topic Re: Amex Platinum (Buyer's Remorse) in Credit Cards

Amex Platinum (Buyer's Remorse)

ilove2learn — Wed, 19 May 2021 00:14:23 GMT

I fell for the hype of how great American Express platinum is. In the numerous reviews I read prior to applying NO ONE mentions the the 2 AM emails stating: "You’re spending more than usual "The balance on your account is approaching a level where we may need to temporarily suspend further charging. To ensure uninterrupted use of your Card, please call us at 1-800-230-1284 to discuss your account(s). We’re available to assist you 24 hours a day, seven days a week." Followed by the text messages and phone calls from random numbers throughout the day to "assist" with making payment arrangements prior to the due date or statement closing day. Already made a payment? Doesn't matter the phone calls are coming! Tired of receiving notifications and calls? Not an issue opt out of them contacting you and Amex will simply suspend your account, but you wont find out until checkout! Accquiring inquiries on your credit report N-O-T related to American Express? Be prepared for a well-mannered person to call demanding payment while graciously informing you your spending power has been reduced due to the recent inquiries then politely reassuring you the platinum card is a "performance card", the more you spend the higher your future spending power. It's great the balance of the card does not impact credit utilization. However, this card will NOT be a daily driver! I am only two months into using Amex Platinum and the honeymoon is over I will be switching to one of my traditional high limit cards with a set credit limit.

Re: Amex Platinum (Buyer's Remorse)

Anonymous — Wed, 19 May 2021 00:43:25 GMT

@ilove2learn wrote:
I fell for the hype of how great American Express platinum is. In the numerous reviews I read prior to applying NO ONE mentions the the 2 AM emails stating: "You’re spending more than usual "The balance on your account is approaching a level where we may need to temporarily suspend further charging. To ensure uninterrupted use of your Card, please call us at 1-800-230-1284 to discuss your account(s). We’re available to assist you 24 hours a day, seven days a week." Followed by the text messages and phone calls from random numbers throughout the day to "assist" with making payment arrangements prior to the due date or statement closing day. Already made a payment? Doesn't matter the phone calls are coming! Tired of receiving notifications and calls? Not an issue opt out of them contacting you and Amex will simply suspend your account, but you wont find out until checkout! Accquiring inquiries on your credit report N-O-T related to American Express? Be prepared for a well-mannered person to call demanding payment while graciously informing you your spending power has been reduced due to the recent inquiries then politely reassuring you the platinum card is a "performance card", the more you spend the higher your future spending power. It's great the balance of the card does not impact credit utilization. However, this card will NOT be a daily driver! I am only two months into using Amex Platinum and the honeymoon is over I will be switching to one of my traditional high limit cards with a set credit limit.

Many of us have had zero problems with AMEX charge cards. That said, remember they aren't an unlimited spending limit. Instead, they are a no-preset-spending limit. There is a difference.

How much of a balance have you had?

Many factors go into setting the internal limit for charge cards. But, if you don't like that, then you shouldn't have gotten a charge card. It's like getting an apple when you really like oranges.....

Re: Amex Platinum (Buyer's Remorse)

Brian_Earl_Spilner — Wed, 19 May 2021 01:07:11 GMT

You must be doing quite a bit of spending if they're already calling you within 2 months.

Re: Amex Platinum (Buyer's Remorse)

