Not so widely accpeted (American Express)

Member Name: REALTRAVELLER

Product:	American Express
Date:	17/09/09 (140 review reads)
Rating:

Advantages: Recognition

Disadvantages: Not so widely accepted

I have an American Express card, the green one, and this is the corporative card for the company where I work.

Credit card companies make money in 2 ways. 1) They get a percentage from the merchant for each transaction and 2) They charge interests to those who do not pay in full.

American Express charge the higher fees in the industry and a result, not all the merchants accept it. However, they are very aggressive with their sales force in selling to corporations and they make money in this way. American Express makes most of their revenues from corporate clients.

In my case, for example, with a couple of business trips of 4-5 days per month, they make more than 1,000 pounds in ariline tickets and 2-3000 euros in hotel staying.

We are not allowed to draw money on the card and I find it annoying that we are forced to either pay cash when we go to restaurants who do not accept Amex, or reduce the choice to those who accept it.

I also had a British Airways American Express card. It gave me back 1 mile per Pound spent, which means that I had to spend 9,000 Pounds to redeem a free flight to Geneve, for example. I only took it because they had an introductory 1,000 miles bonus on the first transaction and then never used. I had to cancel it after one year because they would start charging me a yearly fee otherwise, which I find ridicolous.

There is a kind of American Express card which offers free travel insurance, the American Express Platinum. Last time I checked, you also get free upgrades at the Hilton and other similar benefits.

I never used it myself, but I remember once some of my colleagues discussing it as a good value card for those who run their own business.

From my experience, this is a card not always accepted, and I am not too happy abouot it.

Summary: Not so widely accpeted