What type of credit card is american express

Apply market research to generate audience insights. Measure content performance. Develop and improve products. List of Partners vendors. The company issues and processes prepaid , charge , and credit cards. American Express cards are available to individuals, small businesses, and corporate consumers across the United States and around the world. American Express is one of only a few financial service companies in the industry that has the capability to both issue and process electronic payment cards.

American Express is a publicly traded company in the financial services industry. It offers both credit lending and network processing services, giving it a broad range of competitors in the industry. As with traditional lenders, it has the capability to issue credit products, which it provides in the form of charge cards and credit cards.

Its most comparable competitor is Discover Financial Services DFS , which is also a publicly traded financial service company offering both credit lending and a processing service network. With multiproduct capabilities, American Express generates revenue from both interest-earning products and network processing transaction services.

American Express generates a significant portion of its revenue from transaction processing. Many merchants accept American Express cards and are willing to pay the transaction fees associated with processing because of the advantages that come with offering American Express as a payment option to customers. Merchant acquiring banks must work with the American Express processing network to transmit communications in American Express transactions.

American Express is also the issuer that authenticates and approves the transaction. Merchants pay a small fee to American Express for its processing network services, which are part of the comprehensive fees involved with a single transaction. As both a processor and high-quality lender, American Express has built a strong reputation in the financial services industry.

As noted above, American Express credit cards and prepaid debit cards are offered to a variety of both retail and commercial customers. It is also an industry-leading provider of charge cards, which offer month-to-month credit with card balances that must be paid off each month.

American Express charge and credit cards follow standard underwriting procedures. The company seeks good- to high-credit quality borrowers—which means a credit score of at least —and generally is not a subprime lender. American Express credit and charge cards come with a variety of benefits in the form of rewards points and travel perks, which depend, in part, on the annual fee charged.

American Express also offers numerous branded prepaid debit cards, which can be used as gift cards or special-purpose reloadable payment cards. That said, the Green, Gold, and Platinum cards have no predetermined spending limits.

American Express does offer at least six cards with no annual fee. Customer service for all Amex cards is highly rated, with the company coming in No. Credit Card Satisfaction Study. No Foreign Transaction Fees. Our rating: 3.

Regular APR Overall rating Our rating: 3. Rewards Value: 3. Annual Percentage Rate: 1. Rewards Flexibility: 2. Features: 3. There are no rotating categories or enrollments to keep track of. Cons Rewards cannot be transferred or combined with other cards.

Bottom Line For big households and road warriors, these featured rewards categories make everyday purchases especially valuable.

Plans created after that will have a monthly plan fee up to 1. Cash back is received in the form of Reward Dollars that can be easily redeemed for statement credits.

No annual fee. Show more less. Pros Rewards can be redeemed for previous purchases. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit.

Rewards Value 2. Annual Percentage Rate 0. Rewards Flexibility 3. Features 3. Issuer Customer Experience 4. Pros There are no blackout dates. Points can be transferred to 16 partner airlines.

Bottom Line The travel protections and frills offered by this card are a good fit for small business owners who are frequently on the road. Cap applies. Rewards Value 5. Annual Percentage Rate 3. Features 5. Pros Cardmembers have access to over 1, airport lounges around the world.

Cons Travel must be redeemed through the American Express Travel portal. There is a fee to transfer points to airline loyalty programs. Bottom Line A range of luxury travel perks and trip protections — not to mention a sizable welcome bonus — make the Business Platinum Card from American Express an excellent match for business travelers after a high-end travel experience.

After that, your APR will be Earn 1. Rewards rate 2X Earn 2 Miles on every dollar spent on eligible purchases made directly with Delta, on every dollar spent on eligible U. Rewards Value 3. Annual Percentage Rate 4. Rewards Flexibility 4. Pros Miles may be redeemed for one-way flights. Miles never expire and there are no blackout dates. Cons The fuel surcharge on international rewards flights can be very high in some cases.

Earn 2 Miles on every dollar spent on eligible purchases made directly with Delta, on every dollar spent on eligible U. Earn 1 Mile on every eligible dollar spent on other purchases. Pay no foreign transaction fees when you travel overseas. Terms and limitations apply. Rewards rate 12X Earn 12X Hilton Honors Bonus Points for each dollar of eligible purchases charged on your Card directly with a hotel or resort within the Hilton portfolio.

Annual Percentage Rate: 3. Why we like this card With this card, Hilton loyalists earn 12X points at participating Hilton hotels and resorts, as well as 6X points at U. Pros Points never expire as long as the card remains active. Points can be used to upgrade reservations. Cons Beyond hotel stays, redemption options are limited. Reward rates for regular rooms are sometimes inflated to premium rates.

Bottom Line With its generous welcome bonus and high rewards rate on not only Hilton stays but general purchases, racking up points is easy. Earn 12X Hilton Honors Bonus Points for each dollar of eligible purchases charged on your Card directly with a hotel or resort within the Hilton portfolio. Rewards rate 3X Earn 3 Miles on every dollar spent on eligible purchases made directly with Delta and on every eligible dollar spent on purchases made directly with hotels.

Rewards Value 4. Pros There are no blackout dates on Delta flights. You may book with miles combined with cash on some flights.

Cons Fuel surcharges can be very high on some international flights. Bottom Line If your ultimate goal is to snag Delta status, this card can put you on the right track, all while you enjoy Delta frills like priority boarding and a complimentary checked bag. Earn 3 Miles on every dollar spent on eligible purchases made directly with Delta and on every eligible dollar spent on purchases made directly with hotels.

