Santander 123 Cardholders-Pre 15th September 2015

20aday

A heads up to anyone who opened their Santander 123 credit card prior to 15th September 2015.

They are capping the cash back to £9/month (same as those who've opened an account after the above date) and the variable APR is to increase to 15.9% from 12.7% if you're no longer in a promotional period.
Source: Daily Mail Online http://www.dailymail.co.uk/money/cardsloans/article-3942354/Santander-limits-cashback-123-credit-cardholders-9-month-ramps-charges.html

molerat

I am only keeping mine whilst stoozing £3K but with the drop in interest rates that is coming close to being worthless. If it wasn't for the cb on petrol it would have been ditched by now.

Candyapple

Thanks OP. This forum is invaluable for finding out news well in advance of the actual company updating you

Three per cent cashback will still be available on spending on travel, on spending of up to a maximum of £100 per month, a reduction from £300 per month. This means customers will now be able to earn a maximum of £3 per category, or £9 per month from the card, which has a monthly fee of £3.

Well that's me out then, the £9pm month on transport was a nice earner whilst it lasted.

It actually works out to be perfect timing for me actually as in Feb that's when my 0% period ends :rotfl:

Neil_Jones

Just phoned them up and cancelled my 123 credit card, it's pointless when your cashback doesn't cover the monthly fee, and I suspect the next logical step for this account is "3% cashback at BP, Esso, etc and 1% if you fill up at Tesco". At that point (if it comes) it's even more pointless.

Have taken the Aqua reward card instead, no annual fee but half a percent cashback on everything. Should net me, in theory, about £20 a year.

20aday

Neil_Jones wrote: »

Just phoned them up and cancelled my 123 credit card, it's pointless when your cashback doesn't cover the monthly fee, and I suspect the next logical step for this account is "3% cashback at BP, Esso, etc and 1% if you fill up at Tesco". At that point (if it comes) it's even more pointless.

Have taken the Aqua reward card instead, no annual fee but half a percent cashback on everything. Should net me, in theory, about £20 a year.

Santander do offer an Annual Fee-Free cash back card at 0.5% too-am surprised they didn't suggest transferring you to that product instead.

I cancelled my card a couple of months ago; I was only spending just enough to cover the increased monthly fee myself.

Alpha_5

I'll ditch this now too.
If it was capped at a total of £9 across any of the categories I'd probably stick with it, but I don't really spend that much in department stores, so the most I'm likely to earn after the monthly fee is deducted is £3. I do most of my grocery shopping in Asda, so their cards seem the best bet for me now.

Gordon_the_Moron

The 0.5% on everything and no overseas spending card from Santander has a £3 month fee too.

Lifes_Grand_Plan

Need to carefully consider mine and may ditch it. As above, if the cashback doesn't cover the fee then its pointless. Much better to have the Amex (1%) or a Halifax card (£3 per month)

Gordon_the_Moron

I'm ditching it. I never spend anything in department stores. For now I have a Barclaycard Amex paying 1% on everything (I fear that's days are numbered) after that Amex platinum all the way.

Getting 1% on everything for no fee can't be beaten by 123 if you don't use department stores.

100 spend at petrol stations and 300 at supermarkets nets you £2 more cashback than 1% on everything does. Then £3 taken back as a fee.

weepeel

I have been using the retailer offers to boost the cashback, they've 5,10 and 7% at morrisons recently.

Nick_C

Hadn't heard about this before but got the letter this morning. I'll be ditching mine in February. I hardly ever shop in department stores, so the most I could get would be 0.75% after the fee.

I will use my BA Amex where possible for the Avios, and my Nationwide 0.5% cashback card everywhere else.

I've got a Halifax card which usually offers the same cashback deals as Santander (although without the extra 1% at the supermarkets).