Citi is a TPG promoting associate.
What a 12 months 2025 is shaping as much as be for premium rewards bank cards. And as a fan of those merchandise, I really like the competitors.
First, the Chase Sapphire Reserve® (see charges and charges) underwent a top-to-bottom transformation, and Chase additionally launched its first-ever premium enterprise card — the Chase Sapphire Reserve for Enterprise℠ (see charges and charges). We additionally know that The Platinum Card® from American Categorical is on the verge of present process its personal refresh later this 12 months, and that Bilt Rewards simply introduced will probably be providing a three-tiered assortment of recent playing cards — together with a premium card.
If you’re conserving rely, and you’re keen on these playing cards and their perks as a lot as I do, you would possibly begin to surprise what Citi might need up its sleeve as the opposite main gamers actively compete for pockets house within the profitable premium card market.
Because of Citi’s latest earnings name, we now have no less than one clue as to its subsequent transfer.
Citi to launch an all-new premium rewards bank card
In some unspecified time in the future this quarter (so by Sept. 30), Citi will launch a brand new premium bank card, the Citi Strata Elite, in keeping with remarks made on the financial institution’s July 15 earnings name.
The brand new Citi Strata Elite card is alleged to be becoming a member of Citi’s group of rewards merchandise in some unspecified time in the future within the coming months in an effort to enchantment to “prosperous clients.” So whereas Citi has not shared the precise annual charge that can include this card, it feels protected to imagine it’s prone to be within the vary of the annual charges of different premium playing cards, that are largely now within the roughly $400-$800 vary.
And whereas particulars concerning the card’s advantages weren’t launched, we do know that this isn’t Citi’s first foray into the world of premium rewards bank cards.
Trying to Citi’s premium card previous to tell its future
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It has some rewarding bonus classes — akin to 5 factors per greenback spent on airfare, eating places and journey companies — provides a cool fourth-hotel-night-free perk, a $250 annual journey credit score and Precedence Move membership.
Whereas the cardboard definitely had its followers, particularly those that may maximize that fourth-hotel-night-free perk, it was lacking just a few key perks in comparison with different main gamers within the premium card house, akin to American Categorical, Chase and Capital One. Specifically, it did not provide any proprietary lounge entry and was extra restricted in its distinctive switch companions inside the Citi ThankYou Rewards lineup.
The data for the Citi Status and Citi Strata Elite Card have been collected independently by The Factors Man. The cardboard particulars on this web page haven’t been reviewed or supplied by the cardboard issuer.
What I hope to see from Citi’s new premium bank card
Naturally, as with every new bank card, I am hoping for a giant welcome bonus. For reference, the financial institution’s mid-tier $95-per-year Citi Strata Premier® Card (see charges and charges) is at present providing 60,000 factors with $4,000 in spending within the first three months, so I hope the bonus for this all-new card will are available in larger than that.
However past that, I would love some uniquely rewarding bonus classes that are not already provided on the lengthy checklist of different rewards playing cards. For instance, the very last thing I want is one other card providing 2 or 3 bonus factors per greenback spent on eating and journey.
To assist offset the annual charge, I would wish to see a restricted variety of high-value however easy-to-use credit that do not require a variety of thought and energy (as in, not a sophisticated “coupon e book” strategy).
And whereas it is perhaps a tall order, I would actually love Citi to now deal with among the gaps that it had final time it had a proprietary premium rewards card.
Specifically, it will be nice to see the cardboard provide some kind of distinctive lounge entry and/or switch companions which might be exhausting or not possible to copy elsewhere. Entry to new or further airport lounges — and even their grab-and-go youthful siblings — is at all times nice information, so I would like to see Citi provide distinctive lounge entry past the Precedence Move profit it had with its earlier premium card.
Moreover, the Citi ThankYou Rewards program itself is a step behind opponents, particularly for individuals who wish to lean into U.S.-based airline and resort applications. TPG’s July 2025 valuations have Citi ThankYou Rewards factors at 1.85 cents per level, which locations it behind Chase Final Rewards, American Categorical Membership Rewards and Bilt Rewards. The overwhelming majority of its companions additionally work with different banks.
There was a short second in time when Citi had American Airways as a switch associate, and the financial institution touted its “fantastic relationship” with American Airways in its latest earnings name. As well as, a Citi spokesperson provided TPG the next assertion in December 2024, when it was introduced that the financial institution would change into the unique issuer of American cobranded playing cards (emphasis ours):
“The growth and extension of our relationship with American Airways will positively impression our current and new buyer base as we introduce new merchandise and advantages sooner or later and produce expanded loyalty and rewards choices for AAdvantage® members and Citi-branded cardmembers. We aren’t sharing specifics right now. Keep tuned.”
Lastly, implementing some kind of distinctive resort perk or new journey profit that different premium rewards playing cards do not provide would additionally assist carve out a differentiated house for the Citi Strata Elite.
Backside line
Citi is gearing as much as launch a brand new premium card — the Citi Strata Elite — someday within the coming months. Particulars are scant, however given the issuer’s earlier premium product, we now have hopes primarily based on how the cardboard would possibly be capable to carve out its personal area of interest within the scorching premium card house.
Keep tuned to TPG, the place we’ll replace you as quickly as extra particulars change into accessible.