SouthJamaica — Wed, 19 May 2021 01:54:20 GMT

@ilove2learn wrote:
I fell for the hype of how great American Express platinum is. In the numerous reviews I read prior to applying NO ONE mentions the the 2 AM emails stating: "You’re spending more than usual "The balance on your account is approaching a level where we may need to temporarily suspend further charging. To ensure uninterrupted use of your Card, please call us at 1-800-230-1284 to discuss your account(s). We’re available to assist you 24 hours a day, seven days a week." Followed by the text messages and phone calls from random numbers throughout the day to "assist" with making payment arrangements prior to the due date or statement closing day. Already made a payment? Doesn't matter the phone calls are coming! Tired of receiving notifications and calls? Not an issue opt out of them contacting you and Amex will simply suspend your account, but you wont find out until checkout! Accquiring inquiries on your credit report N-O-T related to American Express? Be prepared for a well-mannered person to call demanding payment while graciously informing you your spending power has been reduced due to the recent inquiries then politely reassuring you the platinum card is a "performance card", the more you spend the higher your future spending power. It's great the balance of the card does not impact credit utilization. However, this card will NOT be a daily driver! I am only two months into using Amex Platinum and the honeymoon is over I will be switching to one of my traditional high limit cards with a set credit limit.

I'm on your side. I used to have the gold card. I had a perfect record, fairly low utilization, and limits totalling $94k on my Amex revolvers. Then one day I decided to give the card some love and put a $3k veterinarian's bill on the card, and they declined the charge. Not a fraud alert, they were just declining the charge outright. The reason they gave me was that I had never paid more than $1700 in a month with the card in the past.

I got rid of that card. No more charge cards. I will only use cards where I know what the credit limit is, and don't have to guess, at the risk of being embarrassed.

Re: Amex Platinum (Buyer's Remorse)

Remedios — Wed, 19 May 2021 02:42:09 GMT

How much credit are you seeking if you're getting approvals rescinded

Seems like there might be a valid reason for their concern.

Looks like you went for BoA card, this one, this one approved on recon

I personally think you're trying to bite way more than your profile can chew at this time.

Re: Amex Platinum (Buyer's Remorse)

HeavenOhio — Wed, 19 May 2021 02:43:58 GMT

@ilove2learn, AMEX charge cards actually do impact utilization in the Experian 98 family of scores. The classic score in that group is used for mortgage approvals.

Re: Amex Platinum (Buyer's Remorse)

K-in-Boston — Wed, 19 May 2021 02:46:30 GMT

No one mentions those in reviews because it doesn't usually happen to Amex cardholders. Calls asking for early payments and setting a preset limit on charge cards is their reaction when they feel that the cardholder is in financial distress, or if there have been delinquencies either with Amex in the past or with other lenders that appear on your credit reports. It really depends on the profile, but for the average person applying for a lot of credit in a short period of time or quickly adding a lot of new debt can be a red flag that the cardholder is under financial duress and has a higher likelihood of defaulting.

I've been with Amex for almost 20 years. Never had a call asking for early payment. Never had a preset limit imposed. Never had a charge declined even if it was a very large dollar amount and I hadn't used the card in a long time, or even in cases of obvious fraud (they prefer to accept the charge now and ask questions later so as not to inconvenience their members). All of that even when I had revolving utilization in the 80-90% range for years after the Great Recession caused my other lenders to rate jack and balance chase and while owing Amex some serious cash on Pay Over Time balances. They have never let me down when it comes to feeling like a valued member and kept me afloat for years.

Re: Amex Platinum (Buyer's Remorse)

Kforce — Wed, 19 May 2021 03:20:52 GMT

A little off topic, but also somewhat related.

With the same aged, slow changing, low/no inquire profile, I have found that different issuers handle larger, off normal charges quite differently. Three of my issuers could care less and seem to let anything pass. Three others panic thinking fraud with a few hundred dollar charge. Issuers apply extremely different AI for new charges. I have learned what cards to carry for unusual spend.

