X1 card changes their 3X bonus for spending over $15,000 per year

[bilwilvegas]

Just noticed in my app that my X1 card is rewarding 2X not 3X.  It also says 3X restarts in 2 days.  I sent a text to X1 support and they told me that it is a change to their reward system.  Previously any card holder that spent $15,000 per year earned 3X instead of 2X points for the year, and it was applied retroactively.  The new policy is the same EXCEPT the 3X points is capped to $7,500 in spend per month.

I generally use AMEX Gold & Plat for everything but my X1 is the go to card for places that do not accept AMEX and for chages where I would only earn 1 point on AMEX.  Now knowing there is a cap on the X1 is a bummer.  I do not like having to track caps on monthly spend.  I may need to look for another card for my backup to AMEX now.

[AlanGJP]

Agreed, however $7500 is a decent cap for a backup card. X1 and WF are my go-to for those times I can't use Amex.

[bilwilvegas]

yes it is decent but I was generally spending more than that on my X1 each month, significantly more a few times.  

I accept any terms a company chooses as it is their right to do so, I guess I just do not understand the logic of putting this cap in place.  If 20 card holders charge $5,000 they pay 3X on $100,000 but if I charge $100,000 they are not willing to pay the same reward.  

Not upset with them, just wanting to understand the logic because I like to understand things.  :-)

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[wasCB14]

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@bilwilvegas wrote:

yes it is decent but I was generally spending more than that on my X1 each month, significantly more a few times.  

I accept any terms a company chooses as it is their right to do so, I guess I just do not understand the logic of putting this cap in place.  If 20 card holders charge $5,000 they pay 3X on $100,000 but if I charge $100,000 they are not willing to pay the same reward.  

Not upset with them, just wanting to understand the logic because I like to understand things.  :-)

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Issuers attract customers by offering a great card, then slowly make it less appealing and more profitable.

[M_Smart007]

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@wasCB14 wrote:

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@bilwilvegas wrote:

yes it is decent but I was generally spending more than that on my X1 each month, significantly more a few times.  

I accept any terms a company chooses as it is their right to do so, I guess I just do not understand the logic of putting this cap in place.  If 20 card holders charge $5,000 they pay 3X on $100,000 but if I charge $100,000 they are not willing to pay the same reward.  

Not upset with them, just wanting to understand the logic because I like to understand things.  :-)

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Issuers attract customers by offering a great card, then slowly make it less appealing and more profitable.

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How dare they use the "Bait and Switch"

[wasCB14]

Is there a SUB on the card currently?

[M_Smart007]

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@wasCB14 wrote:

Is there a SUB on the card currently?

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Not sure bout SUB?

This is the latest [news]

They claim;

" The Smartest
Credit Card Ever Made"

"

Increase over time

"X1 Card offers credit limits up to 5X higher than traditional cards.
Higher limits mean you can spend the same amount with lower utilization,
which can boost your credit score."

[bilwilvegas]

I actually asked about CLIs and he said they are working on implementing a CLI request in the app but for the time being it is still automated reviews.  I am not sure what triggers the review, I have spent 150% of my CL in many months and have not gotten any CLIs (aside from the one I asked for when I first got the card that took me from $29,500 to $40,000).  My 1 year anniversary will be January 5th 2023 so maybe they will give me one when I pass the 1 year mark.

[GatorGuy]

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@bilwilvegas wrote:

yes it is decent but I was generally spending more than that on my X1 each month, significantly more a few times.  

I accept any terms a company chooses as it is their right to do so, I guess I just do not understand the logic of putting this cap in place.  If 20 card holders charge $5,000 they pay 3X on $100,000 but if I charge $100,000 they are not willing to pay the same reward.  

Not upset with them, just wanting to understand the logic because I like to understand things.  :-)

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Their goal is to cap the amount of rewards they would pay out at the higher rate.  If they only had 20 customers, the max that would have to pay out would be 20 times their cap of $7500k which is $150,000. Imagine if those 20 customers all spent $100,000 a year. That would be $2MM. However their possible exposure would be unlimited because there is no cap. This is why the vast majority of card issuers will either have a cap or a lower reward rate. 

[sto0pyd]

The change won't really affect me since I don't spend > $7,500 a month on the card. It is my main card to use outside of other day-to-day expenses. For those other categories, I use Custom Cash (5%) and Savor (4%) for dining, US Alliance (6%) for groceries, AAA Visa (5%) on gas, and US Bank Cash+ (5%) on utilities.