What Should You Know Before Applying for an American Express Card? (Major Updates, Rules & Guide)

TL;DR

Before applying for an American Express card, understand the card type, eligibility factors, and application limits that can affect approval. Charge cards generally require full monthly payment, while the Amex Five Card rule permits up to five American Express credit cards and excludes charge cards. The guide also covers reported approval profiles and timing rules, so read on to avoid preventable denials.

Transcript

so are you considering applying for a brand new American Express card be one of the most important videos that you need to watch because American Express has a ton of rules they have regulations they have credit score requirements and there are people that sometimes even get blacklisted for not knowing these rules as someone who has multiple Americ... Read More

Key Insights

• 💳 American Express offers a variety of credit and charge cards with different benefits and rewards programs.
• 💳 Eligibility for American Express cards is not solely based on credit scores or income requirements and can vary depending on the specific card.
• 📏 There are rules to follow when applying for American Express cards, such as the Five Card rule, One and Five Rule, and Once in a Lifetime Rule for welcome bonuses.

Questions & Answers

Q: What should you know before applying for an American Express card?

Check whether the product is a credit card, charge card, or hybrid product, because their payment features differ. You should also consider your credit and income and follow American Express rules governing how many cards you may hold or receive within specific periods.

Q: What is the difference between an American Express credit card and charge card?

A charge card requires the balance to be paid in full every month and does not allow it to be carried into the next month. A credit card normally allows a balance to be carried, and the issuer sets a spending limit based on creditworthiness.

Q: Which American Express products are charge cards?

The transcript identifies the Platinum Card, Gold Card, and American Express Green Card as popular charge cards. It also notes that some newer products are hybrids combining different features.

Q: Which American Express products are credit cards?

Examples given are the Blue Cash Everyday Card, Delta SkyMiles Card, and Hilton Honors Card. Card type matters because the American Express Five Card rule applies to credit cards but not charge cards.

Q: What are the eligibility criteria for American Express cards?

Applicants are typically told they need good-to-excellent credit and must meet a minimum income requirement. The exact criteria vary by card, and the speaker says credit score and income may not be as decisive as many applicants assume.

Q: Can someone with a credit score below 700 get approved for an American Express Gold Card?

Yes, according to approval reports cited by the speaker, some applicants received the Gold Card with a 640 credit score. These are individual data points rather than a stated approval guarantee.

Q: How many American Express cards can one person have?

Under the American Express Five Card rule described here, a person can have up to five American Express credit cards open at once. The limit covers personal and business credit cards but does not apply to charge cards.

Q: Can you apply for multiple American Express credit cards close together?

American Express limits how quickly credit cards can be approved. The One and Five Rule allows one credit-card approval every five days, while the Two and 90 Day rule limits approvals to two credit cards within 90 days.

Summary & Key Takeaways

• American Express offers both credit cards and charge cards, which have different payment requirements.

• Eligibility for American Express cards typically requires a good to excellent credit score and meeting a minimum income requirement.

• There are rules to be aware of, such as the Five Card rule, One and Five Rule, and Once in a Lifetime Rule for welcome bonuses.