Price protection, the perk.
There are many factors involved in picking your credit card of choice, however it’s the perks that are the real game changers. Whether it’s miles, points or cash back, these benefits drive spending behavior and build confidence in your highly regarded piece of plastic. We at Earny, see this firsthand with price protection. These rewards are powerful and card holders are willing to card hop for it.
About 40% of Earny shoppers who did not have a price protected credit card will open up a new card with price protection, after discovering the benefit.
So when Earny heard Chase was making changes to this card benefit favorite, we wanted to make sure cardholders were aware and knew how to keep this benefit alive.
Chase protection changes.
At a time when Price Protection has been at its height, Chase has decided to remove this benefit from all it’s cards effective August 26th, 2018. This was much to our surprise, especially since cardholders have shared how much they #LovePriceProtection.
With this recent news, users have been asking what to do next? We say go where the benefit is. Earny’s choice is any of Citibank’s Price Protected Cards.
Benefits: to be used or not to be used?
Originally Price Protection was a laborious task, one that required cardholders to search for price drops and submit claims themselves manually. Times have changed. Not only has Earny automated Price Protection; more importantly Earny has put money back in consumers pockets, and has built awareness around this benefit. Business Insider, CNN Money, Forbes and other sources speculate it’s the “rise of the bots” (Earny) which took on this unnoticed benefit and made it widely used.
As quoted in Business Insider from a credit-card industry employee “over time, the growth appears to be explosive…Just a couple years ago it wasn’t like this… the volume of claims that are popping up all over the industry, they’re unheard of.” “Explosive growth” should please issuers because it shows that cardholders are engaged with their credit cards. With Chase’s removal of this benefit, this has caused us to question the true purpose of credit card rewards.
Are they simply pretty to look at or are they meant to be used? A good question for the issuers…of the benefits offered, do they actually want cardholders to take advantage of them?
The Citi switch.
With these upcoming changes, we encourage cardholders to choose wisely.
We took a look at all Price Protected cards and have identified Citibank with the most generous Price Protection policy (even with it’s recent changes in reimbursement caps). As stated on Citibank’s site, last year alone Citibank paid out $18 million to their cardholders through Citi Price Rewind. That was over $49,000 in refunds a day. They stand behind this benefit, and so does Earny.
With these changes, over the last two months, Earny is seeing a shift towards Citi among it’s users. For example Sapphire Reserve users have migrated to travel cards such as Citi ThankYou Premier & Citi AAdvantage World Elite Cards, while Freedom card-holders have found comfort in the Citi Double Cash Back Card.
Are you ready to make the switch?