American Express encourages customers to spend more on cards
September 22, 2009 by admin
Filed under News, News-Credit-Cards
One major credit card provider has been encouraging its customers to spend more on their credit cards, according to a recent report. Despite the fact that there is a personal debt crisis in the UK card provider and financial giant American Express is said to be encouraging some of its platinum credit card holders to spend more than double their current spending by making changes to how they will qualify to claim cash back on their credit cards.
The card giant is almost doubling the amount that customers will have to spend in order to benefit from the cash back scheme, and this means that cardholders will have to spend twice as much as they are spending now in order to get the same benefits.
At present the amount that customers have to spend to get their cash back on the card is £2400, but as of the start of October this year this amount will be hiked up to a whopping £4250.
An official from American Express denied that the card company was encouraging its cardholders to spend more by making these changes, stating: ‘The vast majority of our existing cardholders spend over or near that amount anyway, so we’re confident they will reach that threshold. Most of them also pay off their spending in full each month so we are confident they are not spending more than they can afford.’
In addition to these changes the credit card giant is also bringing in an annual fee of £20 if no transactions are made on the card in a twelve month period, and this does not include cash transactions and withdrawals. The minimum cash back payment at present is £12 but from October this will be increased to £25.
Tags: fact, american express credit cards, giant american express, year, Debit card, back scheme, american express, addition
