Citigroup just rolled out a new credit card called Strata Elite. If the name doesn’t make it obvious enough, it’s a high-end credit card with an annual fee of $595. It’s the bank’s way of competing in the increasingly lucrative premium market.

Kevin Ruiz in Santa Cruz, California, recently got a message about his Chase Sapphire Reserve card. The annual fee is increasing, from $550 to $795. “Enough that I was thinking about canceling it,” he said.

Ruiz said he’s not using as many of the card’s benefits because he’s traveling less for work. Plus, he’s saved so many points — more than 1.5 million. 

“I’ll try to look something up and it’s just so convoluted, you know, like, how do you transfer to different airlines or different hotels or whatever,” he said.

Credit card companies, of course, bank the annual fees even if cardholders don’t use the perks. Nick Ewen, senior editorial director at The Points Guy, who has 25 credit cards, said card issuers are also increasingly making money by expanding their offerings.

“It used to be that these cards were focused on travel. Travel, travel, travel,” he said.

Cards used to lean on lounge access and hotel status upgrades. Now? It’s all about dining and food delivery credits and Uber One subscriptions.

“They really want customers using the cards on a regular basis,” Ewen said.

Banks want their card to become your go-to way of paying. And credit cards have higher processing fees than debit cards.

Plus, the competition over card sign-ups is getting tough — 82% of Americans already own at least one credit card, according to the Atlanta Federal Reserve.

Stephen Kates, a financial analyst at Bankrate with eight credit cards, said people are getting smarter at maximizing benefits. “The knowledge piece of it is more widespread,” he said.

The credit card subreddit r/CreditCards has 1.5 million subscribers.

The biggest driver behind the premium card push though, is the growing number of high earners.

“I think the luxury lifestyle is more accessible to more people. It’s more in demand than ever,” Kates said.

The new card from Citigroup includes credits for Blacklane, a luxury chauffeur service.