Changes for City Tier Premier Card Holders

City tier premier cardholders received some disappointing news recently. An email has informed many that the cashback redemption rate for thank you points will drop from 1 cent per point to 0.75 cents per point, starting on August 24, 2025.

This shift is certainly rough for those who see this card as one of the top choices for travel rewards. Still, it could affect a smaller number of card users, especially those who prefer to transfer points to airline and hotel partners instead of cashing them out.

Email Notifications

Interestingly, it seems not every Strata Premier cardholder got this email. A few colleagues and I didn’t, but Nick Ewen, a senior editorial director, did receive it. His perspective sheds some light on the situation.

It’s surprising, but then again, recent changes have left many scratching their heads, like when City downplayed Skyward Point Transfers last month.

Other Citi cardholders, including those with cashback options like the City Double Cash® card, also haven’t received similar notifications. This is peculiar, especially since the Double Cash card promises 2% cashback on purchases—1% when you buy and another 1% when you pay it off. So, if the points aren’t worth a full penny anymore, that could significantly alter the card’s value proposition. But so far, there’s no concrete evidence pointing to that happening.

Looking Ahead

For now, the cashback redemption for some Citi Strata Premier cardholders has decreased by 25%. Despite this, cardholders can still find better value through Citi’s appreciation points by transferring them to a range of airline and hotel partners, such as Air France-KLM Flying Blue and Wyndham Rewards.

According to feedback from the TPG team, it appears that only cardholders who don’t hold a City Cashback card associated with the City Strata Premier are experiencing this change, at least for the moment.

If you find yourself relying on Citi Points for cashback—especially on a case-by-case basis—it might be wise to consider cards like the Citi Double Cash going forward. In light of the upcoming August 24th date, it could be beneficial to redeem any cashback you have in mind before those adjustments kick in.

Conclusion

This change marks a significant setback for those who like redeeming points for cashback. If you haven’t received a notification about this update, it would be a good idea to check your CITI account for any announcements.

Ultimately, this appears to be another devaluation impacting the City Strata Premier, raising questions about whether this is part of a broader strategy for the City “Strata” card lineup moving forward.