American Express cards are not all the same, and the right one depends on what you spend money on

American Express offers several credit cards aimed at different spending patterns. Some reward you heavily for travel purchases, others for dining and entertainment, and a few for everyday spending across the board. The card that makes sense for you depends on three things: whether you travel, what categories you spend the most in, and whether you are willing to pay an annual fee to get higher rewards.

This guide walks you through the main American Express cards available to consumers, what each one rewards, what each one costs, and how to think about whether the rewards will actually save you money. We focus on cards you can open without a business license, since those are what most people encounter.

Key Takeaways

  • American Express cards fall into three groups: everyday cards with no annual fee, travel-focused cards with annual fees, and premium cards that cost more but offer more perks.
  • The card that makes financial sense for you depends on your annual spending in specific categories — not just the rewards rate, but whether you will actually use the benefits the card offers.
  • Most American Express cards charge an annual fee ranging from $0 to $695, and the higher fees only make sense if your rewards and perks exceed that cost by a meaningful margin.
  • American Express is accepted at fewer merchants than Visa or Mastercard in some regions, so check whether the places you shop regularly take it before you open an account.
  • The rewards you earn on an American Express card are only valuable if you redeem them — leaving points unspent for years means you paid the annual fee for nothing.

No-annual-fee cards for everyday spending

If you do not want to pay an annual fee, American Express offers two main cards: the Blue Cash Everyday and the Blue straightforward Cash. Both have no annual fee and both earn cash back on purchases. The Blue Cash Everyday earns 1% cash back on most purchases, but 3% on U.S. supermarkets (up to $130 per year, then 1%) and 1% at U.S. gas stations and transit. The Blue straightforward Cash earns a flat 1.5% cash back on everything with no category bonuses.

The choice between them is straightforward: if you spend more than $1,300 per year at supermarkets, the Blue Cash Everyday will earn you more. If you spend less than that, or if you want simplicity and do not want to track categories, the Blue straightforward Cash is the better choice. Neither card offers travel perks, purchase protection, or other benefits beyond the cash back itself.

These cards are most useful if you are rebuilding credit or if you spend less than $5,000 per year on credit cards. Once your spending climbs higher, the rewards from a no-fee card become small enough that a card with an annual fee might actually put more money in your pocket.

Travel-focused cards with annual fees

American Express sells several cards aimed at people who travel regularly. The Green Card costs $150 per year and earns 3 points per dollar on flights, hotels, rental cars, and restaurants, plus 1 point per dollar on everything else. The Gold Card costs $250 per year and earns 4 points per dollar on flights and hotels, 4 points per dollar on restaurants, and 1 point per dollar on everything else. The Platinum Card costs $695 per year and earns 5 points per dollar on flights and hotels, plus 1 point per dollar on most other purchases.

The points from these cards are worth roughly 1 cent each when you redeem them for travel through American Express, though you can sometimes get more value by transferring them to airline or hotel partners. A $150 annual fee makes sense only if you earn at least $150 worth of extra rewards compared to a no-fee card. If you spend $5,000 per year on restaurants and flights combined, the Green Card's extra 2 points per dollar on those categories would earn you $100 in extra value — not enough to cover the fee. If you spend $10,000 per year on those categories, you earn $200 in extra value, which covers the fee and puts $50 in your pocket.

The Platinum Card's $695 fee is harder to justify unless you travel very frequently or use its perks beyond just earning points. The card includes benefits like airport lounge access, statement credits for airline fees, and hotel elite status, but these perks are only valuable if you actually use them. If you fly once a year and never eat at restaurants, even the Green Card's fee will cost you money.

Premium cards with high annual fees and extensive perks

The Platinum Card and the Centurion Card (also called the Black Card) are American Express's premium offerings. The Platinum costs $695 per year and includes benefits like Centurion lounge access, a $200 airline fee credit each year, a $100 hotel credit, and concierge service. The Centurion Card costs $10,000 per year and is invitation-only; it includes all Platinum benefits plus additional perks like a personal concierge, higher spending limits, and exclusive event access.

