Opinions Needed! What would you REALLY pick?

[Anonymous]

Okay,

So I used to be an AU on an Amex Blue card. It was neat looking, but functioned like the rest of my cards...paid for stuff. Why is American Express so desired? I don't see why NFCU isn't the new Amex. I mean in the sense of giving people chances, not pulling financial reviews, lowering credit limits,etc like Amex did. So here's the question:

Which would you rather have? (For all purposes...buying power, utilization, flashy-ness, whatever) For sake of argument...this is the last CC you'll ever have and the CL, annual fees, etc is FINAL.

NFCU/PenFed/etc Credit Card with a 25K limit (very common for them to give out to those in 700 club) OR An Amex BCE/etc with a 12.5K limit.

Share your reasoning with me, too. Why did you choose one over the other?

Thanks!!!!!!

[amakol]

NFCU is a VISA so it has acceptance everywhere worldwide where credit can be taken. I just ran into a place today in a major Northeast city that didn't take Amex.

[Anonymous]

That's another valid point.

[longtimelurker]

Depends on the card and your spending pattern.  A $12.5K Amex Blue Cash would be far more valuable to me as I would use the 5%  drug store category a lot!

[mongstradamus]

I can comment on why I like having at least one amex card. I like msd, 1 year warranty extension, travel insurance, and purchase protection. Those features are not really discussed that often.

[Anonymous]

NFCU offers a good bit of stuff like that. Rental car insurance, etc. I just don't get why the top of the ladder is AMEX. I you want 5% for drugstores, that's cool. It seems to me it's an accepted social norm that if you have an Amex you're doing REALLY well in life. I don't buy that. I'd take two of NFCU 25K cards (50K total) along with their 15K LOC and call it a day. If you need more than 50K of revolving credit, you probably need one of those secret no limit credit cards celebs have

[longtimelurker]

The general experience is that while many good Visa and MC cards offer similar protections and services, they are often MUCH harder to use, in the hoops you have to jump through to file a claim, and the eventual chance of success.

Now, this may be slowly changing, there have been some recent reports where Amex has made things just as difficult as the other issuers, but in general, people who have filed claims and disputes generally seem to be do better with Amex.

Now for me, that isn't a major reason, I tend not to buy things that need such coverage, but others do.

In general, go for the card whose "total rewards" structure best matches with your goals (e.g. travel vs cash back) and spending.  Many issuers have both good and bad cards.

[amakol]

If you look at credit card spending, Amex undeniably has the highest spenders. I don't remember specifically but it's not close. It was doubling up on Chase and any other bank even though it had much fewer cards issued. It's still definitely the bank of choice for the rich and famous. They've changed their UW criteria to become way more mainstream, so it's not really harder to get than anything else nowadays - Chase, NFCU, FNBO etc. Perceptions just linger.

On the flip side, NFCU has very specific criteria on who can join and get their products so it will always be self-limited in size. Amex is a giant to go up against. Only Chase can really go toe-to-toe, but even then it's getting crushed when you account for who makes the most in swipe fees. Amex's legacy will probably continue as long as we're all alive.

[DrZoidberg]

Not everyone can get a NFCU card and not everyone can get Amex. Both have their appeals to their certain clients. You prefer NFCU and I'd take my Amex. Most people like the NFCU for the high credit limits, but see little value otherwise. As the saying goes (and I know from belonging to car forums how true this statement is) "to each their own."

[Anonymous]

I think there's a good point that Amex kind of started it all and has been serving the upper class for quite some time. I'm just thinking that's changed over time. Amex HAD to change their UW criteria or they'd be broke. The things that have happened to this economy wouldn't let half the people that have an AMEX have one 30 years ago.

For example, when the housing crisis hit...that affected MILLIONS. Guess who is getting their business/swipes? Nothing with an AMEX logo on it. That's why they're trying so hard to push their pre-paid credit card thing out. They know there is a HUGE market for the lower-middle class. Don't get me wrong, I'm not bashing Amex. I'm just thinking Amex was like a fashion trend and it's the "cool thing" to have in the wallet.

One last example. Role reversal. You have an ugly orchard bank credit card with everything and amex has and the amex has everything the orchard does. What you've reduced it down to now is just an image. When you hand your Amex over at Starbucks, you feel kind of elite. When you hand over an Orchard Bank card...it's kind of like...this is all I've got. I just feel like there are so many banks deserving of Amex like stardom that haven't hit it yet.

The only card I've ever been complimented on in my wallet was my Chase Freedom. At the time, it had a $500.00 limit! Lol...why did I get one? It's much shinier than the others. My BoA looks kinda plain, but it's my highest CL with 0% APR for a year.

Sorry for the long rant. Just wanted some thoughts to see if Amex is just a social trend or if it really is that much better. I was thinking about applying for an Amex as my very last card for a LONG time, but can't really justify it.