American Express Plum Business Card Review | 2022

american express plum business card review

There are many business credit cards on the market, so it could be difficult to figure out which one is best for your company. The American Express Plum Business Card is a good option if you’re looking for a card that offers excellent rewards and benefits. 

This card comes with various features, including travel insurance, purchase protection, and an extended warranty. 

You’ll also earn points for every dollar you spend, which can be redeemed for gift cards, merchandise, and more. The American Express Plum Business Card has no annual fee.

If you are in the market for a new business card, maybe you should consider the American Express Plum Card. This review will enlighten you on the pros and cons of the American Express Plum Card to help you make the best card decision.

Now let’s dive in…

What is Plum Card® from American Express?

The American Express Plum Card® is a business charge card, not a regular business credit card, so you can’t use it to carry a long-term balance.

However, you can pay off your debt in full within 60 days, incurring no interest if you pay the minimum payment due by the due date.

Also, you can get a total 1.5% discount on the percentage of your balance that you pay within 10 days of your account statement closing date instead of receiving points. 

The Plum Card doesn’t have a lot of perks, but the early payment discount could be helpful for companies that spend a lot of money on plastic each month but don’t want to deal with collecting points.

Read also: Wells Fargo Business Review | 2022

What are the Key Features of the American Express Plum Card?

The American Express Plum Card has the following attributes.

1. Early Repayment Discount:

The American Express Plum Card gives an early repayment discount of about 1.5%. This discount is on the payment amount at that time if you make the minimum payment within 10 days of your statement’s closing date.

2. No interest or fees.

Also, it gives you 60 days after the statement closure date to pay the remaining debt without interest or fees. 

However, unpaid amounts are subject to charges after 60 days, and your account can be in danger of cancellation.

3. Important Fees  

The Amex Plum Card has a steep annual fee of $250. However, there is no extra charge for foreign transactions. Late payments, which American Express defines as sums that have been unpaid for over two consecutive statement cycles (60 days), cost $39 or 2.99% of the late balance, whichever is greater. The fee for returned payments is $39.

What Rewards Come with Using the Card?

The benefits of the Amex Plum Card are very few. It offers 1.5% cash back on the balance portion settled within 10 days of the statement closure date. 

This rate is applied to all purchases, and you cannot limit the amount you can earn.

This charge card allows you to pay off your balance over 60 days without incurring interest. 

By the payment due date, only the minimal cost is due. However, if you choose this option, you will not receive any cashback.

1. Redeeming Rewards

The Early Pay discount is instantly reflected as savings on the following statement credit when you redeem 1.5 percent cash back.

2. Potential Reward

The cashback reward is a simple 1.5 percent cashback on the percentage of the balance settled within 10 days of the statement closure date. 

If your company charges $10,000 in a statement period and pays the debt in full on time, you’ll receive a $150 statement credit the next month.

3. Additional Advantages

Business owners enjoy additional perks with American Express’s Plum Card, which can give them peace of mind. 

They include anything from company and employee expenditure tracking tools to exclusive low-rate guarantees when booking accommodations for business visits.

Here are some benefits and protections that may be available to both primary and secondary cardholders:

4. Expense management tools

With devices like the American Express® Business App, Vendor Pay by Bill.com, and account alerts, you can keep track of and organize your expenses.

5. No defined spending limit

This doesn’t imply you can spend as much as you like, but it gives you greater control over how much you can charge on your card.

6. The Hotline for Global Assist 

Get emergency assistance 24 hours a day, seven days a week for missing luggage, visa/passport assistance, cash wire access, and medical and legal recommendations.

7. Loss and damage insurance for a rented car: 

You’re covered if your rental car is damaged or stolen while on a business trip.

8. Lowest hotel prices guarantee

American Express will pay the difference if a business traveler books a hotel stay on amextravel.com and later find the same booking at a lower price online.

9. Return Insurance

If you bought something with your Amex card, you could return it to American Express for a refund 90 days after the purchase date.

10. Access to entertainment 

You’ll have access to unique entertainment events, presales, and preferred seats for concerts, sporting events, and more in select cities.

11. Only by Invitation® events 

Enjoy premium athletic and fashion events and excellent food, art, and entertainment.

12. Offers from American Express 

Amex Offers give you access to special shopping savings at select stores. These deals usually give you a predetermined amount of money back, which is reimbursed to your account within 90 days.

Read Also: American Express Simplycash Business Card Review

American Express Plum Business Card Pros

1. No Interest 

Unlike other cards that provide 0% APR for a limited time, the American Express Plum Card offers a different strategy. 

You can effectively activate a 0% APR for up to 60 days with no interest for any month’s purchases if you pay the minimum due in that billing cycle. 

