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The practice of signing up for a credit card solely for the loyalty points might be going out of style if American Express has its way. Locked in a battle with Chase for premium credit card products, the bank is apparently concerned with the volume of freeloaders signing up for cards simply for the points — and then closing their accounts.
As a result of the so-called churners, American Express is raising annual fees (though it is including new perks), and states it plans to “surgically remove gaming and reinvest in higher-quality, more loyal new customers.”
Points churners will no doubt find greener pastures after American Express turns its back, but the question remains: What was the company expecting when it offered such healthy signup bonuses?
SOCIAL QUOTE OF THE DAY
Love my American Express Platinum card, but now they want a $550 annual membership fee!? No longer a good value proposition… #AmexPlatinum
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American Express Will Weed Out Points-Chasing Credit-Card Churners: American Express Co. is looking to weed out customers who jump from credit card to credit card just for the sign-on bonus. Read more at Skift
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AccorHotels Invests in Turkey-Based Rixos Hotels: Earlier this week, AccorHotels announced yet another investment, marking the company’s second major deal for 2017, following its intended purchase of Travel Keys. The Paris-based hotel company said that, in an effort to expand its growth in the upper upscale and luxury market, it would enter into a long-term joint venture with Antalya, Turkey-based Rixos Hotels. Read more at Skift
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Anthony Bourdain is apparently working on a mobile app built off of his CNN TV show. Read more about the launch at Eater.
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