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American Express Cash Magnet® Card

American Express Cash Magnet® Card

Welcome Bonus
$200 back after spending $2,000 or more in purchases with your card within the first 6 months of card membership.
Rewards Rate
Unlimited 1.5% Cash Back on your purchases
Cash Back Details
Reward Dollars can be easily redeemed for statement credits, gift cards, and merchandise
Edited by
Pearly Huang
Reviewed by
Julie Sherrier
Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It may not have been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through a credit card issuer partnership.

Who is the American Express Cash Magnet® Card card best for?

The American Express Cash Magnet® Card is a simple $0 annual fee flat-rate cashback rewards card with good benefits and a welcome bonus that’s relatively easy to earn.

If you’re looking to save on interest charges to finance a large purchase or expense, the American Express Cash Magnet® Card has an attractive 0% intro APR period that lasts for more than a year.

However, know that there are other cashback cards that offer higher rewards earning rates, which can put more cash back in your pocket.

American Express Cash Magnet® Card overview

    • $200 back after spending $2,000 or more in purchases with your card within the first 6 months of card membership.
    • Unlimited 1.5% Cash Back on your purchases.
    • Low intro APR: 0% for 15 months on purchases from the date of account opening, then a variable rate, currently 13.99% to 23.99%.
    • Plan It® gives the option to select purchases of $100 or more to split up into monthly payments with a fixed fee.
    • Amex Offers rewards you at places you like to shop, dine, travel, and more. You can add as many Offers as you’d like to your Card, then just use that Card to pay, and enjoy rewards directly on your statement.
    • Cash Back is received in the form of Reward Dollars that can be redeemed for statement credits.
    • No Annual Fee.
    • Terms Apply.
  • Credit needed:
    720 850
    Excellent/Good
  • Free shipping through complimentary ShopRunner membership
  • Car rental loss and damage insurance
  • Purchase protection
  • Global Assist® hotline
  • Entertainment access to concerts, sporting events
  • Guaranteed low hotel rates if booked at amextravel.com
  • Terms Apply

Intro Purchase APR

0% on purchases for 15 months

Regular Purchase APR

13.99%-23.99% Variable

Intro BT APR

N/A

Regular BT APR

N/A

Annual Fee

$0

Cash Advance Fee

Either $10 or 5% of the amount of each cash advance, whichever is greater.

Foreign Transaction Fee

2.7% of each transaction after conversion to US dollars.

Balance Transfer Fee

N/A

Pros and cons

Pros

  • $0 annual fee
  • Simple rewards structure
  • Solid welcome offer
  • 0% intro APR offer on purchases
  • Flexible repayment options

Cons

  • Low cash back rate
  • Foreign transaction fee
  • Excellent/Good credit required
  • Limited rewards redemption options

What we like about the American Express Cash Magnet® Card

  • Easy to earn welcome bonus

    New cardholders can earn a $200 back after spending $2,000 or more in purchases with your card within the first 6 months of card membership.

  • Generous intro APR offer on purchases

    If you’re looking to save on interest charges while paying off a large purchase over time, the American Express Cash Magnet® Card offers an introductory APR of 0% on purchases for 15 months (after which an APR of 13.99%-23.99% variable will apply).

  • Simple flat-rate cashback rewards program

    While there are cashback cards that earn higher rates on purchases, they may require you to opt into rotating categories throughout the year and set a limit on the amount you can earn at the higher rewards rate. That’s not the case here, as you earn an unlimited 1.5% cash back on your purchases.

  • No annual fee

    This card comes with a $0 annual fee.

  • Optional repayment program

    With the American Express Cash Magnet® Card, you can choose the Plan It plan. Pay 0% interest on each purchase moved into a plan during the first 15 months after account opening. After that, your plan fee will be up to 1.33% of each purchase moved into a plan based on the plan duration, the APR that would otherwise apply to the purchase and other factors.

What to watch out for with the American Express Cash Magnet® Card

  • Low cashback rate

    While cashback earnings are unlimited, there are other cashback cards that offer a more generous cashback rates on purchases for no annual fee.

  • Foreign transaction fee

    There is a fee of 2.7% of each transaction after conversion to US dollars. If traveling abroad, it’s best to use a another card that doesn’t assess you a fee for purchases.

  • Reserved for applicants with stellar credit scores

    Excellent/Good credit required. If your credit score isn’t in solid shape, the odds of being approved for this card are low.

  • Limited rewards redemption

    You can’t spend your rewards on travel, gift cards or merchandise, unless American Express runs a promotion for card members allowing additional redemption options. You also can’t spend them at the American Express Membership Rewards® website. Your rewards only come back as a statement credit.

