US Bank cherrypicking customers for Cash+

[Anonymous]

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).

[sunkissed]

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.

[dmFICO8]

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.

[Kforce]

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 !!

[Anonymous]

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%. 

[longtimelurker]

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@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).

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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.

[Anonymous]

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. 

[gdale6]

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

[Anonymous]

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).

[Noctilum]

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.