Doctor of Credit (H/T) and Miles to Memories (H/T) have reported today that American Express might partially refund annual fees in May 2020. This is because of the COVID-19 pandemic that the world is currently facing. Plus, the uncertainty of travel in the near future has rendered a plethora of Amex cards useless without any changes.
Furthermore, both sources mentioned two people on Reddit who were on the phone seeking retention offers for their Amex credit cards. And both people were told by Amex that they were planning on rolling out “a universal offer for all cards with annual fees”.
Last week, American Express announced that they will be enhancing their premium credit cards in May 2020. But they did not mention anything specific about partial annual fee refunds. This might be one of the enhancements coming in May. Or it could be a one-time event like the Chase Sapphire Reserve’s $100 annual fee credit.
This is an interesting move from American Express. And it is nice to see them doing helping their cardholders.
Premium cardholders especially should be given even more incentive to keep their cards. Between this partial refund and a benefits enhancement, American Express is repositioning themselves for the near future.
Moreover, this partial refund will also be given to mid-tier Amex cardholders. Most mid-tier credit cards cost around $100, which is considerably less than their premium brethren. But this refund could give mid-tier cardholders a few dollars back, which is a nice boost in such uncertain times.
Wait until early May to cancel your American Express credit card because you might receive a partial annual fee refund. Plus, you might receive new benefits if you have a premium card. Both of these factors could be enough incentive to keep your card another year.
American Express is following in Chase’s footsteps with their premium and mid-tier credit cards. This is great news for Amex cardholders.
No specific time frame has been given by American Express yet. However, I predict that an announcement will be made in early May. Such an announcement will be made alongside the revamp of premium card benefits.