【2/7 Update】AMEX quietly removed this card’s page from its website. At the same time, the old application link stopped working and now automatically redirects to the Blue Cash EveryDay link. My guess is that this card has reached the end of the road. Existing cardholders should probably still be able to use it normally and earn 5%, but they may receive a product-change notice within a few months. Given how this card went from uncapped 5% cash back to a more restricted version, it had already become less and less useful for most people, so its discontinuation is not really a surprise.
【7/21 Update】Some people received letters from AMEX claiming that a product change would better fit their needs, and were then forcibly converted to the similar Blue Cash Everyday. AMEX’s intent here is still unclear, and most existing cardholders have not received such a letter so far.
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Who this card is for:
A hidden gem, but only for experts who know how to handle it.
- Long-term keeper (cost $0): those who spend a lot on groceries and gas; AMEX Offer fans; people who can manage the card strategically
- Short-term holder (cost $0): no sign-up bonus and no annual fee, so once approved, you might as well just keep it open
My take on this card:
Back in the day, countless people racked their brains over this card. Some were able to pull in thousands of dollars in profit per month from it. Then came AMEX’s shutdown wave, which crushed many people’s money-making dreams. Even now, plenty of people still chase after this card and consider it one of the four must-have AMEX cards. I applied for this card after that shutdown wave, but honestly I never had much motivation to really maximize it, so for me it is more of a collectible.
This card used to have no cap on its 5% cash back, so some people were putting tens of thousands of dollars a month on it and collecting thousands in cash back. Eventually AMEX had enough: it shut down a large number of accounts and clawed back rewards from quite a few people. On top of that, AMEX added an annual spending cap of 50000 for the 5% cash back on new applications. Even with that cap, 50000*5% still means up to $2,500 in cash back, which remained the main reason most people applied for it.
Card overview:
Application
- Application link: None
- Approval difficulty: This card is not especially hard to get. Having at least six months of credit history is recommended before applying.
- Application status: Official application status check link
- Things to note:
- Please read “AMEX bank characteristics” before applying
- You can apply without an SSN; if your application is denied or goes pending, consider reconsideration
- Please use your browser’s incognito/private mode when opening the application link
- If you recently applied for Blue Cash Everyday or Blue Cash Preferred, wait a few months before applying, or you may be instantly denied
- This card has already been removed from the official list of available cards, so it is unclear when applications may be shut off entirely. If you are really interested, act sooner rather than later.
Key features
- Sign-up bonus: None
- Cash back earning
- 1% cash back at supermarkets, gas stations, and drugstores (first $6,500)
- 0.25% cash back on other purchases (first $6,500)
- 5% cash back at supermarkets, gas stations, and drugstores ($6,500-$50,000)
- 1% cash back in all other cases (non-bonus purchases after $6,500, or grocery/drugstore/gas purchases after $50,000)
- Once you reach 6500, you do not need to wait for the statement to close; eligible spending automatically earns 5%
- The 6500 threshold is based on the reward year, which you can think of as the 12-month period starting from the day you opened the card and ending with that cycle’s final statement
- Redeeming cash back:
- Every $25 can be redeemed as a $25 statement credit
- No annual fee
Highlights
- High ceiling on 5% cash back: Most cards either do not offer a full 5% cash back rate, or they come with a relatively low cap, such as $6,000. This card is the opposite: the cash back rate is very low for the first 6500, but after that it becomes a 5% cash back card on groceries, drugstores, and gas. To prevent abuse, AMEX added a 50000 cap, which still means you can earn up to $2,500 in cash back.
- AMEX card perks
- AMEX Offer: What? Amazon spend 20 get 20 back? Walmart 15-5? Pay your phone bill and get 75-10? AMEX is often generous with targeted offers that let cardholders earn statement credits while spending. See AMEX OFFER explained for details.
- High credit limits: AMEX is often quite generous and tends to give much higher limits than other banks.
- 3x credit limit increase: Starting on day 61 of card membership, you may be able to request an increase to triple your original credit limit through the AMEX website.
- Free ShopRunner membership: Enjoy free 2-day shipping at many online stores. See the official link for details.
- Extended warranty: Items paid in full with an AMEX card automatically get one extra year of manufacturer warranty coverage.
- Free credit score: Some users can check their credit score for free.
Drawbacks
- For the average consumer, this card is not all that useful, because earning the 5% cash back requires paying the opportunity cost of the first $6,500 in spending.
- If used improperly after approval, this card can easily trigger an AMEX Financial Review, which may also lock your other AMEX cards. You would then need to submit supporting documents such as income tax returns to get them unlocked.
Usage guide
- After getting the card, do not rush to put several thousand dollars on it all at once. Take it slow.
- You can put everyday spending on this card so your statement is not made up entirely of grocery, drugstore, and gas purchases.
- Try to spread spending fairly evenly throughout the year, for example $3000-4000 per month.
- Redeem your cash back as soon as you receive it, so you do not risk losing it if your account gets shut down.
- If you do not have the income to support the spending, it is best not to mess with this card. An FR is no joke.
- Please read relevant FlyerTalk discussions before deciding whether to apply.
Application link:
- None