Are you looking for a credit card that adapts to your spending habits? The Citi Custom Cash Card might be just what you need. With its unique ability to earn 5% cash back in your top eligible spending category each billing cycle, it’s designed to put money back in your pocket where it matters most.
In this article, we’ll explore how the Citi Custom Cash works, breaking down its features, benefits, and tips for maximizing your rewards. Whether you’re a seasoned credit card user or new to the game, understanding this card can help you make the most of your purchases. Let’s dive in!
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How Does the Citi Custom Cash Work?
The Citi Custom Cash Card is designed to reward you in a flexible way, adapting to your spending habits. Unlike many traditional cash-back cards that offer fixed rewards, this card automatically adjusts to give you the highest cash back on your top spending category each billing cycle. Let’s dive deeper into how it works, its benefits, and tips to maximize your rewards.
How the Citi Custom Cash Card Works
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Automatic Category Selection: Each month, the Citi Custom Cash Card identifies your top spending category from a list of eligible categories. You earn 5% cash back on purchases in that category, up to a certain limit.
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Eligible Categories:
- Restaurants
- Supermarkets
- Gas stations
- Select travel expenses
- Drugstores
- Home improvement stores
- Streaming services
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Other select categories
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Cash Back Structure:
- Earn 5% cash back on your top category (up to $500 spent per billing cycle).
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Earn 1% cash back on all other purchases.
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No Enrollment Required: One of the significant advantages is that you don’t need to enroll in specific categories every quarter, making it hassle-free.
Benefits of the Citi Custom Cash Card
The Citi Custom Cash Card offers several benefits that make it appealing to various consumers:
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Flexible Cash Back: The ability to earn 5% cash back on your highest spending category means you can adapt your rewards to your lifestyle.
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No Annual Fee: This card does not charge an annual fee, which is a significant plus for those who want to maximize their cash back without incurring extra costs.
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Introductory Offer: New cardholders often receive a cash bonus after meeting a specified spending requirement within the first few months.
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Access to Additional Benefits:
- Contactless Payment: For quick and secure transactions.
- Fraud Protection: Zero liability on unauthorized purchases.
- Citi Entertainment®: Access to exclusive events and presale tickets.
Challenges to Consider
While the Citi Custom Cash Card has many advantages, there are also some challenges:
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Cash Back Limit: The 5% cash back is capped at $500 in spending per billing cycle. Exceeding this limit means you will earn only 1% on additional spending in that category.
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Variable Categories: Since the top category changes monthly based on your spending, it may not always align with your preferences.
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Foreign Transaction Fees: If you travel abroad, be aware that this card may charge fees for purchases made in foreign currencies.
Practical Tips to Maximize Your Rewards
To get the most out of your Citi Custom Cash Card, consider these tips:
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Track Your Spending: Use budgeting tools or apps to monitor your spending categories. This can help you anticipate which category might be your top spender for the month.
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Strategically Use Your Card: If you know you’ll be making significant purchases in a particular category (like groceries or dining), use your Citi Custom Cash Card for those transactions to maximize cash back.
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Combine with Other Cards: If you have other credit cards, consider pairing the Citi Custom Cash with one that offers higher rewards in categories not covered by this card. This strategy can enhance your overall rewards.
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Pay Off Your Balance: To avoid interest charges, try to pay off your balance in full each month. This will ensure you keep the cash back you earn.
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Stay Informed About Promotions: Occasionally, Citi may offer promotional cash back rates on specific categories. Keep an eye out for these offers to maximize your rewards.
Conclusion
The Citi Custom Cash Card is an excellent option for those who want a flexible cash-back credit card that adjusts to their spending habits. With its automatic category selection and generous cash-back rates, you can earn rewards effortlessly. While there are some limitations, such as the cash-back cap and foreign transaction fees, the benefits often outweigh the challenges. By strategically using the card and tracking your spending, you can make the most of your rewards and enjoy the perks it has to offer.
Frequently Asked Questions (FAQs)
What is the maximum cash back I can earn with the Citi Custom Cash Card?
You can earn 5% cash back on your top spending category, up to $500 spent per billing cycle, which translates to a maximum of $25 cash back in that category.
Do I need to enroll in categories every month?
No, the Citi Custom Cash Card automatically selects your top spending category each billing cycle, so there’s no need for enrollment.
Is there an annual fee for the Citi Custom Cash Card?
No, this card does not have an annual fee, making it a cost-effective choice for earning cash back.
Can I use the Citi Custom Cash Card internationally?
Yes, but be aware that the card may incur foreign transaction fees, so it might not be the best option for overseas purchases.
How do I redeem cash back earned with the Citi Custom Cash Card?
You can redeem your cash back as a statement credit, direct deposit, or for gift cards, providing you with flexible options to use your rewards.
