American Express Membership Rewards - Amex Green/Blue for Student

All of you talk of Centurion this and that, but I would like to ask you seemingly knowledgeable people about some of the 'lesser' Amex cards. I am a student at university (in the US) of 18 years of age who has his own money and I am looking for the right card. I was looking at the Amex Blue, Blue for Students, Green Rewards, and Green for Students. I would pay off the balance monthly and I do travel quite a bit for someone my age (8 or so flights in the past two months). I find green for students a bit odd though, $55/annually and an additional $40/year for joining MR (when Green Rewards is $65 and includes this)? What is right for someone not looking to carry a balance but build credit at the same time?
Thanks.

All of you talk of Centurion this and that, but I would like to ask you seemingly knowledgeable people about some of the 'lesser' Amex cards. I am a student at university (in the US) of 18 years of age who has his own money and I am looking for the right card. I was looking at the Amex Blue, Blue for Students, Green Rewards, and Green for Students. I would pay off the balance monthly and I do travel quite a bit for someone my age (8 or so flights in the past two months). I find green for students a bit odd though, $55/annually and an additional $40/year for joining MR (when Green Rewards is $65 and includes this)? What is right for someone not looking to carry a balance but build credit at the same time?
Thanks.

My vote is for the green rewards or green student. Don't mess with blue if your going to pay off the balance.

You get car rental insurence with green, so when you travel that can save you money.

I am not 18 yet, but I plan on getting the student green card after in '05 to start building my own credit.

What school do you go to?

I'm also a university student and currently have the AMEX blue for students card, which is paid off each month. Right now I can't justify the annual fee for the Green card, because I am getting MR for free now with the Blue card, and from what I have seen the Green card has many of the same benefits that I enjoy now with my Blue card.

If someone could come up with a really compelling reason for me to get the Green card, then I would switch as the annual fee isn't that expensive, I just don't see a need to spend it now just to have a "real" AMEX card.

unless you need a regular amex, the SPG Plat card seems to be the best deal. no fee the first year, $30 after that.

I'll note that for the most part, "student" cards/checking accounts, etc are rip offs, they provide nothing.

I agree that the SPG card is a better value. But as a student the OP will probably have a hard time obtaining it as they do not have a student version of the card (one which overlooks typically low student's income).

Can somone please provide a link to this "SPG Plat" card? I am not familiar with that acronym and so I don't know how to find more info about it. Thanks.

https://www124.americanexpress.com/cards/starwood/?Card_name=Starwood&link=CARD_SELCTOR

Search this forum for SPG too - it's probably the second most discussed Amex on FT. (after Centurion of course..)

thank you for the replies,

I have ruled out most student cards (non-Amex) because the APR is simply too high. Even though I do not anticipate carrying a balance I have been pre-approved on two credit cards for under 10% APR so I do not see the need for a 15% APR student card. About the SPG card, I really do not stay in hotels that much (so far), but I will have to examine it.

Read about the card! You don't ever have to stay in their hotels to make good use of the card. You will effectively earn 1.25 miles per dollar spent and will be able to convert it to a large number of airlines, including American and British Airways. Try that with Membership nonRewards!

Stick to the SPG card

My brother-in-law got one after I recommend it to him, and he just graduated with something like 30,000 SPG, 60,000 AA and 40,000 DL

So, keep reading FT :)

I have an AMEX Blue right now with about 30K points. Should I switch to the SPG card instead of the Blue? The benefits of the SPG "look" really awesome. Why don't people like the Blue? Also if I switch to the SPG card can I transfer my Blue reward points to the SPG card?

Thanks.

No, SPG doesn't have MR. Keep the Blue and get the SPG as a second card, then call and have most of your credit line moved from the Blue to the SPG. (Someone correct me if I'm wrong, but I'm pretty sure you can do line transfers between Blue and anything Optima - such as SPG. You definitely can't do any sort of transfer between charge card exposure limits and credit card credit limits though.)

Yes you can transfer credit lines between those two cards. As a matter of fact it is one of the most commonly used methods to increase the otherwise ridiculously low CL Amex usually gives SPG cards. I believe the student Blue can't have a higher CL than $5,000 in any event so it might not be a whole lot to transfer.

Thanks. I guess I'll get the SPG in addition to Blue. What is MR btw? Someone should open a thread with all the acronyms used on this board... :)

aerkh, do you have any US credit history (other credit cards, student loans, authorized user on a parent's credit card)? I ask because without a credit history all you'll be approved for at the moment are the student Amex cards.

I'd recommend Blue since there's no annual fee and an okay APR (it was 11.99% for my card). Blue for Students was my first-ever credit card back in 2001. Started out with an $800 limit after submitting student verification from my university's registrar office in lieu of a prior credit history. Over the years it's been increased to $2000---still nowhere near what the limits are on my Visas and MCs, though, even after I called Amex and switched the unused Blue credit line over to a non-student Starwood card.

In January of 2004, I applied and was approved for the Rewards Green card thanks to three years of perfect payment history with Amex and a sufficient income. The annual fee for the first year was waived. You might be able to get a Rewards Green after a year of positive history with Amex, even as a student, as long as your pre-tax income is over $20,000 per year.

One tip I've learned in my young credit history: Don't apply for too many cards in a short period of time thinking it will help build your credit. I had as many as eight cards at one point and only ever used three. The "inquiries" from applying for those cards stayed on my credit report for at least a year and lowered my score a fair amount compared to friends who had only one card. Also, having only one or two cards will help you avoid the temptation of accruing high debt, especially considering how the CC companies stupidly give cards out to students like candy these days knowing that many won't be able to handle credit responsibly.

