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Getting a travel credit card is exciting, but as time passes, your needs might change. Maybe that $95 annual fee on your Citi Strata Premier Card isn't delivering the value it once did. Or perhaps your travel habits have shifted, and you're looking for a simpler rewards structure.

Here's the good news: you don't have to cancel your card and lose your credit history. Instead, you can downgrade your credit card to the no-annual-fee Citi Strata Card, keeping your ThankYou points safe while eliminating that yearly fee.

Quick Answer: Should You Downgrade?

Yes, downgrading makes sense if you're not using the Strata Premier's travel-focused benefits enough to justify the $95 annual fee, but you still want to earn ThankYou points and maintain your credit history. The Citi Strata Card offers solid everyday rewards without the annual fee, though you'll lose some premium perks and transfer partner options.

What You Need to Know About the Citi Strata Premier vs. Citi Strata Card

Before diving into the downgrade decision, let's understand what you're working with. The Citi Strata Premier charges a $95 annual fee but offers travel-focused rewards and premium benefits. The Citi Strata Card, on the other hand, is a no-annual-fee everyday rewards card that's perfect for daily spending.

Citi Strata Premier Card Benefits

The Strata Premier is designed for travelers who want to maximize their ThankYou points earning potential. Here's what you currently get:

Earning Structure:

• 10x points on hotels, car rentals, and attractions booked through cititravel.com
• 3x points on air travel and other hotel purchases
• 1x points on all other purchases

Key Benefits:

• $100 annual hotel credit (when you spend $500+ on a single stay through cititravel.com)
• No foreign transaction fees
• Full access to ThankYou transfer partners at 1:1 ratios
• Welcome bonus of 60,000 points after $4,000 spend in 3 months

Citi Strata Card Benefits

The Citi Strata Card focuses on everyday spending categories that most people use regularly. It's the revamped version of the old Citi Rewards+ Card with significantly improved earning rates.

Earning Structure:

• 5x points on hotels, car rentals, and attractions booked through cititravel.com
• 3x points at restaurants
• 3x points at supermarkets
• 3x points at gas stations and EV charging stations
• 3x points on select transit
• 3x points on one self-select category (fitness clubs, streaming services, live entertainment, cosmetic stores/salons, or pet supply stores)
• 1x points on all other purchases

Key Benefits:

• No annual fee
• 0% intro APR for 15 months on purchases and balance transfers
• Welcome bonus of 30,000 points after $1,000 spend in 3 months
• Access to most ThankYou transfer partners (but at reduced ratios)

When You Should Consider Downgrading

1. You're Not Using the Travel Benefits

The Strata Premier's value proposition centers on travel. If you're not booking hotels through cititravel.com to earn that 10x rate, and you're not using the $100 annual hotel credit, you're missing out on the card's biggest advantages.

Let's do the math: to break even on the $95 annual fee through rewards alone, you'd need to earn at least 5,300 extra ThankYou points compared to what you'd get with the no-fee Strata Card (assuming 1.8 cents per point value). That means spending about $530 on cititravel.com bookings where you earn 5 extra points per dollar (10x vs 5x on the Strata Card).

2. Your Spending Patterns Have Changed

Maybe you used to travel frequently for work, but now you're working remotely. Or perhaps you've moved to a location where you drive more and fly less. The Citi Strata Card actually offers better earning rates for everyday spending:

• Restaurants: 3x points vs 1x on the Premier
• Supermarkets: 3x points vs 1x on the Premier
• Gas stations: 3x points vs 1x on the Premier

If most of your spending falls into these everyday categories rather than travel, the Strata Card could actually earn you more points.

3. You Want to Simplify Your Wallet

Some people prefer having fewer cards with annual fees to track. If you're already maximizing rewards with other premium travel cards like the Capital One Venture X, adding another $95 fee might not make sense.

The Strata Card gives you a solid everyday earner that you can keep forever without worrying about annual fees or whether you're getting enough value.

4. You're Building a Credit Card Strategy

Downgrading can be part of a larger credit card strategy. Maybe you want to free up your "Citi slot" for a future application to the new Citi Strata Elite Card (with its $595 annual fee and premium benefits). By downgrading instead of canceling, you keep your credit history intact while maintaining your relationship with Citi.

When You Should Keep the Strata Premier

1. You Regularly Use cititravel.com for Bookings

If you're consistently booking hotels, car rentals, and attractions through Citi's travel portal, that 10x earning rate is hard to beat. Plus, the $100 annual hotel credit can offset most of the annual fee if you use it.

2. You Value the Transfer Partners

The Strata Premier gives you access to all ThankYou transfer partners at full 1:1 ratios, including valuable programs like:

• Virgin Atlantic Flying Club
• Air France-KLM Flying Blue
• Singapore Airlines KrisFlyer
• JetBlue TrueBlue
• Wyndham Rewards

The Strata Card offers access to most of these partners, but at reduced transfer ratios (typically 1:0.7). If you regularly transfer points to airline partners, this difference adds up quickly.

3. You Travel Internationally

No foreign transaction fees might seem like a small perk, but it saves you 2.7% on every international purchase. If you spend $2,000 abroad annually, that's $54 in savings right there.

The Citi Strata Card charges a 3% foreign transaction fee, so frequent international travelers should stick with the Premier.

4. You're Close to Earning a Welcome Bonus

If you recently got the Strata Premier and haven't finished the spending requirement for your welcome bonus, definitely complete that first. Those 60,000 bonus points are worth about $1,080 according to current valuations, making the annual fee irrelevant for the first year.

