American Express Profits Up: Here’s Why

American Express announced today its third quarter profits were up by 13%. This, coupled with the numbers released today regarding an increase in credit card delinquencies (American Express had the lowest increase in late payments) has many asking what this credit card giant is doing right and why the others seem to be missing the mark.

Interestingly, many are offering one reason that, while makes sense, begs the question: Are the Occupy Wall Street folks right? That reason has everything to do with the AMEX “typical card member”. They tend to be a bit wealthier and less-affected by nuances in the economy that has others reeling. They’re better able to pay their credit card balances in full each month, thereby ensuring fewer dollars of their wealth is being applied to interest. Still, though, there are other more classic reasons why American Express is faring better than some of its competitors. First, the network has a well-rounded product offering. It offers both credit and charge cards and it focuses its model on both individuals and businesses.

With that in mind, we thought it would be a good time to take a look at a few of the popular American Express offers. Take a look – you might find the right offer with the right benefits you’ve been looking for.

New Business Gold Rewards AMEX

This business credit card offer has an introductory promo currently running. New card members earn an additional 50,000 membership rewards bonus points when they spend $10,000 in the first five months. You also earn double and triple points on those purchases you routinely make in the course of doing business. Advertising, shipping costs, fuel are just a few of the double and triple point categories.

Plus, with more than 500 brands associated with American Express partners, there are over a million rewards – all yours for the taking since there are no limits or expiration dates.

Big on customer service? You got it with this AMEX. Twenty-four hour, seven day a week support makes this a business-friendly offer. Finally, pay one single additional annual membership fee of $50 and you can add as many additional gold cards you need for managers or other employees. That fee is waive the first year, too.

AMEX Platinum Card

The AMEX Platinum Card has the perks we’ve all come to know and love from our credit cards. Spend $1,000 your first three months and earn enough additional membership rewards points for a complimentary domestic round-trip coach class airline ticket. This is an ideal time, too, since you can apply on line and have your card in time for the holidays and all the travel that comes with them.

And if you are a world traveler, you’ll especially appreciate the new global benefits. A few of those perks include priority pass airport club access, no transaction fees when traveling abroad and up to $200 annually for airline fee credits. These are ideal for offsetting those pesky fees such as checked bag fees.

This platinum card also offers around the clock concierge service for help with everything from reservations to gifts.
Perhaps the one drawback to this offer is the annual fee, which is $450. That said, the benefits can easily offset that each year if you’re inclined to take advantage of them.

AMEX Open Gold Delta Skymiles

Tis too is a business credit card. Co-branded with the Delta Airlines name, this is a business travelers dream come true. The annual fee is comparable with similar offers and is less than $100 a year. Your first purchase earns you 20,000 miles and you can easily save hundreds of dollars each year on Delta flights. Two additional cards on your account earns an additional 5,000 miles. As you can see, the opportunities are plentiful for earning those ever-important bonus miles. Additional cards are complimentary and your first bag is checked for free on every Delta flight you book with your American Express.

This business card is eligible for credit lines of up to $50,000, making it an ideal choice for both small and medium sized business looking for ways to expand while earning bonus rewards at the same time.

Clearly, the American Express brand is on to something. With its versatile offerings and ability to rein in the “big spenders”, its winning formula is here to stay.

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