How the Amex Platinum Card Could Save You Over $1,344 on Travel in a Year

Motley Fool

23 Jun

Here's a fun exercise. I'm going to show you how the average person could pick up The Platinum Card® from American Express and save over $1,344 on travel in just one year.

That's after the annual fee.

We'll stack the welcome offer, layer in some travel credits, and factor in monthly rewards based on regular spending. No extreme travel hacking needed -- just smart use of the perks.

Let's run the numbers…

Ratings Methodology

The Platinum Card® from American Express

Apply Now for The Platinum Card® from American Express

On American Express' Secure Website.

Terms apply

Rates & Fees

Rating image, 4.50 out of 5 stars.

4.50/5 Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.

Rating image, 4.50 out of 5 stars.

4.50/5 Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.

Credit Score:

Recommended Credit Score required for this offer is: Good/Excellent (670-850)

Apply Now for The Platinum Card® from American Express

On American Express' Secure Website.

Terms apply

Rates & Fees

Credit Score

Good/Excellent (670-850)

Intro APR

Purchases: N/A

Balance Transfers: N/A

APR

See Pay Over Time APR

Rewards

1X-5X Membership Rewards® Points

Annual Fee

$695

Welcome Offer

As High As 175,000 points. Find Out Your Offer.

This luxury travel card has some of the most prestigious perks you'll find — access to over 1,400 airport lounges, elite status with Hilton and Marriott Bonvoy (enrollment required), and spending credits worth over $1,500 in value every year. Just be ready for the hefty annual fee, which can be offset in the first year with a welcome offer. Terms apply.
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- Big welcome offer
- Substantial spending credits
- Airport lounge access
- Hotel benefits
- Flexible travel points
- Annual fee
- Limited bonus categories
- Spending credits can be complicated to manage
- You may be eligible for as high as 175,000 Membership Rewards® Points after you spend $8,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 5X Membership Rewards® Points for flights booked directly with airlines or with American Express Travel® up to $500,000 on these purchases per calendar year and earn 5X Membership Rewards® Points on prepaid hotels booked with American Express Travel®.
- $200 Hotel Credit: Get up to $200 back in statement credits each year on prepaid Fine Hotels + Resorts® or The Hotel Collection bookings through American Express Travel using your Platinum Card®. The Hotel Collection requires a minimum two-night stay.
- $240 Digital Entertainment Credit: Get up to $20 back in statement credits each month on eligible purchases made with your Platinum Card® on one or more of the following: Disney+, a Disney+ bundle, ESPN+, Hulu, The New York Times, Peacock, and The Wall Street Journal. Enrollment required.
- Enjoy the benefits of the Global Lounge Collection, with over $500 of annual value if you visit Centurion Lounges and each of our partner lounges including Delta Sky Club® lounges when flying an eligible Delta flight (subject to visit limitations) , select Lufthansa lounges when flying Lufthansa, Plaza Premium lounges and Escape Lounges, and enroll in Priority Pass Select. See terms.
- A Walmart+ membership can get you free shipping with no order minimum on eligible items shipped by Walmart. Use your Platinum Card® to pay for a monthly Walmart+ membership (subject to auto-renewal) and receive one statement credit for up to $12.95 (plus applicable taxes. Plus Ups not eligible) each month. Free Shipping excludes most Marketplace items, freight & certain location surcharges. Paramount+ Essential plan only, separate registration required.
- $200 Airline Fee Credit: Select one qualifying airline and then receive up to $200 in statement credits per calendar year when incidental fees are charged by the airline to your Platinum Card® Account. American Express relies on airlines to submit the correct information on airline transactions to identify incidental fee purchases. If you do not see a credit for a qualifying incidental purchase on your eligible Card after 8 weeks, simply call the number on the back of your Card. Qualifying airlines are subject to change. See terms & conditions for more details.
- $200 Uber Cash: Platinum Card® Members can ride or dine in style with $15 in Uber Cash each month, plus a bonus $20 in December after adding their Card to their Uber account. Use your Uber Cash on rides and orders in the U.S. when you select an Amex Card for your transaction.
- $199 CLEAR® Plus Credit: CLEAR® Plus helps get you to your gate faster by using unique facial attributes to verify you are you at 50+ airports nationwide. Receive up to $199 in statement credits per calendar year after you pay for your CLEAR Plus Membership (subject to auto-renewal) with the Platinum Card®.
- Receive either a $120 statement credit every 4 years for a Global Entry application fee or a statement credit up to $85 every 4.5 years for a TSA PreCheck® (through a TSA official enrollment provider) application fee, when charged to your Platinum Card®. Card Members approved for Global Entry will also receive access to TSA PreCheck at no additional cost.
- Shop Saks with Platinum: Get up to $100 in statement credits annually for purchases in Saks Fifth Avenue stores or at saks.com on your Platinum Card®. That's up to $50 in statement credits semi-annually. Enrollment required.
- Use Global Dining Access by Resy to access premium dining experiences. Receive Priority Notify and unlock insider access to some of the world's most sought-after restaurants with Global Dining Access by Resy. Download the Resy iOS app or log into Resy.com and add your Platinum Card® to your Resy profile to take advantage of your special benefits and discover restaurants near you.
- $695 annual fee.
- Terms Apply.

