Entry into The American Express Lounge is governed by the full Terms and Conditions available at amex.com.au/airportlounge.
Point redemption rates will change as of 15 April 2019. Please go to bit.ly/rwd415 for more details.
American Express is laying down a serious challenge to its market rivals with its ultra-competitive American Express Explorer Credit Card, a premium rewards card aimed at the well-heeled leisure and business traveller. The benefits attached to the card are extensive but finely-tuned to deliver the maximum benefit to travellers at minimum cost &ndash: in fact, effectively zero net cost.
High points earning rate
This is a rewards credit card linked to the American Express Membership Rewards Gateway program. It has the least complicated and most inclusive points earning rate of all high-tier American Express Membership Rewards personal credit cards. The rates are:
Many credit cards do not allow any points at all to be earned on ATO payments, and 0.5 points per dollar has to be better than zero points per dollar. There’s also no monthly or annual points cap. This is in contrast to many competing cards which have restrictive absolute caps, or points thresholds which, when reached, cause the points earning rate to drop significantly.
Boost the points rate even higher
Points earning can be boosted temporarily by shopping with Amex bonus partners. Download the American Express mobile app to be alerted to the existence of bonus partners wherever you happen to be.
You can also receive bonus points for referring a friend who successfully applies for the same card, under the American Express referral program.
Membership Rewards points never expire, provided your card account remains open.
Points earning rates will change in April 2019
On 15th April 2019, the points earning rates for all American Express cards will change. For the American Express Explorer Credit Card it’s all good news since the 2.0 points earned on ‘all other’ purchases will be unchanged, while the points for government spending will increase to 1.0 points per dollar.
However, points redemption rates will also change (see details below).
Bonus points offer
Your points account balance will be boosted at the very start, with this gratifying bonus points offer. Simply spend at least $3,000 in the first three months – a relatively modest target that many people will be able to achieve via everyday spending – and 50,000 valuable bonus points will be added to your account.
While this offer is not available to anyone who has, in the previous 18 months, held any card directly issued by American Express, there is some really good news for anyone holding an Amex companion card issued by a bank. Even if have held this type of companion Amex card (accompanying your bank’s Mastercard or Visa) at any time in the last 18 months, you can still apply for a new American Express Explorer Credit Card and qualify for the 50,000 bonus points.
Redeeming Membership Rewards points
American Express does not operate its own merchandise catalogue. Instead it gives you plenty of options to use points for travel, but if you’re having a stay-at-home year you can still choose to shop with points or just get a cashback. The choices are:
A Points + Pay option is available with most redemptions, meaning that you can pay the balance in cash if you don’t have quite enough points.
Redemption rates will change in April 2019
American Express Membership Rewards points redemption rates will change on 15th April 2019.
The redemption rate for all airline frequent flyer points conversions will be 2 Membership Rewards points = 1 frequent flyer mile or point (or cent, in the case of Air New Zealand).
The rate for Hilton Honors will also change to 2:1, but there will be no change to the Starwood Preferred Guest exchange rate.
Retail and travel gift cards, and David Jones and Ticketmaster shop with points, will require 2,000 Membership Rewards points for each $10 of redemption value.
Although there’s no doubt that the points redemption rate will be less attractive from April 2019, the redemption value of Membership Rewards per dollar spent will still surpass the value earned by many competing cards.
$400 travel voucher every year
The annual fee for this card is $395. But that won’t bother you. Because every year, after you pay your annual fee, you’ll receive a $400 credit to spend with American Express Travel Online. It can be used for flights, hotels, tours or car hire, for yourself or someone else. Use it every year and your card, with all its attendant benefits, is effectively free.
Two airport lounge passes every year
The benefits keep rolling in. Every year you’ll also receive two free passes to the highly-regarded American Express Lounge at Sydney’s Kingsford Smith Airport, with complimentary access for your accompanying children under the age of 18.
Given that you’d need to pay $55 per person to access the lounge once you’ve used your two visits for the year, this benefit alone is worth $110 per year.
$US75 hotel credit
Here’s yet another travel perk. If you book two consecutive nights at any hotel belonging to The Hotel Collection program, you’ll receive a $US75 credit, plus a room upgrade when available. The Hilton Sydney, the Intercontinental Double Bay in Sydney and the Grand Hyatt and Intercontinental in Melbourne are all members of The Hotel Collection.
Complimentary insurance policies
No travellers’ card would be complete without complimentary travel insurance. But there’s much, much more. Here’s what you’ll get:
Cover is activated by paying for the item with the card or points, or paying trip fares with the card, or points, or the $400 travel credit.
American Express Invites
Cardholders receive access to pre-sales tickets for premium events, and specially-curated dining experiences around the world.
Dimmi and Amex partnership
American Express has partnered with restaurant booking website Dimmi.com.au, to allow Amex cardholders to quickly identify and make bookings at restaurants which welcome Amex cards.
Amex Offers program
The Amex Offers program program provides regularly updated discounts and cashback offers for shoppers and travellers. There’s an app available if you want to see live offers on your phone.
0 percent balance transfer for 12 months
Just in case you’re still wavering about switching from your old card, Amex are making sure you have no excuses, because the card could help you save money the first year.