Alternate cashback card

Compare it to the Chase Freedom Unlimited®

Disclosures |
Chase Freedom Unlimited®
Chase Freedom Unlimited®
on Chase's secure site
0% Intro APR on Purchases for 15 months
14.99% - 24.74% Variable
$0
Earn 5% on travel purchased through Chase Ultimate Rewards®, 3% on dining
  • $200 Bonus after you spend $500 on purchases in your first 3 months from account opening.
  • 5% cash back on grocery store purchases (not including Target® or Walmart® purchases) on up to $12,000 spent in the first year.
  • 3% cash back on dining at restaurants, including takeout and eligible delivery services
  • 3% cash back on drugstore purchases
  • 5% on travel purchased through Chase Ultimate Rewards®
  • Unlimited 1.5% cash back on all other purchases
  • 0% Intro APR for 15 months from account opening on purchases and balance transfers, then a variable APR of 14.99% - 24.74%.
  • No annual fee.
680 850

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

 

Another $0 annual fee cash back rewards credit card to consider is the Chase Freedom Unlimited®. It offers a more generous and easy-to-meet welcome offer, as well as a higher cash back rate on U.S. supermarket purchases.

New cardholders can earn a $200 bonus after you spend $500 on purchases in your first 3 months from account opening. and earn 5% cash back on grocery store purchases (not including target® or walmart® purchases) on up to $12,000 spent in the first year. Earn 5% on travel purchased through Chase Ultimate Rewards®, 3% on dining and drugstores, and 1.5% on all other purchases.

The Chase Freedom Unlimited® has boasts a generous intro APR offer of 0% Intro APR on Purchases for 15 months, after which an APR of 14.99% - 24.74% variable will apply.

There is also a 0% Intro APR on Balance Transfers for 15 months. After the intro period ends, the regular APR will be 14.99% - 24.74% variable. The balance transfer fee is either $5 or 3% of the amount of each transfer, whichever is greater in the first 60 days. Then, either $5 or 5% of the amount of each transfer, whichever is greater.

The Chase Freedom Unlimited® does have a slightly higher foreign transaction fee of 3% of each transaction in U.S. dollars, so again, it’s best to bring a card on your travels that doesn’t assess this fee.

In addition to the elevated rewards rate, the Chase Freedom Unlimited® also offers a complimentary 3-month DashPass membership from DoorDash, which must be activated by Dec. 31, 2021. Also, earn a total of 5% cash back on Lyft rides through March 2022. Plus, new purchases are covered against damage or theft for 120 days, up to $500 per claim and $50,000 per account. Plus, receive an additional year of protection beyond the original manufacturer’s warranties of three years or less.

Chase Freedom Unlimited® rewards can be redeemed for cash, gift cards, travel or products and services. You can also use your points to pay for all or part of purchases at participating Chase Pay merchants.

Compare the American Express Cash Magnet® Card to similar cards

Comparison of four different credit cards
American Express Cash Magnet<sup>®</sup> Card Chase Freedom Unlimited<sup>®</sup> Citi<sup>®</sup> Double Cash Card – 18 month BT offer Capital One Quicksilver Cash Rewards Credit Card
American Express Cash Magnet® Card Chase Freedom Unlimited® Citi® Double Cash Card – 18 month BT offer Capital One Quicksilver Cash Rewards Credit Card
Read Review
Apply Now
on Chase's secure site
Apply Now
on Citibank's secure site
Apply Now
on Capital One's secure site
Welcome Offer
$200 back after spending $2,000 or more in purchases with your card within the first 6 months of card membership. Earn a $200 Bonus after you spend $500 on purchases in your first 3 months from account opening. And earn 5% cash back on grocery store purchases (not including Target® or Walmart® purchases) on up to $12,000 spent in the first year. No bonus One-time $200 cash bonus after you spend $500 on purchases within 3 months from account opening
Rewards Rate
Unlimited 1.5% Cash Back on your purchases Earn 5% on travel purchased through Chase Ultimate Rewards®, 3% on dining and drugstores, and 1.5% on all other purchases. Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. 1.5% Cash Back on every purchase, every day
Annual Fee
$0 $0 $0 $0
Intro Purchase APR
0% on purchases for 15 months 0% Intro APR on Purchases for 15 months N/A 0% intro on purchases for 15 months
Regular APR
13.99%-23.99% Variable 14.99% - 24.74% Variable 13.99% – 23.99% (Variable) 14.99% - 24.99% (Variable)
Recommended Credit
Excellent/Good Excellent/Good Excellent/Good Excellent/Good
Card Details
American Express Cash Magnet® Card Chase Freedom Unlimited® Citi® Double Cash Card Capital One Quicksilver Cash Rewards Credit Card

Is this card right for you?

The American Express Cash Magnet® Card and the Chase Freedom Unlimited® both come with a $0 annual fee, as well as generous interest-free intro purchase offers.

However, the Chase Freedom Unlimited® has a more enhanced rewards-earning scheme that can help save you more — plus, the Chase Freedom Unlimited®’s spending requirement is much less to earn a higher sign-up bonus.

However, if you also have the Blue Cash Preferred® Card from American Express, which offers a higher cash back rewards rate in different categories, it may sense to pair that with the American Express Cash Magnet® Card to use for all other purchases.

To see the rates and fees for American Express Cash Magnet® Card, please click here.

The information related to the American Express Cash Magnet® Card has been independently collected by LendingTree and has not been reviewed or provided by the issuer of this card prior to publication.