American Express Platinum Card increases in cost and introduces new benefits, such as a $400 dining credit.

American Express Updates Platinum Card with New Perks

NEW YORK – American Express has unveiled an updated version of its Platinum Card, which is known for its shiny appearance and high fees. The new card will include additional benefits, like a $400 dining credit, but comes with a steep annual fee of $895.

The changes reflect a trend among major credit card issuers, where increased fees might push some users to consider alternatives like the Platinum Card or the Chase Sapphire Reserve. If you’re carrying multiple premium cards, you could be looking at nearly $2,000 in annual fees.

Among the new offerings, Platinum Card holders will receive hotel credits between $300 and $600 for bookings through Amex’s travel platform. There’s also a $400 credit for reservations via their restaurant service, Resy, plus a $300 credit for the athletic apparel brand Lululemon. Customers can also enjoy an increased $300 “digital entertainment credit” for various streaming services and media outlets.

These benefits are expected to be available immediately. Overall, Amex claims the perks are worth around $3,500, which, they say, justifies the $200 hike in annual fees. Just five years ago, the Platinum Card’s annual fee was $550.

According to Howard Grossfield, Amex’s group president of U.S. Consumer Services, the goal is to provide significant value for card members. “We’re aiming to deliver a benefit that far exceeds the annual fee, and it’s pretty easy for members to find ways to make that happen,” he mentioned in a recent interview.

Notably, this update retains previous benefits, including $200 airline credits and shopping credits at Saks Fifth Avenue. Observers in the credit card space feel that the enhancements make the card worthwhile.

“Utilizing lounge access and a $600 hotel credit pretty much offsets the annual cost, while the other perks feel like additional bonuses,” said Ryan Smith, managing editor at Upgrade Points, who had insights into the card’s changes prior to the announcement.

Additionally, Amex will introduce steel cards with a glossy finish, which, amusingly, could serve as portable mirrors. Reflecting on its history, a magazine previously labeled the Platinum Card as a niche item appealing to the elite in the business world. Today, it’s a popular choice among American Express products. Recent industry research highlights that between 70% and 80% of all credit cards now come with loyalty programs, which were rare in the past.

While American Express has catered to premium customers for decades, the competitive landscape for Platinum Cards is intensifying. Each major credit card issuer is releasing high-value products that offer similar perks.

In June, JPMorgan Chase refreshed its Sapphire Reserve Card, introducing a $300 dining credit and another $300 for concert and event ticket purchases. Citigroup launched its Strata Elite card recently, while Capital One offers its high-end Venture X. The fintech company Bilt is also rumored to be entering the premium credit market next year.

As Chase revamped its Sapphire Reserve Card, American Express hinted at its own enhancements, teasing updates on social media over the past weeks. A day before Amex’s announcement, Chase adjusted its Sapphire rewards to give customers more flexibility.

Amex appears to be promoting its new perks effectively while Chase emphasizes bonus points for specific purchases. Amex’s $400 dining credits are valid at 10,000 restaurants, while Chase’s meal credits apply to “hundreds.” The extensive airport lounge network offered by Amex, through its Centurion Lounge and partnerships with Delta Airlines, further sets it apart.