Re: Amex Platinum (Buyer's Remorse)

PointsBonus — Wed, 19 May 2021 04:00:17 GMT

@ilove2learn I understand your frustration, I been there for the t-shirt and signed. But here is what I can tell you from experience. They are so relationship based company, the first 6 months was tough, emails, text and calls. But I figured out the "system" by talking to retention specialist- it is all system based and the system looks at your spending and payment habits - here is the short version

Example 1

week 1 spend $1000

beginning of week 2 you pay $1000

multiple that by 4X a month the system thinks you can manage paying $4000 a month

Example 2

week 1 spend $1000

beginning of week 2 you pay $2000

multiple that by 4X a month the system thinks you can manage paying $8000 a month and then some becuase ur paying more than your actual "spend"

I did example 2 for 3 months - after that - my Platinum was free as a bird, and all the other AMEX cars NO ISSUES, but as everyone has stated it all depends on the situation, but I can tell you AMEX loves payments multiple times a month and paying more than your spend.

hope this helps and hope you give AMEX a few more months, but once you past that stage your golden

Re: Amex Platinum (Buyer's Remorse)

IntegerIntrovert — Wed, 19 May 2021 04:22:32 GMT

I support the decision to cancel also. *If* I was looking to keep it I might call and offer to do a financial review or whatever they call it (4506-T)? Or submit additional income verification to keep them off my back.

Re: Amex Platinum (Buyer's Remorse)

W261w261 — Wed, 19 May 2021 04:29:24 GMT

Although it says 69 on my Amex cards, I've been a current member for only 4+ years. Started out with ED, then noticed in January I think, that I was preapproved for EDPref, but at the same CL of 1k. Denied a CLI in Jan. Lots - lots - of spend though, around 3k/mo. Got rid of a CO balance and some other things, so around April 1 apped and received a Gold and a Delta Reserve (5k). Better than 1k at least. With the Delta SUB of 80k miles and 20k MQM's, I have a real shot at attaining Elite status. It will take 25k spend by the end of the year, as I don't fly much.

A month ago, I was staring at a vet bill of 10k. I really wanted the spend on the Delta card, so asked if I could essentially prepay 5k (card had zero balance). The CSR kicked me to the right department, and they said yes. They also said that the Gold card (also new) would support a 10k charge. In the past with the little EDP card, I had also asked to be able to overpay substantially in anticipation of a larger charge. They always have said yes.

My point is, I'm not assuming anything about my relationship with Amex. My score is just over 700, not bad but not great. I pay in full, but am aware that a big bill might put me outside some AI comfort level, and so, when in doubt, I always call. They've always been very nice, and have always said yes, except for that darn EDP 1k limit, but no one's perfect. Even though the Gold card says I don't have to let them know if I'm going out of state, since I don't travel much and I'm going to LA (I'm from the E Coast), I call first. I'm happy that Amex has let me in, but I feel a little like the public school scholarship kid at an Ivy school. Yes, I'm there, but my father didn't go. They're very polite, but maybe watching me closer than a 20 year customer who hasn't a chequered past. I take nothing for granted.

Re: Amex Platinum (Buyer's Remorse)

Jervo007 — Wed, 19 May 2021 07:21:28 GMT

I have the Amex Gold and they were gracious enough to approve me back in 2019 w/ a CS of 654. Now, a few months in, my wife and I had a baby and I did run the card up quite a bit + a few other cards I have. My score dropped to the low 600s and the calls, texts, and emails like you mentioned started streaming in. Annoying to say the least... that was until I just started taking their calls each time. I'd have the conversations with them. I explained that I indeed understood how a charge card works, etc. I explained my circumstances and my plan to pay the card down. I also suggested that I send them over proof of income, as well as a number of accounts I have and if it would help ease their mind. They agreed. After all was said and done, they 100% left me alone, and I paid the balance down as I said I would. Fast forward to today, CS is @ 744+ and whatever I charge for the previous month gets paid in full. I also paid off all my other cards and I don't carry any balances.

I was offered to upgrade to Platinum last week, but I quite like the Gold for the 4X @ grocery stores and restraurants. The points more than pay for our trips to Italy. #weirdflex And besides that trip, we don't travel enough to justify the Platinum fee.

Just remember - they don't know who you are. Sure, you may have a decent credit history but you can only imagine how many times AMEX got left high and dry. They'd rather annoy you out of spending vs losing the $12,000 you racked up. Like I stated above, just start answering their calls. Have the conversations. Do what you say, whatever that is. Cause they do add notes to your account. And bam! No more calls, texts or emails.

