American Express - Rewards Plus Gold Review

Most every major credit card nowadays is offered in various "levels" that correspond to extra services and, supposedly, a degree of prestige. The majority of these cards use a type of metal to exclaim their clout to their cardholders and to the public. One of the many precious metal credit cards I have used over the years is the American Express Gold, a credit card that offers financial credit plus a little bit more.

Credit Card Benefits:

American Express Gold is a premium card from American Express that charges a higher than average annual fee in exchange for the extra services it offers. Some of the extras that you get with American Express Gold include:

No Credit Limit- With American Express Gold, there is no pre- set spending limit. With a few exceptions, you can charge what you want when you want.

Reward Points- Each time you use your American Express Gold, you earn points that can be redeemed for travel, entertainment, etc.

Travel Benefits- Car rental insurance, roadside assistance, baggage insurance, emergency check cashing privileges, and other extras are included in your Gold card membership.

Shopping Benefits- American Express Gold offers insurance on new purchases plus extended warranties and even fitness club benefits.

Entertainment- It is possible to get premium seating for concerts and sporting events plus reduced prices on tickets to non- premium seating when you hold the American Express Gold card.  

Credit Card Fees/Charges:

American Express Gold charges a higher fee than most credit cards. This fee is presently set in the $130 to $160 range, depending on the card you select. Senior citizens can save some money on these fees by signing up for the American Express Senior Gold Card. This card offers a cut- rate annual fee of less than $50 per year. American Express also has joint ventures with other financial services and it is common to receive a reduced annual fee if a customer has an account with one of these partners.

American Express Gold expects its members to pay the balance in full each month. If a balance is carried, it will be assessed an interest charge which is a little higher than that of other credit cards. There is also a late fee if the monthly payment is not received by American Express on the designated date.

Credit Card Commentary:

American Express Gold was one of the first premium credit cards and it is also the first premium card I ever used on a regular basis. I was lured into the world of American Express Gold many years ago as the result of a promotional offer that waived the annual fee for the first year.

Special benefits are the primary reason why many new customers sign up for the American Express Gold Card. Some of the benefits- like baggage insurance, ATM access, etc- are commonplace with most major credit cards nowadays. But American Express Gold offers a little bit more than the other big- name cards like Visa and Mastercard with its entertainment benefits, travel rewards, and other broad- range benefits.

I have noticed that American Express Gold continues to sweeten the pot each year with more and more benefits to keep the card competitive with other credit cards that bear an annual fee. Travel benefits are one addition and American Express probably added this one to compete with the Visa and Mastercard offers that include rewards of various types based on point accumulation from ordinary purchases. The reward points here are a little better than other cards because with American Express Gold, members have the option of transferring the reward points to their own frequent flyer or frequent hotel account, for faster accumulation of travel awards. Most Visa and Mastercard credit cards are specific to one hotel or airline and the points cannot be transferred. American Express Gold offers greater flexibility and more options.  

Interest rates on American Express Gold are a little higher than with most Mastercard and Visa accounts and this is likely intended as a way to penalize members who don't pay their bill in full each month. The overall benefits of American Express Gold are good and they easily outweigh the negatives (like having a higher interest rate) but one needs to ask themselves how likely they will be to use these benefits before they sign up. In fact, this is probably the number one consideration to make when deciding on whether or not to sign up for an American Express Gold Card. It's like choosing to stay at a fancy hotel vs. a basic hotel. The fancy hotel might have nice amenities but if you have no intention of using the amenities, then why would you want to spend the extra money to stay at a fancy place? The same is true with American Express Gold. If you know you will take advantage of the many different offers, then it would be very easy to get your money's worth from this card. Otherwise, you are better off sticking with a no- fee Mastercard or Visa.

The American Express Gold Card is a very good card overall and it offers great benefits and great customer service that can be accessed 24/7. It is a better card than the standard American Express and it makes a good choice for people who like to travel and could use the extra insurance benefits that Gold provides.