The American Express Cash Magnet Card offers a straightforward 1.5% cash back on all purchases with no rotating categories or caps. In this review, we’ll analyze the rewards, features, approval requirements, and alternatives to help you decide if this is the right cash back credit card for you.
Introduction to the American Express Cash Magnet Card
Part of the American Express family of personal credit cards, the Cash Magnet Card provides an easy path to earning flat-rate cash rewards on your daily spending. With no annual fee, intro 0% APR, and basic benefits, it offers simple value for consumers who want consistent cash back without complexity.
If unlimited 1.5% cash back fits your spending needs, read on for an in-depth look at how this card performs.
Key Features of American Express Cash Magnet Card
| Feature | Details |
|---|---|
| Cash Back Rate | 1.5% unlimited cash back on all purchases |
| Welcome Bonus | $200 statement credit after spending $2,000 in first 6 months |
| Annual Fee | $0 annual fee |
| Intro APR | 0% intro APR for 15 months on purchases and balance transfers |
| Benefits | Baggage insurance, car rental coverage, Amex offers, purchase protection |
| Approval Requirements | Good to excellent credit (690+ score) |
Credit Score Needed for Approval
You’ll need good to excellent credit for approval:
- Credit score of 690+ is recommended
- Reported minimum income around $20,000-$40,000
Meeting these standards ensures the best approval odds and card terms. Authorized user status can help applicants with short credit histories qualify.
How Cash Back Rewards Work
The Cash Magnet Card’s rewards program is straightforward:
- Earn 1.5% Cash Back – at the flat rate on all eligible purchases. Credited as statement dollars.
- Redeem Anytime – Cash rewards can be redeemed as statement credits anytime without expiration.
- No Minimums – Redeem cash back in any amount with no minimum redemption requirements.
Maximizing the 1.5% Rate
Tips to optimize your 1.5% flat rate cash back earnings:
- Use as your primary card for all spending to maximize rewards.
- Set up automatic payments and recurring bills on the card.
- Take advantage of the 15-month 0% intro APR on large purchases or transfers.
- Check rewards activity and redeem frequently to maximize value.
Advantages of the Cash Magnet Card
Top benefits of this simple cash back card:
- Unlimited 1.5% back without category limitations
- No annual fee keeps long-term costs down
- 15 months to pay off debt or make purchases interest-free
- Accepted broadly at merchants that take American Express
Potential Drawbacks to Consider
Some limitations to note:
- No bonus category opportunities to maximize rewards
- $150 welcome bonus is lower than some competitors
- Requires good to excellent credit for approval
- 3% foreign transaction fee on international purchases
Top Alternative Cards to Compare
Here is a comparison of some top alternative cards to the American Express Cash Magnet Card:
| Card | Key Differences |
|---|---|
| Citi® Double Cash Card | – Earns higher 2% cash back on all purchases – No annual fee |
| Chase Freedom Unlimited® | – 1.5% cash back on purchases – 5% cash back in rotating quarterly categories – $200 bonus |
| Wells Fargo Active Cash® Card | – 2% cash back on purchases – Cell phone protection – $200 bonus |
| Amex EveryDay® Credit Card | – Earns Amex Membership Rewards points – 2x points at U.S. supermarkets – No annual fee |
The Cash Magnet Card offers a simple flat 1.5% back on all purchases. But other cards may provide higher rewards in select categories or more valuable redemption options. Compare features and earnings rates to your spending habits to find the best cash back card match.
Who the American Cash Magnet Card is Best For
The American Cash Magnet Card is a good fit for those who prioritize simple, straightforward cash back without categories. It provides an easy path to earning rewards consistently over time.
Just be sure to compare alternatives to ensure the flat 1.5% rate aligns with your spending profile and financial habits.
Final Verdict
For consumers who want unlimited 1.5% cash back on their everyday spending without fussing with quarterly categories or caps, the American Express Cash Magnet Card delivers. But be aware of the moderate welcome bonus, foreign fees, and good credit requirement before applying. Overall a decent flat-rate cash back card depending on your needs and qualifications.