Re: Amex Platinum (Buyer's Remorse)

Shooting-For-800 — Wed, 19 May 2021 11:16:22 GMT

OP what's was your pay over time limit?

Re: Amex Platinum (Buyer's Remorse)

AverageJoesCredit — Wed, 19 May 2021 11:25:44 GMT

@ilove2learn wrote:
I fell for the hype of how great American Express platinum is. In the numerous reviews I read prior to applying NO ONE mentions the the 2 AM emails stating: "You’re spending more than usual "The balance on your account is approaching a level where we may need to temporarily suspend further charging. To ensure uninterrupted use of your Card, please call us at 1-800-230-1284 to discuss your account(s). We’re available to assist you 24 hours a day, seven days a week." Followed by the text messages and phone calls from random numbers throughout the day to "assist" with making payment arrangements prior to the due date or statement closing day. Already made a payment? Doesn't matter the phone calls are coming! Tired of receiving notifications and calls? Not an issue opt out of them contacting you and Amex will simply suspend your account, but you wont find out until checkout! Accquiring inquiries on your credit report N-O-T related to American Express? Be prepared for a well-mannered person to call demanding payment while graciously informing you your spending power has been reduced due to the recent inquiries then politely reassuring you the platinum card is a "performance card", the more you spend the higher your future spending power. It's great the balance of the card does not impact credit utilization. However, this card will NOT be a daily driver! I am only two months into using Amex Platinum and the honeymoon is over I will be switching to one of my traditional high limit cards with a set credit limit.

Backstory needed here please. What scores do you have, inquiries , etc. What kind of spend were you using , how were you paying? Were the purchases out of norm for your income? Until you shed light on your 2 month Amex experience, not just them calling for payment, you will only receive feedback based on others experiences good and bad. Please give us heads up on previous history thanks

Re: Amex Platinum (Buyer's Remorse)

jcooks — Wed, 19 May 2021 12:07:50 GMT

Looking at your [recent] approval posts, you've obtained 4 or 5 credit cards within a month, some having a SL as low as $1k and had to recon a few. With that as a DP, it seems that you're reaching the limit of your profile. Amex noticed that and may be trying to protect themselves. I think it's primarily all these newly obtained credit cards.

EDIT: I just saw your latest post on a lender closing your recently opened approved card due to too many inquiries. Amex isn't the only one seeing these red flags here.

Re: Amex Platinum (Buyer's Remorse)

W261w261 — Wed, 19 May 2021 14:18:40 GMT

OP, you haven't listed any other Amex products, so I'll assume this is your first. Although you are frustrated and irritated with your Plat experience so far, and talking of focusing on your other cards, I would suggest you do so in a way that leaves your relationship with Amex in the best shape possible.

You probably have a SUB of 60k points. If you have achieved the spend level (barely) and then ditch the card, there's a possibility of a clawback. If you cancel the card before a year, that's not good either. There's many messages on this board about what works with Amex and what doesn't, including those from people who slammed the door when they left and now find it locked when they'd like to get back in. Give the long view a hearing even though you're p.o.'d at the moment. Just my 2¢

Re: Amex Platinum (Buyer's Remorse)

blossom_rebuilding — Wed, 19 May 2021 14:34:02 GMT

Thanks for sharing your experience on the AmEx Platinum! I really appreciate this post; the value of these forums is hearing about user experience, and while the user experience is of course profile-specific and YMMV, what works for one person and circumstance may not work for another. Ain't nothing wrong with that. I don't think charge cards without pre-set limits would work well for me, either.

Re: Amex Platinum (Buyer's Remorse)

SouthJamaica — Wed, 19 May 2021 14:42:17 GMT

@blossom_rebuilding wrote:
Thanks for sharing your experience on the AmEx Platinum! I really appreciate this post; the value of these forums is hearing about user experience, and while the user experience is of course profile-specific and YMMV, what works for one person and circumstance may not work for another. Ain't nothing wrong with that. I don't think charge cards without pre-set limits would work well for me, either.

