Citibank's Driver's Edge is probably the best credit card deal we have in recent memory. In case you don't know, the card offers 5% rebate on every single purchase you make in the first nine months and 1% after that up to an annual cap of $500 (plus no annual free and 12-month 0% APR balance transfer option). Imagine you can get an automatic 5% off everything from movie tickets to airplane tickets on top of whatever other discounts you are entitled to. Of course, you have to redeem your rebate by submitting proof of vehicle purchase or service, but who cannot find $500 in receipts when it comes to the auto world?
However, it looks like the deal is too hot and maybe too costly for Citi to keep. If you go to Citi's credit card site, you may notice that Citi no longer publicly offers this deal. The current deal? "Earn 6% rebates on purchases made at supermarkets, drugstores, and gas stations for 12 months, 1% after that and on other purchases."
The new offer is nothing attractive; remember you can get 5% cashback on the same purchases by using Citi's Dividend Platinum card for good. (Actually, I have been a Dividend Platinum card user for 13 months now and I'm still collecting 5% on every grocery store, drugstore and gas station purchases.) Plus, you can request hard cold cash from your cashback balance anytime without submitting anything.
On the other side, Citi just sent me a notice saying starting from next month, the annual cap on the Driver's Edge card will be lifted to $1,000 a year, and rebates can be redeemed via Citi's Thank You network (which is inferior to cash of course). It is another god-send: I already accumulated $380 in just four months and I will soon redeem the money by submitting my BMW bill of sale. With this uplift of annual cap, I can surely enjoy the 5% rebate more.