I know what you’re thinking: There’s no way to justify keeping two cards that earn the same points and paying close to $1,000 in annual fees to keep both. (Platinum Card® from American Express: see rates and fees) (American Express® Yellow Card: see rates and fees)
For me (and many others), it was totally worth it.
It is true that the above price tags Platinum Card® from American Express And American Express® Gold Card can look heavy – especially in combination – and they earn the same kind of points. However, the earning rates and perks of these cards couldn’t be more different.
If you want to increase your income, maximize the benefits available each year, and ensure that you are protecting as many of your expenses as possible, it makes sense to keep both the Platinum and Gold cards. Here’s why.
Two cards, two bonuses
During the first year you have a credit card, the welcome bonus is one of (if noted) the most valuable benefits. And welcome bonuses can be earned on all American Express cards. There’s no rule prohibiting you from earning a Gold card bonus because you have a Platinum card — or vice versa — as long as you meet the other person Applicable laws.
Right now, new applicants for Amex Platinum Card can earn 80,000 bonus points after spending $6,000 on purchases during the first six months of a card membership. Meanwhile, applicants for Amex Gold Card can earn 60,000 bonus points after spending $4,000 on purchases during the first six months of a card membership. However, you can earn higher signup rewards through friend or relative’s referral link until June 7.
TPG . value American Express membership rewards at 2 cents per person. Thus, 140,000 points are worth $2,800.
How should you use those points? Here is a look at maximize your Amex Membership bonus points.
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Accelerate your earnings
In addition to the welcome bonus, you’ll earn points for purchases with your card. However, the number of points you earn with Platinum and Gold cards is very different. Compare the following:
| income rate | Amex Platinum Card | Amex Gold Card |
|---|---|---|
| flight | 5 points per dollar on flights booked directly with airlines or with Amex Travel (up to $500,000 for these purchases annually, then 1 point per dollar). | 3 points per dollar on flights booked directly with airlines or Amex Travel. |
| Many hotels | 5 points per dollar if booked and prepaid with Amex Tourism; 1 point per dollar otherwise. | 1 point per dollar. |
| restaurant | 1 point per dollar. | 4 points per dollar (note that most food delivery app codes are restaurants). |
| supermarket | 1 point for every dollar. | 4 points per dollar at US supermarkets (with annual purchases up to $25,000, then 1 point per dollar). |
| Other purchases | 1 point for every dollar. | 1 point for every dollar. |
You can earn thousands more points each year by using the right card for each purchase. General guidelines for using Platinum and Gold cards are as follows:
- Platinum card: For flights booked directly with the airlines, plus flights and hotels booked with Amex Travel.
- Yellow card: At American restaurants and supermarkets.
Related: 6 easy strategies I use to earn over 500,000 points and miles a year
Multiple annual credits
In addition to earning points, both cards offer annual credits that can bring hundreds or thousands of dollars into your pocket. Note that you need to pre-register to get most of these benefits.
The Amex Gold card offers the following annual credits as part of the $250 annual fee (see rates and fees):
If you use this $240 credit, that roughly covers the card’s annual fee. Enrollment is required for selection benefits.
Related: Amex Gold Card Review
Meanwhile, the Amex Platinum card offers the following annual credits as part of its $695 annual fee (see rates and fees):
Using these perks yields an annual value of more than $1,500 — far more than the $695 annual fee. If you can use 50% of the credits, it’s still worth more than the annual fee. Enrollment is required for selection benefits.
Related: Amex Platinum Card Review
Get more shopping and purchase protection
When it comes protective shopping And travel protection, both cards offer multiple protections. However, the amount of coverage varies.
Both cards have the following built-in perks:
- Extended warranty protection: Add an extra year to the manufacturer’s warranty of five years or less. Maximum coverage is the amount charged to your card, up to $10,000 per incident and up to $50,000 per cardholder account for a calendar year.*
- Purchase Protection: Covers items that are not damaged, stolen or less within 90 days of purchase. There is a limit of $10,000 per occurrence and $50,000 per cardholder annually.*
*Eligibility and benefit levels vary by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for details. The policies are underwritten by the AMEX Insurance Company.
