2025 has been a busy year for premium credit cards. In the first half of 2025, we saw a bit of a lull. However, things have suddenly picked up in the second half, with Amex, Chase and even Citi entering the fray.
Premium Credit Cards: Competition Heats Up
If you refer to this post, you’ll see some interesting insight into what Amex’s CEO is saying here. He was specifically asked about competition in the premium credit card space and he thought it’s a good thing with other issuers also stepping into the ring.
So, what’s really going on and how should your strategy evolve?
| Issuer | Credit Card Launched/Relaunched | Date of Launch/Relaunch | Annual Fee |
| Chase | Chase Sapphire Reserve | June 17, 2025 | $795 |
| Chase Sapphire Reserve for Business | June 17, 2025 | $795 | |
| American Express | Amex Platinum Card | Fall 2025 | *$895 |
| Business Platinum Card | Fall 2025 | *$895 | |
| Citi | Citi Strata Elite | July 27, 2025 | *$595 |
| * estimated/ to be confirmed | |||
Annual Fee Creep
Back in the day, it didn’t cost a lot to carry more than one premium credit card. Annual fees were around the $500 mark. Over the last few years, annual fees have jumped significantly with $500 now being the floor instead of the ceiling. With Chase’s latest launches, issuers are testing the waters with charging almost $800 for a single card. I won’t be surprised if Amex takes it closer to $900 with their card refresh in the Fall.
Given all that, how do you strategize? I’m surely no longer encouraged to carry more than one of these cards that carry such hefty fees. I’m not even talking about co-branded cards yet. We already have several co-branded credit cards in the $500-$600 range in terms of the annual fees they charge.
My Strategy
Here’s how I’ve been working on my card portfolio over the last few years. Post Covid-19 and the normalization of travel, my travel has primarily been international in nature. So, it makes sense for me to get certain cards over others. I carry no co-branded airline credit cards since I don’t have loyalty to one particular airline. Here’s how I go about it.
- Amex Platinum Card (Charles Schwab Version): This card gives me complimentary Hilton Honors Gold status. This is particularly valuable for me as I get full complimentary breakfast during my stays outside the US. Also, it gives me the option to cash out Membership Rewards points at a rate of 1.1 cents per point when needed.I find great use of the Fine Hotels & Resorts benefit, in addition to Centurion Lounge Access globally.
- Amex Marriott Bonvoy Brilliant Card: While this card carries an annual fee of $650, it offers me complimentary Platinum elite status and an annual fee night, in addition to $300 in dining credits each year. Platinum Elite stauts is particularly valuable and helpful while getting upgrades and also grants complimentary breakfast at most Marriott properties. Also, during my last three Marriott stays at the Ritz Carlton Krabi (Thailand), Ritz Carlton Langkawi (Malaysia) and the JW Marriott Juhu, Mumbai (India) , I’ve also been upgraded, thanks to my Platinum elite status.
That’s it! Yes, I’ve significantly pared down the number of premium credit cards in my wallet. I still carry the Chase Sapphire Preferred card ($95 annual fee). It gives me access to Chase’s transfer partners. Other than that, I’ve cut down how much I’m paying in annual fees and don’t intend to ramp up unless something changes significantly on the travel front.
The Pundit’s Mantra
As the premium credit card market evolves, how are you tuning your strategy? I don’t see any merit in carrying more premium cards in my wallet beyond a certain point. After a point, the incremental value derived barely increases by much and one ends up running around from pillar to post, only to make use of the benefits so that one can ‘recoup’ the money paid in annual fees.
In my case, with just two premium credit cards, I’m able to have mid-level elite status with two of the biggest hotel chains in the world. Also, I gain access to Centurion lounges, in addition to having Priority Pass select.
With all these refreshes happening around, how do you plan to strategize going forward? Are you looking to carry just one premium credit card or are you comfortable carrying multiple premium cards and finding good use of them? Tell us in the comments section.
___________________________________________________________________________________________________________________
Have an interesting travel story? Subscribe to my podcast and join the conversation
___________________________________________________________________________________________________________________
New Credit Card Offers
American Express Business Credit Cards
- Earn 200,000 Membership Rewards points with the Business Platinum Card
- Earn 150,000 Membership Rewards and enjoy a 0% intro APR on the Business Gold Card
Chase Sapphire Cards
- Earn 100,000 bonus points and a $500 statement credit with the Chase Sapphire Reserve Card
- Earn 200,000 bonus points with the Chase Sapphire Reserve Card for Business
Co Branded Hilton Honors Cards
- Earn 100,000 bonus points and a $100 statement credit with the Hilton Honors American Express card
- No fee for the first year, earn 130,000 bonus points with the Hilton Honors American Express Surpass card
- Earn 175,000 bonus points with the Hilton Aspire card, in addition to 1 free night certificate each year
- Earn 175,000 bonus points with the Hilton Business Card
___________________________________________________________________________________________________________________
Never miss out on the deals, news and travel industry trends. Like us on Facebook, follow us on Instagram and Twitter to keep getting the latest content!
