There are lots of aspects to maximizing your credit card rewards, including taking advantage of the best welcome bonuses, spending categories, and card perks.
Sometimes I think it’s interesting to break down credit card strategies by card issuer, so in this post I wanted to share my current American Express card strategy. In separate posts I wrote about my Capital One card strategy, Chase card strategy, and Citi card strategy.
For those in the points world, American Express is known for its cards earning Membership Rewards points, which is one of the major transferable points currencies. On top of that, Amex issues co-branded credit cards for Delta, Hilton, and Marriott.
Here’s a rundown of what you need to know to be approved for an Amex card, a summary of my strategy, and then which Amex cards I’m most interested in applying for.
Restrictions on applying for Amex cards?
All cards issuers have some application restrictions in place to get approved for cards. Let’s take a look at what those restrictions are for American Express, as they can impact your approval odds, and can also dictate the best strategy for applying for cards.
Amex credit cards Vs. hybrid cards
The first thing to understand about Amex cards is the distinction between credit cards and hybrid cards:
- A credit card has a credit limit, and you can finance charges over time if you want to (though you should avoid doing so unless there’s a special offer, given the high interest rates charged)
- A hybrid card (historically this would have been known as a charge card) doesn’t have a pre-set spending limit, but the big difference is unlike a traditional credit card, this card will allow you to carry a balance for certain charges, but not all
Amex five credit card limit
Generally speaking, American Express limits you to having at most five credit cards. This limit also only applies to credit cards, and not hybrid cards. It doesn’t matter how many of those five cards are personal or business, it’s just all about whether they’re credit cards.
Two Amex credit cards every 90 days
You typically can’t be approved for more than two Amex credit cards in any 90 day period. Hybrid cards are excluded from this limit.
Once in a lifetime rule
American Express welcome bonuses are all “once in a lifetime,” meaning that you can’t earn the bonus on a given card more than once. However, “lifetime” doesn’t necessarily mean your lifetime or Amex’s lifetime. In some cases people report that limit resetting after you haven’t had a card in seven years, though that’s not a published policy.
Amex application pop-up warning
While I wouldn’t consider this to be a “rule,” it’s worth understanding Amex’s pop-up warning. Even if you haven’t had a particular card in the past, it’s possible that you’ll get a message during the application process informing you that you aren’t eligible for the bonus on a card.
Amex has some sort of algorithm that decides people shouldn’t be eligible for bonuses based on certain factors, so that’s part of that. There doesn’t seem to be any sort of consistent rhyme or reason as to what triggers it, but it’s definitely something to be aware of.
Which Amex cards do I have?
At the moment I have eight American Express cards, including credit cards and hybrid cards.
I have the following three Amex hybrid cards:
I also have the following five Amex credit cards:
The information and associated card details on this page for the Hilton Honors American Express Aspire Card and Amex EveryDay Preferred Credit Card has been collected independently by OMAAT and has not been reviewed or provided by the card issuer.
How do I use my Amex cards?
As is the case with all card issuers, I have different cards for different reasons. In the case of the Amex cards that I have:
- Some I have for the ongoing perks that they offer
- Some I have for the return on spending that they offer
- Some I have for a combination of the two factors
- Some cards I’m trying to decide what to do with
Below I’ll break down the reasons I have each of the Amex cards in my wallet.
Amex cards I have for the perks
I have several American Express cards specifically for the perks they offer, even though I don’t spend much money on the cards. Let’s start with hotel credit cards.
I have both the $125 annual fee (Rates & Fees) Marriott Bonvoy Business® American Express® Card and the $650 annual fee (Rates & Fees) Marriott Bonvoy Brilliant® American Express® Card, even though I don’t spend much on them:
Between all those perks, I have no issues justifying those two credit cards.
I also have the $550 annual fee Hilton Honors American Express Aspire Card (Rates & Fees), and find it to be one of the easiest to justify cards out there. The card offers amazing benefits, including Hilton Honors Diamond status for as long as you’re a cardmember, an annual free night award, up to $400 in Hilton resort credits annually, and up to $200 in flight credits annually.
The information and associated card details on this page for the Hilton Honors American Express Aspire Card has been collected independently by OMAAT and has not been reviewed or provided by the card issuer.
There’s a $695 annual fee (Rates & Fees) on The Platinum Card® from American Express, and I primarily justify having this card based on all the perks it offers. Among other things, the card offers comprehensive airport lounge access, up to $200 in annual airline fee credits, up to $200 in annual Uber credits, up to $200 in annual hotel credits, up to $199 in annual CLEAR Plus credits, up to $100 in annual Saks credits, and more. (Enrollment is required for select benefits)
I put most of my airfare spending on this card, as it offers 5x points on airfare booked directly with airlines (up to $500K per year, then 1x points). I value Membership Rewards points at 1.7 cents each, so that’s like an 8.5% return on airfare spending, which is great.
