Citi cards - major changes

[Nutcase]

Woolworths and Coles even make a few cents when you press savings/cheque as they own and run their own EFTPOS networks just like a bank.

This used to be true however it is no longer the case. A few years ago, EFPTOS moved their revenue model to copy the way Visa and master card operate where the acquirers pays the issuer. Until then, the issuer paid the acquirer hence the money made on EFTPOS transactions.

You are getting confused with Woolworths owning their own payment switch. This means that all card transactions are "on us" and as a result there is no interchange paid. Woolworths has a direct relationship with each of the 7 visa and mastercard scheme acquirers as well as AMEX, Diners, Unionpay and EFTPOS.

What this means is that Woolworths switch each card transaction directly to the issuing bank. ANZ goes straight to ANZ, NAB to NAB and so forth. No 3rd party to pay interchange away to.

Woolworths are on of the 17 owners of EFPTOS in Australia.

 

[Mitch_W]

We have to find a card to pay land tax, shire rates and water rates after the middle of June. I cleared out the warehouse a few days ago.

Hi Cove,
I pay my land and water rates and power bills thru postbillpay.com.au and use PayPal which has an Amex card as the payment source. There is also no surcharge!
Cheers
Mitch

 

[citrusb]

can anyone advise if Citi have announced 'enhancements' to transferring to the Hilton program....

 

[oz_mark]

can anyone advise if Citi have announced 'enhancements' to transferring to the Hilton program....

Hilton transfer rate will change from 1:1 to 2:1 as of 15 June.

See the last page of https://www.citibank.com.au/global_docs/pdf/Citibank_Rewards_and_Qantas_Rewards_Program.pdf

 

[citrusb]

ok....just seen very early post and I can see enhancements from 1 to 1 to 2 for 1....

 

[Nutcase]

A little update. I just received a call from one of the supervisors to say they had been told no-one is to get an annual fee waiver but they lodged a special request for me and just received a reply that no-one is to be exempted. I said I thought he was calling to finalise the closing of the account and he said they didn't think I was totally serious about it ie. I wouldn't follow through on my threat. I said of course I am, I was just waiting for the points to hit the account so I can transfer them out and I had already paid off the card.

I also made a point of Nutcase's comments that obviously I wasn't a profitable customer and must have had a low rating to not be offered the waiver. He replied quite the opposite, it was just the company was one of the first to announce the changes but didn't want to get "??" I can't remember the word he used (it made me think of butt-****ed ). They were trying to get ahead of all the problems with the changes to the interchange and it had come back to bite them which wasn't fair as all the other banks were going to have to do the same as well. He asked if I was 100% set on closing or could they try and come up with a solution that won't be as good as the full $700 but will at least be enough for me to stay with them. I said sure, lets see what you can do.

He ended up escalating it and they came back with $350 annual fee for life + 15000 points. Given I can use all the transfers and free hotel next month, (which will save about $400) and I get another 2 months at the higher earn, I think that is a decent result.

Small problem

• Eligible Transaction means any purchase excluding (but not limited to) Cash Advances, Balance Transfers, Special Promotions, BPAY payments,purchases of foreign currency and travellers cheques, transactions made in operating a business
  
  
  Now then, where is my Linkedin contact at card products at Citibank?
  

 

[carls888]

Oh dear. This does not bode well for future travel plans.

Will empty out the points bank this week and see if I can renegotiate a $350 for this year to see how it all pans out. I don't want to spend the energy jumping ship only to have the same situation occur.

I would love to know what others are moving to with a 50k-100k per month spend? So many have a points cap, so citi prestige would remain more beneficial even with the paltry points allocation.

 

[Cruiser Elite]

Now then, where is my Linkedin contact at card products at Citibank?

Am I reading this correctly? Is this a threat to report 'abuse of Card usage' to Citibank by an AFF member?

 

[burmans]

Am I reading this correctly? Is this a threat to report 'abuse of Card usage' to Citibank by an AFF member?

Yep, it would appear that way or perhaps self-aggrandizement.

 

[cove]

Times change don't they? I used these cards for ATO, payroll tax, land tax and wow it really worked a treat (as well as normal stuff).
This week all I am looking at is booking a 4 night stay in New York.
I am not complaining as I have done really well with these cards.

 

[lovetravellingoz]

• 
  
  Now then, where is my Linkedin contact at card products at Citibank?

