Review of American Express Blue Cash® from American Express

The Blue Cash® from American Express was last reviewed on 3rd May 2008.

Summary - We recommend the Blue Cash® from American Express to those who want to earn cash rebates on their credit card because at present, this is the only credit card that allows you to earn 5% rebates on supermarket, gasoline and drugstore purchases. Find out more about this card.

Rebate Formula - This is how the Blue Cash rebate formula works. For spending up to $6,500, you earn 1% rebate on everyday purchases (defined as spending at standalone supermarkets, gas stations and drugstores) and 0.50% on "other purchases". For spending above $6,500, you earn 5% rebate on everyday purchases and 1.5% on other purchases. You can earn unlimited rebates.

Other travel or shopping benefits - The Blue Cash® from American Express card has the following travel and shopping benefits.

1. It allows cardholder to make purchases at shopamex.com, a shopping comparison site designed for Amex cardholders. You can also redeem points for your purchases.

2. You can get a $100 credit back into your statement if you spend $3,000 on a qualifying vacation using your card at participating American Express Travel Services.

3. Buyers Assurance - This program essentially doubles your warranty for products you have purchases up to a limit of one extra year. Coverage is good for up to a purchase of $10,000 and up to $50,000 worth of purchase a year.

4. Purchase Protection Plan - under this plan, you can return any purchase you make if it is accidentally damaged within 90 days.

5. American Express Selects - American Express has partnered with many merchants worldwide to offer discounts to cardholders. Those who travel a lot may find this beneficial.

Fees - There is no annual fee for the American Express Blue Cash Card. The apr is as low as prime rate plus 4.99% depending on your credit. You get a 0% introductory apr on purchases for 6 months and a 4.99% fixed rate on balance transfer for the life of the transfer if you submit the transfer request with your application. The American Express Blue Cash Card uses the average daily balance method (including new purchases) of calculating your monthly balance and has a 20 day grace period.

Verdict - The Blue Cash® from American Express Card will appeal to those who spend a lot on their card and looking to earn good cash rebates. Since both the Citi Dividend and the Chase Cash Plus Rewards have been discontinued, the Blue Cash® from American Express is the only credit card that pays you 5% cash rebates on supermarket, gasoline and drugstore purchases. It is the only card that pays 1.5% rebates on "other purchases". In my opinion, this is the best cash back credit card in the market. I personally have this card and highly recommend it.

Positives