What’s going on with Amex?
Historically, the value of Amex points was based on the ability to transfer points into a variety of frequent flyer programs and could be transferred to an account in any persons name. Some time ago, Amex changed the process for transferring points and only allowed transfers into frequent flyer accounts where the member was an authorized user on the Amex account. Amex will be adding a new restriction very soon, that will make it more difficult to transfer the points to someone else’s frequent flyer account, which will impact their overall value. Beginning Sept. 1st, you will be required to add the recipient of your points onto the account as an additional card-member and then will need to wait 90 days before you can transfer points to their accounts.
Here’s how Amex describes what they’re changing:
We are changing the Membership Rewards Terms and Conditions to provide that an Additional Card must be issued to an Additional Card Member at least 90 days prior to linking your Membership Rewards program account to that Additional Card Member’s frequent customer program account.
Additionally, effective immediately, business employee cards cannot have their own Membership Rewards account. All points must be pooled with the primary card holder. If you currently have a separate Membership Rewards account for your employee card, these will be discontinued on Sept. 28.
What’s does this mean for me?
The changes that will take affect September 1st and those that have already been implemented will continue to reduce the overall value of Amex points. These changes will make it much more difficult to use the points for friends and family to book travel for as well. Individuals and businesses who have been redeeming their Amex points frequently should be aware of these upcoming changes to plan accordingly and evaluate different rewards programs based on their business and individual needs.
Contact us ASAP to redeem your current points and discuss our recommendations for your daily credit card spend