topic Re: US Bank cherrypicking customers for Cash+ in Credit Cards

US Bank cherrypicking customers for Cash+

Anonymous — Thu, 06 Jul 2017 22:29:02 GMT

So I found out by logging into the bank's website that my Cash+ account had been converted to an Amex FlexPerks card. I was never told this would be happening. When I called I was told that certain customers were being converted; the Cash+ card was going away -- and then I was told that it was not. What I came away with was that my account was converted withouth my knowledge or consent; the Cash+ card is still available -- but not to me -- and there is nothing I can do to reverse the conversion. I canceled the account.

I believe US Bank did this when they realized that I've had the card since its inception and have only ever used it for th 5% cashback bonus categories. They lost money on this card when they introduced it with a 5% restaurant cateogry. They dropped that cateogory years ago and revamped some of the others. Now they're going after "optimizing" cardholders by converting their accounts. That's what I think is happeneing. Has anyone had a similar experience?

I'll note that I've never had a late payment on any account ever; my income is more than ample for this card; and my Cash+ card had a credit limit of $46,000 (yes, forty-six).

Re: US Bank cherrypicking customers for Cash+

sunkissed — Thu, 06 Jul 2017 23:08:35 GMT

Wow! That is craptacular treatment of a long-time customer with impeccable account history.

I am not a US Bank customer, so I do not have any information to share that would be helpful for you.

I had contemplated applying for Cash+ for years, but never followed through. I had only planned to use it for the 5% categories and didn’t think the small spend I’d generate in the narrow categories would justify adding the card.

Re: US Bank cherrypicking customers for Cash+

dmFICO8 — Thu, 06 Jul 2017 23:29:11 GMT

I read a post in Doctor of Credit that someone is in a same situation as you, but his/her Cash+ card has been converted to a Cash 365 Amex, can't convert it back to Cash+ as well. At first I really have no idea about this situation, as that doesn't make any sense as "being told" Cash+ card is being discontinued, but you have reported same thing, so U.S. Bank indeed is converting some users' Cash+ to another card without user's knowledge and consent. You can't convert it back to Cash+, but it is being told that you can apply for a new one, guess most people probably won't bother after that experience. My Cash+ is still new, suppose I am away from the onslaught for some time.

Re: US Bank cherrypicking customers for Cash+

Kforce — Thu, 06 Jul 2017 23:11:27 GMT

Sorry for your loss.

I like the US-Bank Cash+, and almost only use it for the 5% category's.

With only 1% for general spend my guess is that most cashback card

holders have a 1.5% or 2% that they use for outside the 5% zone.

Hope I am not next on the chopping block !!

Re: US Bank cherrypicking customers for Cash+

Anonymous — Thu, 06 Jul 2017 23:17:50 GMT

Kinda splitting hairs here, but if you wait to redeem until you have a hundred dollars, they send a additional visa worth 25, making the return 1.25%.

Re: US Bank cherrypicking customers for Cash+

Anonymous — Thu, 06 Jul 2017 23:24:03 GMT

@Anonymous wrote:
So I found out by logging into the bank's website that my Cash+ account had been converted to an Amex FlexPerks card. I was never told this would be happening. When I called I was told that certain customers were being converted; the Cash+ card was going away -- and then I was told that it was not. What I came away with was that my account was converted withouth my knowledge or consent; the Cash+ card is still available -- but not to me -- and there is nothing I can do to reverse the conversion. I canceled the account.

I believe US Bank did this when they realized that I've had the card since its inception and have only ever used it for th 5% cashback bonus categories. They lost money on this card when they introduced it with a 5% restaurant cateogry. They dropped that cateogory years ago and revamped some of the others. Now they're going after "optimizing" cardholders by converting their accounts. That's what I think is happeneing. Has anyone had a similar experience?

I'll note that I've never had a late payment on any account ever; my income is more than ample for this card; and my Cash+ card had a credit limit of $46,000 (yes, forty-six).

I am surprised it can be done with no notice, but then I guess:

a) CARD Act only deals with the fundementals, AF and APR

b) reward programs can change at any time. Even though in this case it's not so much the reward program that changed as you were assigned to a different one.

