Citi and American Airlines have entered into a co-branded credit card deal, which includes five U.S.-issued cards. It was just announced that we’ll see changes to mid-range personal and business cards – we’re talking about the Citi AAdvantage Platinum Select World Elite Mastercard and the Citi AAdvantage Business World Elite Mastercard.
The cards get new benefits, although the annual fee will also be increased. Let’s look at the details and let me point out that there are no changes to the Citi AAdvantage MileUp card with no annual fee, nor to the premium Citi AAdvantage Globe card and the Citi AAdvantage Executive card.
Citi AAdvantage Platinum Card Changes: $150 Fee, New Benefits
Let’s start with the Citi AAdvantage Platinum card, which historically had a $99 annual fee, waived in the first year. The card’s annual fee will increase to $150, although the card will also get all kinds of new perks. Here are the new benefits added to the Citi AAdvantage Platinum card:
- 3x miles on eligible AAdvantage Hotels and AAdvantage Cars reservations
- 2x miles at gas stations, now extended to include electric vehicle charging stations
- 2x miles on select streaming services
- 2x miles on eligible Rides and Rails purchases
- $150 back on American Airlines flights, up from $125, after you spend $20,000 or more on purchases in the anniversary year and renew the card.
- Up to $120 credit toward Global Entry or TSA PreCheck application fees every four years
- Up to $100 back in statement credits per year on onboard purchases
- Free annual Walmart+ membership (valued at $98) for primary cardholders, offering free delivery ($35 minimum for scheduled delivery orders), gas savings and choice of video streaming
- 50% off an annual subscription to FOX One
- Travel protections, including trip delay protection, trip cancellation and interruption protection, worldwide car rental insurance and lost baggage protection.
These changes are in addition to the current Citi AAdvantage Platinum Card benefits, which include the following:
- 2x miles on eligible American Airlines purchases
- 2x miles in restaurants
- 1x miles on all other purchases
- 1x loyalty point for each mile earned through your purchases
- Up to $180 per year on Turo car rentals (up to $30 in statement credits for each eligible Turo car rental trip taken)
- 10% Savings on Eligible Travel Packages from American Airlines Vacations
- Preferential boarding on American Airlines flights for the primary cardholder and up to four companions traveling on the same reservation
- Free first checked bag on American Airlines domestic routes for primary cardholder and up to four companions traveling on the same reservation
- No foreign transaction fees when traveling internationally
Citi AAdvantage Business Card Changes: $150 Fee, New Benefits
Next, let’s talk about the Citi AAdvantage business card, which historically had a $99 annual fee, which was waived for the first year. The card’s annual fee will increase to $150, although the card will also get all kinds of new perks. Here are the new benefits added to the Citi AAdvantage business card:
- 3x miles on eligible AAdvantage Hotels and AAdvantage Cars reservations
- 2x miles on an eligible self-select category of the cardholder’s choice, options including U.S. shipping providers, office supply stores, or U.S. advertising services
- Up to $120 credit toward Global Entry or TSA PreCheck application fees every four years
- Up to $100 back in statement credits per year on onboard purchases
- 25% off a Melio subscription plan to help you manage business payments
- Travel protections including enhanced trip cancellation and interruption, lost or damaged baggage, MasterRental (car rental), and trip delay
These changes are in addition to the current Citi AAdvantage Business Card benefits, which include the following:
- 2x miles on eligible American Airlines purchases
- 2x miles from car rental companies
- 2x miles at gas stations
- 2x miles at telecommunications merchants and cable and satellite providers
- 1x miles on all other purchases
- 1x loyalty point for every dollar spent on business card purchases by each cardholder (primary and employees); Primary cardholders will also earn 1x additional rewards point for every dollar spent by any authorized user on eligible business card purchases through December 31, 2028.
- $99 American Airlines companion certificate for a single round-trip domestic flight in the main cabin eligible after $30,000 in purchases each year of card membership and renewal of card membership
- 10% Savings on Eligible Travel Packages from American Airlines Vacations
- Preferential boarding on American Airlines flights for the primary cardholder and up to four companions traveling on the same reservation
- Free first checked bag on American Airlines domestic routes for primary cardholder and up to four companions traveling on the same reservation
- No foreign transaction fees when traveling internationally
When these Citi AAdvantage card changes take effect
Although these changes apply immediately to new applicants, existing cardholders will not immediately see the changes. Starting January 24, 2027, existing cardholders (both personal and business cards) will have access to the new benefits. They will also be billed the new $150 annual fee on their next account anniversary after that date.
My Take on These Citi AAdvantage Card Changes
Essentially, we’re seeing the annual fees on the two mid-range US cards increase by $51 per year, and I’d say we’re seeing three main improvements. These include a $100 annual flight credit, a Global Entry or TSA PreCheck credit every four years, and much better travel coverage.
Obviously, I’m not a fan of credit card annual fee inflation and the general trend of cards with annual fees under $100 becoming more expensive.
However, I generally think that if you found either card interesting before, you’ll probably still find it useful afterwards. At the same time, I don’t necessarily think these changes will make the map more appealing to anyone. I would therefore consider these changes to be quite balanced and reasonable, although I would have preferred not to see an increase in fees. Then again, the cards have had the same types of fees for years, so the price increase basically matches inflation.
Random thought – with all US cards adding new onboard credits, I wish American would actually improve its selection of drinks and snacks to purchase, including shortening the minimum flight duration for items for sale. In fact, using these credits is sometimes not easy.
Conclusion
American Airlines and Citi are making changes to their co-branded credit card portfolios, particularly affecting Platinum and Business products. Both cards will see their annual fees increase from $99 to $150, while gaining new benefits including new spending bonus categories, a $100 annual flight credit, Global Entry or TSA PreCheck credit, and enhanced travel coverage.
I would probably consider these changes to be broadly “break even,” in terms of overall value propositions. I’m not a fan of the fee increase, but I also don’t think the value proposition deteriorates here, assuming you’re someone who values either card as is.
What do you think of these Citi AAdvantage card changes?
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