American Express raises Platinum Card fee to $895 with revamped perks
- American Express has raised the annual fee for the Platinum Card to $895, which includes enhanced benefits estimated at $3,500 annually.
- The new perks include a $400 dining credit, a $600 hotel credit, and credits for athletic apparel and digital entertainment services.
- With increasing competition in the premium credit card market, American Express aims to provide greater value to its cardholders to justify the fee increase.
In New York, American Express announced a significant update to its Platinum Card, raising the annual fee from $695 to $895. This $200 increase is part of a broader strategy aimed at addressing the heightened competition in the luxury credit card market, which has seen rivals like JPMorgan Chase and Citigroup enhancing their own premium offerings. Alongside the fee hike, American Express introduced a suite of new perks valued at around $3,500 per year, which includes a $400 dining credit, an annual hotel credit increased to $600, and other credits for athletic apparel and digital entertainment. The revamped benefits aim to justify the higher fee and appeal to affluent consumers who desire premium rewards and experiences. These new perks are now available for customers to utilize immediately, showcasing American Express's commitment to delivering considerable value, as expressed by Howard Grosfield, the group president of U.S. Consumer Services at American Express. He emphasized the goal is to ensure that cardholders receive much more than what they pay for, making it easy to find worthwhile benefits that exceed the annual fee. This revision marks the most substantial refresh of the Platinum Card since 2021 and underscores American Express's determination to retain its premium clientele, despite a challenging economic environment influenced by rising interest rates.