Credit card companies want you to keep their cards. They want you to use them. They love it when you carry a balance (we don’t EVER love them that much, RIGHT)! Some cards have no annual fee like the Chase Freedom card. Others have small or huge annual fees and then it is up to you to decide if you feel the value you get is worth the fee.
That brings me to today’s topic. Just what can you get back from a credit card? Most will give you some points each year if you complain about an annual fee (see E13 post in the Essentials tab). They would rather give back to you the annual fee than lose you or give you enough points to offset the fee in your mind. But what else?
A reader, let’s call him BOB, sent me a copy of a letter he just got from AMEX. He has a few AMEX cards and does spend a sizable amount in total on all his Delta AMEX cards. Part of the letter said:
“You will continue to see the new Annual Membership Fee on your Cardmember agreement and other material. Please rest assured that this fee is waived, and we will notify you if this changes in the future.”
Really! That is the first time I have seen, not just a one year waiver, but a good until further notice fee waiver (who knew you could ask for such a thing)?!?
I have also seen on FlyerTalk a thread where a small business runs ¼ million dollars each year on a Delta Reserve Business card and the card member is given FREE Platinum Medallion status to gift to whoever he wants. I think there are smarter ways to spread out that kind of spend, but still you see the value that this person is bringing to the card company.
We do want the banks to make money. If they are not we cannot enjoy the perks we get from points. But we don’t want them to make all the money from us. – René
PS – You still have time to WIN SWAG Saturday!
▲Delta▲ SkyMiles® Credit Card
from American Express®
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