American Express Membership Rewards - AX Question ???

:confused: I have been an American Express Card customer since 1969 and have paid the fees every year for that "honor". I am currently AX Gold and have a couple of hundred thousand Reward points. I am currently paying $150 a year I think for a card for myself and for my wife.

For the past couple of years I hae been tempted to drop the card in favor of the multitude of "reward cards" from Visa, MasterCard and Discovery that are without annual fees for life. The timing never quite worked out and I found myself paying the fee for yet another 12 months.

Now, today I get mailings (2) from MBNA from different organizations that I am a life member offering a No fee for life MBNA Rewards Card. What is the story here? Is there any reason I should even consider keeping the Gold card that I have had for 35 years? I don't get the business structure of this arrangement. One of you experts please help me understand.

Thanks

In some countries you even get the Amex Platinum Card without annual fee...

The business model is that some customers pay an annual fee and some don't.
The Rewards Points are in any case paid by the spendings.

:confused: I have been an American Express Card customer since 1969 and have paid the fees every year for that "honor". I am currently AX Gold and have a couple of hundred thousand Reward points. I am currently paying $150 a year I think for a card for myself and for my wife.
Thanks

If you have collected many of the Membership rewards points all over the years there are some possibilites to reduce your annual fee or to pay no:

1.) In (German) membership rewards you can pay your annual fee by using the MR award points. Just check in your own country !
e. g. change 10,800 points against the annual membership fee for the green card (FEEP-32)
e. g. change 22,000 points against the annual membership fee for the gold card (FEEP-40, business card; FEEP-34 gold)


2.) second strategy to hold the membership points:
At first open an account for any other American Express Card (e. g. the blue one) and link that blue Card to the (existing) membership rewards account then
just close some weeks later the Gold card and hold the blue card and your MR rewards account open.

==> So you have in future only the annual membership of the blue card and get that nice card with the blue hologram (don't know the exact english word) on front side which in my point of view is the most unusual design of a credit card. Or open a green card which is much cheaper than Gold.

And the service level for green and blue is nearly exactly as high as for gold except some of the airline offers.

:rolleyes: I don't really feel like I have gottenn a good answer yet. I am in the US, not in a European country... I am looking for some kind of logic to this mixed-message marketing that AX is using. I thought someone close to American Express would come on here and give me an understandable answer. Anyone out there??

Okay, let me try. As far as I know, the ONLY benefit you get from Gold is that you get invited to their Gold events. I have taken advantage of these offers numerous times over the years when I was Gold, then Platinum and now Centurion. But I can't say that the value is there.

I don't see much value for the Gold card. Platinum gives some entry to Clubs at Continental, Delta, etc, but that is the main advantage.

My big issue is that I find, living in Newark, that the airline I have the most problems redeeming points with (for a reasonable rate) is Continental. I have as many MR points as you have and simply don't use them very often.

Even tho I now hold the Centurion card, almost all of my monthly spending goes to the Starwood AMEX - a much more valuable card. Free the first year and only $30 after that. It has paid for three wonderful trips this summer as we not only have access to airlines but to Starwood's hotels - with no blackout dates. I've heard people complain on this board about the $30 but come on - it is a fraction of what it's worth.

I also hold a Merrill Lynch + card as my Visa and use it mainly to get AA Platinum status when I hit the $20,000 in annual spending. Also got a Ritz certificate.