If you were as important as you like to make out you would have their direct email if not their phone number. Personally I think if you contacted them that they would just find it amusing, or boring.

As it stands you just seem to be someone that delights in schadenfreude.

PS: The various banks already know that many cardusers use private cards for business purposes. Some mind but most do not. If the various banks really wanted to stop it entirely, it would have occurred decades ago!

 

[ermen]

Am I reading this correctly? Is this a threat to report 'abuse of Card usage' to Citibank by an AFF member?

I've always maintained that a certain member on this forum has a strange obsession with shutting down credit cards and points. I wonder why.

Last time I posted my hypothesis and it got shut down by the mods. Mods: "let a hundred flowers bloom let a hundred schools of thought contend"

 

[mumof2sydney]

Prestige member- just got email today- advice please- transfer points to krisflyer OR velocity? Have almost 1 million in citi- time to get them out- Conflicting advice out there and mostly from overseas...

 

[FrankC]

I can see that points transfer to SQ has increased, but I can't see any mention on points transfer to VA. Is it changed?

 

[PAZ]

Got my notice today as well. They have to give 30days notice of changes.
The conversion rate to Velocity has not changed (2Citi points to 1Velocity)
Kris changes to 2.5Citi to 1SQ (currently 2Citi to 1SQ)
If you want Kris points transfer well before 15June otherwise it's 25% devaluation

 

[Nutcase]

If you were as important as you like to make out you would have their direct email if not their phone number. Personally I think if you contacted them that they would just find it amusing, or boring.

As it stands you just seem to be someone that delights in schadenfreude.

PS: The various banks already know that many cardusers use private cards for business purposes. Some mind but most do not. If the various banks really wanted to stop it entirely, it would have occurred decades ago!

After 25 years in Financial Services (Cards and Payments specifically) I lose track of who's in my Rolodex so its just easier to refer to LinkedIn. FS people dominate the platform because they are always looking for their next opportunity. It makes it so easy to find the right person and I have to admit to using it to find the right people to solve issues with my personal cards.

Many product managers in the card space are lazy and don't analyse the data that's available. The BWA bank account was a good example of that playing out. Either that or the data is too hard to extract or doesn't exist which explains why some of the T's and C's aren't enforced properly. If the portfolio is heading in the right direction then no one looks, that is until something goes bang and then the hot spots are identified or when someone draws it to the product managers attention.

For me, this is not about schadenfreude, its more that these scheme cards have morphed into over engineered franken-products when all they really are is a payments mechanism with an unsecured debt facility hanging off the back of it and a lot of bells and whistles and insane fees that consumers are trying to justify in the vain hope of getting something for nothing.

AMEX and Diners are the true travel and entertainment card products due to their enhanced spend data, analytics and control. Visa and Mastercard cannot compete on this footing.

In the case of Diners its GST compliant as well.

The FF game is a diversion from that. Apple pay is another diversion.

 

[maz1]

I feel so disgruntled too- but it's not just Citi - I also received a similar message about my ANZ card-

not only are these Credit Cards now reducing our capacity to earn points, but, when we actually accrue enough points, it's becoming almost impossible book business (J) seats departing Melbourne (or any other city in Australia)

oh, yes, I am VERY grumpy

 

[Nutcase]

I feel so disgruntled too- but it's not just Citi - I also received a similar message about my ANZ card-

not only are these Credit Cards now reducing our capacity to earn points, but, when we actually accrue enough points, it's becoming almost impossible book business (J) seats departing Melbourne (or any other city in Australia)

oh, yes, I am VERY grumpy

In situations like this its important to see rewards (and the ability to redeem those rewards) as a privilege and not a right. The other option is to pay market value for the ticket that you want.

None of these card products guarantee that you will get what you want when you want it nor do they guarantee the value (current or future) of the rewards points.

Once you accept that points earning on scheme cards is finished things will get easier.

Use an AMEX or a Diners instead.

 

[RAM]

Email also came through today - at least they are not adopting the Q approach. I cannot see the word 'enhancement' anywhere.

 

[RAM]

Email came today.

Here are is airline points transfer change table:

Looks like AMEX will be getting all Govt related spend from now on for our Signature will give ZERO points per $, a 0.5 VFF point sounds much better. The wording is not as clear as it could be (in fact it conflicts in parts - one say no limit on spend earning and another part for same card say 2 categories no limit & one limited by my reading))