Kroger pulls a gas perk as pump prices set a September record

At a time when gas prices have hit seasonal record highs, Kroger has ended a partnership that will take away a key gas discount from customers.

And while the move was announced in July, it's actually hitting now, when Kroger customers arguably need it most.

"The national average for a gallon of regular gasoline continues to climb, up nearly 5 cents from last week. At $4.48 per gallon, this is the highest the national average has ever been for this time of year," AAA reported on Sept. 24.

That's not a situation Kroger could have predicted in July, when it shared that its relationship with U.S. Bank was ending. This meant the Kroger Elite Mastercard, along with the benefits that come with it, would be terminated.

"U.S. Bank will transition credit card clients with The Kroger Co. co-brand credit card to a U.S. Bank Smartly Visa card, with U.S. Bank maintaining account ownership, servicing, and ongoing client relationships," the bank shared on its website .

The new card is not affiliated with Kroger and does not come with the gas savings and other benefits the former co-branded card offered. U.S. Bank said the change "is expected to be completed this fall."

It's now fall, and Kroger customers are losing a key gas savings at a very unfortunate time.

Kroger credit card holders lose a gas benefit

Kroger shared more information on the credit card closure on its website , and not all the news was bad.

"Your Kroger loyalty account will remain active, and you will continue to earn Kroger loyalty points on eligible purchases when using your Kroger loyalty account number. Any earned Kroger loyalty points can still be redeemed for fuel discounts or grocery savings," it posted.

Still, cardholders will lose a generous gas perk.

"However, your current 5¢ per gallon fuel savings at Kroger Fuel Centers associated with the Kroger World Elite Mastercard will end when your credit card account is converted or closed," Kroger shared.

That benefit allowed all cardholders to save 5 cents per gallon, but grew to 25 cents per gallon for members who spent $6,000 a year on the credit card. In addition, to redeem the added discount, cardholders needed to redeem at least 100 fuel points.

If you spent $6,000 on the card in the previous year, you got the 25 cents per gallon discount. That means a savings of $2.50 for every 10-gallon fill-up.

Anyone below the $6,000 threshold received the 5-cent benefit, giving them a more modest $0.50 savings for that same fill-up.

The numbers aren't huge, but the end of those benefits is coming at an unfortunate time, given where gas prices are now: