awake_at_midnight

AMEX reviews your Fidelity assets to determine your spending power. I am not sure whether or not they consider available assets in your core account differently from available margin spending power.

In my opinion, mixing margin transactions with debit transactions is like mixing beer and liquor. Be careful or you may wake up with a hangover or something worse, i.e a margin call. That is always a bad way to start the day.

I have margin spending capabilities on the same account that I have a Fidelity Platinum AMEX. However, I do not use that account for securities transactions (other than the underlying money market transactions). Basically I use the account as a tax free checking account with a deferred debit card. Typically I use a different account for savings and securities transactions. When I accumulate too much cash, I move it to my investment accounts.

If you plan on spending more than you have in cash, a credit card may be appropriate. (However, I keep 6 months of cash on hand so it is not a problem for me.)

benamaster

I guess I didn't plan on keeping all of my cash with Fidelity. When the payment came due for the Amex I would just move the money over. Someone on here someone once said that Amex gets your Core Acct balance every Thursday and that is your spending power.

I guess I don't see how that would cause a Margin Call because you would use it just to increase the amount your "could" charge on the card. But it does seem better to just use the Fidelity account as a Checking account and the Amex card as a debit card.

Richard60

I use the AmEx gold card as an ATM card because unlike the other AmEx cards it does not charge a 3-5% cash advance fee, it just works like a regular ATM card.

I know that AmEx doesn't work in as many ATMs as Visa, etc., but when overseas there times when the Visa/MC international link seams to be down. And I'm happy to have a card that runs on a different network.

I keep an ultra short bond fund in the account with margin, so I know about how much is available - unlike their other charge cards that vary based on my recent level of charging. That caught me one time after low activity I had to argue on the phone to approve a new large purchase...

Also the free gold card saves me $55 on my Delta Plat SkyMiles card.

Lastly and a bit off topic, what I miss is the 2% 529 with no annual fees, was going to get one for my wife as well - but waited too long.

benamaster

Richard60, Sounds like you use the card the exact same way I plan to. I too wish I would have signed up for the 2% but now I see both cards are 1.5% not too bad.

chunk

Thanks for the info.

thesilb

1. Logged in, made it all the way to the Visa Gold sign up page - NO option for Amex any more (at least not for me).

2. Called the Fidelity 800 number listed above in this thread. Told the program is discontinued as of February 15, 2007. Said could not email an application. Bugged the guy about whether this was right, eventually he said he found a paper application hard copy he would mail to me, but that I should not expect it to be processed by American EXpress as this program has now ended.

benamaster

Ok It is still avaliable.

Log In then go to Your Profile. Once you're there click Features By Account. Right below the Visa Check Card option there is an option for the Fidelity American Express cards.

thesilb

It is not there for me. I have three accounts, a Roth, a California 529 and a "regular account" - but this one, in the name of a trust. I guess it is possible I can get a Visa but not an Amex in association with a trust account? In any event, the Amex option most certainly is not showing up for me.

awake_at_midnight

You probably cannot get the AMEX on a trust account. However here is a link to the application page. I do not know if they are still accepting applications any more.

https://scs.fidelity.com/customeronl...ditcards.shtml

benamaster

Does anyone know what Credit Bureau American Express pulls?

Does anyone know what Credit Bureau Fidelity pulls for Check writing and Margin?

I'm going to go for the Amex card in a few days so I'll let everyone know.

NYC girl

The AmEx link is available to me this evening (thanks for the link!)

Alcibiades

benamaster

Well I see the fee went up to $450 for the Platinum card, I am trying to find out if Fidelity is going to pay just $75 or do I just have to pay the $320 like before? Still waiting on an answer. If not I probably will go for it anyways I'd just like to know ahead of time.

mia

Fidelity Platinum annual fee evidently does not change...

http://flyertalk.com/forum/showpost....9&postcount=25

kgkg

Mine is still working, $320 annual fee. Thanks all for the info. It saves me a lot of time.