Re: US Bank cherrypicking customers for Cash+

Anonymous — Thu, 06 Jul 2017 23:33:03 GMT

Yeah, and it cannot make anyone happy when this happens. You must be bummed; I know I would be. I use it for cell phone bills.

Re: US Bank cherrypicking customers for Cash+

gdale6 — Thu, 06 Jul 2017 23:38:27 GMT

The thing with rewards programs is as already stated they can change in the twinkle of an eye but you have the right to vote with your feet as you have done here and jettisoned the card. I myself have voted on several banks when they changed their rewards and told them this was the only reason for my termination of relationship with them. I would expect banks to continue to tighten up in the current enviornment of tightening money. Welcome to the board OP

Re: US Bank cherrypicking customers for Cash+

Anonymous — Fri, 07 Jul 2017 00:05:27 GMT

You're right. Mine was converted to a 365 and not a FlexPerks, but the website didn't say 365; it said some other US Bank card, maybe FlexPerks. The customer service rep told me the website was wrong and that I now had a 365 (at least until I canceled it I did).

Re: US Bank cherrypicking customers for Cash+

Noctilum — Fri, 07 Jul 2017 00:13:37 GMT

I will keep and eye on mine. I've had it for 2 years now and I only use it for the 5% back on phone bill and I max the reward each quarter so I know I'm not making them any money.

Re: US Bank cherrypicking customers for Cash+

NRB525 — Fri, 07 Jul 2017 05:10:29 GMT

This is why I use my Cash+ cards for the 5% categories mostly, but then will use the 2% category, and from time to time, non-category spend. I also end up not getting a category on something I thought I would, but I'm perfectly happy with that. I also use the card when I want to know what the merchant codes at; you cannot beat the quality of information in the transaction download from US Bank, it lists the exct MCC code used for the merchant and that MCC code applies to other VISA and MC cards the same.

If it makes the bank algorithm happy, I'll game that.

Re: US Bank cherrypicking customers for Cash+

Anonymous — Fri, 07 Jul 2017 13:58:29 GMT

So far, so good on mine; it's still a Cash+. It would be ironic, but while initially using this card for only 5% purchases, I think that what's keeping me from losing this card might be an even more abusive practice on my part; using it for a single small purchase each month and paying it down to 99¢ before the statement cuts so I get a small balance credit.

I got the Cash+ when I first heard about it back in 2012 (actually it was a PC from some useless other USBank card). I did some pretty good damage on it in the first couple of years. Restaurant, Hotel, and oh, the great one, Bill Payment. I used the heck out of Bill Payment (utilities, insurance, etc.). Bill Payment was the first category to fall, then Restaurant, then Hotel. After that, the card lost most of its meaning for me; I select two of Department Stores, Electronics and Furniture Stores, whichever isn't covered by other cards and has a (ever so slight) chance of me spending anything on that quarter. So since the start of 2015, when statement time is approaching and I haven't spent anything category-wise on the card (which is most months), I make a small non-5% purchase (under $3), then make a quick payment to bring the balance down to 99¢. When the statement is cut, USBank gives me a small balance credit for 99¢, which results in a pretty good cashback percentage! Actually, if I find something to charge for exactly 99¢, then I don't have to do the payment at all, and I get 100% cashback on that purchase.

Now you would think USBank would hate that practice, but I'm starting to wonder if those small non-category purchases are what's keeping me in this card. Something to ponder.

Anyhow, question for OP, or anyone else who's been converted: What happened to your Cash+ rewards balance, if any? Converted to FlexPoints at 1 point per $.01 of rewards?

Chris.

Re: US Bank cherrypicking customers for Cash+

Schwartzinator — Fri, 07 Jul 2017 15:10:19 GMT

When I closed my FlexPerks card, USBank automatically transferred the points to my Cash+ pile. I do believe it was $0.01 per point but have long since forgotten.

