May 4, 2016, 7:42 am
Last edit by: goodeats21
After being announced in early 2015, the long rumored Schwab American Express were available for application on March 21, 2016. Both cards require you to have an eligible Schwab brokerage account in order to apply. From the Schwab website:
Update June 2018 on eligible Schwab account per the Schwab website:
Note that if you are not currently a Schwab Customer, you can still get these cards by opening the Schwab Brokerage Account. To do so, a hard pull is required and most report that pull is with Equifax. There is a $1000 minimum investment to open the brokerage account, but if you open a linked high-yield investor checking account with the brokerage account, the balance requirements are waived.
Schwab Investor Card
This is card is basically a straight 1.5% cashback back card where you cash back can be deposited straight into your Schwab Brokerage Account. You can then choose to either invest money or transfer the cash to another account.
Schwab Platinum Card
This has all the benefits of the standard American Express Platinum Card with two notable advantages:
Link to Charles Schwab card information. Scroll down to read FAQ or to apply:
http://www.schwab.com/public/schwab/...s/credit_cards
An eligible brokerage account means a Schwab One® Account or Schwab General Brokerage Account held in your name or in the name of a revocable living trust where you are the grantor and trustee. Eligibility is subject to change.
An eligible account means (1) a Schwab One® or Schwab General Brokerage Account held in your name or in the name of a revocable living trust where you are the grantor and trustee or (2) a Schwab Traditional, Roth or Rollover IRA that is not managed by an independent investment advisor pursuant to a direct contractual relationship between you and such independent advisor. Eligibility is subject to change.
Schwab Investor Card
This is card is basically a straight 1.5% cashback back card where you cash back can be deposited straight into your Schwab Brokerage Account. You can then choose to either invest money or transfer the cash to another account.
Schwab Platinum Card
This has all the benefits of the standard American Express Platinum Card with two notable advantages:
- You have the ability to cash out membership rewards at a rate of 1.10 cpp [changed from initial 1.25 at inception] into the brokerage account. This is called "Invest with Rewards". There is a separate thread debating the advantages and disadvantages of doing this. You can invest the cash or transfer out of Schwab.
- There is an appreciation bonus in the form of a statement credit if you have significant assets with Schwab (essentially a discount on the annual fee). If you have $250k-$1M, you get a $100 statement credit. If you have $1M+ you get a $200 statement credit. More details are here: http://www.schwab.com/public/schwab/...r_faq_platinum
Link to Charles Schwab card information. Scroll down to read FAQ or to apply:
http://www.schwab.com/public/schwab/...s/credit_cards
American Express to Partner with Schwab. Applications online 3.21.2016.
Jun 5, 2021, 6:41 am
#421
Join Date: Mar 2013
Location: EWR
Programs: World of Hyatt, Marriott Bonvoy, Hilton Honors, UA Mileage Plus
Posts: 1,255
I’m pretty bummed about this. I’m just about finishing up my 10x $15k spend and was about to sign up for a Schwab card and cash out about 1,000,000 points. With a baby on the way I don’t see much travel in the near future and will have plenty of time to build back up my points balance.
Jun 7, 2021, 3:38 pm
#425
Join Date: Aug 2006
Location: ATL, BHM, DUB, County Wexford
Programs: DL DM, AA ExPlt, Diamond HH, HY, BW, & Titanium Elite Marriott
Posts: 4,863
What is the best redemption for MR? The cash out at 1.25 or travel tickets on airlines? Assuming there is not some better redemption ratio out there that I am not aware of.
Jun 7, 2021, 4:06 pm
#426
Join Date: May 2011
Location: NYC (LGA, JFK), CT
Programs: Delta Platinum, American Gold, JetBlue Mosaic 4, Marriott Platinum, Hyatt Explorist, Hilton Diamond,
Posts: 4,895
Jun 7, 2021, 4:28 pm
#427
Join Date: Aug 2006
Location: ATL, BHM, DUB, County Wexford
Programs: DL DM, AA ExPlt, Diamond HH, HY, BW, & Titanium Elite Marriott
Posts: 4,863
Jun 7, 2021, 4:33 pm
#428
Join Date: May 2011
Location: NYC (LGA, JFK), CT
Programs: Delta Platinum, American Gold, JetBlue Mosaic 4, Marriott Platinum, Hyatt Explorist, Hilton Diamond,
Posts: 4,895
it all depends on what you value - certainty of cash vs aspirational travel. The best thing about Schwab is that it gave you the option of both. Chase is a good option now if you can use Pay Yourself Back.