Annual fee No annual fee. Annual Percentage Rate 5. Rewards Flexibility 5. Features 4. Cash back is applied as a statement credit at the end of each billing cycle. Big business spenders may be able to find a more lucrative business credit card, albeit for an annual fee.

Cash back earned is automatically credited to your statement. From workflow to inventory to floor plans, your business is constantly changing. Just remember, the amount you can spend above your credit limit is not unlimited. It adjusts with your use of the Card, your payment history, credit record, financial resources known to American Express and other factors. No Annual Fee Terms Apply. Annual Fee No annual fee. Rewards rate 3X Earn 3 Miles on every dollar spent on eligible purchases made directly with Delta.

Why we like this card The rewards rate is decent but the perks are the real star of the show here. Bottom Line This card gives business owners top-notch Delta perks including lounge access, complimentary bag check, discounts on in-flight purchases, priority boarding and more. Other Benefits and Drawbacks: Outside of the potential points bonus for using the card multiple times in a month, several other no-annual-fee cards from American Express are more rewarding.

However, this card does provide no-annual-fee access to transferable Membership Rewards points, so it can be a good starter card or a great option to downgrade a higher annual fee Membership Rewards-earning card. Read our full review of the Amex EveryDay card. Rewards: 7 Hilton Honors points for each dollar of eligible purchases charged directly with a hotel or resort within the Hilton portfolio, 5 points for each dollar of eligible purchases at U.

Read our full review of the Hilton Honors American Express card. American Express does not have a card specifically for people with bad or limited credit. You can apply for an American Express card online via their website. You can also get a referral from a friend or family member. If you get a referral, the person who referred you may get a bonus. Finally, you might get targeted marketing for an American Express card via email or snail mail, which may offer more generous terms.

You can cancel an American Express card by calling the number on the back of your card. Before you cancel your card, you might want to ask for a retention offer. The app is especially useful to track real time spending. In general the more benefits offered, the higher the annual fee. The security code on an American Express card is located on the front of the card.

Unlike Visa and Mastercard which have three digit security codes, American Express security codes are four digits. Doing this is a handy way to see what you might get without having a hard credit pull on your credit report. Although American Express has not formally published a limit to how many cards someone can have, various sources have estimated that an individual is typically limited to four or five American Express credit cards. Charge cards are not thought to count toward this limit.

Even someone with just one or two American Express cards may not get approved for an additional card or be eligible to earn another welcome bonus. This is only a soft credit check and will not harm your credit score. You have the option to proceed with a hard credit check at that point or cancel going any further. Robin Saks Frankel is a credit cards and personal finance writer for Forbes Advisor. Previously, she covered credit cards and related content at other national web publications including NerdWallet, Bankrate and HerMoney.

Follow her on Twitter at robinsaks. She has visited over 45 countries and lived in Thailand, China, and Ireland where her son was born. Her kids have over 20 stamps in their own passports. Her passion lies in showing families how to travel more while keeping their savings and sanity.

Her guidebook, Disney World Hacks, is a bestseller on Amazon. Select Region. United States. United Kingdom. All ratings are determined solely by our editorial team. Robin Saks Frankel, Dia Adams. Forbes Advisor Staff, Editor. Editorial Note: Forbes Advisor may earn a commission on sales made from partner links on this page, but that doesn't affect our editors' opinions or evaluations.

Read more. Find the Best Credit Card. Partner Offer. Click Here To Apply Now. Forbes Advisor created additional star ratings so that you can see the best card for specific needs. This card shines for this use, but overall the star ratings may differ when compared to other cards.

Regular APR Why We Picked It. This is just one scoring method and a credit card issuer may use another method when considering your application.

These are provided as guidelines only and approval is not guaranteed. High reward potential on flights and hotels booked through American Express Travel Multiple credits can help justify the fee Comprehensive airport lounge access Luxury travel benefits and elite status with Hilton and Marriott with enrollment.

High annual fee Maximizing the statement credits takes some work and could be unworkable for many Reward rate outside of travel is sub-par for a premium card. Plus, earn 10x points on eligible purchases on the Card at restaurants worldwide and when you Shop Small in the U. Enrollment required.

High rewards earnings possibilities Points transfer option to many partners Add up to 5 authorized users for no additional annual fee Can choose from regular or rose gold versions.

Rose Gold is here to stay. No Foreign Transaction Fees. Credit Score Excellent, Good - High cash back rewards in some categories No enrollment is required, cash back is automatic. Plans created after that will have a monthly plan fee up to 1. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit. Welcome Bonus 40, Miles.

No foreign transaction fees Free first checked bag and priority boarding on Delta flights Large variety of airline partners. High regular APR Has an annual fee. Enjoy your first checked bag free on Delta flights. Earn 2X Miles on Delta purchases, at restaurants worldwide, including takeout and delivery and at U. Earn 1X Mile on all other eligible purchases. Elevated earnings at U. No annual fee. Click Here To Learn More. Welcome Bonus , points. Return Protection. Purchases must be made in the U.

Let us take care of it. Concierge is a complimentary service, available day or night. Whether you need expert advice to make arrangements and reservations for a special anniversary dinner, tickets for a Broadway show, or the perfect gift, you can rely on Concierge to help take care of your requests, large and small. You can rely on medical, legal, financial, and other select emergency coordination and assistance services while traveling more than miles from home.

Coverage can be in effect for Eligible Persons for eligible lost, damaged, or stolen baggage during their travel on a Common Carrier e. Please read important exclusions and restrictions. Welcome Bonus 50, Miles.