Annual fee increase from $99 to $300 on Citi Premier

[EddieJ]

Hi all

My first post *however joined a while back.

Just received an email from Citi/NAB advising of a annual fee increase as in title above. Seems many institutions are looking at recouping grandfathered fee free or **fixed fee for life CC’s.

I’ve had the card since 1989 and now occasionally use the card, emergency use only and 99$ per year was a cost benefit advantage to me. Now that I hardly use the card - a 201$ increase *albeit in June 2025 is another catalyst, jumped ship from 28* in August.

The 579,791 Rewards points I’ll most likely convert to Virgin Australia.


So should I convert to Citi Simplicity?

 

[Mattg]

Welcome to posting.

Which card is this for?

 

[EddieJ]

Welcome to posting.

Which card is this for?

Thanks for your response.
Citi Premier MC

 

[lowan74]

I received the same notification yesterday, however mine went from $149 to $300. It had been $149 since it was a Citibusiness Gold Card, which then auto-converted to a Citi Signature card around 2014, and then later auto-converted to a Citi Premier Card a few years ago.

Somewhat disappointing, particularly with the recent change of interest free days from 55 to 44. Almost looks like they want people to ditch these cards..

 

[EddieJ]

Yeap.
Not sure which way to go. The card has served me well over the years however, it’s not worth the 201$ increase with diminishing returns. I have a substantial credit limit which I’d like to retain. Will look at converting/downgrading to the Citi Simplicity, fee free.
No frills, but still get Purchase Protection Insurance and Extended Warranty Insurance.

I have until June 2025 before the new fee is charged.

 

[SIA1A]

I'm in the same boat with my Citi Premier MC with QF points.

For many years the Annual Fee has been $84 + $25 for one Additional Card, total $109 pa.

This year it's $300 + $50 for "up to 4 Additional Cards," meaning a total annual fee that's now $350.

I don't use this card much due to its inferior benefits. I've tolerated the 50% reduction in most points earn, introduced several years ago.

Then there's the withdrawal of the Diners add-on card at about the time NAB became the owner (the Diners add on card was free and it delivered a better points earn). I tolerated that too.

An outcome of the benefits reduction is that in recent years I have relegated the card to back-up duties only. I have a large credit limit but don't go anywhere near utilising it all.

However, an annual fee of $350 is simply uncompetitive. It's in a similar high fee minimal benefits category as cards from HSBC, ie avoid it!

It looks like the Citi call centre is now a low cost Indian-staffed centre that has minimal service attitude so my most likely tactic might be to give this expensive, low benefits card the flick, perhaps convert it to a low fee NAB card?

I need to do some research on any low fee alternatives that might still be available under the Citi brand, though it looks like NAB's objective might be to kill the brand by pricing it high and reducing the benefits.