Capital One axing cashback for some, cuts cashback rates for others

mrssjs

I have a Halifax (One?) mastercard. From memory it pays 1% on fuel & supermarkets, 0.5% elsewhere. I use this for everything. Anyone heard if other institutions are following suit?

joe134

planteria wrote: »

ok, does it look like this

https://www.americanexpress.com/uk/content/platinum-card/

or this

https://www.americanexpress.com/uk/content/platinum-cashback-credit-card/

?

Hi,Definitely Second one.cashback, but, no fee. I had it before the fee was introduced, way back , still valid
EDIT. Logged into my A/c. Cashback added to A/c , up to 1.5% on vitually everything.Enrolled as cashbackto card account, OR, can add to it to get retail vouchers, which, I'm not enrolled to. Last used just before Xmas, on, Shopsmall
just done sums on mbna @ 1% on everything;;spent £10.4k in last 12 months +
several thousands on capone which don't take amex.. looks like the plat would be beneficial, with another back up card for replacement for capone, that pays CB.???? :beer:

lisyloo

Anyone heard if other institutions are following suit?

No.
Speculation but I suspect it depends on the level of the benefits.
So 1% on everything is now unsustainable whereas 1% on M&S or ASDA may not be unsustainable.

joe134

chazzee wrote: »

You may want to look at this, it's an Amex Platinum CC with points not cashback:

http://amex.co.uk/easystep

Hi, not that one, BUT, the letter, (If I''m correct), said that's what was what was happening to my Plat,so, I changed to MBNA-Amex, but, according to A/c, it's not. One way to find out, use it and see.:beer:

keiran

I messaged Cap1 and was told they're reducing the cashback on my black-coloured platinum mastercard from 1% to 0.5% on 1 June.

I've had this for 10 years and the cashback received every January was a nice twist

Has it been the same for other holders of this particular card (the reduction)?

I can't see how this makes sense for Cap1. Can't they see that their customers will simply switch to using other cards with better rewards?

planteria

joe134 wrote: »

Hi,Definitely Second one.cashback, but, no fee. I had it before the fee was introduced, way back , still valid
EDIT. Logged into my A/c. Cashback added to A/c , up to 1.5% on vitually everything...

that's what i have. looks like the 2nd card. no fee. pays up to 1.5%.

msallen

keiran wrote: »

I can't see how this makes sense for Cap1. Can't they see that their customers will simply switch to using other cards with better rewards?

Maybe CapOne are happy with that though.

We've had the occasional report on here of unaffected people, and among the rest some are having CB removed totally and some just reduced. I suspect that CapOne may be taking the opportunity of allowing unprofitable customers to walk away if they want to, whilst those that are borderline are just having a reduction, and those that are profitable are being allowed to continue as normal (for now!).

This is pure conjecture on my part of course, but I haven't heard anything from them yet, and as I spend a fair amount overseas and thus pay the FX fee (although in reality my work pays this as its all flight/hotel expenses which I reclaim) I may still be profitable for them even after the cap comes in.

For example, last week I paid 15,840 Saudi Riyal (£2852.25) for a flight. They charged me £78.44 in FX fees, but will only pay me £35.54 in cashback. The ~£43 difference there will cover a fair amount of cashback on sterling transactions before they start making a loss on me.

frank777

Round 2 CapOne - Aspire World - got my letter yesterday Dated April 2015 - From 1st June, you will no longer earn cashback.This change means you'll no longer receive an annual cashback bonus. I hope I get my £10 bonus in June or at the very least pro rata £5 bonus, if not I'll be sending a COMPLAINT via their secure message service. I'll keep my card for the Two FREE *Equifax Credit Reports per year and use every six month to keep it active with a nominal purchase of around £2. Not had my letter from Luma 4% cashback yet, once it arrives and pays up the cashback, no incentive to keep.

*Plus Email alerts within 7 days of any key changes to my Equifax credit file

UPDATE - Received my letter from Luma this morning - good while it lasted, time to move on! Barclaycard Freedom Points are worth a look, shop at one of the participating retailers and pay with Barclaycard and receive 3,500 Points with 1st order - exchange for a £10 Amazon Voucher

zerog

The EU is capping INTERCHANGE fees at 0.3%. That's the fee paid by the acquring bank to the card-issuing bank. Banks are still free to charge merchants whatever they want, only limited by market forces.

Whether this ends up benefiting or hurting retailers or consumers depends on multiple economic factors.


My Capital One Classic Extra with 0.5% cashback, £10 per year and 0% forex fees appears to be staying put for the moment. I would still keep it for the 0% forex if that was the only thing that stayed, since it's always good to have a backup to the Halifax Clarity.

joe134

planteria wrote: »

that's what i have. looks like the 2nd card. no fee. pays up to 1.5%.

When it says" up to", is it tiered, like it was when I first had it? 0.5% 1% 1.5%, OR, according to my A/c, first year 1.5% for £10001, then 1.25% thereafter, only if my first year, ( which was years ago) reaches the magic £10k +
Slightly confusing;( not hard for me.:rotfl: