Charge Cards

Compare Charge Cards

Charge cards, as with any other card, hold both advantages and disadvantages for the card holder.

Advantages

The one advantage that can also be classified to some as a disadvantage is that a charge card has no limit. This can be dangerous for anyone that is undisciplined although it does, however, allow for easy management of spending.

Often charge cards are linked to a rewards scheme and have other perks such as airport lounge services, insurance for travel etc. Therefore, depending on how you use you charge card and the rewards you get far outweigh the annual card fee.

Featured Charge Card

Enjoy great rewards and insurance cover with the American Express Platinum Charge Card

• $900 annual fee
• 51 days interest free
• Minimum Income Requirement of $100,000 p.a.

Read the American Express Platinum Card terms and conditions.

Disadvantages

As the amounts charged need to be paid back every month charge cards are not suitable for borrowing over an extended period of time. There is a considerable late payment charge for those who do miss the monthly deadline.

Because charge cards have no limit and the amounts need to be paid back every month, they do have very strict acceptance criteria, which subject to an individuals good credit score and a high monthly income.

The most popular charge cards available in Australia are the American Express Gold and Platinum cards.

The American Express Platinum Charge Card

The Platinum card offers all the same benefits as the Gold card as well as many added benefits that make this a fantastic rewards card. As all the benefits offered by the Gold card are also part of the Platinum card, we will only discuss the added features of the Platinum credit card.

• The Annual card fee for the platinum card is $900
• Rewards points are offered at 1.5 points for every $1 spent
• Limited to $200 000 per annum after which it is 1 point for every $1 spent

Added Rewards for Platinum card holders

Some may think that at $900 the annul card fee for the Platinum card is over 5 times more expensive than the Gold card. This may be a substantial annual fee, but the rewards that are offered are substantial, and for the right person, the reward will far outweigh the cost. Here are some of the great rewards offered by the Platinum card.

• A unique concierge service that is available day and night. This service will do almost anything you need from helping you locate a hard to find gift to planning a party; the concierge service is at your beckon call.
• Platinum Travel service will not only help you with travel plans but also help you get there. Get rental cars hotel rooms, flights and more and pay for it using your rewards points, all at unbeatable platinum member rates.
• As a platinum member you have complimentary access to over 600 VIP airport lounges throughout the world through the benefit feature called Priority Pass.
• One of the biggest benefits to platinum membership is that you will receive a complimentary reserve credit card (usually charged at $395 per annum). On top of that, this card comes with one economy return flight every year to one of 7 international destinations or 29 domestic destinations, or a overnight hotel stay.
• Platinum members receive invitations to VIP shows, sporting events, premieres and many other exclusive events. Also, as a platinum member, you can use make reservations to all the best fine dining establishments around the world.
• Platinum members will receive 75000 bonus rewards points (enough for a return trip to Singapore) when they sign up.
• The travel insurance is the same as that offer on the Gold card with the addition of full comprehensive overseas medical cover and repatriation cover.

Application Requirements for a Platinum American Express Card

The Platinum card has all the same eligibility and application requirements as the Gold card except, that instead of a $50 000 a year annual salary requirement for the Platinum card, you must earn over $100,000 a year gross salary.

Read the American Express Platinum Card terms and conditions.

The American Express Gold Card

The American Express Gold card is a fantastic option for anyone looking for relatively low annual fee and a lot of great benefits. The annual fee on the American Express Gold card is $130 with a membership rewards program that gives 1 point for every $1 spent. As the key feature of an American Express card is the Rewards program and the service levels, let us look at these in more detail including how to apply.

The Rewards

The American Express Rewards program is separated into two categories, each of which gives the card holder an immense amount of choice and substantial benefits, and they are called the Choices and Ascent. Whatever option you choose, you will have the choice to spend your rewards points on the top brands, get the best of technology, gifts, home ware and gift cards through the online shopping portal. Points can also be redeemed to pay off the balance on the credit card, and best off all, the points never expire as long as you keep the account active.

Points can also be redeemed at travel partners that include Harvey World travel, Webjet or Travel Scene American Express. The points can even be redeemed at over a 20 Hotel chains or 1000 Travel agents for foreign exchange.

By just using your Gold card to make purchases, you are automatically entitled to the following great benefits.

• Travel insurance for overseas travel that includes you and your family.
• Extended warranties through Buyer’s Advantage™ for an extra 12 months on selected eligible items when using you Gold card.
• Cover for any travel inconveniences including flight delays, lost or delayed luggage or when missing a connecting flight.
• Protection against not being given a refund within 90 days on eligible unused items bought with your Gold card.
• If there is any online fraud that occurs on your account, you will not suffer unjustly as long as you inform American Express immediately when you discover any irregularities.
• Because American Express is such a global company, should you need to replace your card due to an emergency, this can be done almost anywhere in the world.

Gold Card Added Value Service Benefits

American Express does not only rely on great rewards, but prides itself on offering world leading services to their clients. These include:

1. Online Account Tools

View any purchase balances and payments online 24/7 from the comfort of your home or office. Setup email or SMS payment reminders, as well as monitor your rewards. These online programs can be accesses on your Laptop, PC or mobile phone anywhere in the world.

2. Telephone Support

The customer support desk is run 24 hours a day 7 days a week, and can be accessed from anywhere in the world. Well skilled, professional and friendly service agents will ensure your inquiry is handled quickly and effectively.

3. Yearly Account Summary

For those who are not that great at bookkeeping and financial administration the yearly account summary is great for you record keeping budgeting and tax returns.

What You Need to Know About Applying for Your Gold Card

The application form is simple and self explanatory, and should not take more than 10 minutes to complete. Once you submit your application and all relevant documentation, the turnaround time is usually 5 to 10 working days.  

You will need the following information to complete the application form:

• If you have an existing American Express card you will need the account number
• Drivers license details or other authorised identification
• All the contact details of your current employer
• The amount of your pre-tax income for the year
• For self employed individuals, the details of the accountant

Pre-Requisites for Applying for the Gold American Express Card

• Individuals must be 18 years or older
• Have no defaulted payments and a clean credit record
• Only Australian citizens or permanent residents can apply
• Annual income must be over $50,000 before tax
• Self employed individuals need to be trading for 18 months or for those with an existing American Express card it will be 12 months

Final Thoughts on Charge Cards

A charge card is a great option for those who pay off all their monthly expenditure every month. The American express Gold and Platinum charge cards offer fantastic rewards and benefits. The annual card fee is higher than some other credit cards, but for the person who will use the rewards and points, the annual fee is more than substantiated every year.