After exiting the market several years ago, Citi has reentered with a premium credit card designed to challenge Chase and American Express.

Citi’s Strata Elite Card

This card, like its competitors’ top-tier offerings, comes with an array of perks. For weekend diners, it offers 6x points on restaurant purchases made on Friday and Saturday. Shoppers also receive a $200 annual splurge credit usable at select brands including American Airlines, Best Buy, and Live Nation.

Travel rewards are also included in the package, such as a $300 annual hotel credit for two-night stays. However, most travel perks are only available when bookings are made through Citi’s travel portal, highlighting the importance of reading the fine print with premium cards.

Card Evaluation and Investment

These luxury cards can be great, but you’ll need to think about what you want from your credit card before investing,” said Brian Riley, Director of Credit and Co-Head of Payments at Javelin Strategy & Research. I have an Amex Platinum and a downgraded version of Citi Strata, and I closed my Chase Sapphire after two years. After reviewing the terms and conditions of all three, you’ll realize that the cards can more than pay for themselves—but you must learn how to use them effectively to get value in return.

According to Citi, the Strata Elite card can return roughly $1,500 per year to its cardholders. However, like other luxury cards, it comes with an annual fee of $595. This is lower than both Chase’s Sapphire Reserve ($795) and Amex’s Platinum card ($695).

If you want all three, it will cost a combined $2,000 per year, so this isn’t for the weak of heart,” Riley added. I like the Amex Platinum because it has timeless appeal. However, to maximize my return, I need to ensure that I use my Uber credit monthly and transfer my personal New York Times subscription to my American Express card.

Similarly, with Sapphire Reserve, there is an excellent credit for Apple Music and Apple TV+,” he said. However, if you prefer Amazon Music and YouTube, you will need to make adjustments. Nevertheless, you can still be a winner with Chase Travel. Similarly, Citi’s Strata Elite is terrific if you like the Citi Travel rewards.

Moving Forward in the Premium Card Market

Citi’s reentry into the premium card market is part of a larger trend where financial institutions are increasingly focusing on the affluent customer base. As economic pressures have affected everyday consumers, individuals with high credit scores have become highly sought after.

However, it remains to be seen if there is enough room for another premium credit card in the market.

Keep your eyes on the ball—these cards are great if you maximize your options, but what’s happening behind the scenes is crucial,” Riley said. Notice the role of merchant-funded rewards in enhancing the value proposition. Keep an eye on second-year benefits because they might change by 2026.