New credit card: Citi Forward

**boosami** · 03-05-2009, 06:35 AM

A credit card with benefits geared towards helping the user maintaining sound financials. Is this a sign that credit card companies are changing to survive in these economic times?

...or is it just a gimmick to bring in newly financial-conscious suckers?

**kork13** · 03-05-2009, 02:09 PM

either way, .... wow. that's cool! I didn't delve into the details too much, but I'm certain there are also some limitations on certain things... for example, I did notice that the rate reduction was only able to decrease your APY by up to 2%--no more. But in any case, it does look interesting, and at least initially seems like it may be a good idea on Citi's part--offering good perks tends to draw the crowds, both the good and bad users of credit.

**sweeps** · 03-05-2009, 02:17 PM

kork: The APR is a non-issue, IMO. No one should carry a balance on a credit card* -- the interest rate is simply too high. Even if someone had no choice but to carry a CC balance, they should not even consider a rewards card such as this. Instead they should seek out a card with a low fixed APR.

* unless of course they're using a 0% interest promo

**kork13** · 03-05-2009, 02:22 PM

Originally posted by sweeps View Post

kork: The APR is a non-issue, IMO. No one should carry a balance on a credit card* -- the interest rate is simply too high. Even if someone had no choice but to carry a CC balance, they should not even consider a rewards card such as this. Instead they should seek out a card with a low fixed APR.

* unless of course they're using a 0% interest promo

oh, i completely agree.... I was simply trying to highlight that there are likely some "gotcha's" hidden in the fine print that your average consumer might overlook. limits on the benefits, expirations on the points/rewards program, and so on.

while you and I both know that rewards are meaningless if you carry a balance, many people simply see the positives, and forget/ignore the negatives or potential dangers of it.

**sweeps** · 03-05-2009, 02:36 PM

Originally posted by kork13 View Post

oh, i completely agree.... I was simply trying to highlight that there are likely some "gotcha's" hidden in the fine print that your average consumer might overlook. limits on the benefits, expirations on the points/rewards program, and so on.

while you and I both know that rewards are meaningless if you carry a balance, many people simply see the positives, and forget/ignore the negatives or potential dangers of it.

Ok, got it... You're saying someone with poor credit habits might look at this card and think... Cool if I just pay my card every month I can get my interest rate to go way down.

I think not only is 2% the maximum reduction, but it takes 3 billing cycles just to drop it 0.25%. I agree that's definitely a marketing gimmick.

**Russell** · 03-05-2009, 02:39 PM

What does a point equal? Do you get a rebate check after certain points?

**Pitman** · 03-06-2009, 04:21 AM

Originally posted by sweeps View Post

100 points each billing cycle you pay on time and stay under your credit line
(found at slickdeals)

WOW, I nearly fell out of my chair after reading this one. If there wasn't a sign that times is changing before, this "reward" definitely shows where CC companies should be headed in the near future.

CC companies catering to their customers.
Priceless

**SnoopyCool** · 03-06-2009, 04:41 AM

I still like cash back better (I think... I assume that points mean you "buy" things online through them, like tv's and such).

That's a lot of points, though!

**Ima saver** · 03-06-2009, 05:45 AM

I have the chase reward mastercard. I get back a $50 check every month. My interest rate is 12% but I have never paid a dime in interest cause I pay it off every month.

**kork13** · 03-06-2009, 05:58 AM

Originally posted by SnoopyCool View Post

I still like cash back better (I think... I assume that points mean you "buy" things online through them, like tv's and such).

That's a lot of points, though!

I agree with SnoopyCool--I prefer cash-back, so I don't have to mess with accumulating the 'right' number of points... they just give me back whatever rewards i've earned, whether $.03 or $30.

Typically, in terms of cash-in value, points normally are worth 100pts=$1. But if you redeem for cash at lower point values (<5k-10k pts?) they tend to be only 100pts=$.75. Also, the merchandise you choose from online is outta whack--for example, 25k points for radio that would otherwise cost you $150. For these reasons, I've learned to prefer cash back. oh, one more thing--cash back you've received can't "expire" like points can (in some cases).

...in fairness, some programs give you a decent break, like on airline tickets or hotel stays.... for example, one of my CC's gives $300 off an airline ticket for 25k points.

**noppenbd** · 03-06-2009, 06:31 AM

Still love my Chase Freedom. We are average about 2-2.5% back, and get a $250 check every 5-6 months.

**red92s** · 03-06-2009, 07:59 AM

The pretty little chart of a declining APR they have on there is non-linear (not a straight line, which it should be). I know the curved line looks cooler and plays with the card design better, but it's a lousy chart.

New credit card: Citi Forward