AA Card - Citi's Effort to Persuade You Not to Close Your Account

Discussion in 'General Discussion | Credit Cards' started by royce242, Mar 9, 2013.  |  Print Topic

  1. royce242

    royce242 Silver Member

    Messages:
    62
    Likes Received:
    37
    Status Points:
    175
    I recently called Citi to close my AA Visa card as the annual fee was approaching in a few months. The customer service representative was quite nice and of course, asked why I was cancelling. I told him about the annual fee and he graciously offered me a $50 cash rebate plus 750 extra miles per billing cycle if I spend more than $750 during one cycle. I can get this bonus every month for up to 16 months (why 16 months of all numbers?). Now normally I declined these wacky offers but the bonus miles plus the $50 was too good to turn down. I accepted, perhaps too quickly, because I believe he was about to spicen up the deal even more but I interrupted him with my big mouth.

    Now my questions are the following: Since I have a lengthy history in churning cards, these offers are not new to me. However...

    1. Does anyone what the criteria is for being offered a special deal? The amount of money you've spent? Your credit history? How long you've held the card? I really spent just enough (I think $1000) to get my bonus miles and haven't used the card since.

    2. Does the reason for cancelling have anything to do with whether they offer you a deal? Usually when I tell them "I have too many credit cards", they don't offer me anything. If I tell them about the impending annual fee or the fact that the card's rewards aren't good enough compared to my other cards, they offer me something.

    3. Can anyone else tell me what sort of extra deals this credit card or other credit cards have offered you in comparison to my deal? Did you decline the first offer, and was a second or third offer given by the rep?

    Thanks for reading and I appreciate hearing your feedback!

    Cheers!​
     
  2. usa2237

    usa2237 Active Member

    Messages:
    1
    Likes Received:
    0
    Status Points:
    60
    I recently canceled my card... I spent 10k in the last year on my Citi AA and was not offered any offer similar to this. I canceled mid feb though so things may have changed. If you got the offer with 1k of spending, then I don't really know. I know my income is likely lower than yours (less than 40k), so they know you have a greater chance of spending higher amounts. I also said my reason was because of the fee.
     
  3. Fishing4Deals

    Fishing4Deals Silver Member

    Messages:
    336
    Likes Received:
    42
    Status Points:
    260
    I called to cancel my Southwest card because the annual fee was coming due and was offered a retention bonus. My husband called to cancel and said it was because he wasn't flying Southwest that much, and they just cancelled the card without offering a retention. I guess my question is,can he reapply for this or another Southwest card in the fture and be eligible for a bonus?
     
  4. afhill

    afhill Member

    Messages:
    3
    Likes Received:
    2
    Status Points:
    40
    I tried to cancel my Citi card and they offered me something similar - $85 statement credit plus 500 bonus miles when I spent $500. I took it for the statement credit, put $90 on the card and I'll probably call again to cancel in the next few weeks or so.
     
  5. HaveMilesWillTravel
    Original Member

    HaveMilesWillTravel Gold Member

    Messages:
    12,504
    Likes Received:
    20,197
    Status Points:
    16,520
    I was offered a $50 fee waiver if I made 5 or 6 transactions within the next three months. I accepted as it lets me complete the current 3X offer I have. Then it will go back into the sock drawer for a while.

    Note to self: next time, don't *ask* for a fee waiver, but rather ask what they can do for me to make the card more attractive.
     
  6. norge
    Original Member

    norge Silver Member

    Messages:
    180
    Likes Received:
    172
    Status Points:
    420
    Sure, in about 2 years. Chase is tough on churners. But, Chase has about 4 diff. WN cards (2 personal & 2 business) so apply for a diff. card when you see the 4 50K offers appear again.
     
  7. thepointstraveler

    thepointstraveler Silver Member

    Messages:
    286
    Likes Received:
    226
    Status Points:
    425

    I used to work for Citibank in their retention department for a few years.


    1. It isn't a set defined list I can give you but the system automatically generates a list of available offers to the retention rep based on your profitability to the company which includes several factors including your previous spending, payment history, length of history with the card, card type, etc.

    2.Reason for closure does not affect what offers the rep has available but rather the rep is trained to try and resolve your issue by giving you the least option that fits your concern. So if you say the fee was the issue, something involving a statement credit is likely to be the first offer the rep makes.as they are trying to address your issue. However the offer they make is rarely ever the only offer available. But it may be the only one with a statement credit.

    3. The reps get paid a higher commission for retaining you with a lower offer and have to achieve a high retention rate (meaning the number of accounts they saved vs. closed) and therefore if they have another offer and your are polite and don't seem extremely adament that you just want it closed, they will more than likely make another offer.



    If the rep makes an offer and you want better, do not be afraid to ask. They are held to a high quality standard (in retention) and have to give you what you ask for if it is available. Keep the question general though. For example, if miles are what you want, then ask "what is the most miles you can offer me to keep my business?" And they have to tell you the offer. Or if the statement credit is the biggest thing your after, then ask "can you give me a larger statement credit".

    Trust me, the quality standard is high (at least it was) for integrity and sales in their retention area and I saw people get fired all the time for even the slightest hint of "questionable" sales tactics. (That doesn't mean you won't get a random bad apple though :)
     
  8. harvson3

    harvson3 Silver Member

    Messages:
    679
    Likes Received:
    1,693
    Status Points:
    960
    This is very interesting and helpful. Thank you.
     
    LETTERBOY likes this.
  9. Counsellor
    Original Member

    Counsellor Gold Member

    Messages:
    1,221
    Likes Received:
    1,619
    Status Points:
    1,120
    Very helpful information! Thanks, thepointstraveler.
     
    LETTERBOY likes this.
  10. karlmitchell

    karlmitchell Silver Member

    Messages:
    44
    Likes Received:
    53
    Status Points:
    180
    This is one of the most useful pieces of information I've hard on credit card retention bonuses. Thanks for sharing your experience.
     
    merice107 and LETTERBOY like this.
  11. euromannn
    Original Member

    euromannn Gold Member

    Messages:
    2,620
    Likes Received:
    8,619
    Status Points:
    7,070

    I got $95 fee waived IF I Spent $1000 in 3 months.

    I did this within 5 weeks but the credit hasn't shown yet on my statement but Ciit says it's coming.

    Too bad Citi won't email or send the promo offer to verify as teh rep's continuous spend 10 minutes reviewing the account to find the promo.
     
  12. thepointstraveler

    thepointstraveler Silver Member

    Messages:
    286
    Likes Received:
    226
    Status Points:
    425
    Thank you! Always happy to share!
     
    LETTERBOY likes this.
  13. LauraPDX

    LauraPDX Silver Member

    Messages:
    145
    Likes Received:
    201
    Status Points:
    395
    I also got $95 statement credit if I make 5 purchases, of any amount over the next three months (after I said the yearly fee of $95 seemed high for keeping the card and I was considering canceling it.)
     
  14. Robbert

    Robbert Active Member

    Messages:
    4
    Likes Received:
    0
    Status Points:
    70
    I got an offer for statement credit in the amount of the annual fee but chose the 2x bonus miles on the first $5k in purchases within 3 months (this was last year October or so). Each purchase earned triple miles that way and it even carried over beyond the 3 months and $5k but by then I had other fish to fry. So the offers can be pretty good if you give it a bit of time to negotiate.
     

Share This Page