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American Express Cash Magnet® Card review
Last updated:
A simple cashback card with no rotating categories, no cap on cash back and no annual fee.
finder.com’s rating: 4.3 / 5
★★★★★
- Get this card if you want to earn 1.5% cash back on all purchases and you don’t want to pay an annual fee.
- Pick something else if you want higher cash back on specific categories or if you want travel rewards.
- Apply with a good to excellent credit score of 680 or higher.
$150
Welcome offer
Up to 1.5%
Cash back
$0
Annual fee
0%
Intro purchase APR
for the first 15 months (then 13.99% to 23.99% variable)
Details
| Product Name | American Express Cash Magnet® Card |
|---|---|
| Card type | American Express |
| Annual fee | $0 |
| Purchase APR | 0% intro for the first 15 months (then 13.99% to 23.99% variable) |
| Balance transfer APR | N/A |
| Cash advance rate | 25.24% variable |
| Cash advance fee | $10 or 5% of the cash advance amount, whichever is greater |
| Penalty APR | 29.24% variable |
| Foreign transaction fee | 2.7% of the transaction value |
| Interest free period | Up to 25 days |
| Late payment fee | Up to $40 |
| Returned payment fee | Up to $40 |
| Rates & fees | rates & fees |
Expert review
Review by
Kliment Dukovski
kliment.dukovski@findercrew.comKliment Dukovski is a credit cards writer. He's written over 600 articles to help readers find and compare the best credit cards. Kliment has also written on money transfers, home loans and more. Previously, he ghostwrote guides and articles on foreign exchange, stock market trading and cryptocurrencies.
Expert review
The American Express Cash Magnet® Card is a simple credit card with a $0 annual fee and an unlimited 1.5% back in reward dollars on all purchases. Once you meet certain spend requirements, you earn a $150 cash bonus.
Also, you get a long 0% intro APR period on purchases for more than a year when you open your account. This can be incredibly helpful if you’re looking to make a large purchase early on and pay it off without paying interest.
Considering the card has no annual fee, it could be an ideal option for anyone who doesn’t spend much on any particular category of purchases. The only downside is that you’ll pay foreign transaction fees when using the card abroad or online with foreign merchants.
How to apply for the American Express Cash Magnet® Card?
- Click Apply now.
- Complete the form with the requested information.
- Review your application and submit it.
How long will it take to get my American Express Cash Magnet® Card?
American Express can approve your application within a few minutes with its automated system. If additional information is required it could take a few business days up to a few weeks for a decision. Once you’re approved, you’ll get your card in 7 to 10 business days.
Benefits changes to the American Express Cash Magnet® Card
Amex recently made a series of benefits changes to the American Express Cash Magnet® Card. You can expect the following tweaks as of January 1, 2020:
- The removal of travel accident insurance
- The removal of roadside assistance
- The removal of extended warranty coverage
- The removal of return protection
- The purchase protection coverage period will be reduced to 90 days from 120 days
The perks
Welcome offer.
Get $150 as statement credit after you spend $1,000 on eligible purchases in the first 3 months after opening your account.
Cash back.
For every purchase you make, get unlimited 1.5% in reward dollars — which you can redeem for statement credits, gift cards and merchandise once you reach at least 25 reward dollars.
Intro APR on purchases.
Get one of the longest 0% intro APR periods on purchases. You won’t pay interest for the first 15 months after your account opening. After that, a variable APR of 13.99% to 23.99% applies.
No annual fee.
You get all these perks with a card with no annual fee.
How much cashback rewards can I earn with the American Express Cash Magnet® Card?
One of the American Express Cash Magnet® Card‘s biggest strengths is its simple rewards. Here’s how much cash back you might earn based on different levels of spending:
- $500 per month x 1.5% = $90 cash back a year
- $1,000 per month x 1.5% = $180 cash back a year
- $1,500 per month x 1.5% = $270 cash back a year
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Plan ItSM
When you make purchases larger than $100, you can choose to pay in several monthly increments with a fee, instead of paying interest. You can make up to 10 active payment plans, but American Express decides the exact number. This feature is only available on the Amex mobile app.
Purchase protection.
Don’t stress if you bought an item and want to return it but the merchant won’t take it back. For purchases made within 90 days and worth up to $300, Return Protection may give you a refund. Also, get protection for accidental damage or theft on eligible items up to $1,000 per item and up to $50,000 per year.
Fraud protection.
You won’t be held liable for fraudulent charges made on your card.
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What to watch out for
Foreign transaction fees.
You may want to avoid using this card while you’re outside the country. Every time you make a transaction when traveling abroad, you’ll pay a 2.7% fee.
Welcome offer eligibility.
When you apply for the card, you’ll get a pop-up message informing you whether you’re eligible to get the welcome offer before Amex makes a hard pull on your credit. Some of the factors considered by the issuer are whether you canceled or downgraded from another card in the last 12 months, or whether you applied for multiple cards to get the welcome offer.
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What should I know before I apply?
Eligibility requirements
To apply, you must be:
- At least 18 years old.
- A US citizen or permanent resident of the US.
Required information and documents
- Name and address.
- Email and phone number.
- Social Security number and date of birth.
- Annual income and income sources.
What credit score do I need?
You can apply with a 680 credit score, but to get a high credit limit and a lower APR on purchases, apply with an excellent score. American Express usually pulls your credit report from Experian.
American Express Cash Magnet® Card reviews and complaints
Consumers generally like the card for what it offers, but claim that if the 1.5% cash back was bumped to 2% they’d be more inclined to get it. Many mention that compared to other cards, they weren’t impressed with the cash value amounts, especially compared to cards that offer the same perks and are accepted in more places, like Visa and Mastercard. However, customers love the long intro APR period for purchases.
The Better Business Bureau rated American Express with an A+. As of this writing, 172 customers rated American Express 3.78 out of 5 stars. Most of their complaints revolve around poor customer service and issues with products and services.
I got the card. Now what?
- Set up autopay. Sign up at the American Express site or download the Amex mobile app and set up automatic payments. This will help you pay on time and avoid unnecessary fees.
- Create a Plan It transaction. In your Amex mobile app you can create long term payments for eligible purchases of more than $100. With this perk, you’ll pay a fixed fee instead of interest, potentially saving you money.
- Avoid late payments. You may be charged $40 fee for late payments. For one or more late or returned payments, you’ll end up with a 29.24% penalty APR for at least six months.
- Enroll in ShopRunner. Get free two-day shipping at more than 100 online retailers. And if you’re not happy with any of your items, you can return them for free.
- Customer service. For any questions, call American Express customer service at 800-528-4800. You can also chat with customer service online through the American Express site.
How do I redeem rewards from the American Express Cash Magnet® Card?
Just log in to your American Express online account. Then click Use reward dollars. Once your rewards dollars balance hits $25, you can redeem for statement credit.
From time to time, American Express will give you the opportunity to redeem for rewards such as merchandise and gift cards.
Bottom line
For those who want a simple, no-annual-fee card, the American Express Cash Magnet® Card could be a good choice. You could earn unlimited 1.5% cash back on all purchases and you get one of the longest intro APR periods for purchases.
If you want to earn higher cash back on everyday spending categories, the Blue Cash Preferred® Card from American Express may be more useful.
Apply for this card or compare other credit cards to find the best one to suit your needs.
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Frequently asked questions
Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by any card issuer.
Images: AmericanExpress.com
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