Doctor of Credit has reported on an image we have also seen in our Facebook group of a letter that has apparently been sent to U.S. Bank Altitude Reserve cardholders indicating major changes coming to the card in December 2025. To my knowledge, none of the members of the Frequent Miler team have received this letter (several of us have the card), but assuming it is legitimate, it looks like the Altitude Reserve will see a slew of major changes coming in December.
U.S. Bank Altitude Reserve December 2025 changes at a high level
Here’s a high-level summary of the most important changes listed, which are all scheduled to take effect on December 15, 2025 according to the letter:
- 3x Mobile Wallet purchases capped at $5,000 per month (then 1x). This is a change from uncapped 3x mobile wallet earnings (when paying via mobile payment methods like Apple Pay, Google Pay, or Samsung Pay)
- $325 travel and dining credit changed to $325 credit for travel booked through US Bank Travel Center
- Redemption value dropped to $0.01 per point for travel or deposit to a US Bank checking account (or less for other redemptions). That’s a 33% devaluation from the current value of 1.5c per point for travel redemptions through US Bank Travel Center or Real-time mobile rewards.
- Transfer points to other airline and hotel loyalty programs. No details are given as to which programs or transfer ratios
- Earn 10x on hotels and car rentals & 5x on flights booked through US Bank Travel Center
Again, note that the above changes are all slated to take effect on December 15, 2025 according to the letter being circulated.
Quick Take
My immediate reaction to these changes is very mixed. I expect that many cardholders will have a knee-jerk reaction to a set of major changes to a widely beloved card and I don’t disagree with feelings of disappointment overall. It’s certainly a bummer to see a cap on mobile wallet earnings and the 33% devaluation on redemptions is a massive hit that may prove to be a nail in the coffin for many cardholders. That said….
- I think the $5K/mo cap on mobile wallet will be reasonable for most folks. I know there are people who have been exceptions to this, but I bet a lot of cardholders were already under this cap. I could still see this being the perfect card for my wife now that I finally have her used to using tap to pay. Whether she’s picking up groceries at a wholesale club, paying for a car repair at the shop, getting a massage, or even paying at an actual supermarket or restaurant, she’d still be effectively getting 3x on all of her purchases without having to juggle multiple cards. If we maxed out mobile wallet at 15,000 points per month, that’s 180,000 points per year — not a bad haul (though we probably won’t). And if we took a cruise or paid for a large hotel bill, we’d just have to remember to insert the card in the payment terminal to earn 3x on all travel still (without that cap).
- Transfer partners could be huge! I’m particularly excited about this and interested to see which transfer partners U.S. Bank might offer. If they offered 1:1 transfers to popular transfer partners, I’d still be pretty happen with 3x mobile wallet spend! The loss of 1.5cpp redemptions will sting, but it’ll sting less if we can get 3 transferable points per dollar spent on a wide range of purchases. But will they transfer 1:1, or will U.S. Bank make this wildly complicated? Will U.S. Bank bring Korean Skypass back into the fold for a transferable currency for the first time since Chase Ultimate Rewards ended its partnership with Skypass in 2018? Could U.S. Bank pull out a complete wild card partner like Amtrak? Probably not on the latter, but I’ll be excited to see what comes of the transfer partners.
- Redemption value decrease to $0.01 per point is devastating. The best thing about U.S. Bank’s program has been the ability to use Real-time Mobile Rewards to erase travel purchases at a value of 1.5c per point. That has made it possible to pay for travel directly with travel providers, repeating the full benefit of that, but redeem at 1.5c per point. The drop to 1c per point is a massive, massive loss. The flip side of this is that the system has been buggy. We’ve kept a resource of what works, but over the past couple of months, I’ve had multiple purchases that clearly should have been eligible (like Marriott properties in the US) that have failed to trigger any text message, leaving me to pay the full cash rate when I wanted to use my points (that stung on one prepaid rate I booked specifically because I thought I’d erase with points). If you had given me a choice to keep Real-time mobile rewards or get a really good set of transfer partners, it might have been a toss-up for me. But I’m sure that many folks would have gladly kept 1.5c per point via Real-time mobile rewards. There’s no doubt that this hurts.
- The change in automatic travel & dining credit to a US Bank Travel Center credit stinks. I never even thought about using this card’s annual $325 travel and dining credit. I just used this card to pay for stuff as I usually would and I’ve earned the travel credit within weeks each time. Having to make the effort to book $325 in travel through the US Bank Travel Center will be really annoying. Given that I most often travel with a family of four, it probably won’t be hard for us to use this booking a single flight somewhere, but I hate that it won’t be automatic and will instead require effort. That said, I did recently book some JetBlue flights through the US Bank Travel Center and I’m glad to report that the process was easy. The flights showed up in my JetBlue app and I was even able to make changes via JetBlue without issue. I’m still not thrilled with the change though.
