American Express is launching a new, no-fee credit card called the Amex EveryDay Credit Card that offers Membership Rewards points. Cardmembers get one point for each dollar charged on eligible purchases and an additional point per dollar on the first $6,000 of purchases at supermarkets located in the U.S. (not counting superstores and warehouse clubs). The “EveryDay” bonus offer allows cardmembers to earn 20 percent more points when you use your card to make 20 or more purchases in any billing period. You’ll earn 20 percent more Membership Rewards points on those transactions less returns and credits (returns and credits do not reduce your purchase count, but they will reduce the number of Membership Rewards points and bonus Membership Rewards points earned).
The signup bonus is 10,000 points after spending $1,000 the first three months of owning the card. Cardmembers will be able to track their spend toward the 20 transactions through an app.
Gary Leff of View from the Wing reports there is also going to be a premium version of the card for $95 that offers 1.5 Membership Rewards points on all spend, a 15,000 points signup bonus after spending $1,000 in the first three months, triple points at supermarkets (up to $6,000 per year) and double points at gas stations. Cardmembers will get 50 percent bonus points for 30 transactions in a billing cycle similar to the 20 percent for 20 transactions for the no-fee card. (Full information for this card was not available at time of press.)
Bottom line: The new cards will be available April 2, 2014. Members will typically get their 20 or 50 percent extra Membership Rewards points six to eight weeks after the billing period in which they were earned. These cards will have a spending limit, and for the first 15 months, cardholders will get zero percent introductory APR, followed by a variable rate based on your creditworthiness and other factors. Having a no-fee card earning Membership Rewards points will appeal to many, but they will have to forgo some of the perks of the other Membership Rewards cards such as earning triple points for travel and dining or access to exclusive entertainment events available only to cardmembers. Cardmembers will be able to exchange their Membership Rewards points for airline miles and hotel points. To read View from the Wing’s comparison between these new Amex cards and Blue Cash Everyday Cards from American Express, visit http://www.insideflyer.com/link/?11062