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Established Contributor
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Registered: ‎11-08-2016

High Spending to get Business Card Bonus

A lot of the card require $5,000 spending in 3 month....

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Registered: ‎06-21-2017
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Re: High Spending to get Business Card Bonus

20k in 3 months for the AMEX Business Platinum. My business met that in a single purchase when I signed up, so I wouldn't consider 5k minimum spend to be remotely high for a business card.

 

It is pretty obvious what kind of client they are looking to attract with the relatively high minimum spend, though it does little to deter the churners. It might slightly change the risk calculus for those that would struggle to meet the spending through organic means; you can work 5-7 bonuses for the same amount of spending. The opportunity cost may not be worthwhile, especially if AMEX starts regularly clawing back after certain less than honest spending patterns.

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Re: High Spending to get Business Card Bonus


climbfire wrote:

20k in 3 months for the AMEX Business Platinum. My business met that in a single purchase when I signed up, so I wouldn't consider 5k minimum spend to be remotely high for a business card.

 

It is pretty obvious what kind of client they are looking to attract with the relatively high minimum spend, though it does little to deter the churners. It might slightly change the risk calculus for those that would struggle to meet the spending through organic means; you can work 5-7 bonuses for the same amount of spending. The opportunity cost may not be worthwhile, especially if AMEX starts regularly clawing back after certain less than honest spending patterns.


Sure certainly.  Many businesses have a daily expenses in $MM.  But many many more businesses are very low expenses.  

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Re: High Spending to get Business Card Bonus

BronzeTrader, 

 

Was there a question or discussion about the spending requirements? As in how they expect, or why business cards have them? 

Amex Biz Plat | Amex Biz Gold | Amex Biz Plus | Amex BCP | Amex Plat | Chase SR | Chase SP | BoA 123 Sig | Discover IT | Macy's Amex | PayPal Extras MC | and a couple store cards | Starting Score 618 EX (2/2014) - Today All 3 above 800 | Thanks to these forums for educating me on how to clean up my file and make wiser credit decisions
Regular Contributor
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Registered: ‎07-19-2017
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Re: High Spending to get Business Card Bonus


BronzeTrader wrote:

A lot of the card require $5,000 spending in 3 month....


I agree! I think especially Amex is targeting higher volume businesses. My business doesn't spend enough for that bonus requirement. Unless, I put my business tax bill, rent, and utilities through the business card, which I don't like doing. And, I use my personal credit cards for those personal bills. I wish they made one with less spend but a good bonus.



FICO 08 (Sep 2017): EX 657 / EQ 660 / TU 683 - Gardening until 04/30/18!
Established Contributor
Posts: 922
Registered: ‎11-08-2016
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Re: High Spending to get Business Card Bonus

I think there are just different types of "business".  You can have large corporations, mid-size companies (500?), small company (20 to 50) and proprietors.  Some of the proprietors do not have huge spending.  Those people are consultants, white-color contractors, IT people, teachers etc.  For those people the normaly costs are travel, computer and communication, office supply etc.  Those people may make $10,000 to $20,000 a month and have less than $1,000/month expenses.  

 

Certainly AmEx wants all the business customers, big or small.  But the bar has to be high.  No free $$ to hand out.

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