US Bank Smartly Card: 4% Cashback Changes

The U.S. Bank Smartly Visa Signature card, known for its generous 4% cashback rewards, has undergone significant changes. Initially launched with unlimited 4% cashback for those maintaining $100,000+ in deposits, the bank has now implemented restrictions for both new and existing cardholders. Starting September 15th, 2025, even grandfathered cardholders will see their rewards capped. The new structure provides a base 2% cash back on all purchases. An additional 2% cashback, bringing the total to 4%, is available on the first $10,000 in eligible net purchases per billing cycle. However, this bonus is contingent upon maintaining a combined balance of $100,000+ across U.S. Bank deposit, trust, or investment accounts, and pairing the card with a U.S. Bank Smartly Savings account. Critically, several purchase categories are now excluded from the bonus 2% cashback. These exclusions include education/school expenses, gift cards, insurance, taxes, business-to-business transactions (like advertising or construction supplies), and transactions processed via third-party bill payment services. Purchases in these categories will only earn the base 2% cashback and won't count towards the $10,000 cap. This change significantly impacts the card's value proposition, particularly for those who previously relied on the unlimited 4% cashback. The alterations highlight a trend among financial institutions to adjust rewards programs in response to economic conditions and competitive pressures. The updated terms represent a considerable reduction in earning potential for many existing cardholders, emphasizing the importance of carefully reviewing terms and conditions before committing to a rewards credit card.

(Source: https://dannydealguru.com/u-s-bank-smartly-card-nerfs-4-earning/)