The American Express® Gold Card offers substantial value despite having fewer travel perks compared to The Platinum Card® from American Express. Many argue that its long-term rewards rate is notably higher, or that its lower annual fee makes it a more attractive option.

Upon signing up, the Amex Gold Card presents a welcome offer of 60,000 points after spending $6,000 on eligible purchases within six months of card membership. Its rewards structure includes earning 4X points at restaurants (including takeout and delivery in the U.S.), 4X points on up to $25,000 spent annually at U.S. supermarkets (then 1X points), 3X points on flights booked directly with airlines or through American Express Travel, and 1X points on all other purchases.

Despite its $250 annual fee, the Amex Gold Card provides several benefits that justify this cost. These include up to $120 in Uber Cash annually, up to $120 in dining credits each year at select restaurants, and up to $100 in experience credits with The Hotel Collection annually (with a minimum two-night stay required). Additional benefits include the option to choose a rose gold card design, along with significant purchase protections and travel insurances (some benefits require enrollment).

When is the Amex Gold Card worth it?

When evaluating the value of the American Express Gold Card, it’s beneficial to delve into its cardholder benefits and operational details. This credit card from American Express distinguishes itself with the following features and significant rewards potential, offering the opportunity to earn substantial travel rewards (or other benefits) annually.

You want to earn a generous welcome bonus

Given that American Express Membership Rewards points are valued at approximately 2.0 cents each when used for high-value transfer partner travel, the welcome bonus alone on this card could potentially be valued at up to $1,200. This generous bonus effectively makes the card’s $250 annual fee an outstanding value proposition for the first year.

You spend a ton at U.S. supermarkets and restaurants

Consider the potential rewards you could accrue with this card. If you manage to maximize the 4X points category by spending $25,000 at U.S. supermarkets in a year, you could earn 100,000 American Express Membership Rewards points (equivalent to up to $2,000 toward transfer partner travel). Moreover, all dining expenditures, including delivery and takeout in the U.S., earn you 4X points.

Overall, it’s challenging to find other rewards cards that match this exceptionally high earning rate on food and dining purchases. If these categories align with your regular spending habits, the Amex Gold card could significantly benefit you financially.

You can use the lucrative annual credits

Upon signing up for the Amex Gold Card, you gain access to up to $120 in dining credits annually, provided monthly in $10 increments. Enrollment is necessary, and these credits are valid for purchases made with Grubhub, Seamless, The Cheesecake Factory, Goldbelly, Wine.com, Milk Bar, and select Shake Shack locations. Note that these credits do not carry over from month to month.

Additionally, cardholders receive up to $120 in Uber Cash annually, distributed in $10 increments each month, applicable toward Uber Eats food deliveries or Uber rides. Unused credits expire at the end of each month.

If fully utilized each month, these dining-focused credits alone amount to up to $240 in annual value from your Amex Gold Card. Furthermore, including the up to $100 experience credit with The Hotel Collection (accessible when booking two or more consecutive nights via the American Express travel portal), this totals up to $340 in annual credits across various categories.

You want protective benefits

The Amex Gold Card provides a range of insurance benefits and consumer protections at no additional cost to cardholders. These include American Express purchase protection, extended warranties, a baggage insurance plan, and secondary auto rental coverage.

When is the Amex Gold Card not worth it?

While the situations mentioned above highlight when the Amex Gold Card could be a valuable addition to your wallet, there are instances where another card might serve you better. Consider the following alternatives:

You rarely travel and prefer to earn cash back

American Express Membership Rewards points hold an approximate value of 2.0 cents each when transferred to partners for premium travel redemptions. However, the value diminishes significantly when redeemed through other methods:

  • Redeeming points for gift cards typically yields 1 cent per point.
  • Using points to offset charges on your account provides only 0.6 cents per point in value.
  • Redeeming points for travel other than flights through AmexTravel.com yields approximately 0.7 cents per point.

A premium travel credit card suits your tastes better

If you’re seeking premium travel perks such as airport lounge access, annual travel credits, or elite status with hotel brands, a premium travel credit card like The Platinum Card® from American Express might be more suitable for you, despite its significantly higher annual fee.

You don’t want to pay an annual fee

When it comes to annual fees, not everyone prefers to pay one for a rewards credit card. The Amex Gold Card, for instance, has an annual fee of $250 for members, which is not waived in the first year.

On the other hand, there are numerous cash back credit cards and general rewards cards that do not impose an annual fee at all — and some of the top American Express credit cards also fall into this category.

Should you get the Amex Gold Card?

While the Amex Gold Card may appeal to a broad audience, it particularly benefits specific consumer profiles. Conversely, there are cardholders who might find greater advantages with a different credit card altogether.

Here are key factors to weigh before applying for the Amex Gold Card, along with indications that another card might be more suitable for you:

Who should get the Amex Gold Card?

  • Food enthusiasts who have substantial dining and U.S. supermarket expenditures annually.
  • Individuals who frequently utilize Uber Eats and can utilize the dining credits provided by this card.
  • Regular travelers aiming to accumulate American Express Membership Rewards points for transfers to Amex airline and hotel partners.

Who should consider a different rewards credit card?

  • Travel aficionados seeking a card with premium benefits such as airport lounge access.
  • Individuals reluctant to pay an annual fee for a credit card.
  • Those with minimal expenditures on groceries, dining, or food delivery.
  • Individuals who prefer earning cash back or statement credits rather than flexible rewards points.

In Conclusion

Is the American Express Gold Card worth it? That’s a decision only you can make based on your preferences. If you prioritize food over travel, the Amex Gold could be a great fit for you.

Keep in mind, there are numerous other rewards credit cards available, including some with no annual fee. Many other American Express cards also offer opportunities to earn points in the Membership Rewards program, so it’s wise to compare all your options before applying.