Welcome offer: ~$800

Right now, the Amex Platinum Card has one of the highest welcome offers of any top-tier travel card.

Apply and find out if you are eligible for as high as 175,000 Membership Rewards® Points after spending $8,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.

Since not everyone qualifies for the max offer, let's do our math using a lower offer. I checked my personal offer eligibility, and was offered 80,000 Membership Rewards® Points after spending $8,000 in the first 6 months. Not quite the max amount, but still a hefty offer nonetheless.

That's worth a cool $800 toward travel when redeemed through the Amex portal (and potentially more if you transfer your points to airline or hotel partners).

Keep in mind, the spend requirement on this welcome off is quite high, so if you get the card, make sure you transition your regular spending over ASAP to help you qualify.

Want to see what welcome offer you're eligible for? Check your offer and apply for Amex Platinum Card here.

Travel credits: ~$799

The Amex Platinum Card comes with over $1,500 in total value. Many of these perks and credits are surprisingly easy to use if you fly even once or twice per year.

Here are some of the travel-related credits you could use in a year:

$200 airline fee credit: Covers incidental fees like bag fees and in-flight purchases.
$200 hotel credit: For booking Fine Hotels + Resorts or The Hotel Collection stays via AmexTravel.com.
$199 CLEAR® Plus credit: This lets you skip to the front of airport security lines
$200 in Uber Cash ($15 per month, plus a $20 bonus in December)
Terms apply; enrollment may be required

Assuming you only used these credits, this is a value of $799 in the first year. That's basically the full $695 annual fee (see rates and fees) earned back, and then some.

Pro tip: My favorite travel perk isn't even on the list. The Amex Platinum Card gives you access to over 1,400 airport lounges worldwide in major cities across the world. Terms apply; enrollment may be required. I didn't factor it into our math here, but it's worth using if you get this card!

Everyday spending: ~$440

There are a few different rewards-earning categories for the Amex Platinum Card:

5X points on flights booked directly with airlines or with American Express Travel® up to $500,000 on these purchases per calendar year
5X points on prepaid hotels booked with American Express Travel®
1X points on other purchases

Let's say you spend $3,000 per month on the card (roughly $36,000 per year) for your everyday spending. And let's assume that $2,000 of that annual spend is put towards travel (earning 5X points), and the rest earns a basic 1X.

This works out to 44,000 Membership Rewards® Points, worth $440 in travel. Not bad at all, considering the majority of spending was for everyday expenses.

Total travel savings: ~$1,344

Let's not forget about the annual fee, which again is $695. This takes a big chunk out of the total savings, but it still works out heavily in our favor.

Here's all the savings added up, subtracting the fee:

Welcome offer - $800 (in author's personal experience)
Travel credits - $799
Rewards from spending - $440
Annual fee - ($695)

Net travel savings: $1,344

Of course, your actual savings may vary depending on the welcome offer you're eligible for, which credits you use, and how much spending you put on the card.

But this gives you a realistic idea of what's possible.

And honestly, if you qualify for the highest welcome offer and take advantage of more service credits, you might be looking at nearly $3,000 in annual savings. Apply and find out if you are eligible for as high as 175,000 Membership Rewards® Points after spending $8,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.

Final verdict: Is the Amex Platinum Card worth it?

If you travel semi-regularly and are willing to maximize a few benefits, this card can quickly offset its annual fee -- and then help you travel in style.

This is especially true in the first year when you qualify for a big welcome offer.

Ready to see what you qualify for? Apply for The Platinum Card® from American Express and find out your offer.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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