First Republic Bank Program is Discontinued
Apr 10, 2010, 5:51 am
#1
Original Poster
Join Date: Apr 2004
Location: Sunny Florida
Programs: Hyatt Courtesy Card, CO Gold, Hertz President's Circle, Amex Centurion and its perks...
Posts: 369
First Republic Bank Program is Discontinued
I was offered a few years back and accepted a no fee Platinum Card. I received word yesterday that Amex discontinued the program with First Republic but was allowing the members to keep the accounts, minus the FRB logo on the card and of course now paying the annual fee charged to all Platinum cards. They are also removing the 5k annual additional points.
I tried to get an explanation as to why the program was discontinued by both Amex and FRB executives just say they do not know.
FRB clients are generally high end worth so I do not understand why Amex would cut that relationship.
I tried to get an explanation as to why the program was discontinued by both Amex and FRB executives just say they do not know.
FRB clients are generally high end worth so I do not understand why Amex would cut that relationship.
Apr 10, 2010, 2:56 pm
#2
Join Date: Dec 2007
Location: Chicago
Programs: Bonvoy Gold, United Silver
Posts: 219
Never Offered
I was offered a few years back and accepted a no fee Platinum Card. I received word yesterday that Amex discontinued the program with First Republic but was allowing the members to keep the accounts, minus the FRB logo on the card and of course now paying the annual fee charged to all Platinum cards. They are also removing the 5k annual additional points.
I tried to get an explanation as to why the program was discontinued by both Amex and FRB executives just say they do not know.
FRB clients are generally high end worth so I do not understand why Amex would cut that relationship.
I tried to get an explanation as to why the program was discontinued by both Amex and FRB executives just say they do not know.
FRB clients are generally high end worth so I do not understand why Amex would cut that relationship.
Apr 10, 2010, 3:29 pm
#3
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,958
Most programs end because they do not achieve their profit objectives.
How do you know that this decision was made by American Express rather than by First Republic or by mutual agreement?
I know that Bank of America agreed to sell First Republic Bank last October. Has the transaction closed? The website make it appear that Bank of America is still the owner, but it may lag. Perhaps new owners are unwilling to continue subsidizing the annual fees?
How do you know that this decision was made by American Express rather than by First Republic or by mutual agreement?
I know that Bank of America agreed to sell First Republic Bank last October. Has the transaction closed? The website make it appear that Bank of America is still the owner, but it may lag. Perhaps new owners are unwilling to continue subsidizing the annual fees?
Apr 10, 2010, 9:06 pm
#4
Join Date: Dec 2009
Location: Los Angeles
Programs: Hyatt, Hilton, Marriott // WN, AA, BA, UA, AS // Avis
Posts: 1,314
Most programs end because they do not achieve their profit objectives.
How do you know that this decision was made by American Express rather than by First Republic or by mutual agreement?
I know that Bank of America agreed to sell First Republic Bank last October. Has the transaction closed? The website make it appear that Bank of America is still the owner, but it may lag. Perhaps new owners are unwilling to continue subsidizing the annual fees?
How do you know that this decision was made by American Express rather than by First Republic or by mutual agreement?
I know that Bank of America agreed to sell First Republic Bank last October. Has the transaction closed? The website make it appear that Bank of America is still the owner, but it may lag. Perhaps new owners are unwilling to continue subsidizing the annual fees?
I dont believe the transaction has closed, yet. However, the FRB branch across the street from my office in Beverly Hills just finished redo'ing a lot of their signage and other materials in the last week or two.
I'm guessing the new ownership group, in the conditions of the purchase agreement, had a right to cancel or continue the amex program, and decided to cancel it to save costs.
Apr 10, 2010, 11:39 pm
#5
Join Date: Jan 2010
Location: Worldwide
Programs: Amex Plat, BMI Silver
Posts: 401
the sale is final, and it is possible since they were purchased by a private equity company, they may have decided credit cards are not profitable enough to continue offering. there are enough amex plat co-branded charge cards to go around. goldman sachs still has one, if ya want a wealth management stamp on it.
Apr 11, 2010, 4:48 am
#6
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,958
May 25, 2010, 6:58 pm
#7
Join Date: May 2010
Posts: 1
Reasoning behind termination of FRB/AMEX relationship
I was in a meeting a few months ago with our Private Banker on unrelated business when I inquired why the program was being terminated. Apparently it was AMEX who cast the first stone by not approving applications for very qualified and creditworthy individuals. If you can recall a time right before AMEX converted to a bank holding corporation (in order to receive government aid) they were only hours away from not being able to able to approve client charges and they were actually paying certain customers to close their accounts. Even with a 20K a month spending history all my charge accounts with amex were capped at 1K each. This isn't the kind of company that FRB does business with.
References:
http://www.forbes.com/feeds/afx/2009...fx6084293.html
References:
http://www.forbes.com/feeds/afx/2009...fx6084293.html
May 26, 2010, 9:30 pm
#8
Join Date: Jan 2010
Location: Worldwide
Programs: Amex Plat, BMI Silver
Posts: 401
FRB wasn't exactly an innocent victim either...
Merrill bought them and BofA dropped them...
There must have been a good reason for that...
Other co-branded Platinums are still around...
Ameriprise, Goldman Sachs, HSBC....
Merrill bought them and BofA dropped them...
There must have been a good reason for that...
Other co-branded Platinums are still around...
Ameriprise, Goldman Sachs, HSBC....