Amex cards I have for the spending bonuses
The truth is that I don’t actually spend that much on American Express cards, though I still have some cards for these purposes.
For example, The Blue Business® Plus Credit Card from American Express is probably Amex’s single most rewarding card for spending. The card has no annual fee (Rates & Fees), and offers 2x Membership Rewards points on the first $50,000 spent every calendar year (and then 1x points). That makes this one of the best cards for everyday spending.
However, I don’t actually spend that much on the card, as I currently use the Capital One Venture X Business (review), which also offers 2x points, and has no foreign transaction fees and no caps on spending.
The Amex EveryDay® Preferred Credit Card from American Express has a $95 annual fee, and it’s a card I’ve had for many years. The card offers the following return on spending:
- 3x points at U.S. supermarkets, up to $6,000 per calendar year
- 2x points at U.S. gas stations
- A 50% points bonus when you make at least 30 purchases per billing cycle
That means if you make 30 transactions per billing cycle you earn:
- 4.5x points at U.S. supermarkets
- 3x points at U.S. gas stations
- 1.5x points on everyday purchases
However, with bonus categories on other credit cards having been improved considerably, this card isn’t quite as great as it used to be, in my opinion. I’m still deciding what to do with this card in the long term. It’s a card that Ford and I have shared for a long time for household expenses, so we’ve used it more out of habit than anything else.
The information and associated card details on this page for the Amex EveryDay Preferred Credit Card has been collected independently by OMAAT and has not been reviewed or provided by the card issuer.
Amex cards that I’m trying to figure out what to do with
As you can tell, there are a couple of Amex cards that I don’t have for the perks and don’t have for the spending bonuses, and that frankly I’m trying to figure out what to do with.
That leaves two more cards — The Business Platinum Card® from American Express, which has a $695 annual fee (Rates & Fees), and the American Express® Business Gold Card, which has a $375 annual fee (Rates & Fees). I picked up both of these cards a couple of years ago with great welcome offers.
These cards are both potentially extremely lucrative, though I’m not sure they’re a perfect fit for me:
- The Amex Business Platinum has great perks, but since I also have the personal version of the card, there’s quite a bit of overlap between the benefits
- The Amex Business Gold has some fantastic 4x points categories, but they’re not categories that I spend a lot in, and aside from that the card doesn’t offer too much value; personally I think the Ink Business Preferred® Credit Card (review) is more lucrative
When the annual fee is next due, I’m probably going to cancel both of these cards.
Which Amex cards do I most want?
Overall I’m quite happy with my Amex card portfolio at the moment, especially given my overall card strategy. I have some cards that help me maximize Amex points, while other cards help me maximize perks.
I recognize that I can’t get any more Amex credit cards right now (since I’m at the limit), though I could potentially get some hybrid cards. The card that most tempts me is the American Express® Gold Card (review), which I consider to be one of the most valuable cards out there. The card has a $325 annual fee (Rates & Fees), and offers the following, in addition to a great welcome offer:
- 4x points at restaurants on up to $50,000 in purchases per calendar year and then 1x
- 4x points at U.S. supermarkets on up to $25,000 in purchases annually and then 1x
- A variety of valuable credits, which can help offset the annual fee
I can’t help but feel like this should probably be part of an overall card strategy shift for me, and that I should:
- Get rid of the Citi Prestige, which I currently use for dining, and replace it with the lower-cost Citi Strata Premier℠ Card (review); the only thing is that I actually value the CitI Prestige more than in the past, given that it still offers credits at Priority Pass restaurants
- Get rid of the Amex EveryDay Preferred, which I currently use for groceries, and open up a new Amex credit card “slot”
- Pick up the Amex Gold, which I could use for both restaurants and supermarkets
The information and associated card details on this page for the Amex EveryDay Preferred Credit Card has been collected independently by OMAAT and has not been reviewed or provided by the card issuer.
Bottom line
There’s not a single right or wrong way to maximize credit card rewards, and this can get even more complicated if you’re splitting cards between different issuers. I’m pretty happy with my current Amex card strategy, though there are some cards I’m on the fence about.
To summarize my big picture Amex strategy:
How does your Amex card strategy compare to mine?
The information and associated card details on this page for the Amex EveryDay Preferred Credit Card and Hilton Honors American Express Aspire Card has been collected independently by OMAAT and has not been reviewed or provided by the card issuer.
The following links will direct you to the rates and fees for mentioned American Express Cards. These include: American Express® Business Gold Card (Rates & Fees), American Express® Gold Card (Rates & Fees), The Blue Business® Plus Credit Card from American Express (Rates & Fees), The Business Platinum® Card from American Express (Rates & Fees), The Platinum Card® from American Express (Rates & Fees), Marriott Bonvoy Brilliant® American Express® Card (Rates & Fees), Marriott Bonvoy Business® American Express® Card (Rates & Fees), and Hilton Honors American Express Aspire Card (Rates & Fees).