I have a Citi Premier credit card with all those benefits and fee free for life. However, sadly, i have to close it for a loan.
I am wondering if anyone has ever tried to 'negotiate' with the bank to 'temporarily' close a credit card and then reapply for the same card later (just a few days or a couple of weeks) and receive all the benefits associated with the original card?
Can you ask Citibank to lower the credit limit?
Lower to the minimal limit.
Oof that's tough.
Minimum for that card is 15k. Which is a fair amount. But there is no such thing as a great fully loaded card with a fee free for life anymore.
But hey you get a house.
Minimum is 10k. I have the same card and that is my card limit.
I started at 15 but later asked for a reduction. 10 was the lowest they allowed.
@capslock: Oh that's nice to know. Maybe OP can drop to 10k and see if that helps their loan application.
The Citi Signature is a good card and will likely be with me until the product is closed.
But if you need to close it ($15k is a large exposure accordinging to the bank), then close it and look for alternatives, there are something 'similar'.
Right now there is the Paypal card offer which is fee free.
https://www.ozbargain.com.au/node/635654
There is also the Coles Rewards MasterCard which is fee free first year.
https://www.ozbargain.com.au/node/636407
Both the above have points bonuses, and have low minimum credit limits, so easier for you to apply once you get your home loan.
Paypal card is fee free. I may apply for that one.
I actually closed my Coles Platinum (the grandfather card!) tonight.
The ANZ Rewards Black Credit Card is another option (for a premium looking card)
I am wondering if anyone has ever tried to 'negotiate' with the bank to 'temporarily' close a credit card and then reapply for the same card later (just a few days or a couple of weeks) and receive all the benefits associated with the original card?
If I was you I'd cancel the card as you can't 'temporarily' close it.
After you receive the card cancellation letter and get new loan, call up Citi and tell them you've changed your mind about cancelling your card.
If you're within their grace period (either 60 or 90 days after cancellation) then they can reactivate the old account for you.
Frankly I was never aware of the grace period. Not sure if they will also waive the fee for the life of this credit card. I will give it a try. Thank you.
citibank nor other banks except maybe amex now dont offer a grace period anymore since new laws came into effect a couple of years ago. best lower limit to 6 k to get your card with no annual fee for life changed to platinum . i lost 2 signature no annual fee cards because of home loan asked me to cancel them they refused to reinstate them coz new laws came into effect at that time so i was misinformed by rep, wish i had not cancelled them now i cant get them reinstated no matter how hard i tried.
Thank you for all your kind input.
Lowering the limit unfortuantely will not work in my case unless I am willing to pay tens of k.
I will try vlueInvesting's suggestion. Lets see if I am lucky enough.
BTW, i do have a coles card which is also fee free for life. I have had that card for probably over 10 years, but I had it cancelled tonight :p.
I also have to close a couple of other cards, but it will not be an issue for me to reapply them if i want (question is which amex card i should choose?). My current amex which will be closed in the next few days was initially the BMW AMEX. Hey, anyone else ;p?
Lowering the limit unfortuantely will not work in my case unless I am willing to pay tens of k.
So debt is debt… Commenters above just thought the card was empty. If you transfer that debt to another card, the bank will still treat it the same way.
Someone telling you to close the card is essentially telling you to pay down your debt. Don't just balance transfer and suddenly think you'll get a mortgage, that's not how it works…
No, i pay off my credit cards every month. This card is "empty".
I have never done balance trasfer and never need to.
The only debt I have is the mortgage.
The reason lowering the limit wont work is absolutely not what you think, but there is no point to explain in detail here.
Sounds like it’s due to borrowing capacity and having to potentially pay LMI if you keep the credit card… I could be wrong though
Accidentally done the same thing, got another citibank deal and when applied the lady said we will close the old one and I said OK. realised 2 days later and called and begged but could not re-instate it.
Still hits me to this day, free for life and 2 x Priority pass Lounge access per year (some lounges were airport restaurants with 2 x $28 free food/drink) accidently gave up, never will get an offer like that again… :(
A news for those (including myself) who currently owns the Free for life Citi Signature Card
Citi Australia just sold the business to NAB for $1.2b
https://www.smh.com.au/business/banking-and-finance/nab-buys…
Not sure any impact to existing citi cc holders
Hope we still have the free annual fee
No such thing as a temporary closure. You could try to lower the credit limit for your application, then apply for an increase after your loan approval.
If you close your card you will have to reapply, and I doubt you will be offered the free for life deal again sadly…