Since three weeks ago, there have been "rumors" about upcoming major changes to Citi Prestige, which has been temporarily discontinued to new applications since August. It seems like Citi has learned a lot from Chase regarding this type of marketing strategies - remember two years ago before Chase unveiled Sapphire Reserve there had been all these down-to-details type of rumors about the new card circulating around for months. When the "rumors", a.k.a. strategic sourcing of unofficial information, started three weeks ago, I called Citi and the custom service representatives did not disclose or confirm any of the information that was circulating around. But I knew the information was highly likely to be accurate. Now we finally have it - official words from Citi: existing Prestige cardmembers started receiving emails from Citi regarding the revamp and Citi now also have a dedicated page for this information at information.citi.com/prestige/intro.
The changes will start kicking in on January 4, 2019 when supposedly Citi Prestige will be back online for new applications. I ran some quick numbers and it seems like as long as Citi offers at least 20K points signup bonus, Prestige will finally take the crown back from Sapphire Reserve as the #1 Best Credit Card by Dr. Credit Card, after about 2.5 years later. We won't update the list until then, but let's first look at the changes.
In general, with the already impressive perks and protection and the dramatic increase in category bonuses, Citi Prestige is surely on the way to take back the glorious #1 Best Credit Card spot. As an existing cardmember who has been thinking about canceling Prestige after obtaining Sapphire Reserve, I can't wait 2019 to come!
The changes will start kicking in on January 4, 2019 when supposedly Citi Prestige will be back online for new applications. I ran some quick numbers and it seems like as long as Citi offers at least 20K points signup bonus, Prestige will finally take the crown back from Sapphire Reserve as the #1 Best Credit Card by Dr. Credit Card, after about 2.5 years later. We won't update the list until then, but let's first look at the changes.
- On January 4, 2019, Citi Prestige will offer 5x points on dining (up from 2x), airfare (up from 3x), and travel agencies (up from 3x), 3x points on hotels (the same as before) and cruise lines (up from 1x), 2x points on entertainment (which is the same, but will go way on 8/31/19), and 1x everywhere else. Recently, we have seen Amex dramatically increased category bonuses on its personal Gold Card and Business Gold Card with introduction of some 4x categories (personal card now has groceries and dining as 4x and business card has two categories you spend most each month from six categories). Now Citi pushes the bonus game even further with almost too-good-to-be-true type of bonuses.
- On January 4, 2019, the annual $250 airline credit will be expanded to cover all travel purchases, including airfare, hotels, car rentals, parking, ground transportation, etc. This is similar to Sapphire Reserve's $300 annual travel credit and will make it much easier to effectively reduce the annual fees.
- The annual relationship bonus will be removed - you will receive your last relationship bonus on your next account anniversary.
- On May 1, 2019, cellphone protection will come to Citi Prestige. Note that Prestige has already the best in industry consumer and travel protection, along with American Airlines Executive WEMC.
- Coming on September 1, 2019: annual fees will be increased to $495 (from $450) for primary cardmembers and $75 (from $50) for authorized users - but if you are Citi Gold members, your annual fees will be kept the same at $350.; the Fourth Night Free feature will be capped at 2 times per year (now it is unlimited); 25% bonus ThankYou points when redeeming for flights will be removed - any travel redemption will have fixed value of 1 cent per point - however, the transfer feature that allows points to be transferred to frequent traveler miles/points remains the same, and thus our valuation of ThankYou points will remain 1.5 cents per point; 2x points earning on entertainment will be reduced to 1x points.
In general, with the already impressive perks and protection and the dramatic increase in category bonuses, Citi Prestige is surely on the way to take back the glorious #1 Best Credit Card spot. As an existing cardmember who has been thinking about canceling Prestige after obtaining Sapphire Reserve, I can't wait 2019 to come!
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