Here’s how it works. There’s a big balance owing on your existing card? Not a problem. Transfer up to $10,000 to your new American Express Explorer Card (there’s a credit establishment fee to pay – 1 percent of the transferred balance) and drop the cash you had earmarked for the repayment into your mortgage offset account. It will happily reduce your mortgage interest bill for 12 long months.
The only problem is, the balance transfer will prevent you from using the card for purchases in the first year, because you will lose the 55 interest-free days you would otherwise get each month, and pay interest immediately on every transaction. Not using it for purchases means that in the first year you would miss out on rewards points, bonus points and insurance. So think carefully before you apply for a balance transfer.
Predictable interest rate
Cash advances are not available with this card, and the purchases interest rate is an unappealing 20.74 percent p.a. Therefore, don’t choose this card to see you through even temporary liquidity problems. It’s a card designed, not for someone likely to be paying interest, but for a person keen to preserve and enjoy their existing comfortable financial position.
Digital wallet
A plastic card – even with a PIN and contactless payments – is a late 20th century payment method, fine for its era but definitely on the way out. That’s why this card is compatible with Apple Pay, Samsung Pay and Google Pay, apps which convert your smartphone into a secure digital wallet. It’s fast, it’s convenient, and it’s the 21st century way to pay.
Service and security
You expect and deserve world-class service and security with a card like this, and you’ll get it. As well as 24/7 priority service you will enjoy an online fraud protection guarantee. If you lose your card, or if it is stolen, Amex assure you that they will replace it “Virtually anywhere, anytime . . . Almost always within 24 hours”.
But Amex cards aren’t accepted everywhere
You can’t derive benefit from a card you can’t use, and there’s no getting away from the fact that Amex cards are still declined more frequently than Visa or MasterCard, or attract a higher surcharge.
But look at it this way. Even if you choose to redeem your points for retail gift cards (generally agreed to give a lower-value return than airline points), you’ll get a return of 1.5 cents per dollar spent (1.0 cents from April 2019) to earn the required points. So you can afford to pay a surcharge of up to 1.5 percent now (1.0 percent from April 2019) without batting an eyelash.
Just pull out your Amex card at every possible opportunity, but keep a low-fee or no-fee Visa or Mastercard in your wallet for those few occasions when your Amex card is waved away.
Take a look at the competition
It’s no secret that Amex have other premium travel cards in their sights. They are trying to woo you away from cards like the Westpac Altitude Black Credit Card and the ANZ Rewards Black Credit Card. They are both in the same premium benefits category as the Amex card, with similar annual fees, and they are worth checking out. But neither of them has a $400 travel credit to offset the annual fee, year after year.
Why would you switch to this card?
Anyone contemplating switching to this card will almost certainly have arrived at a stage where travel and special experiences are an affordable and desirable adjunct to their lifestyle. For them, the American Express Explorer Credit Card is a travel facilitator. Rewards points, bonus points, lounge passes, travel insurance and the annual $400 travel credit combine to make this card virtually irresistible, because it brings the next journey closer while being effectively cost-free.
The $395 annual fee more than pays for itself with such benefits as the free travel insurance and included travel credit. But be sure to look carefully at the terms and conditions. Any of the $400 travel credit not used in one transaction is voided: in other words, it cannot carry over to other transactions. So spend the travel credit on the most expensive part of your travel.
The 2 points per $1 spent is pretty sweet, as is the potential to link with Velocity Rewards.
I recommend this card highly. It’s been great dealing with the customer care team – my queries are sorted with expertise and friendliness. On top of this the rewards have made it possible for me to travel without spending a penny.
The only drawback is that there are a lot of places that still don’t accept the card, which is sheer lack of knowledge as the card has similar merchant charges to that of MasterCard and Visa.
They were quick to accept my application with minimal fuss, and were speedy with sending out the card
But there’s not enough information given on how to redeem rewards. It’s hard to decipher how to gain rewards and take advantage of all the benefits advertised.
There’s also a ridiculously high annual fee. It’s good for short term needs, but you could easily get trapped by the high interest rate and annual fee.
I was super excited to get this card and to start racking up some points for air miles. I did get off to a bad start though, as they would not honour the referral miles for me since I forgot to apply via my friend’s link: countless phone calls and chat conversations, and they just wouldn’t budge. Just a warning to everyone else who is referred via a friend. The other rewards are pretty good – especially the retail offers that pop up.
The card is pretty good, with no annual fee and a bonus of 7,500 Velocity points after spending $750 on the card.
It’s a good card if you’re a Velocity member, as you can earn 1 point for $1 spent on anything, and your points will be transferred automatically to your Velocity account.
It works with Apple Pay and customer service with AmEx is very good.
| Interest rate | Period | Fee | Limit | Revert rate | |
|---|---|---|---|---|---|
| Balance transfers | 0% p.a. | 12 months | 1% | $10,000 or 70% of credit limit | 20.74% p.a. |
You can't balance transfer to the American Express Explorer® Credit Card at the promotional balance transfer rate from:
| Interest rate | Period | Fee | Limit | Revert rate | |
|---|---|---|---|---|---|
| Balance transfers | 0% p.a. | 12 months | 1% | $10,000 or 70% of credit limit | 20.74% p.a. |
| Purchases | N/A | N/A | N/A | N/A | N/A |
| Monthly | Annually | |
|---|---|---|
| Cash advances | N/A | N/A |
| Purchases | 1.73% | 20.74% p.a. |
