Rewards targeted to travelers and big spenders
The rewards structure of the American Express Business Platinum card is designed to encourage large purchases and business travel. The card awards 2 points per dollar to travel purchases booked through the American Express website and a special rate of 1.5 points per dollar to purchases greater than $5,000. General spending, on the other hand, earns a meager rate of 1 point per dollar.
The average small-business owner who doesn’t fit the card’s spending profile may find the rewards rate less than impressive and will likely be better off with one of several cash back business cards that offer a higher rewards rate on common business purchases.
Industry-leading sign-up bonus
American Express’s new sign-up offer grabs attention. The card is offering 100,000 bonus points to new cardholders. This a massive number of points – one of the largest offers currently available and more than twice the size of the average sign-up bonus.
Alas, if you dive into the fine print, there is a huge catch. Half of those points are awarded when you spend $5,000 in the first three months. To earn the other half of the bonus, you must spend an additional $10,000. In other words, you must spend at least $15,000 in three months to earn the full 100,000 bonus points. Spending that much in three months may be far beyond the means of many cardholders.
High annual fee
The $450 annual fee is the other major drawback of the card. Unlike some cards, American Express doesn’t waive the fee in the first year. However, cardholders who spend a lot on business travel can take advantage of the card’s numerous travel credits to help cancel out the fee. Also, for cardholders who enjoy luxury travel perks, the card’s features are well worth it.
Luxury travel perks
Travel perks are where the American Express Business Platinum card really shines. The card grants free access – along with two guests – to more than 900 airport lounges worldwide. Among these are the limited but fabulously plush Centurion lounges located in a smattering of U.S. airports. Additional travel benefits include a $200 credit for travel fees (including baggage and airline fees), and a $100 credit for TSA PreCheck every five years. The card also charges no foreign transaction fees, a plus for world travelers.
Cardholders who also are members of the Starwood Preferred Guest program will get an immediate upgrade to gold status. If you already own the American Express Starwood Preferred Guest card – which also grants elite status – this may be a moot point. Gold status comes with great benefits, including a 50 percent bonus on Starpoints, room upgrades and more.
In addition to Starwood hotel perks, cardholders can enjoy benefits and discounts at a variety of luxury hotels through American Express’s Fine Hotels and Resorts programs. These hotel perks, such as free room upgrades and hotel credits, can be worth hundreds of dollars.
American Express OPEN benefits
Numerous business benefits also come with the American Express Business Platinum card. The American Express OPEN program makes card management easy for business owners, offering free employee cards at no extra charge, individual spending limits on employee cards, mobile apps that allow you to track card usage, and the ability to assign another party to manage the account. The OPEN savings program lets business owners glean a little extra value from their purchases – business owners can opt to receive either a 5 percent discount or 2 bonus points per dollar on purchases made through participating merchants.
Reasons to get it:
- You’re a business owner who spends a large amount on business travel.
- You tend to make large business purchases and can easily meet the spending requirements to earn the card’s bonuses.
- You are searching for a card with a large sign-up bonus.
- You enjoy luxury travel and perks.
- You want a card with free airport lounge access.
- You travel frequently enough to make use of the card’s travel features.
How to use it:
- Be sure to spend at least $15,000 in the first three months to unlock the card’s 100,000 sign-up bonus.
- Charge large business purchases to the card to earn the card’s 1.5 bonus rate (be sure to read the fine print to see which purchases qualify).
- Be sure to designate an airline to earn your travel credit for baggage and airline fees.
- Enroll in the OPEN savings program to earn discounts on your business purchases.
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