What You Keep vs. What You Lose When Downgrading

What Stays the Same

Your ThankYou Points Balance: This is the biggest advantage of downgrading versus canceling. All your accumulated ThankYou points stay in your account, and you can continue earning more.

Your Credit History: The account age and payment history remain unchanged, preserving your credit score benefits.

Basic Card Benefits: You'll still get fraud protection, purchase protection, and other standard Mastercard benefits.

Most Transfer Partners: While the ratios change, you keep access to most airline and hotel transfer partners.

What You Lose

Premium Transfer Ratios: Instead of 1:1 transfers, you'll get reduced ratios (usually 1:0.7) to most partners.

$100 Hotel Credit: The annual statement credit for hotel bookings disappears.

No Foreign Transaction Fees: The Strata Card charges 3% on international purchases.

Higher Earning Rates on Travel: You drop from 10x to 5x on cititravel.com bookings and from 3x to 1x on other travel purchases.

How to Downgrade Your Citi Strata Premier

The downgrade process is straightforward, but there are a few rules to keep in mind:

Requirements and Timing

12-Month Rule: Your account must be at least 12 months old before you can downgrade. Citi enforces this strictly.

Annual Fee Timing: If you downgrade within 60 days of your annual fee posting, you'll get a full refund. After 60 days, you might get a prorated refund, though some cardholders report issues getting refunds after 30 days.

Processing Time: Citi downgrades typically take 7-11 business days to process, though some can take up to 2 months.

Step-by-Step Process

1. Call Citi Customer Service: Use the number on the back of your card (1-800-950-5114)
2. Request a Product Change: Tell the representative you want to "product change" or "downgrade" your Strata Premier to the Citi Strata Card
3. Confirm the Details: Make sure they explain what changes, including earning rates and benefits
4. Wait for Processing: Your account will show the change online before you receive your new physical card
5. Update Auto-Pay: If your card number changes, update any automatic payments

Pro Tips for the Call

• Call during business hours for shorter wait times
• Have your account information ready
• Ask about any retention offers (though don't expect much for a $95 fee card)
• Confirm your ThankYou points balance will transfer
• Ask for email confirmation of the product change

Alternative Options to Consider

The Citi Double Cash Card

If you want to maximize cash back instead of travel rewards, consider downgrading to the Citi Double Cash Card instead. It earns 2% cash back on everything (1% when you buy, 1% when you pay) with no annual fee.

However, keep in mind that this card doesn't earn ThankYou points, so you'd lose access to transfer partners entirely.

Keep Both Cards

If you can justify the annual fee through your spending, consider keeping the Strata Premier and adding the Strata Card as a second card. This gives you the best of both worlds: premium travel benefits when you need them and strong everyday earning rates.

Wait for the Strata Elite

Citi recently launched the premium Citi Strata Elite Card with a $595 annual fee and enhanced benefits. If you're looking for more premium perks but want to stay in the Citi ecosystem, you might wait to see if that card fits your needs better.

Who Should Downgrade

The Perfect Downgrade Candidate

• Spends more on everyday categories than travel
• Doesn't book hotels through cititravel.com
• Rarely travels internationally
• Wants to simplify their wallet
• Values keeping ThankYou points active

Who Should Keep the Premier

• Regularly books travel through Citi's portal
• Frequently transfers points to airline partners
• Travels internationally multiple times per year
• Uses the $100 hotel credit annually
• Prefers travel-focused earning over everyday categories

Making the Math Work

Let's break down a real example. Say you spend:

• $3,000 annually on restaurants
• $2,400 annually on supermarkets
• $1,200 annually on gas
• $500 annually on your self-select category
• $2,000 annually on other purchases

With the Strata Premier: 9,100 ThankYou points annually (minus the $95 fee)

With the Strata Card: 16,700 ThankYou points annually (no annual fee)

In this scenario, the Strata Card earns you 7,600 more points per year while saving you $95. Even accounting for the reduced transfer ratios, you come out ahead.

Frequently Asked Questions

Can I downgrade immediately after getting the welcome bonus?

No, you must wait at least 12 months after opening your account. However, there's usually no reason to rush this decision.

Will downgrading affect my credit score?

Not negatively. Since you're keeping the account open, your credit history and utilization remain the same. If anything, reducing your annual fees could improve your financial picture.

Can I upgrade back to the Premier later?

Yes, but you'll need to wait at least 12 months and won't be eligible for a new welcome bonus. Product changes don't reset the 48-month bonus eligibility timer.

What happens to my current spending towards category bonuses?

Any progress toward quarterly spending caps or bonus thresholds resets when your new card terms take effect.

Will my card number change?

Sometimes. If your card number stays the same, you can keep using your current card until the new one arrives. If it changes, you'll need to update any automatic payments.

The Bottom Line

Downgrading from the Citi Strata Premier to the Citi Strata Card makes sense for many cardholders, especially those who spend more on everyday categories than travel. You'll keep your ThankYou points, maintain your credit history, and eliminate the annual fee while still earning solid rewards.

The key is honestly evaluating your spending patterns and travel habits. If you're not maximizing the Premier's travel benefits, the Strata Card's everyday earning structure might actually put more points in your pocket.

Just remember to time your downgrade strategically around your annual fee, and don't rush the decision if you've had the card for less than a year. Your ThankYou points will be there when you're ready to make the change.

Ready to start earning points without the annual fee? Consider applying for the Citi Strata Card to see how everyday spending can power your next adventure.

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