate.

I think you are being mislead which is unfortunate. The card retention people often say you will loose your miles but not the case. In rare cases where the card holder is doing something fraudulent then yes on a clawback rewards. People on Flyertalk have admitted to fraud actions and I think without knowing.

A search would have turned up numerous earlier threads on this "clawback" issue.

My recollection is pretty much that no one ever has had it happen to them or someone they know although it is often threatened by retention departments--I do note that there are a couple of stories of clawback in this thread.

The safest path is probably to wait until the annual fee comes around and then cancel.

PS Of course, you do lose the miles which have not posted to the airline mileage account when you cancel so just stop using the card a couple of months before the free first year is up.