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

parsley

I've been in a little argument with Cap 1 about some missing cashback. I made a few purchases at the end of the May. Unfortunately, the last 3 days of May were a Friday, Saturday & Sunday, meaning that Cap 1 has raked in even more because all the transactions made on these days, and any made even earlier but delayed longer than normal, would only have been posted on June 1st or later, meaning that no cashback was paid. I fail to see how Cap 1 lost out as they would have charged the retailer exactly the same fee and the new EU law is still to be implemented. It was not made clear enough in the original letter that most cashback would only be paid out on purchases made up to 27th or 28th May at the latest. Good timing Cap 1! Can I make a Freedom of Information request to find out exactly how many potential cashback transactions were posted on June 1st?

cse

I've been in a little argument with Cap 1 about some missing cashback. I made a few purchases at the end of the May. Unfortunately, the last 3 days of May were a Friday, Saturday & Sunday, meaning that Cap 1 has raked in even more because all the transactions made on these days, and any made even earlier but delayed longer than normal, would only have been posted on June 1st or later, meaning that no cashback was paid. I fail to see how Cap 1 lost out as they would have charged the retailer exactly the same fee and the new EU law is still to be implemented. It was not made clear enough in the original letter that most cashback would only be paid out on purchases made up to 27th or 28th May at the latest. Good timing Cap 1! Can I make a Freedom of Information request to find out exactly how many potential cashback transactions were posted on June 1st?

As far as I remember it, the cashback removal letters did state "your card will still earn cashback on purchases posted to your account until 31st of May", so they haven't strictly done anything wrong

I work with credit card billing systems, and in all honesty the motivations are just as likely to be practical as they are financial. Some transactions can a seriously long time to post to accounts; if Cap One were giving cashback on all purchases made in May, they could be dealing with a long tail of customer inquiries about late posting transactions for potentially months to come. Speaking in terms of when transactions post gives them a nice, clean line in the sand when they can stop thinking about it

tgon

Aletank wrote: »

I sent a secure message to close my account, they replied saying as I still get 0.25% cashback I would lose the cashback earned so far. - I'll wait until January and close it then.
My messages are below -
Hi - Could you please close my account, the 2 reasons being, 1 mainly the removal of cash back, 2 the removal of the photo on he cards.
The full balance of my account was takin from my bank today, so should be with you in a day or so.
Could you please forward my cashback payment to my bank account.
Could you please confirm this by reply ?
Many Thanks
Memo Thank you for your message.

I'm sorry you want to close your account due to the changes we’ve made to your account.

I haven’t closed your account because I wanted to make you aware that the cashback of £23.25 you’ve earned wouldn’t be paid to you if the account is closed before January 2016. This is because we’ve not completely removed cashback from your account but have reduced to 0.25% effective 1 June 2015.

If you decide to keep your account open, your cash back will be credited as normal.

If you would like to proceed with the closure of your account, please contact us again to confirm this.

If you have any other queries, please send us a further secure message.

I have had a similar experience. The letter I got in April removed the World MasterCard product from use effective June. I sent a letter to close the account along with my destroyed card only for their reply to say I've still a cash back credit which will be paid in Jan 16. I argued that this can't be so as the product (and T&C's I assume) ceased to exist and I want the credit I'm entitled to. Capital One now say my cash back on transactions was only reduced to 0.5%!

So, totally confused now. I'd stopped using the World card because of their original letter removing the product and sought another CC provider which I'm using now. What is my next recourse with Capital One to close my account and retrieve my credit?

keiran

Got a letter form Capitalone today, saying they're now axing the final 0.5% cashback I've been getting (since they reduced it from 1% last year), from July 2016,
blaming lower processing fees.

Had been useful for the occasions where Amex Platinum (1.25%) wasn't accepted

Anyone still getting Capitalone cashback?

NoviceAngel

Think yourself lucky for getting 0.5% over the last 12 months, they cut mine completely and haven't used my card since they also went on to cut the free credit reports, so absolutely no point in keeping the card now.

I'm still with Barclays with the 0.5% Visa and 1% Amex duo deal, but I reckon it's days are numbered.

planteria

why do you say that NA? they have certainly been issuing new 'duo' Barclaycards very recently.

NoviceAngel

planteria wrote: »

why do you say that NA? they have certainly been issuing new 'duo' Barclaycards very recently.

Hmmm, on a side note, they've announced to the world that their cards are now Apple Pay compatible, what they don't say is that specifically excludes their Cashback cards.... I wonder if that's an attempt to hold on to every penny of profit rather than share it with Apple Pay.

I've spoken to Barclays and their call centre says that they are working on adding the cashback cards to Apple Pay, I'm doubtful

fififoofoo

My letter arrived today I've always been on 1%. Cashback will be earned up until the 30th June then nothing. I will be paid my cashback in July that I've earnt this year so far.
Very sad day for me as I collect around £250 per year.:sad:

Off to look for something better ...

msallen

keiran wrote: »

Anyone still getting Capitalone cashback?

Yes, I'm still getting tiered CB up to 1.25%, but it sounds as though there may be a letter on the way....

tfboy

I've just received the letter from Cap1.

Until now, I've been on a flat 1% CB since getting the card a few years ago. It's linked to my business account so was using it quite a bit and getting a couple of hundred quid a year in CB.

I'm now in the "from 1st July, no cashback" and "cashback earned so far will be paid in July".

So the card can still work afterwards, but I'll do a search to see if there's anything better out there.

I did recently have a horror incident with Cap1 regarding using it for an online transaction that was deemed a cash advance which was accruing something horrible like £100/day interest. After much fighting, they finally refunded the "charge" and "interest" and so I wondered if this was why I received the letter as they claim "it is no longer sustainable for us to offer cashback on your card. This is because the fees we receive when you use your card have reduced."

Incidentally, for quite a few months, I've never had the balance shown in my online account summary with a red warning triangle and the wording "The amount of your last cash back payment is not currently available." But it still seems to have been accruing so I didn't worry about it.