Cash Magnet® Card

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Last updated on April 26th, 2022

Cash Magnet® Card

Cash Magnet® Card
  • Regular Purchase APR 15.49% to 25.49% variable based on creditworthiness and the Prime Rate
  • Cash Advance APR 26.74% variable based on the Prime Rate
  • Annual Fee None
  • Credit NeededBestCards.com uses a variation of FICO Score 8, which is one of many different types of credit scores. A financial institution may use a different score when deciding whether to approve you for a credit card.
    Excellent , Good
  • Intro Purchase APR 0% for 15 months from account opening date
  • Processing Network American Express
Best Benefits
  • Earn $200 back after spending $2,000 within the first 6 months
  • Unlimited 1.5% cash back on your purchase
  • Introductory purchase APR of 0% for 15 months, then a variable APR, 13.99% to 23.99%
  • Use Amex Offers to get rewarded at places you like to shop, dine, travel, and more
Rates & Fees
  • Intro Purchase APR: 0% for 15 months from account opening date
  • Regular Purchase APR: 15.49% to 25.49% variable based on creditworthiness and the Prime Rate
  • Cash Advance APR: 26.74% variable based on the Prime Rate
  • Cash Advance Transaction Fee: Either $10 or 5% of the amount of each cash advance, whichever is greater
  • Penalty APR: 29.99% variable based on the Prime Rate
  • Foreign Transaction Fee: 2.7% of the transaction amount in U.S. dollars
  • Late Payment Penalty Fee: Up to $40
  • Return Payment Penalty Fee: Up to $40

At a Glance

The Cash Magnet® Card offers an unlimited 1.5% cash back on all eligible purchases, without the need to memorize any categories or tiered rewards structures.

Ideal for Those Who:

  • Are looking for a cash back card that doesn’t have a confusing bonus system
  • Want to earn an unlimited 1.5% cash back on all eligible purchases
  • Will likely spend $2,000 or more within the first six months
  • Don’t want to pay an annual fee

American Express Cash Magnet® Card Review

Cash back credit cards are all the rage – and it’s easy to see why. Instead of rewards categories, they earn unlimited cash back on every purchase, with no confusing categories to monitor. While the market for these cards grows all the time, a few key contenders for best cash back credit cards hog much of the limelight. One of those cards is the American Express Cash Magnet® Card.

Earn 1.5% Cash Back

If your spending habits are challenging to fit into just a few categories, the Cash Magnet® Card is a reliable cash back card option. Not only does the card boast unlimited 1.5% cash back across the board on all eligible purchases, but it is supported by a $200 cash back bonus (in the form of a statement credit) after spending $2,000 or more within the first six months of card membership. In this regards the card is somewhat of a competitor for the impressive Chase Freedom Unlimited (or even the Freedom Flex).

 

How to Redeem Rewards

The cash back that members earn with the Cash Magnet® card is in the form of American Express Membership Rewards, which are redeemable for statement credits, gift cards, and merchandise from hundreds of leading retailers.

Unlike some of the premium Amex charge cards (like the Platinum Card, Gold Card, and Green Card), the options for Membership Rewards redemptions are limited with the Cash Magnet Card. There are no options for travel or hotels, for instance.

Fortunately, one of the excellent features of rewards with Amex is that cash back and Membership Rewards points never expire if the cardholder’s account is open and active.

Intro APR Bonus

Beyond the $200 welcome bonus, the card also enjoys a lengthy introductory APR period. New accounts enjoy 15 months of 0% intro APR on purchases from the date of account opening, then a variable APR, 13.99% to 23.99%. That 15-month period is comparable to what is on offer with the Chase Freedom Unlimited – the Amex Cash Magnet’s natural rival.

Once the 0% APR period ends, Amex Cash Magnet cardholders can anticipate a very competitive APR on purchases. That rate is almost 5-percentage points below the national average for a cash back rewards card – and 3% lower than the average APR on a 0% intro APR card.

However, keep in mind that American Express does not allow balance transfers – so if you are considering using that low interest rate to pay down an existing balance, look elsewhere.

Cash Magnet

American Express
$ 0 Annual Fee
  • Unlimited 1.5% cash back
  • No reward categories
  • $200 cash back signup bonus after spending $1,000 in 90 days
  • 0% intro APR for 15 months on purchases
  • Amex Pay It Plan It

Chase Freedom Unlimited

World Mastercard
$ 0 Annual Fee
  • Unlimited 1.5% cash back
  • 5% back on travel through Ultimate Rewards
  • 3% back on dining and drugstores
  • $200 cash back signup bonus after spending $500 in 90 days

The Chase Freedom Unlimited does have some edges on the Cash Magnet, but these are offset by the Pay It Plan It® feature that American Express cards enjoy. Pay It Plan It allows cardholders to set up a monthly payment plan for qualifying purchases of $100 or more with a fixed monthly fee and no interest charges.  Even better, Plan It® plans set up within the first 15 months of card membership do not feature plan fees (see terms).

Other Card Features

Beyond Pay It Plan It, other notable features of the Cash Magnet Card from Amex include:

  • No annual fee
  • Car Rental Loss and Damage Insurance of up to $50,000 per vehicle rental.
  • Amex Global Assist Hotline access to help with information about travel, including customs information and more.
  • Complimentary ShopRunner membership

Should You Apply for the American Express Cash Magnet® Card?

The American Express Cash Magnet® Card is an excellent card for those who want cash back but suffers when stacked up against cards like the Citi® Double Cash Card – 18 month BT offer, Citi Custom Cash℠ Card, and the Chase Freedom Unlimited. Those cards simply offer better value for money – with 2% back in the case of the Citi card and additional cash back categories with the Chase option.

The card also suffers from a limited redemption choice through the Membership Rewards program. Still, it makes up for it with an exceptional interest rate on purchases – and a lengthy 0% intro APR period. 

Overall, the Cash Magnet® Card more than lives up to the hype as an excellent, everyday cash back credit card. It has limitations outside the United States, but at home, it provides the reliability you need- and the rewards you crave.

The information related to Citi Custom Cash Card and Citi Double Cash Card has been collected by BestCards.com and has not been reviewed or provided by the issuer or provider of this product or service.

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