In short, I don’t think these changes are the end for the Altitude Reserve card. In fact, I’m sure I’ll still keep the card if these changes come to pass, but I’ll shed a tear or two along with everyone else who will miss the simplicity of an uncapped 3x on mobile wallet combined with the chance to get 1.5c per point for travel redemptions. There’s no doubt that this card will be far less of a no-brainer for many than it has been for years. Here’s hoping that U.S. Bank surprises us with a terrific set of transfer partners.
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Holy crap does this stink! It is my go to everywhere else card for in person since it is a legit 4.5% cash back card if you have any idea how to play the game. Now, if they would add Hyatt or something of very high value, I may hang onto it, but the credit issue for travel and dining will make me think long and hard about it.
In a year with a lot of bad credit card news, this is by far the worst. And we still have 5 months left…
For me, it’s always been a pretty awful card. What purchases do you do with a mobile wallet at 3X? My large non-business purchases are usually made online, so it is much better to use a shopping portal. For groceries, Amex and Citi offer better multipliers.
Oh man, you don’t get how this game is played at all. It’s all mobile wallet payments, not just tap-to-pay mobile wallet payments. I paid my $20k roofing bill using Apple Pay because my contractor invoiced through QuickBooks, which accepts Apple Pay.
It’s a great catch-all card via mobile wallet if you have travel expenses and don’t want to keep track of different cards for different categories. Effective annual fee is (was) low after very easy to use credits. One of few Priority Pass memberships that includes restaurants (though I think # of visits are capped) and free authorized users can get PP as well.
Is 2025 the most disappointing year ever for credit card reward devaluations? And we haven’t even heard from Amex yet.
We have. The Business Platinum is losing its 35 percent rebate for Pay-With-Points. With all cards, the transfer rate to Emirates is going to 0.80. Perhaps other items.
I just used this card on a trip and thought, “man, this card is so good, it’s gonna get nerfed soon.”
I do remember doing a survey for this card a couple months back. I said I would be interested in transferable points. But the 1.5x RTR devalue is huge – I will miss using it as a “slush” fund when hotels pre authorize a higher charge.
That said, I wonder if their portal will keep attractions (Bilt got rid of theirs). Between a hotel stay and a few attractions, that $325 credit devalue is swallowable (after all, the dining credit came out of covid and was just TOO EASY.)
I don’t have a ton of confidence in their transfer partners. Wells Fargo started out decently but has since gone quiet. I’m assuming they will have the typical international ones. Domestically, adding Choice and Wyndham don’t scream “premium” card. The other major hotel chains are locked in with Chase and Amex.
As someone mentioned, the Aeroplan card is looking good for the PYB at 1.25 (or 1.625 popularized by Dugroz) but they haven’t confirmed pay yourself back for 2026 yet and didn’t last year until very late in the year…
Don’t think I would cancel right away, but may ask for retention offer.
This makes it close to the VX honestly.
Bilt is a transfer partner with every major hotel network. In February, Bilt’s no-fee version of its card will likely be 1.5X on all spending (plus the odd perk category). Marriott transfers with a bonus. Not overwhelming but it’s something.
Maybe not a fit but the new Citi Strata Elite has 1.5X on “all other” spending. It has its own stable of hotels. 1:2 to Choice.
Just trying to think of alternatives.
Terrific set of travel partners? Even if they have a set of travel partners, like Chase, Amex, Citi, or Bilt, it would still not be terrific enough to justify keeping this card after the changes. I know you said you will keep it. You have ways to use the travel credit at a reasonable value. Most people do not. I travel a lot and have a very hard time using Venture X travel credit. Whenever I want to use it, I can basically buy the same hotel/flight/rental car with about half the price elsewhere (cash or points/miles). I eventually use the credit, but its value is $150 to me instead of $300. US Bank will probably be the same, which completely nerfs the card. At this rate, Venture X is a better proposition. It earns 2 points everywhere, has its own lounge network, a true priority pass, 10,000 annual points …
Adding to your thoughts, even if US Bank were to have the exact same travel partners as the other banks (combined), it comes down to earning multipliers. It’s hard to imagine that US Bank’s earning multipliers will do anything but match those seen at the other banks (at best). So, from a travel card standpoint, it would be just another card. Nothing of incremental value.
The differentiator is 3X on mobile wallet. That’s it. Groceries and gas are easily 3X to 5X with other cards if one wants. What’s left is “all other” spending. 1.5X to 2X is easily obtained with other cards. I think most people (excludes MSers) don’t have enough mobile wallet spending to justify a dedicated card to bring all other Spending from 1.5X/2X up to 3X.
Simplicity has a value. And, I think most people will not find *sufficient* incremental value with the card.
