American Express Cash Magnet Card Review: What You Need to Know

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Updated on Wednesday, November 6, 2019

This offer and/or promotion may have since changed, expired, or is no longer available.

American Express Cash Magnet® Card

APPLY NOW Secured

on American Express’s secure website

Terms Apply |  Rates & Fees

American Express Cash Magnet® Card

Intro Purchase APR
0% on purchases for 15 months
Intro BT APR
N/A
Regular Purchase APR
13.99%-23.99% Variable
Annual fee
$0
Rewards Rate
Unlimited 1.5% Cash Back on your purchases
Credit required
good-credit

American Express is plunging further into the cashback rewards credit card segment with the American Express Cash Magnet® Card – $150 Welcome Offer. This card provides stiff competition for three other popular cashback cards: the Blue Cash Everyday® Card from American Express, the Citi® Double Cash Card – 18 month BT offer and the Chase Freedom Unlimited®. All three offer cashback programs and don’t charge an annual fee. But what sets the new American Express Cash Magnet® Card – $150 Welcome Offer apart from the pack? We’ll cover that and more in this review.

How the American Express Cash Magnet® Card – $150 Welcome Offer stacks up

American Express Cash Magnet® Card – $150 Welcome Offer

Blue Cash Everyday® Card from American Express

Citi® Double Cash Card – 18 month BT offer

Chase Freedom Unlimited®

Annual Fee

$0 (See Rates & Fees)

$0 (See Rates & Fees)

$0

$0

Regular Purchase APR

13.99%-23.99% Variable (See Rates & Fees)

13.99%-23.99% Variable (See Rates & Fees)

13.99% – 23.99% (Variable)

14.99% to 23.74% Variable

Rewards

Unlimited 1.5% Cash Back on your purchases

3% cash back at U.S. supermarkets (on up to $6,000 per year in purchases, then 1%). 2% cash back at U.S. gas stations and at select U.S. department stores. 1% cash back on other purchases.

Earn 2% cash back on purchases: 1% when you buy plus 1% as you pay.

Earn unlimited 1.5% cash back on all purchases.

Welcome Offer / New Cardmember Offer

$150 statement credit after you spend $1,000 or more in purchases with your new Card within the first 3 months of Card Membership

$150 statement credit after you spend $1,000 in purchases on your new Card within the first 3 months.

No bonus

$150 Bonus after you spend $500 on purchases in your first 3 months from account opening.

Foreign Transaction Fee

2.7% of each transaction after conversion to US dollars. (See Rates & Fees)

2.7% of each transaction after conversion to US dollars. (See Rates & Fees)

3%

3% of each transaction in U.S. dollars

What we like about the card

The Welcome Offer. Like many rewards cards on the market today, the American Express Cash Magnet® Card – $150 Welcome Offer is looking to woo new cardmembers with a Welcome Offer — $150 statement credit after you spend $1,000 or more in purchases with your new Card within the first 3 months of Card Membership

Simplicity. Earn a straightforward Unlimited 1.5% Cash Back on your purchases Unlike rotating category cards, you don’t have to worry about remembering points in different spending categories, nor do you have to sign up quarterly to get higher rewards.

Good intro offers. The American Express Cash Magnet® Card – $150 Welcome Offer comes with an intro 0% on purchases for 15 months on purchases and an intro N/A on balance transfers (after, 13.99%-23.99% Variable APR).

Flexible repayment. The card offers access to the Plan ItSM feature, which gives cardmembers flexibility by allowing you to create up to 10 payment plans for purchases costing $100 or more. You’ll have a fixed finance charge each month a plan is active.

Some travel benefits. It comes with the familiar rewards and protections you expect from American Express, including auto rental insurance, Global Assist® Hotline, purchase protection and access to presale tickets to events like concerts and sporting events.

What could be better

You get your cash back as a statement credit. You can’t redeem it on things like airline tickets, hotel stays, gift cards and merchandise. You also can’t transfer it to airline or hotel loyalty programs. However, the card may occasionally offer other ways to redeem reward dollars, like gift cards or merchandise.  Note: cash back cannot be used to pay your minimum due.

You can do better than 1.5% cashback these days. If you’re looking for a higher cashback rate, check out the Citi® Double Cash Card – 18 month BT offer as an alternative, where you Earn 2% cash back on purchases: 1% when you buy plus 1% as you pay.

