According to media reports, the move comes as Citigroup seeks to strengthen its relationship with US-based credit card giant American Express. At present, the banking group already issues several types of American Express cards.
The Wall Street Journal reported that the switch affected only a small proportion of the estimated 12 million American Airlines AAdvantage cards. These cards are one of the oldest affinity cards in the industry with the majority carrying the MasterCard logo, while only 10% of the portfolio bear a Visa logo.
Citrigroup has reportedly sent out as many as seven notifications alerting affected customers that they will automatically be switched to a new card with a different account number, according to Banknet360.
In a statement, cited in Banknet360, Citigroup said: We have taken great care to ensure that our customers are well informed, providing them multiple opportunities throughout the conversion process to decline the conversion and remain with their existing product or return to their previous account.
In a bid to woo customers with the new card, the bank is offering cardholders up to 5,000 American Air bonus miles after their first purchase on the card. In addition, they will receive 1.25 miles for each $1 spent on the card for the first 12 months, with a maximum earning of 10,000 miles, reported The Wall Street Journal.
