The trick to waiving annual fee of the Chase Ritz Carlton Visa Infinite card is rather well know. It does not take a genius to figure out that the same trick probably works on Chase Sapphire Reserve as well.
I had previously shared this info through a subscriber only post I feel like it is time to turn it into a public post. I am not sure where this trick was originally shared but I may have seen it first on flyertalk.
The trick is very simple – lower credit limit to $1500 or so and don’t get charged an annual fee. Does this trick work in year two? It may be hit or miss like Ritz is in year two.
There may be some negative consequences for using this trick to waive the annual fee but I’m not aware of any such DP. The Ritz Carlton trick has existed for years yet I have not heard of anyone that got in trouble for using it. Feel free to read through the Ritz Carlton post linked above for more thoughts on this matter.
12 comments
Could you explain why lowering the credit limit to $1500 allows cardholders to avoid the AF? I think I am missing something, or is this in the agreements & conditions?
the answer might be the CARD Act. see linked Ritz Carlton post.
Thank you for bringing our attention to this loophole.
they already know.
Maybe they do. Maybe not. If they do know and haven’t closed it’s likely because the cost to implement it is higher than the current amount of people utilizing the loophole costs them.
Please explain more. Do I need to have it lowered before my anniversary date, and subsequent annual fee charge, or call in and request it after I have received the bill for the annual fee? Thanks!
before is better.
Will this work for the SPG Luxury Card??
It won’t. Amex doesn’t let you reduce the limit on that card to the necessary threshold to trigger CARD act protections.
I have received 2 years of no $450 annual fee on the Chase Sapphire Reserve (CSR) credit card because my credit limit was $1500, but the $450 annul fee is being applied on year 3 of having the card even with my credit limit still at $1,500. Has anyone been successful in not paying the $450 annual fee on the CSR after year 3? Has any had the gut to ask why Chase is charging the $450 annual fee if there credit limit is under $1,500?
> Has any had the gut to ask why Chase is charging the $450 annual fee if there credit limit is under $1,500?
why would anyone do this?
I would prefer that nobody “have the gut” to ask them. If you’ve been fortunate enough to gain the benefit of the “loophole” for a few years, what possible benefit could it be to call them to ask why your loophole isn’t working anymore? That just increases the chances of closing the opportunity for those that are fortunate to get it in the future.