the Jebba Journal: Fifth Edition
What premium card I use and why
Hello all, it’s been a while but we are back! I’ve been doing a bit of travel, celebrated a birthday, and signed a lease to move into San Francisco, but most importantly, have been drumming up some *content* for the Newsletter. If you are new here, feel free to check out my homepage and read up on my previous posts going over some of the basics.
Recently, a friend asked which Chase card I use, the Sapphire Reserve or the Sapphire Preferred. I let them know I have the Sapphire Preferred, but I actually highly prefer the American Express Platinum Card. I haven’t talked much about Amex yet, so now seems like the perfect time to go over my favorite credit card. Which is saying a lot, considering I have 17 to choose from.
Amex Platinum is my one “premium” card that I don’t plan to cancel or downgrade anytime soon. The annual fee is a whopping $695, but it comes with a ton of annual credits that justify that cost, for me.
Annual Credits
I won’t lie, these credits are applicable to most people but are kind of a pain in the ass to use. Many people on the internet love to refer to the card as the “Amex Platinum Coupon Book.” Some monthly credits are “use it or lose it.” Others reset after every 6 months, every year, or even every four years. So, a lot to keep track of.
Rather than list out every credit myself, I’ve conveniently linked an article that goes into more detail. It also talks about ancillary benefits, like lounge access and hotel status, that they assign a dollar amount to. I would take all of that info with a grain of salt since it’s highly subjective and instead focus on the statement credit section.
Of all of the credits offered, I mostly utilize the Uber credits, the airline incidental credit (which you can use for airfare with some extra workarounds), the digital entertainment credit, and the Fine Hotels & Resorts (FHR) credit.
Keep an eye out for my next newsletter where I’ll talk a lot more about the Amex FHR program.
I get about $875 in value from the credits I do use, which is greater than the $695 annual fee. Plus, you can choose a fun floral design for the card, which to me is worth at least another $100/year in value because I’m vain and it gets me a ton of compliments (I’m only sort of joking).
Receiving more in statement credits compared to the annual fee is mostly why I prefer the Amex Platinum over the Chase Sapphire Preferred (or the Reserve). The credits coincide with how I already spend my money, which made it easy for me to decide which card to keep long term. If you have to change your spending habits to recoup your annual fee, are you really getting your money back? Probably not. So while it does require more organization (keeping track of credits, timelines, etc.), I get to enjoy the other perks of the Amex for “free”.
Lounge Access
The main reason I got this card initially was for the Amex Centurion Lounge access at airports. The first time I ever went to an airport lounge was in 2018 thanks to my partner’s mom who had a Priority Pass membership with her Chase Sapphire Reserve. Since then, I was convinced this was something I needed (spoiler: I really don’t, no one does). Airport lounges have become a mixed bag in recent years, but Amex Centurion Lounges have remained fairly consistent.
The SFO Centurion (the one I use most frequently) was just remodeled and is actually quite nice! The Seattle Centurion Lounge was also remodeled and offers a free, barista made-to-order coffee bar! Sure, a fun coffee drink only costs about $7 at the airport, but if you travel a lot, it adds up. According to fiscally conservative Republicans, your savings by getting a free coffee at the lounge would be enough to buy a house!
The food is very mediocre. But it’s all free, and so is the alcohol, of which they actually carry some good shit. I have a terminal case of “oh fuck we have to get to the airport early so we don’t miss our flight!” syndrome (and thankfully so does my partner), so I often have an hour to kill before I board. Being able to sit in a quiet, comfortable space and drink for free sure as hell beats waiting at my gate.
I also get a Priority Pass membership (which I value at basically nothing), and access to Delta Sky Clubs when I’m flying Delta. I really like Sky Clubs, which also suffer from mediocre food, but still provides a comfortable space with free alcohol!
Other Perks
A few of the random perks most people don’t think about on high-end credit cards are the purchase and return protections offered. The Amex Platinum has a really solid policy on this stuff, similar to other high-end credit cards.
Of course, there are stipulations to using these protections, but I’ve used both a handful of times for reimbursements around $200 total. Where Amex jumps ahead of competitors like Chase and Capital One is the processing times. Amex handles most of these claims in-house instead of outsourcing. It almost never takes more than 24 hours from the time I submit a claim to being paid out.
The card automatically gets me Gold status at both Marriott Hotels and Hilton Hotels. This doesn’t get too much, but I have had a few nice upgrades at Marriotts because of my status, so it’s like a little cherry on top.
