Citi suspends USA Prestige card applications August 2018
Aug 6, 2018, 6:36 pm
#46
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Citi needs to have a product in this category for the same reason they do, to prevent JPM Chase from poaching their large depositors.
Citi designed Chairman and Prestige to compete with American Express Platinum, but now they see that Sapphire Reserve represents more of a danger to their core banking business. They need to refresh (or replace) Prestige with a product aimed at Chase rather than at American Express.
Citi designed Chairman and Prestige to compete with American Express Platinum, but now they see that Sapphire Reserve represents more of a danger to their core banking business. They need to refresh (or replace) Prestige with a product aimed at Chase rather than at American Express.
It seems like Corbat's style is not longer focusing on premium perks, but instead, conservative lending and cutting corners everywhere they can to make a profit.
I think Citi should adopt something similar to what Bank of America offers with their Premium rewards program.... But I feel like Citi is too cheap to pay out rewards at that level.
Aug 6, 2018, 6:42 pm
#47
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Bank of America and Wells Fargo both have (or have had) exclusive cards for their high end depositors. Citi might follow their lead and create a card that won't be available to the typical Flyertalk poster.
Aug 6, 2018, 8:42 pm
#48
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So let's say they stop offering the card altogether. What do you all think will happen to existing cards? Conversion to Premier?
Aug 6, 2018, 9:31 pm
#49
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Also - Citi has created Citi Priority and increased existing Citigold requirements. Chase needs not to poach Citi's clients as it was Citi who pushed them away. Also - when Citigold and CPC seem to be similar products, Citi's true competitor in this case is HSBC only.
Citi designed Chairman and Prestige to compete with American Express Platinum, but now they see that Sapphire Reserve represents more of a danger to their core banking business. They need to refresh (or replace) Prestige with a product aimed at Chase rather than at American Express.
Citi's recent credit card business strategy is to focus on Costco only. In exchange, Citi pissed off various partners. At the same time, while Costco has brought sizeable revenues to Citi, it is not as much as what AMEX got (Note - AMEX handled both the payment processing and credit card). If Citi does not realize how screw up they are, even AA will leave Citi as well (Note - allowing Barclays to re-issue AA cards with EQD waivers is a good indicator that how Citi screwed up the partner relationships).
Beside - WF simply sucks on credit cards. BofA is not as competitive as other issuers.
Aug 7, 2018, 5:58 am
#50
Join Date: Sep 2011
Posts: 1,857
I find it interesting that the major bloggers (TPG, MMS, et al) have been silent on this. Normally they are happy to seize these kinds of rumors. Whatever is happening on August 18, they appear to have a gag order from Citi.
Aug 7, 2018, 7:31 am
#51
Join Date: Aug 2014
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Good observation. They seem to be heavily promoting the Citi Premier.
Aug 7, 2018, 9:08 am
#52
Join Date: Sep 2011
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TPG doesn't even have an affiliate link for Prestige on their site right now (at least I couldn't find it). That fact, plus their silence, indicates to me that this isn't a discontinuation of the card. More likely a big push by Citi with a higher bonus offer and/or higher affiliate fees coming soon. Again, this is pure speculation based observable unusual actions by entities that should be in the know.
Aug 7, 2018, 12:50 pm
#53
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I am not surprised that the contract has included a non-disparagement clause prohibiting them saying something bad. AFAICT - they usually do not report anything negative until the news is public (i.e. the issuer has made the announcement).
TPG doesn't even have an affiliate link for Prestige on their site right now (at least I couldn't find it). That fact, plus their silence, indicates to me that this isn't a discontinuation of the card. More likely a big push by Citi with a higher bonus offer and/or higher affiliate fees coming soon. Again, this is pure speculation based observable unusual actions by entities that should be in the know.
As I have said again - a non-disparagement clause can be quite powerful against affiliated advertisers.
Aug 7, 2018, 1:17 pm
#54
Join Date: Sep 2015
Posts: 13
Data point. Had card for almost a year, about $15K in spend. Annual fee is due in a couple of weeks.
Called and told automated system that I wanted to close card. Placed on hold for a representative - on hold for over 30 minutes before a rep answered. Not sure if it was a regular rep or a retention expert.
Said I wanted to cancel. Rep asked why and I said combination of the fee plus duplicate benefits on other cards. Rep asked one question: Do understand that once you cancel, you may not be able to get this card again? I said yes and she cancelled effective immediately.
I was a bit taken aback by that response. Was halfway expecting her to try to talk me out of it, maybe get a retention offer, or at least an offer to downgrade or product change. There was none of that. Just quickly closed card - and that was that.
Called and told automated system that I wanted to close card. Placed on hold for a representative - on hold for over 30 minutes before a rep answered. Not sure if it was a regular rep or a retention expert.
Said I wanted to cancel. Rep asked why and I said combination of the fee plus duplicate benefits on other cards. Rep asked one question: Do understand that once you cancel, you may not be able to get this card again? I said yes and she cancelled effective immediately.
I was a bit taken aback by that response. Was halfway expecting her to try to talk me out of it, maybe get a retention offer, or at least an offer to downgrade or product change. There was none of that. Just quickly closed card - and that was that.
Aug 7, 2018, 3:08 pm
#55
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Not sure if this was mentioned yet, but doesn't even appear that this card has sign-up bonus on Citi's website.
Aug 7, 2018, 4:49 pm
#56
Join Date: Sep 2011
Posts: 1,857
To be clear, when I wrote "gag order" in my OP, i wasn't referring to a non-disparagement clause. I meant news that they have received from Citi that has been embargoed until a certain date. This happens all the time (TPG, MMS, etc., announce the news--not the issuer). That's what this feels like to me.
Aug 7, 2018, 5:22 pm
#58
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Bankrate owned TPG, NextAdvisor, MMS, Interest.com, Quizzle, Walla.by, and Senior Homes (see SEC filing: Bankrate annual report) Then Red Ventures bought Bankrate.
Those "blogs" are part of a marketing company that Wikipedia says has 3,600 employees.
Those "blogs" are part of a marketing company that Wikipedia says has 3,600 employees.
Aug 8, 2018, 10:10 am
#59
Join Date: May 2015
Posts: 674
Theyve effectively ruined the Prestige brand by making so many cuts.
Lets say they announce a refresh. People Google the card name and come across a graveyard of benefits that are no longer available. That doesnt scream "apply now!'
Lets say they announce a refresh. People Google the card name and come across a graveyard of benefits that are no longer available. That doesnt scream "apply now!'
Aug 8, 2018, 10:49 am
#60
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