Changes To Citi ThankYou Preferred – 2X Earning on Dining and Entertainment, No More Anniversary Bonus

by on June 12, 2013 · 9 comments

in Citi

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Update: The offer mentioned below for the Citi ThankYou Preferred card has expired. View the current offer here

Offer expired on September 26, 2013.

TPG reader Gavi wrote in to me about a letter he received from Citibank announcing changes to the terms of his ThankYou Preferred card that will go into effect July 28, 2013.

As a reminder, here are the current terms of the card:

  • Earn up to 30,000 bonus ThankYou Points after qualifying purchases – redeem for $300 in gift cards or other great rewards
  • Earn 20,000 bonus points after $1500 in purchases within the first 3 months of account opening, plus another 10,000 points after $1500 in purchases within the next 3 months
  • 0% intro APR on Balance Transfers and Purchases for 7 months. After that, the variable APR will be 12.99%-22.99% based upon your creditworthiness*
  • There is a balance transfer fee of either $5 or 3% of the amount of each transfer, whichever is greater.*
  • New: 2x Points on purchases for dining and entertainment
  • 1 ThankYou Point on other purchases
  • Points do not expire and earn unlimited Thank You Points
  • Redeem ThankYou Points for merchandise, travel rewards, gift cards, cash and more
  • Travel with ease and enjoy global acceptance with Chip Technology
  • No annual fee*

The Changes

According to the letter, which I’ve included below, the following features of the card will be changing.

Citi ThankYou Changes

Earning: Instead of earning 1 ThankYou points per $1 on all purchase, the card will now earn 2 ThankYou points per $1 spent on dining purchases and entertainment including movies, museums, amusement parks and sporting events and 1 point per $1 on everything else.

Anniversary Bonus: The other major change is that the Preferred’s 1-3% anniversary bonus (the percentage depends on how long you have had the card) on all the points you accrue during your cardmember year (the percentage is based on how many years you’ve had each card) will be discontinued after your next anniversary. One thing to note is that the Anniversary Bonus is not available to new card members

Other Bonuses: Finally, the 100-point bonuses for enrolling in Account Online and Paperless Statements will be discontinued after July 27 (so enroll now if you haven’t already!).

Let’s start with the positive. Until now, the ThankYou Preferred hasn’t offered any category spending bonuses – it was a 1 point per $1 earning rate across the board – so I’m glad to see Citi upping its game by giving cardholders 2X points on popular categories like dining and entertainment.

That brings the card into competition with some important no-fee rivals like the Sapphire card from Chase, which earns 2X points per $1 on dining, and the no-fee Arrival card from Barclaycard, which earns 2X points on travel and dining. I’d love to see Citi add travel as another bonus earning category to really set the ThankYou Preferred card apart.

Although I like cards that carry anniversary bonuses like the Sapphire Preferred’s 7% annual points dividend, I actually don’t think that taking this feature away from the Citi ThankYou Preferred really detracts much from the card – especially because the 1-3% you can possibly earn is such a small amount anyway. Every point counts, but considering this card has no annual fee and thus doesn’t cost you anything to continue carrying, this wouldn’t be a deal breaker for me.

Citi Thank You cards just aren’t that attractive to me- especially now. I’d love to see some solid transfer options, but I’m not holding my breath. What are your thoughts?

Disclaimer: The responses below are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.

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  • DWT

    I’m curious if there are any changes in store for the Thank You Premier card. Hopefully Citi will be adding category bonuses to that one as well.

  • SuperKirby

    I have the regular Citi Thank You card (not Preferred). It also has no AF and has the same update to its point earning. Mine also has the EMV chip as well. What is the difference between the Thank You vs Thank You Preferred?

  • Bryce Griffler

    Very interesting. Just got a targeted offer in the mail. 15,000 pts after $500 in 3 mo (okay), but there’s NO mention of 2pts for travel dining purchases impending change you mentioned. I wonder why they wouldn’t advertise that?

  • Pingback: More (Negative) Changes To Citi ThankYou and Premier Cards? | The Points Guy()

  • Joseph

    Hey SuperKirby, it’s a couple of months late, but let me answer your question. When using them, the 2 cards have no difference in benefits or rewards. The difference is in what Citi offers a “preferred” customer to land their business: a sign up bonus, a lower APR, and no pre-set spending limit.

    As for TPG’s comparison of this one to other no-AF cards, the 2x rewards are still inferior to the American Express Blue Cash Everyday no-AF card, but of course, AmEx isn’t as widely accepted as Visa/MC.

  • SuperKirby

    Thanks, a late answer is better than no answer at all! =)

  • tmc

    i just got this card with 18 mos no interest and 11.9 interest rate after…bonus points were 10000 after $1000 spent in first 3 months, so $100 gift card… 2 points entertainment, 1 point everything else…

  • Pingback: New Citi ThankYou Preferred Versus The No Annual Fee Barclaycard Arrival | The Points Guy()

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