I have to assume Chase ending the reserve 1.5x emboldened them for this. Chase Aeroplan suddenly looking like a good option for those of us family of 4 economy fliers with very little flexibility. It can be frustratingly hard to beat 1.25cpp under this booking paradigm, I find.
If there’s a sportsbook that’s enough of a sicko to take a bet on this, I’d put a lot of money on the Aeroplan card’s 1.25x PYB dying on 12/31/25.
Getting Korean back would be a game changer.
Sounds like the UBAR wants to be a venture x but may miss the mark unless more enhancements are made. I think the smartly stuff caused some pain points and they are trying to recoup.
Both get 5x flights 10x hotels and car rentals
3x mobile wallet vs 2x on all
Venture x has better travel protections where the Usbar has purchased protection.
Current effective annual fee on vx is basically 0 vs 75 dollars.
Lounge access the vx is better but the 8 pp individual have restaurants and can be used for more than one user.
I find the travel portal to be better with capital one.
Overall the vx may be better especially paired with a savor card.
Once the VX changes the PP and lounge access, the USBAR becomes more interesting in the same category. 8 PP visits may be enough for a lot of people (especially if you are getting lounges on your big international trips already), and the flexibility here to use them on family members might be of interest. I doubt my spouse and I would use more than 8 visits a year, or at least it wouldn’t be painful to have that limit.
I think the real key is the transfer partners. Scrapping the RTR makes this card very unappealing to the cash back crowd that loved this card. To get the more traditional points and miles customer, you will have to bring something to the table. Skypass would be something interesting. Hotels are a really tricky problem (I think the Citi stable is the best path right now).
Probably the card P2 and I use the mostest. Real time rewards has been buggy of late tho. Still what a bummah.
I’m cash poor so the ability to book hotels for 1.5 cpp when brand hotels are not available (to use their own points), opened a lot of doors! I know their hotel portal often has inflated values, 10 to 20%. Still a great deal. I knew this day was coming but it really stings. Unless they have a unique useful transfer partner, this card becomes secondary. They are removing so much value and so far adding nothing. And I bet they will raise the annual fee. Does this mean they might debut the card again and make it available for new apps?
I don’t know, but I think it’s reasonable to assume that if they’re tinkering with it this much, they will probably bring it back for applications. I don’t think it would be worth building a transfer partner program for a card they never intend to offer again.
for a lot of people when you incorporate the AF, you need to spend like 20K a year to beat a 2% card no?
No. The net cost is only $75 on this card. Plus it has great benefits: primary car rental insurance (good as Sapphire Reserve), fantastic trip delay insurance (same as Platinum but better bc doesn’t have to be round trip), plus 8x priority pass works at restaurants and experiences, plus 90 day return protection. It’s best in class in a number of categories (but doesn’t have a lounge network). Nick pointed out one weakness though: no lost luggage insurance. However, that doesn’t matter if you don’t check bags.
by net cost I mean 400 minus the 325 travel credit.
That’s a really hard question to answer in a universal way.
For starters, it really depends on how you value the travel credit. I’d still personally value it pretty close to 90% of face, which puts it a little under $300, but let’s call the annual fee a net $100 to keep the math simple.
If you spent $10,000 on a 2% back card, you would have $200. If you spent $10,000 a year on this card at 3x mobile wallet, which is less than $1,000 a month, and you redeem those points at $0.01 per point towards travel or a checking account deposit, you’d have $300 – making up for the net annual fee of $100.
You would of course have to adjust depending on how much you value the travel credit. And then you also might have to adjust depending on how the transfer partner program works out. Our Reasonable Redemption value for most transferable points is around 1.5 cents per point. Will US Bank points be worth that much? Will they be worth more or less? I have no idea, but that will obviously affect the value proposition.
Obviously it also depends on how much you spend with mobile wallet purchases. My family would easily spend more than $1,000 a month between a couple of trips to a warehouse club store, paying for stuff like museum entrance fees and whatnot when we travel, my wife paying when she gets her nails or hair done, the occasional trip to Lowe’s or whatever, etc. At 3x instead of 2%, I’ll probably still be happy to earn 3x. The math certainly may be different for you.
thank you for the explanation.
You value $325 credit at under $300? Seriously, Nick, I don’t believe you.
Yeah same. I can see discounting it a few bucks just to account for the pain in the ass to remember to use it every year, but iirc you earn points on travel credit purchases on the AR. So it should be pretty easy to even use the USBAR in conjunction with a shopping portal and book a first party hotel stay or whatever and still earn points normally both through shopping portal and on the card itself. And the 3x you earn on creditable purchases is market competitive so it’s not like you’d earn a ton more using, e.g., a Gold or CSR on dining or hotels.
The $325 travel credit is (was) worth face value for very obvious reasons. The same obvious reasons why the points were worth $0.015 cash.
