American Express is making a significant shift in its premium credit card offerings by increasing the annual fee of its flagship Platinum card to $895, a $200 increase from the previous fee of $695. This adjustment, representing nearly a 30% hike, comes alongside an expansion of benefits that American Express estimates will provide cardholders with a total of approximately $3,500 annually in perks.
The increase in fees and benefits reflects the intensifying competition in the luxury credit card market, where issuers are targeting affluent consumers with increasingly attractive incentives. This strategic move follows similar actions by competitors like JPMorgan Chase and Citigroup, which have also introduced enhanced features to their premium card services, including updates to JPMorgan’s Sapphire Reserve card.
American Express is banking on the appeal of its enriched benefits package to keep cardholders engaged, particularly in the face of economic uncertainties and rising interest rates. The new suite of perks includes increased credits across various categories, such as travel, dining, fitness, and technology. For instance, cardholders will now enjoy an additional $400 in dining credits at restaurants partnered with Resy, a $300 annual credit for purchases at Lululemon, and $200 towards Oura smart rings. Business Platinum cardholders will also gain new hotel benefits and credits for purchases at Dell and Adobe.
This update to the Platinum card marks the most substantial refresh since 2021, signaling American Express’s confidence that high-spending consumers will prioritize premium rewards despite the accompanying fee increase. The changes are set to be implemented for existing cardholders starting January 2, 2026.
Earlier this year, American Express committed to its “largest investment ever” in revamping its Platinum credit cards for both consumer and business customers in the U.S. Part of this initiative includes expanding its global lounge network, with plans to open new Centurion Lounges in Newark, Tokyo, and Salt Lake City, thus bringing the total to 32 locations worldwide. Additionally, the company is forging new brand partnerships to enhance lifestyle and travel benefits, incorporating various venues such as restaurants and hotels.
Howard Grosfield, the group president of U.S. Consumer Services at American Express, emphasized the unique value that Platinum Membership offers. He stated that with the scale of their lounge, dining, and hotel programs, accessing the card’s benefits has never been easier. He added that the Platinum card delivers unmatched benefits and world-class service, supported by their award-winning digital capabilities.
Beyond the immediate updates, American Express intends to further invest in its app functionality to simplify the redemption process for credits and benefits. As the luxury card market continues to evolve, the performance of the Platinum card post-refresh will be closely scrutinized by industry analysts, particularly as competitors unveil their own premium offerings.
