Visa and Mastercard have held the top two spots for credit market share for years but American Express is poised to overtake second place. That growth is partly due to the range of cards they offer and the perks those cards include.
The American Express Cash Magnet card is one of the more popular choices. Let’s look at why this cashback card could be the new card for you.
What Is the AmEx Cash Magnet Card?
The Cash Magnet card is one of the cashback options from American Express credit cards. It gives you 1.5% cashback as reward dollars on all your purchases on the card. You can also get $200 statement credit if you spend $1000 in the first 3 months you have the card.
These Reward Dollars can be redeemed as a statement credit on your AmEx bill.
Benefits of the American Express Cash Magnet Card
There are several benefits to the Cash Magnet card. One of the biggest is there is no limit on the cash-back credit. You can redeem an unlimited amount of credit over your months of card membership so if you use your credit card often, you can rack up credit quite quickly.
The Cash Magnet card also offers an option called Plan It which lets you choose what eligible purchases to pay off over a fixed number of months. You pay a fixed monthly fee on these items with no interest, making it easier to budget for big purchases.
Another benefit of this card is the American Express Shoprunner service. This feature provides free 2-day shipping from over 100 online stores, with more being added all the time.
On top of these things that are unique to the Cash Magnet card, you get benefits that are standard with most American Express debit or credit cards, including:
- Global Assist hotline, a service that provides free medical, legal, financial, and other emergency assistance
- Car rental loss and damage insurance for any rentals charged to the card
- Ticket presales for concerts and other entertainment as well as access to cardholders member-only events
- Easy balance transfers from other cards
- Chip-and-PIN security
These card offers are all included with no annual fee on the Cash Magnet card.
Who Is This Card Best For?
The AmEx Cash Magnet card is best suited for anyone more interested in cashback credit than travel miles or other types of reward points. If you use the card for most of your day-to-day purchases, including gas stations and gift cards, everything you buy effectively costs 1.5% less than the sticker price.
You’ll need a good-to-excellent credit score to qualify for the Cash Magnet card. If your credit score is a little on the low side, this card likely isn’t for you.
The Cash Magnet card is best for local purchases or travels within the US. American Express adds a 2.7% foreign transaction fee for all international purchases so it’s not a good choice for international travel.
Is the American Express Cash Magnet Credit Card a Good Choice?
Is the American Express Cash Magnet card a good choice if you’re looking for a new credit card? That depends on your needs.
If you’re looking for a cashback card to use for most of your day-to-day purchases, it’s a good choice. There’s no account opening fee or annual fee and it’s easy to track your cashback rewards.
If you travel internationally or want options for another type of reward points, this might not be best suited for your needs. The same goes for balance transfers. There’s no intro APR so you won’t save much interest if you transfer a balance from another card.