American Express True Cashback Card Review: What to Know Before Applying

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Cashback credit cards are a popular choice among many Singaporeans.

Imagine a credit card capable of boosting your savings. Getting cashback on every expense you charge to the card, making overall expenses lower and savings higher.

It’s no wonder that cashback cards are a go-to option for many. They are the most sought after type of credit cards and are further broken down into either everyday use cashback cards or cashback cards catering to specific uses such as shopping or dining or groceries.

The American Express True Cashback Card definitely lives up to its name. Not many cards can boast of providing cashback at flat rates on all expenses charged to the card and with no minimum spend requirements. Pay with the card and receive cashback. It’s that simple. But the advantages of the card don’t end there.

Related: Standard Chartered Unlimited Cashback Credit Card Review: A Cashback Card That Doesn’t Stop Giving

Read on to find out what works in this card and what’s lacking.

What you should check out in the American Express True Cashback Card

Promotional cashback rates

The card earns cashback at a higher rate of 3% for a promotional period of 6 months from the date of receiving the card. However, there is a catch. Before you go nilly willy and start using the card for every thing, the higher rate of cashback is only valid for 6 months and for the first S$5,000 charged to the card.

When the card either completes 6 months or has been charged with S$5,000, the cashback rates revert to the normal rate of 1.5%. The cashback earned applies to all spending.

Cashback for anything and everything

Here’s where the practicality of the card sets in. This is a straight to the point cashback card. It’s great for everyday use, there’s no discrimination of expenses, nothing to say this expense earns more cashback than the other.

Be it grocery shopping, dining with family and friends or just filling up the tank with petrol, the card earns a flat rate of 1.5%. It’s easier to keep track of as well.

Some cards like OCBC 365 card offer different levels of cashback for different expenses. Weekday dining fetches 3% cashback, a weekend dining expense fetches 6% cashback, and certain expenses even fetch a paltry 0.3% cashback.

Keeping track of the nature of expenses and trying to estimate how much cashback is earned can be a cause for headaches.

Other benefits

Apart from giving you a flat rate of cashback, the card also gives you a no strings attached deal. The card has no minimum spend requirements and even better, has no cap on cashback received.

Even popular cashback cards like the ANZ Optimum World MasterCard have a cap on maximum cashback earned on a single transaction at S$30.

The True Cashback Card is also an affordable card with an annual fee of S$171.20 which is waived for the first year.

The annual fee for the first two supplementary cards is waived for life, thus allowing you to share the benefits of the card with family members at no additional cost.

The card is attainable for most people too, as it only requires a minimum annual income of S$30,000.

Apart from these benefits, the card does provide a few exclusive deals and dining privileges through the American Express Selects but again, these offers are nothing to rave about and are almost a standard offering on most credit cards.

What you should consider

What some consider a benefit, others might perceive as a flaw. The card does not allow you to tailor your expenses. Cards such as the

Cards such as the OCBC 365 or the ANZ Optimum World MasterCard provide you with options to earn higher cashback rates on certain expenses. If you know what you spend on most, then you’d be better off getting a card that provides higher rates or gives you the flexibility to choose your own category.

For everyday use and the chance to save on all kinds of expenses, then this card is for you. While the annual fee may not be so high as to complain about, it could have been lower. Earning only 1.5% cashback would make it quite hard to earn enough

Earning only 1.5% cashback would make it quite hard to earn enough cashback to make up for the cost of the annual fee without running up a gigantic monthly statement. You’ll need to spend about S$11400 in a year just to break even.

Compare other cashback cards

Cards that come close to the American Express True Cashback Card would be the Citi Cashback card. This card allows you to earn 8% cashback on grocery expenses and dining expenses incurred at any supermarket, cafe, restaurant globally but earns a mere 0.25% cashback on any other expense.

At the end of the day, the American Express True Cashback Card cuts straight to the point. A flat rate of 1.5% on all expenses, no caps, and no spend requirements, an affordable annual fee, and an easy to meet income criteria.

If you do want to spend on specific categories and are good at keeping track of your various expenses, then maybe you would fare better with any of the other more specific cashback cards.

Would you get the American Express True Cashback Card? Let us know in the comments below!

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