The news: Citi’s Strata Elite rollout has been pockmarked by poor customer service, per a report by The Wall Street Journal.
Key issues: Strata Elite cardholders’ accounts have been frozen for weeks. To unlock their cards, Citi is requesting that members submit additional IRS income-verification forms. Even after complying with Citi’s request, some cardholders were told they wouldn’t be informed when their cards went back online.
Affected cardholders were also told that their bonus windows would not be widened to accommodate the inconvenience, nor would their annual fees be prorated to address the inconvenience of weekslong card freezes.
Why this matters: Citi’s Strata Elite launch represents the issuer’s reentrance into the premium tier credit card market following Citi’s discontinuation of the Citi Prestige and Dividend Platinum Select Visa cards. While this card was set to compete against the likes of American Express’ Platinum card and Chase’s Sapphire Reserve card, a fumbled kickoff erodes the value of Citi’s elite tier, especially to wealthier cardholders who expect service appropriate to the price they pay in annual fees: Strata Elite’s fee is $595.
Losing these consumers could cost Citi significant interchange revenues. The top 10% of US consumers generated almost 50% of all spending in Q2 2025—the highest level since Moody’s Analytics began recording the data in 1989. And cardholders spending with a primary credit card with an annual fee of $500 or more tend to spend over $2,500 per month, more than double what other consumers charge monthly, per J.D. Power.
Our take: Amex’s Platinum and Chase’s Sapphire Reserve products look increasingly desirable as competitors fumble their entrance into the premium space. To win over former Strata Elite cardholders, Amex and Chase should advertise their card portfolios’ solid customer service performance records in combination with their impressive reward packages.
In addition, both issuers should highlight their cards’ travel rewards compatible with flying American Airlines. Former Citi cardholders may have joined specifically for AA frequent flier benefits, making travel rewards preferences critical for those members who might switch to a new product.
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