Not the best for travel. If you travel regularly, this card doesn’t offer things like trip delay/interruption or baggage insurance like other travel credit cards. And you’ll pay a foreign transaction fee of 2.7% of each transaction after conversion to US dollars..

Check out our roundup of the best travel rewards cards.

To see rates & fees for the American Express Cash Magnet® Card – $150 Welcome Offer, please click here.

Alternatives to the American Express Cash Magnet® Card – $150 Welcome Offer:

Blue Cash Everyday® Card from American Express

APPLY NOW Secured

on American Express’s secure website

Terms Apply |  Rates & Fees

Blue Cash Everyday® Card from American Express

Regular Purchase APR
13.99%-23.99% Variable
Intro Purchase APR
0% on purchases for 15 months
Annual fee
$0
Rewards Rate
3% cash back at U.S. supermarkets (on up to $6,000 per year in purchases, then 1%). 2% cash back at U.S. gas stations and at select U.S. department stores. 1% cash back on other purchases.
Blue Cash Everyday® Card from American Express: If you’re looking for a flat-rate cashback card for supermarket spending, this is a hard one to beat. It also carries a $0 annual fee and a welcome offer that lets you $150 statement credit after you spend $1,000 in purchases on your new Card within the first 3 months.
To see rates & fees for the Blue Cash Everyday® Card from American Express, please click here.
Citi® Double Cash Card – 18 month BT offer

Read Full Review

The information related to Citi® Double Cash Card – 18 month BT offer has been independently collected by MagnifyMoney and has not been reviewed or provided by the issuer of this card prior to publication.

Citi® Double Cash Card – 18 month BT offer

Regular Purchase APR
13.99% – 23.99% (Variable)
Annual fee
$0
Rewards Rate
Earn 2% cash back on purchases: 1% when you buy plus 1% as you pay.
Credit required
good-credit
Citi® Double Cash Card – 18 month BT offer: The card doesn’t offer a sign-up bonus, but you have the potential to earn a higher cashback rate. It offers the same cashback rewards simplicity as the American Express Cash Magnet® Card – $150 Welcome Offer, but at a better rate. Cash back can be redeemed for statement credits or credited to either your linked Citi savings or checking account, or to a checking account from which you have paid a card bill at least two times, among other options.
Chase Freedom Unlimited®

The information related to Chase Freedom Unlimited® has been independently collected by MagnifyMoney and has not been reviewed or provided by the issuer of this card prior to publication.

Chase Freedom Unlimited®

Intro Purchase APR
0% Intro APR for 15 months
Regular Purchase APR
14.99% to 23.74% Variable
Annual fee
$0
Rewards Rate
Earn unlimited 1.5% cash back on all purchases.
Credit required
good-credit

Chase Freedom Unlimited®: This card looks similar to the American Express Cash Magnet® Card – $150 Welcome Offer. If you use the Chase Freedom Unlimited® in combination with your existing Chase Sapphire Preferred® Card or Chase Sapphire Reserve® card, there are opportunities to earn even more cash back. You can do this by combining the cash back on the Chase Freedom Unlimited® with points earned on the Chase Sapphire Preferred® Card or Chase Sapphire Reserve®. You can then use those points in the Chase Ultimate Rewards® portal, where you can get 25% to 50% more value when you redeem them for airfare, hotels, car rentals and cruises. You can also transfer those points to four hotel or nine airline partners.

Our final take

For those who are loyal to American Express-branded cards, the new American Express Cash Magnet® Card – $150 Welcome Offer could be a good proposition. It offers simple cashback rewards with a $0 annual fee. It has a limited time welcome offer that can put extra rewards in your pocket if you spend the amount required to get it.

The American Express Cash Magnet® Card – $150 Welcome Offer comes with some travel and protection benefits that aren’t offered by other credit cards in the no-annual-fee, cashback rewards category. And getting flexibility in how you make payments on the card is something not offered by competitors.

So if you want a simple cashback rewards card with decent benefits, this is a good option. But if you spend more on things like travel and dining, and you don’t need the payment flexibility option, there are more robust card offerings out there.

The information related to the Chase Sapphire Preferred® Card and Chase Sapphire Reserve® has been independently collected by MagnifyMoney and has not been reviewed or provided by the issuer of this card prior to publication.

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