MR = Membership Rewards

Yes you can transfer credit lines between those two cards. As a matter of fact it is one of the most commonly used methods to increase the otherwise ridiculously low CL Amex usually gives SPG cards. I believe the student Blue can't have a higher CL than $5,000 in any event so it might not be a whole lot to transfer.

Right now I have a Blue for Students card with a $4,000 credit line. Their website says I am pre-approved up to $5,400, but haven't taken their offer yet since I have no need for that large of a credit limit.

Right now I have a Blue for Students card with a $4,000 credit line. Their website says I am pre-approved up to $5,400, but haven't taken their offer yet since I have no need for that large of a credit limit.

Take the increase even if you don't plan to use it; it'll improve your credit score. Part of the FICO scoring model is the concept of "utilization"---the ratio of your total outstanding credit card balances to your total credit card limits. Even when you pay your credit cards in full every month, Amex reports your statement balance to the credit bureau and it shows up as "debt." So a higher credit limit will raise your score as long as you maintain the same level of spending you had before the increase.

In my experience, my Blue (now Starwood) card has pre-approved me for credit line increases every 6 months.

I don't want to get too far off of topic here, but I have a Blue for Students Card (though I graduated from law school 2+ years ago) and while I was in school my credit limit would only get increased by a few hundred dollars every 3-6 months when I would click on the "increase my credit limit" button online. For the longest tmie it was stuck at $800. Since I have graduated, though, I can click on the button every 2 months or so and received a 4 figure credit limit increase every time, which I take for the reasons the previous poster said... As long as you don't USE the large credit limit you're OK, just pay it off in full and know you have it if you need it for an emergency.

When will they ever tell me I am no longer a student?

Part of the reason for your higher credit limit increases could be the positive info and higher credit lines with other creditors. Credit card companies such as Amex are notorious for doing "account reviews" every few months, usually checking your credit reports to find evidence of late payments and other defaults so that they can increase your APR (a good reason not to carry any CC debt you can't pay off in full every month!) and/or decrease your credit limit. It's possible that they also reward positive activity and match your credit lines on other cards, though they haven't done this in my case. If you have, say, a Visa with a $10,000 limit, Amex may see this in its account reviews and offer you a similar limit on your Blue card.

Just an educated guess though.

I got a blue for students when I turned 18 and started college. It worked out well, becasue I got it without any hassle or questions. I had it for about a year or a year and a half and then opened a SPG Amex (not sure I would have gotten it had I not been a blue member first to prove I had credit). Now (while still in school), I primarly use my SPG Amex and my Biz Plat. (BTW, I was instantly approved for Biz Plat after only having blue for students for 2 years). I always play my bills on time. SPG is by far the best AMEX out there and I use the Travel perk of Biz Plat often, so it (for me) is worth the $300 a year.

I would say start out with Blue for Students (since you are basically guaranteed to get it) and then get SPG 6 months or a year later.

I don't want to get too far off of topic here, but I have a Blue for Students Card (though I graduated from law school 2+ years ago) and while I was in school my credit limit would only get increased by a few hundred dollars every 3-6 months when I would click on the "increase my credit limit" button online. For the longest tmie it was stuck at $800. Since I have graduated, though, I can click on the button every 2 months or so and received a 4 figure credit limit increase every time, which I take for the reasons the previous poster said... As long as you don't USE the large credit limit you're OK, just pay it off in full and know you have it if you need it for an emergency.

When will they ever tell me I am no longer a student?

My understanding is that the higher credit line you have negatively affects your credit score. For instance say I have $100,000 in available credit through credit cards. At any given time I could charge up to $100,000, even though I might only have $50 in charges to my card. The simple fact that I could at any time acquire that much debt negatively affects your score. Is there any truth to this theory?

My understanding is that the higher credit line you have negatively affects your credit score. For instance say I have $100,000 in available credit through credit cards. At any given time I could charge up to $100,000, even though I might only have $50 in charges to my card. The simple fact that I could at any time acquire that much debt negatively affects your score. Is there any truth to this theory?

The only time too much available (unused) credit might affect you is if you're applying for a mortgage with some of the more conservative lenders. In general, high credit lines and low utilization will almost always increase your FICO score.

Also, once you develop a longer credit history, you'll show evidence of managing your higher credit lines well. If you've had $100,000 in available credit over, say, a 20-year time period, and have never charged over $1,000, the statistical probability that you'd max out your cards and become a bad credit risk is extremely low, making you a very attractive borrower.

You might want to check out creditboards.com or the credit card board on fool.com. I've never posted to either but lurk on both boards frequently for the great advice. Some people on creditboards have unused credit card lines equal to as much as twice their annual income and still boast pretty high FICO scores (720 or higher is prime).

Sorry to take this thread even more off-topic, but I just ran my credit report this evening, and I am getting conflicting credit scores:

Equifax: 710
Experian: 722
Transunion: 700

Why is this?

Sorry to take this thread even more off-topic, but I just ran my credit report this evening, and I am getting conflicting credit scores:

Equifax: 710
Experian: 722
Transunion: 700

Why is this?

1) They may have different algorithms.
2) They may have different info - I had that. You might want to check your report with all three and fix anything which appears incorrect. Note: While they are supposed to send changes resulting from disputes to the other agencies, I have found that they don't, and you have to dispute errors seperately.

Thanks for all the replies. I learned more than I expected to on this forum! I have been busy with exams so I will wait to make my decision until when I get home in a few days and am able to look everything over.