If the easy $325 travel credit remained I’d been on board with keeping this, even with the loss of the beloved 4.5% effective rebate on purchases. However, I do not want to have to do another travel portal. I don’t do many cash bookings and have to give it extra thought to use the Venture X travel credit, but that’s worth it because the benefits are so great, especially since I live in DC and enjoy their lounge/restaurant whenever I fly. However, I can only do so much of that spend and this card doesn’t offer the same level of benefits. As for the point xfers, I have over 2 million points collecting dust but my AR points never got stale. Unless I start paying for more cash airfares (have a ton of points and a SW companion pass now), it’s going to be hard to keep this, even though it’s been my favorite for years.
I understand and mostly agree with your assessments here, but I chuckled to myself a bit as I read your comment. In a nutshell, you say:
1) you’d keep the card if the $325 automatic travel credit remained
But
2) you don’t do many cash bookings
3) You have over 2 million points collecting dust (which insinuates that you don’t do many award bookings, either)
Still
4) This card has been your favorite for years because it offers the chance to get 1.5cpp toward cash bookings and because of this your AR points never got stale.
I totally understand that you were probably using your points for hotel bookings, Ubers, car rentals, or even flexible travel bookings, but I could totally see someone else reading your comment and being very confused.
I agree that changing the travel credit is a big time hit. And in my case I was probably as likely to use it on dining via tap to pay at counter service type places, so I hear you loud and clear. I’ll probably still end up using it for one booking a year, but I’m annoyed that I have to remember to do that now. And figure out when my anniversary is so I make sure I do it in between.
I think he really knows how to use this card, and you know too.
Car rentals make the travel spend automatic, and even without any travel spend there are ways to redeem the points. I am making a lot of award bookings, but my wife is an immigrant and even though legal it is still stressful and involves some risk to go through immigration, not knowing what the whims of the day will be. So with the tons of Southwest points and a companion pass (from one biz card earned in Jan) we are flying domestically this year. Plus we get lots of Amex and Cap1 points from my father and from all the bonuses this year (we’ve gotten four Hawaiian cards this year, 3-4 AA cards, many Chase, etc.). I’m more like Tim in that we don’t have kids and always have plenty of points for airfare so I’ve been trying to focus more on getting hotels instead.
I think the vast majority of people, even savvy points folks like me, have hordes of points that sit around for a long time and don’t get used. I have a flexible job (professor) but even with that I’m not going to cross an ocean mroe than 3-4 times/year, and I think that applies to 99% of people (aside from full time travel bloggers). I would guess even most FM readers, or at least those w/o kids, have huge caches of airline points that sit idle. At the very least, you can never use every last drop of points but you can always use every last drop of cash back.
I’m with you honestly. I’m pretty damn sick of the travel portal credits, particularly with so many internet horror stories of people booking through portals and being left out in the cold when something goes wrong.
Your booking is also generally deprioritized relative to those who book direct for nearly every booking type (air, hotel, and rental cars will all generally “walk” third party bookings before direct channel bookings). Losing 1.5x RTR is a big hit but, like you, for me losing the ability to use the credit on dining or direct channel bookings is a much bigger hit for keeping the card’s value.
Man_Crying.GIF
Another one bites the dust.
Just when you thought it was a neck and neck race between Chase and Southwest for the Bonvoyed of the Year award; US Bank joins the race.
The loss of 1.5CPP any travel redemption is huge because even if they obtain transfer partners, Avianca, Avios, Aeroplan, AF, Virgin Atlantic etc. pretty much routinely sell their points for less than 1.5 cents. Hard to imagine US Bank getting AA, Alaska, United or Hyatt as a transfer partner.
The only possible, realistic unique add would be Korean Air and honestly if USB does add KE, good chance KE miles are about to get less valuable.
I highly doubt there are enough people with enough Altitude Reserve points who also have enough interest in the Korean Skypass program for transfers from US Bank to cause Korean miles to become less valuable.
It’s certainly possible that the transfer program will turn out to be a nothingburger, but if they get Aeroplan and Avianca and the other usual suspects and maybe maybe if they got something like Choice privileges at 1 to 2 and Accor at a decent ratio and maybe a partner or two that we don’t see coming – maybe they get Sonesta and SAS and maybe they get an airline program like Spirit or Frontier – I could see this card looking more appealing than the strata elite still!
Better than the Strata Elite is a pretty low bar!
I’m just on guard for KE devaluing points in general. They tried back before making a play for Asiana then rolled back their changes as a result of pressure from regulators ostensibly to get the Asiana merger to go through. Wouldn’t surprise me if, now that they’ve formally absorbed Asiana, they give a big devaluation a whirl again and also start selling miles again, this time with their co-brand issuer. They also severed their partnership with Marriott transfers in the last year as well. Mostly a “devaluation is gonna happen but USB transfer partner may be a cover” type worry but still.