However, the other levels of protection are quite different. Compare these coverage levels:
| Amex Platinum Card | Amex Gold Card | |
|---|---|---|
| mobile phone protection | Covered for loss or damage, up to $800 per claim and up to two claims in a 12-month period. There is a $50 deduction for each claim. Coverage applies to phones in a cell phone plan paid for with your card in the previous billing period.** | Do not have. |
| back protection | Includes purchases made in the last 90 days, up to the full purchase price or up to $300 (deducting shipping and handling costs). Coverage is limited to the US and its territories.# | Do not have. |
| Trip cancellation and trip interruption insurance | Offer up to $10,000 per ride (up to $20,000 over a 12-month period) for a trip canceled or interrupted for a covered reason.** | Do not have. |
| Flight delay insurance | Up to $500 per covered trip after a delay of six hours or more; up to two claims in a 12-month period.** | Up to $300 per covered trip after 12 or more hours of delay; up to two claims in a 12-month period.** |
| Travel emergency service | 24/7 access to a premium Global Helpline to coordinate and assist with legal, medical, financial or other emergency services more than 100 miles away from home. You must pay for any third-party services coordinated on your behalf. Emergency medical transportation can be provided free of charge if coordinated by a benefits administrator.^ | 24/7 access to the Global Helpline to coordinate and support legal, medical, financial or other emergency services more than 100 miles away from home. You must pay for any third-party services coordinated on your behalf.^ |
| Baggage insurance program | Coverage up to $2,000 for checked baggage and up to $3,000 in total between checked baggage and hand baggage. This is beyond the coverage offered by your carrier. (NY Residents: $2,000 per baggage limit with a total limit of $10,000 for all people on a covered trip).* | Coverage up to $500 for checked baggage and up to $1,250 for hand baggage. This is beyond the coverage offered by your carrier. (NY Residents: There is a total limit of $10,000 for everyone on a covered trip).* |
| Car rental loss and damage insurance |
Covers up to $75,000 against theft or damage to qualified rentals.† | Covers up to $50,000 against theft or damage to qualified rentals.† |
*Eligibility and benefit levels vary by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for details. The policies are underwritten by the AMEX Insurance Company.
**Eligibility and benefit levels vary by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for details. The policies are underwritten by the New Hampshire Insurance Company, an AIG Company.
# Eligibility and benefits vary by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for details.
^Eligibility and benefit levels vary by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for details. The cardholder is responsible for the costs charged by the third party service provider.
†Eligibility and benefit levels vary by card. Not all types of vehicles or rentals are covered and geographic restrictions apply. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for details. The policies are underwritten by the AMEX Insurance Company. Coverage is provided through American Express Travel Related Services Company, Inc.
By carrying both cards, you can get extra protection while maximizing the points you earn on each purchase.
It doesn’t make sense for everyone
However, not everyone has enough value to be able to own Platinum and Gold cards simultaneously. Consider the following to decide if it’s right for you:
- If you rarely use the lounge (or don’t qualify for enough guest privileges to bring your family into the lounge with you), the Platinum card will lose value. Are you using enough other perks to pass the $695 annual fee?
- If you shop at Walmart or Target or use grocery delivery services that don’t include the “supermarket” code with your purchase, you won’t earn Gold card rewards. If not, are you getting enough benefits?
- Are you using the benefits of the Platinum card “just because they’re available,” or are you getting real value by saving money on purchases you’ll make? If you haven’t used streaming services, Walmart+, or Uber, consider the real value they bring to you.
bottom line
For some, Amex Gold’s lower annual fees, dining credits, monthly Uber Cash, and great bonus categories may make more sense than carrying around a Platinum card. The Platinum Card will make sense for people who can take advantage of the card’s perks and credits — and buy multiple flights to maximize earning categories.
However, those who want to maximize the benefits and perks they enjoy and accelerate the points they earn should consider putting both cards in their wallet. If you use them, these benefits will outweigh the card’s annual fee long after you’ve used the points from the welcome bonus.
Official app link: Amex Gold Card
Official app link: Amex Platinum Card
Additional reporting by Jennifer Yellin.
For Amex Platinum Card rates and fees, please click This.
For Amex Gold Card rates and fees, please click This.
