American Express Optima Card Reviews, Benefits And Credit Limit Increase
The American Express card designed specifically for people with weak credit. The card, which is exclusively available by invitation to Amex Members who have settled debts with Amex in the past and require help restoring credit, has no points, no perks, and an annual cost. This card is actually for individuals who have no other option, with a high penalty APR. We’ll discuss about American Express Optima Card Reviews in this article.
Watch the below video on American Express Optima Card Reviews:
A Quick Look
The Amex Optima, also known as the “second chance” card, does not have an official website promoting its benefits. This could be due to the fact that there are so few, but it’s more likely due to the fact that the card can only be applied for once an Amex Member has defaulted on and resolved a previous Amex account.
The card comes with an annual charge and little features or rewards. A foreign transaction fee, as well as late and returned payment fees, are charged. The usual purchase APR for the card is prime plus 14.99 percent, whereas the penalty APR is prime plus 26.74 percent.
It may be a nice opportunity for former Amex customers who have gotten an offer for this card to regain creditworthy status with Amex, but it’s vital to read all of the fine print. Ensure that whatever circumstances caused a previous account to default have passed, and that defaulting again isn’t a concern—second chances don’t always become third chances.
Other Card Benefits
* Annual Fee * No Rewards * Prime + 14.99% standard APR * Prime + 26.74% penalty APR * Available only to Amex Members who have defaulted on and cleared previous accounts
* No Fraud Liability: Cardholders are not responsible for any illegal charges.
How Does The Card Measure Up?
If you’ve been offered an American Express Optima card, check your invitation for the most up-to-date rates and fees. In general, the costs charged by this card are equivalent to those charged by similar goods on the market.
Other Credit Cards vs. American Express Optima Credit Card
Discover it® Secured Credit Card vs. American Express Optima
The Discover it® Secured Credit Card offers a card that requires a cash deposit as collateral, whereas the Amex Optima is an unsecured card. Only those who have defaulted on and cleared bills with American Express may be asked to apply for the Amex Optima, unlike the Discover it® Secured Credit Card, which is open to the general public.
Unlike the Amex Optima, the Discover it® Secured Credit Card offers cash-back incentives and a variety of regular Discover benefits, such as Discover’s Cashback Match, access to FICO ratings, $0 fraud liability, and more. The Discover it® Secured Credit Card is the gold standard in the secured credit card industry.
However, if given the option, customers who have the opportunity to repair their standing with American Express may be able to do it faster with the American Express Optima Card than with other banks. If you’re given the choice to apply for the American Express Optima card, it’s a good idea to read the terms and compare them to other possibilities.
Bank of America Credit Card* vs. American Express Optima
The Bank of America Customized Cash Incentives Secured Card comes with a variety of rewards and regular Bank of America credit card benefits, such as zero fraud liability and access to your FICO score. There is no annual fee, however it does require a deposit.
The Bank of America card appears to be the superior option based on what we know about the Amex Optima. The reality is that folks with bad credit may not be able to get approved for even a secured card, and may require the Amex Optima to help them get back on track.
Avant Credit Card vs. American Express Optima
The Avant card has a sliding annual fee structure based on how an applicant learns about the card. It has a high standard APR and a relatively low credit limit (mail offers may provide some potential cardholders a better deal).
With no rewards, no notable features, and the Amex Optima’s annual cost landing on the higher end of the Avant’s annual fee range, these cards are very well suited for folks who could consider applying for both. The Avant has no foreign transaction fees, and the Amex Optima’s standard rate APR, depending on the prime rate, may be lower than the Avant’s.
American Express Optima Card Reviews: Conclusion
The Amex Optima may be a possible means to bounce back into Amex’s good graces for consumers who have made credit mistakes, overspent, or otherwise ran into credit difficulty. Unfortunately, other from the card’s rates and annual fee, little is known about it. While there are plenty of good secured card options to choose from, for faithful Amex customers who have fallen out of favor, this card may be their final opportunity for redemption. Before applying for this card, we strongly suggest anyone thinking about it to read all of the fine print and consider other options.
