Citi Changing the 20k bonus program?
Mar 13, 2007, 9:00 am
#1
Original Poster
Join Date: Sep 2005
Location: Modesto, CA (90 miles from any real airport)
Programs: SPG Plat (3.2MM LT), Hilton Gold, AA LT Plat (3.2MM), Hertz 5*, US Mint MVP
Posts: 638
Citi Changing the 20k bonus program?
Just got a new email (todays anyway) trying to get me to sign up for the Citi through AA. Looks like they are upping the $250 requirement and adding the 4 month criteria. Perhaps churners are having an effect?
Here is the new deal...
20,000 AAdvantageŽ bonus miles after $750 in purchases within four months of becoming a Citi cardmember1
No annual fee for the first 12 months2
Free Companion Certificate3
$50 Off Certificate on a future American Airlines flight4
Jim
Here is the new deal...
20,000 AAdvantageŽ bonus miles after $750 in purchases within four months of becoming a Citi cardmember1
No annual fee for the first 12 months2
Free Companion Certificate3
$50 Off Certificate on a future American Airlines flight4
Jim
Mar 16, 2007, 11:37 am
#5
Join Date: Jul 2006
Location: Western North Carolina
Programs: HH Diamond,Ambassador Club,Delta FF,USAIR FF
Posts: 237
What about existing card holders?
I got my card last month before this change.
Will I have to spend the $750 or the $250 that was in effect when I got the card??
Will I have to spend the $750 or the $250 that was in effect when I got the card??
Mar 16, 2007, 2:42 pm
#7
Join Date: Oct 2003
Programs: AA lifetime Gold, SPG
Posts: 442
I tried to use a BOGO cert a month or 2 ago. They are based on the higher rate class of service fares than what you can find online (for example). So it was cheaper to buy 2 non-refundable tix online than to use the buy-one (more expensive) get one free cert. Also, they are restricted to flights that are more undesirable (early/late flight times, multiple connections, etc). That's based on my personal experience, yours may vary. In the end, didn't use the certificate buy flew NW revenue instead.
Mar 17, 2007, 12:28 pm
#8
Join Date: Jan 2006
Location: ELP
Programs: AA EXP/LT PLAT, Marriott Titanium/LT PLAT
Posts: 4,120
$250/20000miles =1.25 c per mile
$750/20000miles = 3.75 c per mile
you can buy miles online at a cost of 2.75 c per mile with a max of 40k per yr...
new cc offer is a horrible deal if you ask me...looks like no churning anymore for me.....
$750/20000miles = 3.75 c per mile
you can buy miles online at a cost of 2.75 c per mile with a max of 40k per yr...
new cc offer is a horrible deal if you ask me...looks like no churning anymore for me.....
Mar 17, 2007, 12:52 pm
#9
Join Date: Jun 2006
Location: Manchester,UK and NYC
Programs: One Pass, BAEC, AA
Posts: 708
I think you need to re-calculate your figures:
Cost of 20,000 AA miles after spending $250 OR $750 is .......drum roll please......... ZERO !!!!!!!!!!
You would be spending the $250 OR $750 anyway - be it on food, restaurants, hotels, cable TV, car insurance - whatever.
The 20,000 comes as a TOTALLY FREE BONUS for simply using the particular card.
Cost of 20,000 AA miles after spending $250 OR $750 is .......drum roll please......... ZERO !!!!!!!!!!
You would be spending the $250 OR $750 anyway - be it on food, restaurants, hotels, cable TV, car insurance - whatever.
The 20,000 comes as a TOTALLY FREE BONUS for simply using the particular card.
Mar 17, 2007, 1:17 pm
#10
Join Date: Nov 2002
Programs: MTD pass holder
Posts: 1,142
I could not understand your post until I read where you went to school.
Mar 18, 2007, 9:48 am
#11
Join Date: Apr 2005
Location: Los Angeles, CA
Programs: AA Plat, HH Gold, SPG Gold, HH Gold, Marriott Silver, Amex Plat, GlobalEntry, SW A-List Preferred
Posts: 866
The cost is not quite zero, but close.
It's lost opportunity: with Citi TYN cards I get a minimum of 2% cash back. So on $750 in charges I would have gotten $15 back.
$15 / 20,750 AA miles = 0.072 cents/mile
Well worth it.
It's lost opportunity: with Citi TYN cards I get a minimum of 2% cash back. So on $750 in charges I would have gotten $15 back.
$15 / 20,750 AA miles = 0.072 cents/mile
Well worth it.
Mar 18, 2007, 12:16 pm
#12
Join Date: Jan 2006
Location: ELP
Programs: AA EXP/LT PLAT, Marriott Titanium/LT PLAT
Posts: 4,120
same here... I would rather spend the $750 on my chairman card which would earn effectivley 1500 pts with flight points and if I spend that at grocery stores and gas stations, I would earn:
750 spent x 3 = 2250 purchase points
which gives me 4500 total point points including the flight points....I think that typ is more valuable than mileage programs...
750 spent x 3 = 2250 purchase points
which gives me 4500 total point points including the flight points....I think that typ is more valuable than mileage programs...
Mar 18, 2007, 12:41 pm
#13
Join Date: Jan 2005
Location: New York
Programs: AA Plat, CO Gold
Posts: 1,598
Obviously if you were trying to churn a Citi AA card, you would hit the $750 threshold by charging purchases which earn you the fewest cash back/points, not the ones that earn you the most. So canuck_in_pa's analysis is correct.
Mar 18, 2007, 12:49 pm
#14
Join Date: Jan 2006
Location: ELP
Programs: AA EXP/LT PLAT, Marriott Titanium/LT PLAT
Posts: 4,120
so I was getting a cost per mile in this scenario...kepping all things equal....
the cost per mile does not work out in this example considering you can buy miles online for a cheaper cost...
Mar 18, 2007, 1:37 pm
#15
Join Date: Apr 2005
Location: Los Angeles, CA
Programs: AA Plat, HH Gold, SPG Gold, HH Gold, Marriott Silver, Amex Plat, GlobalEntry, SW A-List Preferred
Posts: 866
Yes, exactly. That's what I do. At $750 it becomes a pain though, to get to that level quickly without including airfare, gas, groceries, pharmacy (Citi Chairman), rental cars (Diners Club), tuition (Visa UA), and hotels (Amex SPG, Amex HH, Marriott Premier Visa). I like to meet the spending requirement the first month so I can then forget about it.