Retention Offers, Referral Bonuses, and Other Offers
One thing that sets Amex apart is how they hand out points like candy. Did your second (or third, or fourth) annual fee just hit for your card and you’re not sure you want to keep it? Call Amex and tell them you don’t find value in the card. Ask if there are any retention offers to entice you to keep the card open for another year. I’ve done this three times and have received a total of 115,000 points.
They also offer lucrative referral bonuses. Sometimes it’s 10,000 points, sometimes as high as 30,000. I don’t recall exactly how many I’ve gotten (some from friends, some from people on internet forums), but it’s likely close to 75,000, if not more. I recognize not everyone will be able to refer someone else to open a card, and referral bonuses aren’t specific to Amex, but for me (and my friends whom I’ve referred) it’s worked out well.
I feel like it’s important to clarify, the Amex Platinum is technically a charge card, not a credit card. So it doesn’t have a credit limit, rather you can spend as much as you want. The catch is you have to pay off the full balance once your statement closes.
During Covid Amex sent me targeted promotional offers for my Platinum card. Twice I was given 20,000 points to activate a “pay over time” feature. This feature essentially turns the Platinum into a credit card. You can carry a balance and pay interest instead of paying the full balance. The big kicker was I didn’t actually have to carry a balance to get the points. Just turn on the feature so I could use it if I wanted to. I turned it off and wouldn’t you know, several months later I got the same offer again.
I also have had multiple offers of 20,000 points to add an authorized user to my account. I’ve done this twice now with people I trust (you know who you are), and continue to get similar offers but for only 5,000 to 10,000 points.
Since 2021, I’ve received around 270,000 points total from these various offers. This is almost three times the amount I got from the initial sign-up bonus on my Platinum card. This is clearly an extreme case, but the most I’ve ever gotten from Chase was a $150 statement credit during Covid lockdown.
Why Not The Sapphire Reserve
The first points credit card I ever got was the Chase Sapphire Reserve. It had a $550 annual fee and a 50,000 point sign-up bonus at the time (worth at least $750). It was a great first card and I used it to subsidize a ton of travel. After two years I realized the card no longer made sense for me.
After taking into account all of the annual credits, I was paying about $60/year just to keep the card open. So I switched over to the Amex Platinum, which costs more upfront but allows me to get back more than I pay throughout the year. Plus better lounge access, see above.
So Why Keep The Sapphire Preferred?
Two words: Hyatt Hotels. I’m not the biggest fan of Airbnb or VRBOs. Partly because it isn’t easy to use points for them, and partly because I just don’t find them appealing unless traveling with a large group. I’ve had good experiences at Marriott and Hilton hotels, but like I’ve mentioned before, Hyatt points just get you so much more value.
Amex points do a great job of flying me to and from my destination, but Chase points (converted to Hyatt) do an even better job of finding me a hotel room. There are only three Chase cards that allow you to transfer your points. So I downgraded my Sapphire Reserve to the Sapphire preferred to keep this transfer option alive and continue to save hundreds of dollars at Hyatts by using my Chase points stash.
Do What Works FOR YOU
Something always worth repeating: the credit card points game has something for everyone. The way I like to travel and use points may not align with your preferences. I’m totally okay paying a large annual fee if it means I can make more throughout the year in the form of coupons…..ummm…. I mean credits.
Some people don’t want to pay a high annual fee or have to keep track of a million and one credits to optimize every statement credit. Others are okay only getting half of their annual fee back because the other perks or transfer partners make up for it.
As I continue to post newsletters, I’ll continue to provide information on a variety of topics and card options to illustrate this point. Whether it’s hotel stays or Airbnbs, domestic or international travel, first-class or coach seats, there is likely a way I can help you use points instead of cash.
Stay tuned for a review of the Amex Fine Hotels & Resorts program (only available for Amex Platinum cardholders) and my recent experience using it to stay at the Ritz Carlton Rancho Mirage.
Also, you mentioned the "pay over time" feature with Amex– I've noticed Chase Sapphire offering me that too. Do you know if it's the same in terms of turning on the feature but not using it getting you the points? I've never tried it cuz I didn't want to pay interest, but maybe now I will
Awesome!! One topic I would love to know more about is protocol around opening cards– is there a time period you should wait between opening? Does opening multiple cards in a short time period affect your credit in any way? I need to know before I jump on operationalizing all of your advice immediately!!