Jun 7, 2021, 4:39 pm
#429
FlyerTalk Evangelist
Join Date: Dec 2002
Location: Danville, CA, USA;
Programs: UA 1MM, WN CP, Marriott LT Plat, Hilton Gold, IC Plat
Posts: 15,721
Agree, this is really much ado about nothing for the FT crowd, who looks to use points for business class international travel and not cash out. Presumably one could do better with a no fee 2% cash back card of which there are several.
Jun 7, 2021, 5:50 pm
#430
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,957
Jun 8, 2021, 6:18 am
#431
Join Date: Aug 2006
Location: ATL, BHM, DUB, County Wexford
Programs: DL DM, AA ExPlt, Diamond HH, HY, BW, & Titanium Elite Marriott
Posts: 4,863
Like the gimmicky Citi 2% or 1/1 card? I put all my spend in 5% cash back by category and then choose between MR and Chase unless another card has a really good deal in a category or SUB
Jun 8, 2021, 6:47 am
#432
Join Date: May 2011
Location: NYC (LGA, JFK), CT
Programs: Delta Platinum, American Gold, JetBlue Mosaic 4, Marriott Platinum, Hyatt Explorist, Hilton Diamond,
Posts: 4,895
Double Cash isn’t gimmicky, especially if you convert the cash back to Thank You points and transfer to airlines. It is one of my best cards
Jun 8, 2021, 6:49 pm
#433
FlyerTalk Evangelist
Join Date: Dec 2002
Location: Danville, CA, USA;
Programs: UA 1MM, WN CP, Marriott LT Plat, Hilton Gold, IC Plat
Posts: 15,721
Again if you like cash by all means weep. But you're accepting an inferior value compared to air travel.
And the 2% Citi and Fidelity rebate cards - on everyday non-bonus spend - still trump 1.25%. Unless you are using a card that multiplies everyday spend (i.e. Amex Blue Plus or Chase Freedom Unlimited) - but again the value of air travel from the points earned is far superior to the 2% or even the points cash in.
Jun 8, 2021, 7:28 pm
#434
Join Date: Feb 2012
Posts: 4,477
The two features you're comparing are dissimilar: one is spending rebate, the other a multiplier. It's also not necessary to limit yourself to a single card for every spending category. Those who have spending in 4X or 5X categories on certain AmEx cards can still benefit from having this multiplier.
Jun 8, 2021, 9:07 pm
#435
Join Date: May 2011
Location: NYC (LGA, JFK), CT
Programs: Delta Platinum, American Gold, JetBlue Mosaic 4, Marriott Platinum, Hyatt Explorist, Hilton Diamond,
Posts: 4,895
That's bogus arithmetic as each point has the same fixed value. I earn 2 Amex points for $1 everyday spend on my Amex Blue Plus card. That's $.0250 cash with Schwab or at least 2-3x more if converted to miles and used for premium seats. I earn 3x Chase UR for $1 spend on dining. That's would be .0375 if I could convert to cash (using the Schwab example) but 2-3x more if I use for air travel.
Again if you like cash by all means weep. But you're accepting an inferior value compared to air travel.
And the 2% Citi and Fidelity rebate cards - on everyday non-bonus spend - still trump 1.25%. Unless you are using a card that multiplies everyday spend (i.e. Amex Blue Plus or Chase Freedom Unlimited) - but again the value of air travel from the points earned is far superior to the 2% or even the points cash in.
Again if you like cash by all means weep. But you're accepting an inferior value compared to air travel.
And the 2% Citi and Fidelity rebate cards - on everyday non-bonus spend - still trump 1.25%. Unless you are using a card that multiplies everyday spend (i.e. Amex Blue Plus or Chase Freedom Unlimited) - but again the value of air travel from the points earned is far superior to the 2% or even the points cash in.
I personally don’t understand why an issuer hasn’t introduced a $600 annual fee cash back card that gives 5% cash back on travel, 3% on dining and groceries, etc and with premium benefits but no transfer partners of any kind. Would be popular.
Ironically the best replacement for Amex Schwab for cash back focused customers may be a Capital One Savor + Citi Double Cash combo. 4% cash back on dining, 3% on groceries, 2% on everything else