Hilton HHonors - How long will the Amex stay free?

Last month, I netted 6,000 Hilton points.
This month, I nailed 7,200.

How long can such a rewarding card stay free?

Not that I'm complaining, nor do I want to hasten a fee. I LOVE this card. I'm just saying that, realistically, what do you guys think about Amex tacking on a fee for this card at some point down the road?

It would be a risky move for AMEX to start charging. The primary reason for me obtaining the card was that there was no annual fee. If they do start charging, I'd imagine AMEX would have to throw in an annual bonus of 15 nights and automatic silver status much like the Marriott Visa Signature.

Compare HH Amex to SPG Amex. Even following the recent SPG devaluation, that card is probably still worth a tad more than the HH Amex. Its fee is $30.

In other words, there's not much room here for Amex to add a fee unless they want to totally change the product. The Marriott Visa includes a Cat 5 Free Night every time you pay the $65. Even if you just tossed the card in a drawer, that's a great deal for a standalone free night (subject to normal MR availability).

I wonder if an annual fee would be worth it to them. I'm sure they make much more on their merchant fees and folks who carry a balance from time to time. It's undoubtedly making money right now, why screw with a good thing?

Last month I netted over 20,00 points on the HHonors AX - that of course meant that I charged almost $4,000 in HHonors hotel stays, of which AX charges a 3% merchant fee - so they made about $150 in fees off of my $5000+ in charges. Seems to me that if they charged a fee, and lost me and others like me as a customers it would be a foolish move on their part. - Not to mention the money they make if they can charge late fee, interest, etc.

Wirelessly posted (My IV to the Net: BlackBerry7250/4.1.0 Profile/MIDP-2.0 Configuration/CLDC-1.1 VendorID/105)

Don't they already give SE status if you have the HH Amex? I thought they did at least.

As to the fee, why mess with something that is not broken? Well, except for "greed". ;)

Don't they already give SE status if you have the HH Amex? I thought they did at least.


You get Silver just for having the card. Use it for $20k in spending at least every other year and you'll have perpetual Gold status. ^

American Express is typically more expensive for a merchant. I have a small business and do not accept AE. It has a 4% fee for me instead of a 3% like Visa and MC.

Between the merchant fee and people who do not pay their balance each month, I believe this is a good money making card for them.

Last month I netted over 20,00 points on the HHonors AX - that of course meant that I charged almost $4,000 in HHonors hotel stays, of which AX charges a 3% merchant fee - so they made about $150 in fees off of my $5000+ in charges. Seems to me that if they charged a fee, and lost me and others like me as a customers it would be a foolish move on their part. - Not to mention the money they make if they can charge late fee, interest, etc.
Exactly, I charged almost $60K last year and if they lose it over a few bucks annual fee they are crazy! This is a great card with great benefits. Approaching 1MM unused points and stay in nothing but Hilton products and I stay 120+ nights a year. I would think Hilton would go to war with AX if they messed up their customers.

I got 70,000 HH points last month. If they ever change the terms of this card I will cry. It is my best card...although the Jet blue AMEX is up there with the rate you accrue free flights. Hail to AMEX.

AMEX is accepted at all military base exchanges, military gas stations and commissaries overseas. At 5HH points / $$ for groceries/gas stations this is huge.

I got 70,000 HH points last month. If they ever change the terms of this card I will cry. It is my best card...although the Jet blue AMEX is up there with the rate you accrue free flights. Hail to AMEX.

Agreed, I suspect there are a lot of us who generate a significant number of Hilton points -- I've accumulated almost 350,000 via Amex this year alone -- which gives cause to my general concern. The economy of Hilton points is surely going to adjust itself at some point, potentially quite a lot if there is such a huge outstanding liability of currency floating around. I'm not wishing for it by any means but I won't be surprised when it happens.

They can adjust it by increasing supply to match demand (i.e. more properties/more frequent redemption) or decreasing demand (higher redemption rates, less availability) but it does seem inevitable, and not just a token few percent adjustment either.

twj

Compare HH Amex to SPG Amex. Even following the recent SPG devaluation, that card is probably still worth a tad more than the HH Amex. Its fee is $30.

I'll have to disagree. With the recent SPG devaluation, it seems clear that the HHonors AMEX is now a better product unless you are looking to convert points to airline miles. HHonors AMEX offers 5 points/$ at gas stations, grocery stores, drugstores, wireless bills, HHonors hotels, and USPS plus 500 points for booking your HHonors stays on-line plus gold status with $20K in annual spend. The 3 points/$ for other purchases seems to be on par with the SPG AMEX.

I believe AMEX could easily put a $30 annual fee on the HHonors AMEX card and it would still be a good value.

I believe AMEX could easily put a $30 annual fee on the HHonors AMEX card and it would still be a good value.

Please, let's not give the Hilton lurkers any ideas. :p

Oh, how I wish this entire thread would just quietly die now. ;)

I dont think they are going to charge the year fee. Remember recently they re-aligned point stretcher rewards to be used at less hotels and increased the amount of points for hotel stays. Exp a Cat 3 was 20,000 now it is 25,000

They have a plan.

plus 500 points for booking your HHonors stays on-line plus gold status with $20K in annual spend. The 3 points/$ for other purchases seems to be on par with the SPG AMEX.
I believe AMEX could easily put a $30 annual fee on the HHonors AMEX card and it would still be a good value. I use my spg amex and still get the 500 bonus points. I think the fees stink and change cards every year, because of them. Some years they will waive them, or they tell you a card without a fee. I have a 100k a year spend, why give 30 bucks to who ever so they can make a killing.