Citi Premier To Lose 25% Benefit, New Earning Categories

Update 4/8/21: Reminder that the 25% bonus ends on April 10, 2021. Hat tip to MtM for the reminder.

[Update 6/4/20: The 3x supermarkets/restaurants enhancement has gone live early since June 2nd, instead of August 23rd.]

Citi is making a number of changes to the Citi Premier. The changes are as follows:

  • Card will no longer offer a 25% bonus when points are used through the travel center. This goes into effect on April 10th, 2021 for existing customers and August 23rd, 2020 for new customers
  • Card will earn 3x ThankYou points per $1 spent on supermarkets and restaurants (including takeout) starting August 23rd for both new & existing customers
  • Cardmembers will continue to earn 3X ThankYou points on every $1 spent on air travel, hotels and gas stations
  • 3X ThankYou point benefit on all other travel such as cruises, toll, and parking and 2X ThankYou point benefit on entertainment will change to 1X ThankYou points on other travel and 1X ThankYou points on entertainment, respectively
  • New travel benefit: $100 off on a single hotel stay of $500 or more (excluding taxes and fees) once per calendar year through Thankyou.com.

I think the new earning categories are definitely an improvement, 3x TYP with no cap is definitely one of the better cards for grocery purchases. Main downgrade is the loss of the 25% bonus when redeeming through the travel center.

The website is still showing the August 23rd date, but apparently information of this change was sent out to media contacts. I expect they’ll notify cardholders soon or release it with some sort press release.

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Jenn
Jenn (@guest_1174860)
April 12, 2021 09:47

Will Citi allow a PC from this card to Double Cash? I’ll definitely be looking to downgrade.

Jackson "Deir EzZur" Snow
Jackson "Deir EzZur" Snow (@guest_1173918)
April 9, 2021 08:38

Bad move since 1.25 is the more attractiveness of this card. Cash value of points is much lower right now.

SamL
SamL (@guest_1173798)
April 8, 2021 21:42

After hitting the MSR, what’s considered the polite amount of time to wait before closing?

Stan Lane
Stan Lane (@guest_1173852)
April 8, 2021 23:33

One year. There’s no reason to close before that (it costs nothing), and when your AF hits just make an excuse (bad Citi IT website, or 25% bonus ending, there are so many reasons…) and they’ll give you an offer which you reject and then close the account.

Torg
Torg (@guest_1173874)
April 9, 2021 01:09

Most of the time I’d agree with Stan Lane. But Citi says you can’t get the SUB if you’ve opened or closed a card within 2 years. So for this card only I’d be tempted to keep it for 2 years, at 2 years and 3 days sign up for another card, and once approved close the first card while I can get the AF back. I’d pay an extra AF, but I’d make it a 2 year churn cycle instead of 3. Thoughts?

SamL
SamL (@guest_1173890)
April 9, 2021 03:11

Interesting. One drawback is what do you do if not approved – you’d then have a dilemma.

I was thinking, maybe keep 6 months, and so be on a 2.5 year churn cycle. Then if they reject app, I just try gain later. I don’t like to wait until AF hits, as I fear I could end up stuck with it.

RAM
RAM (@guest_1173747)
April 8, 2021 20:10

Any way I can book and cancel and get the value as the credit to the airline or hotel? anything with covid changes?
Booking a refundable AA and canceling the flight?

Debit
Debit (@guest_1173713)
April 8, 2021 19:05

Which is a good card to PC to from premier?

G
G (@guest_1173731)
April 8, 2021 19:39

Rewards+ doesn’t have an annual fee.

Doug
Doug (@guest_1173734)
April 8, 2021 19:42

Double cash if you don’t already have a 2% card

Scotty
Scotty (@guest_1173770)
April 8, 2021 20:38

DC or rewards plus. Dividend if they will let you but I doubt it.

MuricaFalls
MuricaFalls (@guest_1173822)
April 8, 2021 22:27

I product changed my Citi Premier yesterday.
They wouldn’t product change it to the Dividend so I just got the Rewards+

MAS
MAS (@guest_1173789)
April 8, 2021 21:14

Rewards+

sdsearch
sdsearch (@guest_1173793)
April 8, 2021 21:28

It depends whether you want to keep your points (that you earned with the Premier card) or not.

If you want to keep your points, you have to PC to another TYP-direct-earning card, such as Rewards+. But you won’t be able to transfer them to most partners after you PC, until you get another Premier or Prestige card.

If you don’t have any points you want to keep, a good PC choice is DoubleCash card, which is the only personal credit card from a major bank to earn 2% on everything with no annual fee.

Kafka
Kafka (@guest_1173896)
April 9, 2021 04:47

Prestige is a possibility if you want to cash out TYPs at $.01 each. $250 credit and one 4th night at a $245+ hotel offset the annual fee, and it earns 5x on OTAs and restaurants.

Vy
Vy (@guest_1173704)
April 8, 2021 18:54

I don’t have a Citi Premier® per se, but I am outraged on behalf of everyone who is affected.

Debit
Debit (@guest_1173712)
April 8, 2021 19:04
  Vy

I am outraged no one is taking your outrages seriously.

Mwong
Mwong (@guest_1173699)
April 8, 2021 18:47

Should I cancel or ask to downgrade?

What can I downgrade too?

Chuck
Editor
Chuck(@chucksithe)
April 8, 2021 21:56

Preferred

Parts Unknown
Parts Unknown (@guest_1173694)
April 8, 2021 18:40

With this reminder & my AF just posting yesterday it’s definitely time to PC to a Dividend card. Adios TYP

Debit
Debit (@guest_1173719)
April 8, 2021 19:14

Can’t PC to a dividend card. Unless you want to share a workaround with us.

Burton
Burton (@guest_1173208)
April 8, 2021 00:18

We just used 99.9% of P2’s remaining points on a travel expense for later this year and received the 25% bonus. We were fortunate as I had forgotten about the 4/10 loss of this benefit and just squeezed it in ahead of the horn.

James
James (@guest_1173735)
April 8, 2021 19:42

We just did the same last week and had no idea about losing the 25% bonus. Lucky!

Lagaleven
Lagaleven (@guest_1173883)
April 9, 2021 02:16

Just used up all my points at 1.25x for a couple of Disney tickets for next summer. Now to see if I can get a retention offer before cancelling. Don’t like the new changes as I got this card solely for the 1.25x and unique entertainment category which is no longer.

G
G (@guest_990453)
June 1, 2020 16:59

Received in the mail the flyer from Citi announcing these changes. Personally I’m underwhelmed. Feel like it’s convoluted with what they count as 3x travel and what is 1x travel. Plus I believe they’ve stripped travel insurance. And Thank You points are rather difficult to use and lame, for me at least. I usually just cash out via mortgage payment but it’s a bit of a pain. Would be easier to just cash out for actual cash. I’ve had this card several years. Will cancel after the next annual fee hits unless they make a substantial retention offer. My guess is they will at least offer something.