If you’re short on funds, need to finance a large purchase, or need more time to pay your expenses, this option can allow you to delay paying them without incurring interest costs.

2. Automatic Rewards for Paying Early: 

This card rewards business owners who pay their bills on time. If you pay your monthly bill at least the minimum amount 10 days or more before the due date, your charge is basically lowered by 1.5 percent of the amount you pay early. 

No need to opt-in, traverse redemption choices, or log into your account; the credit is instantly posted to your account for the following billing period. 

Due to the fact that this is a charge card, there is no hard limit on how much you may spend each month. 

Instead, your purchasing power fluctuates based on your card usage and other characteristics, such as payment history, credit history, financial resources, etc. 

This flexibility is helpful for businesses with a wide range of month-to-month spending or making infrequent purchases that might push them over a credit card’s credit limit.

American Express Plum Business Card Cons

High annual charge: The Amex Plum Card has a high annual fee. This can be one of the distinctive disadvantages of the card. It is considered a disadvantage because the Amex Plum card is for small business owners looking to save costs. However, the one-time annual card fee if you pay your bills on time and earn rewards.

There’s No Bonus Offer: It’s usual for small business cards, especially ones with an annual cost, to include a one-time offer, but this card doesn’t. That makes recouping the card’s high annual charge more complicated because the value of one-time deals may sometimes help justify the card’s yearly cost, often for years.

The American Express Business Gold Card, for example, costs $295 a year (slightly more than this card) and comes with an 80,000-point bonus if you spend $10,000 within the first three months of membership.

What is the purpose of this card?

  1. The Amex Plum Card is designed for small business owners who don’t want to earn travel points, want their credit card benefits to impact their bottom line directly, and value simplicity above all else.
  2. There are no features on the card that take additional time to manage. It’s straightforward, which might help you save time and mental capacity when running your firm.
  3. In comparison, American Express’s Business Platinum Card® is jam-packed with perks, and each one necessitates some upkeep.
  4. Fees and Rates: The Plum Card does not have an interest rate because it is a charge card rather than a credit card. You’ll have to pay $250 per year to keep your card. They may charge you a $39 late payment fee or 1.5 percent of any past due amount, whichever is greater. 

However, if you miss two billing periods in a row, the price increases to $39, or 2.99 percent of the past due amount. A $39 returned payment fee may also be charged.

Read Also: Horizon Business Funding Review | 2022

What can you do with this card?

Making purchases and paying them off early, within 10 days of your bill closure, is the ideal way to use the Plum Card. 

If you don’t do this, you’ll forfeit the 1.5% discount and lose the card’s primary benefit. You’ll want to search elsewhere if you don’t want your incentives tied to paying your card statement early to receive rewards. 

Remember that the $250 annual fee means you’ll need to spend more than $16,660 per year to break even on the card’s 1.5 percent earning rate after the first year.

 American Express Plum Business Card Review

The American Express Plum Business Card is an excellent option for businesses that want to earn rewards on their spending. 

This card offers 3x points on advertising, shipping, and computer hardware and software purchases. Cardholders can also enjoy 2x points on gas and restaurant purchases. 

Plus, there is no annual fee for the first year. This makes it a great way to try out the card and see if it’s a good fit for your business.

One of the great things about the American Express Plum Business Card is that there are no foreign transaction fees. 

This makes it an excellent option for businesses that do a lot of international travel. The card also has other benefits, such as car rental and baggage insurance.

Overall, the American Express Plum Business Card is an excellent option for businesses that want to earn rewards on their spending.

Read also: Twitter for Business Review | 2022

FAQ

Is the Amex Plum Card a good investment?

The Amex Plum Card is worth considering if you own a business with unpredictable cash flow because you can get 1.5 percent cash back and have 60 days to pay in full.

What is the Amex Plum Card, and how does it work?

To get the most out of your Amex Plum Card, pay within 10 days of the closing date, and you’ll receive a 1.5 percent discount on your following statement. Alternatively, you can postpone the rest of your new contract. You can also delay the rest of your new balance to the following information without incurring interest.

What is the annual fee on the American Express Plum Card?

The annual fee is $250. Terms and conditions apply.

What are the rewards on the American Express Plum Card?

This card doesn’t offer traditional rewards. Instead, you can get a 1.5% discount for paying your balance within 10 days of your statement date. Or you can get up to 60 days to pay without interest. This card makes sense for businesses that need wiggle room on their accounts payable. 

Conclusion

The American Express plum card can be considered a good option if you are a small business owner that wants to save some extra cash. Its 1.5% cash back for every early payment makes the high annual fee easy to pay.

Thoroughly access your spending needs before opting for the Amex Plum Card.

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