Re: Amex Platinum (Buyer's Remorse)

jcooks — Wed, 19 May 2021 15:10:02 GMT

@SouthJamaica wrote:
@blossom_rebuilding wrote:
Thanks for sharing your experience on the AmEx Platinum! I really appreciate this post; the value of these forums is hearing about user experience, and while the user experience is of course profile-specific and YMMV, what works for one person and circumstance may not work for another. Ain't nothing wrong with that. I don't think charge cards without pre-set limits would work well for me, either.
+1

It doesn't seem this is an issue with a charge card vs a revolver. OP had another lender rescind their approval after a few days of opening due to too many inquiries.

Re: Amex Platinum (Buyer's Remorse)

ilove2learn — Wed, 19 May 2021 20:49:34 GMT

I strongly recommend against accusatory statements or foregone conclusions. In the original post, I made no derogatory statements about American Express. We can all agree no reasonable person would expect to pay $550 to have a card in their wallet and anticipate its lender contacting them multiple times before the bill is due asking for payment!

In the spirit of agreeableness, I contacted American Express. They informed me their definition of "usual spending" is defined by the average spending & payments made in full for the previous six months. Since my account is new, I have no usual spending balances. I should expect the "Dear John . . . we may need to temporarily suspend further charging" letters until the system establishes a profile. This card was my daily driver until the bombardment of phone calls, texts, and emails annoyed me to the point of wanting nothing to do with the card. My decision to abruptly cease using the card for the last 2 - 3 weeks reduced my spending power from the typical $4,000 of new members to just $2700, which is where the balance remained for those weeks. When two authorized users, one who used the card for the first time, charged $500 to the account for the first time in weeks, that rightfully triggered "You're spending more than usual". Lastly, the American Express agent informed me it's normal to receive redundant emails, text messages, and phone calls regarding payments. Like clockwork, the cringe-inducing "Dear John" letter was received at 3:43 AM today, and the calls from random numbers resumed at 11:18 AM. Reminder, the request for early payment was addressed less than 24 hours ago. When I called at noon, American Express rep told me my account was in good standing and to disregard the emails.

As PointsBonus member pointed, American Express loves payments! If you're a new Platinum Charge member with high spending, I strongly recommend you pre-pay or make weekly payments until your profile is established.

I stand by the original reference premise in reviews. No one mentions American Express practice of calling, texting, and emailing requesting early payments until they've built a profile on the new user if their spend exceeds a set amount per month. Had I known ahead of time, I would approach the situation differently.

For the reference implying my profile is weak, I'm struggling to obtain approvals, and spooking lenders:

Bank of America required reconsideration to verify my identity. I didn't have time to update it in the approvals sections. Ultimately, they approved me for $20,000
Synovus approved a second card using the same pull for $1,000 that got me approved for $3,000. The rep stated their very hard to get in with.
UMB closed my account due to "excessive inquiries" they didn't like I obtained two additional inquiries or my locked report preventing them from completing a second pull. (Frankly, this account's closure is irrelevant in the big picture. I shared the experience to help others)
Using the same information as UMB, another lender automatically increased my credit limit past $25,000
Understanding inquiries are only scorable for the first year yet are visible for 2 years, I generally cluster all my inquiries within two weeks intervals. When speaking to underwriters I inform them I regularly obtain all of my accounts in clusters so they can age together and prevent me from appearing credit-seeking, and I often get kidows for this method.

I want to underscore I appreciate all the advice, suggestions, personal stories, encouragement, and clarity-seeking questions. As recommended by most responses intended as testimonies, I will not give up on my AMEX platinum card. I now know what is needed to prevent calls, texts, email, etc., and I intend on doing it. Again, thank you, everyone!