These cards make sense only for people who spend enough to earn back the annual fee in rewards and who will actually use the included perks. A frequent business traveler who flies monthly and stays in hotels regularly might use the Platinum's airline credit and lounge access enough to justify the fee. Someone who travels once a year should not open this card. The Centurion Card is so expensive that it only makes sense for people with very high annual spending — typically $500,000 or more per year on the card.

How to calculate whether a card's annual fee is worth it

The math is straightforward but requires you to be honest about your actual spending. First, add up how much you spend per year in the categories where the card earns bonus points. Multiply that by the extra percentage the card earns compared to a no-fee card. That number is your annual rewards value.

For example: you spend $6,000 per year on restaurants and $4,000 per year on flights. The Green Card earns 3 points per dollar on both categories; a no-fee card earns 1 point per dollar. That is 2 extra points per dollar on $10,000 of spending, or $200 in extra value. The Green Card costs $150 per year, so you come out $50 ahead. If you only spent $5,000 in those categories, you would earn $100 in extra value, which means the card costs you $50 per year in net fees.

Do not count perks you might use someday. Count only the perks you have actually used in the past year. If you have never used an airport lounge, do not assume you will start using one just because the card includes access. If you have never redeemed points for travel, do not assume you will start. The card only makes financial sense if you will actually use what it offers.

American Express acceptance and where the card works

American Express is accepted at most major retailers, airlines, and hotels, but it is not accepted everywhere. Some small businesses, gas stations, and regional chains do not take American Express because the fees American Express charges merchants are higher than Visa or Mastercard. Before you open an American Express card, check whether the places you shop most often take it.

You can search American Express's merchant locator on their website, or straightforward ask at the places you visit regularly. If you do most of your spending at a grocery store or gas station that does not take American Express, the card will be less useful to you, even if the rewards rate is attractive. Many people keep an American Express card for the categories where they earn bonus points and a Visa or Mastercard for everyday spending at merchants that do not take American Express.

How American Express credit limits and approval work

American Express does not publish a minimum credit score for any of its cards, but most people who open American Express cards have a credit score of 670 or higher. American Express also looks at your income, existing debt, and payment history more closely than some other card issuers do. If you have missed payments in the past year or have very high existing debt, you may be denied even with a decent credit score.

American Express also sets credit limits differently than other card companies. Instead of a fixed limit, American Express may allow you to charge more than your stated limit if you have been a good customer and have paid your balance in full each month. This flexibility can be useful, but it also means you need to track your spending carefully — you can go over your limit without realizing it, and then you will owe the balance in full.

Frequently Asked Questions

Do I need excellent credit to open an American Express card?

Most American Express cards require a credit score of 670 or higher, though some people with scores in the 650 range have been approved. American Express also looks at your income and payment history. If you have missed payments in the past year, you are unlikely to be approved regardless of your score.

What happens if I do not use the rewards I earn?

Your points do not expire as long as your account remains open and in good standing. However, if you close the account, you lose any unspent points. If you open a card with a $150 annual fee and never redeem the points you earn, you have paid $150 for nothing, so make sure you will actually use the rewards before you open the account.

Can I use American Express points for things other than travel?

Yes. American Express points can be redeemed for cash back, gift cards, merchandise, or transferred to airline and hotel partners. The value you get depends on how you redeem — cash back is usually worth about 1 cent per point, but transferring to airline partners can sometimes be worth more.

What is the difference between American Express points and cash back?

Some American Express cards earn points (like the Green, Gold, and Platinum cards), while others earn cash back (like the Blue cards). Points are usually worth about 1 cent each when redeemed for travel, but can be worth more if transferred to airline partners. Cash back is always worth exactly what it says — 1.5% cash back means 1.5% of your purchase amount, paid directly to your account.

Will opening an American Express card hurt my credit score?

Opening any credit card causes a small, temporary drop in your credit score because American Express will check your credit report. This drop usually recovers within a few months. If you open multiple cards in a short period, the impact is larger and takes longer to recover from.