Re: US Bank cherrypicking customers for Cash+

CreditMagic7 — Fri, 07 Jul 2017 16:42:28 GMT

@gdale6 wrote:
The thing with rewards programs is as already stated they can change in the twinkle of an eye but you have the right to vote with your feet as you have done here and jettisoned the card. I myself have voted on several banks when they changed their rewards and told them this was the only reason for my termination of relationship with them. I would expect banks to continue to tighten up in the current enviornment of tightening money. Welcome to the board OP

Let's hope that it's a slow transition. LoL

I don't see very much so uncommon in the way US Bank pulled this off.

Over these years it's become clear (to me anyway) exactly which lenders are more apt to exercise certain constraints even at the expense of losing some customers. (Barclays comes first to mind)

US Bank was one of the early cards in this camp but growth was completely stagnant.

It was summarily dismissed as Closed by Consumer after a 5+ year card-only relationship.

When there is no reasonable enough advantage to hold certain cards, especially when they change up or nerf rewards structure, it often doesn't leave you much choice but to look for equal or better alternatives.

FWIW I tried early on for the Cash+ and after being assured it was approved, of course i was one of those who instead was supplied with the plain jane. Eventually got it PC'ed over to FlexPerks but by then other lenders proved much more competitive.

Re: US Bank cherrypicking customers for Cash+

driftless — Fri, 07 Jul 2017 17:52:54 GMT

I just tried the US Bank pre-qualified page and Cash+ came up for me. We used to bank with US Bank, did not care for the bank.

Re: US Bank cherrypicking customers for Cash+

CreditMagic7 — Fri, 07 Jul 2017 18:10:11 GMT

@driftless wrote:
I just tried the US Bank pre-qualified page and Cash+ came up for me. We used to bank with US Bank, did not care for the bank.

I never banked with them and kind of glad i didn't. That's not to say they aren't OK in that department but others got the drop on them and been so good there was no need to take on another at the time.

Did have their card, only one, and changed it up over to another one like mentioned above but it was nothing to write home about.

If there is something worth mentioning besides rewards i can confidently confirm that once you have their cards they don't seem to mind at all if you open new cards or the amount of them.

Although conservative from one standpoint and view, they aren't shaken in the least when in a crowd of established or new accounts. You just need to do usage in the normal manner and they won't blink an eye.

Re: US Bank cherrypicking customers for Cash+

Anonymous — Fri, 07 Jul 2017 18:35:47 GMT

mine appears to still be a Cash+ but we'll see if that changes. I have only used it for the 5% categories and it was originally just a Cash Rewards before they allowed baby limit Cash+ cards and I PC'd it.

Re: US Bank cherrypicking customers for Cash+

Anonymous — Sun, 06 Aug 2017 10:18:29 GMT

This does suck the way they did it....

That being said they are testing the 365 Amex at 2% for s year to see if more people will use it as their daily card. If it happens they are going to change the card from 1.5 to 2% Cash Back on all transactions in 2018. (Take this with a grain of salt tho as with any CSR it seems you get different answers each time you call) I can say my new 365 Amex did indeed come with 2% for the first year. Happy about that till I got my Disco Miles Card with Cash Back Match so now that beats it at 3%. :/
Hope they change it permantly. I have both the Cash Plus and the 365 Amex so I think I am safe from the conversion, especially with my other 100 Accounts with them. Lol

Re: US Bank cherrypicking customers for Cash+

Kforce — Sun, 06 Aug 2017 16:19:02 GMT

I just put a $1,700 charge on one of my 5% category's.

This with my other 5% category spend will max out this quarters cap a month early.

No other general spend put on card.

Card is 2 years old, with only category spend each month.

Will see if "poking the bear" will get me eaten

I live on the edge of CC danger

Re: US Bank cherrypicking customers for Cash+

Themanwhocan — Sun, 06 Aug 2017 22:50:01 GMT

It sounds like very few people have had their cash+ cards downgraded to a different card.

I wonder if these people used any Checking or Savings accounts on a regular basis, and if they had any money being direct deposited on a regular basis? It may be that US Bank wants to reserve their best cash back card for people that use their banking products, and not just for those that only use the credit card. Just a theory, of course.