Converted AmEx Blue to Cash Rebate

A month ago, I tried to convert my AmEx Blue to the American Express Cash Rebate Card and was told, "Sorry, we can't convert from Blue to the Cash Rebate Card. They are on two entirely different accounting systems, so we simply don't do that, but you are welcome to apply for a second card if you like." Since I have too many cards already (at least according to FICO) and since I didn't want to incur another needless hard inquiry, I decided not to apply for a second AmEx card at that time. Plus, I really don't want two AmEx cards anyway.

Fast-forward to this morning. I saw this press release for the recently updated (spiffy new card design too!) American Express Cash Rebate Card:
http://www.cardweb.com/cardtrak/news/2002/july/29a.html

With a rebate of up to 5%, that beats my Chase Stockback card all to hell. So I thought, what the heck, I'll call AmEx again and ask if my Blue can be product-transferred to the new Cash Rebate Card. Voila. They did it. No new application. No trouble. Here's what I told them (in case it made a difference, although of course it may not have mattered):

Hi, I'm an AmEx Blue cardholder, and this is my account number, etc. I haven't used my Blue card in a few months and will not because I've been using a rebate card issued by Chase -- their Stockback card. Anyway, I noticed a press release for your new Cash Rebate Card, and the terms are better in some respects that what Chase has. In other respects, Chase still is a better deal, though. Anyway, I do not want to simply apply for a new card because I'm trying to minimize my credit report hard inquiries, but is there a way for me to simply product-transfer from Blue to the new Cash Rebate Card? If you can do that, I'll begin using American Express again routinely.

She put me on hold for a longggg time (about 3 minutes), then came back and said, "No problem. You'll receive your card in [I forgot, lol] days."

The Blue card was cool looking, but they didn't pay me money to use it. My Blue had their lowest APR for Blue of 9.9% fixed, while the lowest APR for the Cash Rebate is prime (currently 4.75%) plus 4.99% -- or 9.74%. So, at least for now, my APR is even lower than it was, plus I get a cash rebate. This isn't as favorable as my Chase Stockback rate (7.99% fixed for purchases and balance transfers), but since I'm not running balances anyway it doesn't matter. I'm not sure Chase offers that low rate as standard operating equipment with a new Stockback card, incidentally; when I upgraded my Chase Platinum card to Stockback they let me keep my current APR. In any event, AmEx Cash Rebate gives an additional 2% for purchases made during months where a balance is carried. I may keep a perpetual $10 balance on that card, lol.

Lest any newcomer resent my happy report, please know that just 16 months ago I was begging for a subprime Capital One card. Credit repair is possible!

Doc

 

Re: Converted AmEx Blue to Cash Reb

hello, I called their toll-free number for the details. Basically, it's a tiered program with two sections and a bonus. Here's my paraphrased explanation:

Section 1: "Everyday Purchases." AmEx is defining "Everyday" to mean grocery store, drugstore, gasoline, and home improvement store purchases. At the end of each year, AmEx will total your "Everyday Purchases"; if that total is $1000 or under your rebate is .5% (one-half of a percent), and if it's from $1001 to $6000 then your rebate is 1%, and if that total is $6001 or more then your rebate is 3%.

Section 2: "Other Purchases." AmEx defines "Other" to mean everything except the grocery store, drugstore, gasoline, and home improvement store purchases. At the end of each year, AmEx will total your "Other Purchases"; if that total is $1000 or under your rebate is .25% (one-quarter of a percent), if it's from $1001 to $6000 then your rebate is .5% (one-half of a percent), and if it's $6001 or more then your rebate is 1.5%.

Bonus: For either "Everyday Purchases" or "Other Purchases," for anything you purchase during a month you maintain a balance (ANY balance, lol), you will receive an additional 2% (that's TWO FULL PERCENTAGE POINTS) for that purchase at the end of the year. That's pretty substantial.

Total Year-End Rebate: The total amount you are refunded at the end of the year is equal to your "Everyday Purchases" rebate, plus your "Other Purchases" rebate, plus any purchase bonuses you earned for items acquired during months where you kept a balance.

This beats Discover, incidentally, because Discover only refunds a certain amount for each tier of spending. AmEx literally totals your whole-year spending and determines your rebate percentage based upon that whole figure.

I'm going to like this card.

Doc

 

Re: Converted AmEx Blue to Cash Reb

I find it useful to call their 800 number for questions like these. It takes less time than posting here and waiting for an answer. (Not to mention the fact that you also have to wade through useful posts like the one George just made in which he told you that he didn't know.)

Ok, I just telephoned AmEx. If you carry a $1 balance, you do get the 2% bonus on purchases made during the month of the carried balance. In your example, that would net you a cool $80. I like it.

Doc

 

Re: Converted AmEx Blue to Cash Reb

Hi, George, do me a favor. Read the post in this thread where I explain the difference between "Everyday Purchases" and "Other Purchases." If you have other questions, please call American Express toll-free. It's no wonder why you have 10,000+ posts, lol. (Thanks again for another useful posting, cough, cough.)

Doc

 

Re: Converted AmEx Blue to Cash Reb

Aha, Dave, great thread! I used to be addicted to Fatwallet as well. (See, great minds truly do think alike, heh.) I was mostly a lurker there, though; my nickname there was/is YammyB (for no good reason whatsoever, to tell you the truth -- I've never picked the nick "Yammy" for anything else in my life and the "B" is similarly insignificant). Anyway, I'll read that thread! Thanks for pointing the way.

Incidentally, the reason I say I "used" to be addicted to Fatwallet is because there are so many good deals there that I was BUYING too much stuff, lol. Way too much stuff. Your posting here may put me into relapse, lol.

As for whether I got the 6 months of 0% balance transfers, I have no idea... I should have asked... I will call 'em back.

Doc

P.S. I just read that thread... it's excellent. Thanks for the GREAT explanation about the card... Some of what I posted in this thread was WRONG. I heartily recommend your thread on the other board. Thanks again, Dave, and I'm really looking forward to getting this exciting card!