Seems like Citibank and their credit cards are on my mind lately. First it was making sure I had used my Citi Prestige airline credit benefit before this year ended. Then I mourned the upcoming changes to my Prestige card. Next up on my year-end credit card review and to-do list was looking at my credit cards and deciding which to keep and which to let go.
Two of my Citi cards came to my attention, one a business card and one a personal card. I wanted to be sure of the card benefits, and whether or not I could do anything with my spending limits, such as add the amount to another Citi card, if I canceled. I also wanted to check when my annual fee posted. I decided to call Citi. It was a most illuminating call.
Here’s What I Learned
I never realized before that Citi does not allow credit limits to be shifted amongst cards. If I canceled these cards the credit limits went bye-bye with them. Bummer, but good to know. The next piece of information the Citi rep actually volunteered when I was asking her a different question altogether.
Citibank changed their policy on how your annual fee is rebated when you cancel your card.
Who knew? Not me.
She told me that previously if you canceled a Citi card the annual fee would be rebated based on when you cancel the card. So let’s say 6 months into the year you canceled your card. That meant 50% of the annual fee would be rebated.
Not any more! About a month or so ago the rule changed. Citi now gives you a 60 day period after the annual fee posts to receive a rebate on your annual fee. After that, no part of the annual fee is rebated when you cancel your card.
For some cards that might be a few dollars down the drain, and for some Citi cards that could be hundreds of dollars. And it certainly means we need to be keenly aware of when our fees post. If we’re on the fence about keeping or letting go of a card, best to make that decision as close in to our annual fee date as possible. Since this rule change on getting annual fees back from Citi was news to me, I figured I’d make some espresso, write about it, and make sure you’re all aware of it too!