Having an American Express card often comes with fantastic perks, but those annual fees can certainly add up! Don't fret, though. Many cardholders successfully get their American Express annual fees waived or receive valuable retention offers. This guide will walk you through the process step-by-step, empowering you to keep those benefits without the hefty price tag.
Step 1: Are You Eligible to Even Ask?
Before you pick up the phone, let's figure out if you're in a good position to request a fee waiver or retention offer.
Assess Your Card History
How long have you had the card? Generally, it's difficult to get a fee waived in the first year. Amex is more likely to consider offers for loyal customers.
What's your spending like? If you've put significant spend on the card, especially in categories where it earns bonus points, you're a more valuable customer to Amex. They want to keep you.
Do you use the card's benefits? Be honest with yourself. Are you actually utilizing the travel credits, lounge access, statement credits, or other perks that justify the fee? If not, that's a strong point for your case.
Have you been a responsible cardholder? This means paying your bills on time and in full. A history of missed payments or high balances will significantly reduce your chances.
Timing is Everything
The best time to ask for a fee waiver or retention offer is when your annual fee posts to your account. You'll see it on your statement. Most card issuers will refund the annual fee if you decide to cancel within a certain timeframe (usually 30 days) after it's charged. Don't wait until after that window closes.
Step 2: Gather Your Ammunition ️
Knowledge is power! Before you call, arm yourself with information.
Understand Your Card's Value
List all the benefits and credits: Go through your card's benefits guide. Tally up the value of perks you actually use. For example, if your Amex Platinum has a $200 airline credit and you always use it, factor that in.
Compare to other cards: Research competing cards, especially those with lower or no annual fees, that offer similar benefits. Having alternatives in mind shows you've done your homework and are serious about potentially moving your business.
Know your annual fee amount: This might seem obvious, but be precise.
Check Your Membership Rewards Points (If Applicable)
If your card earns Membership Rewards points, know your current balance. Sometimes, Amex might offer points as a retention incentive. You might also be able to redeem points to cover part of the annual fee in some cases.
Step 3: Make the Call (or Chat!)
This is where the rubber meets the road.
Connect with the Right Department
Call the customer service number on the back of your American Express card.
When prompted, state that you'd like to discuss your annual fee or that you are considering canceling your card. This usually routes you to the Retention Department. These representatives are specifically trained to keep you as a customer.
Alternatively, some cardholders have success using the online chat feature if available.
Be Polite, Clear, and Confident
Be courteous: Remember, you're speaking to a human being. A friendly and respectful tone goes a long way.
Clearly state your purpose: "Hello, I'm calling because my annual fee of [Annual Fee Amount] recently posted to my account for my [Card Name] card. I've been a loyal cardmember for [X] years, but I'm finding it difficult to justify the annual fee given my current spending habits/usage of benefits."
Express your value as a customer: Mention your long history with Amex, responsible payment behavior, and consistent spending.
Be honest about your concerns:
"I haven't been able to utilize many of the travel benefits this year."
"I'm considering other cards with lower fees that might better suit my needs now."
"The value I'm getting from the card no longer outweighs the annual fee."
Listen carefully: The representative may ask about your spending patterns or why you're considering canceling. Be prepared to explain your reasons. They might also offer a solution right away.
Understanding Retention Offers
Amex's retention offers can come in a few forms:
Annual Fee Waiver: The holy grail! This means they simply remove the fee for the year.
Statement Credit: They might offer a credit to offset a portion of the fee. For example, if your fee is $695, they might offer a $300 statement credit.
Bonus Points: You might be offered a certain number of Membership Rewards points, sometimes with a spending requirement (e.g., 20,000 points after spending $2,000 in 3 months).
A combination of the above.
No Offer: It's possible they won't offer anything. Don't be discouraged immediately.
Step 4: Evaluate the Offer(s) & Make a Decision
Once you receive an offer (or lack thereof), it's time to weigh your options.
Is the Offer Worth It?
Calculate the value: If they offer points or a statement credit, determine if that value makes keeping the card worthwhile for another year.
Consider the spending requirements: If there's a spending requirement for bonus points, are you confident you can meet it without overspending?
Compare to alternatives: Does the retention offer make your Amex card more attractive than other cards you were considering?
Don't Be Afraid to Decline (and Re-call!)
If the initial offer isn't satisfactory, it's perfectly fine to say, "Thank you for the offer, but I don't think that makes sense for me right now."
You can hang up and call back at a later time. Different representatives may have access to different offers, or their quotas might reset. This is a common strategy.
If no offer is presented or the offer is too low, you have a few choices:
Downgrade: Ask if there's a lower-annual-fee or no-annual-fee card within the Amex family you can downgrade to. This allows you to keep your credit history with Amex and often retain any accumulated points.
Cancel: If the card truly doesn't provide enough value, even with an offer, canceling might be the right choice. Make sure to redeem any points before canceling!
Confirm and Document
If you accept an offer, confirm it with the representative. Ask for an email confirmation or a reference number. This is crucial for your records in case of any discrepancies.
Step 5: What if You're a Military Member?
This is a special case that warrants its own mention.
Servicemembers Civil Relief Act (SCRA)
Active duty military members, and sometimes their dependents, may be eligible for annual fee waivers on American Express cards (and other lenders) under the Servicemembers Civil Relief Act (SCRA).
Amex is known for being generous with SCRA benefits, often waiving annual fees on many of their premium cards.
If you are active military, call Amex and inquire about SCRA benefits. You'll typically need to provide documentation of your active duty status. This can be a significant benefit, effectively making many high-fee cards free.
Frequently Asked Questions (FAQ)
How to get an American Express annual fee waived for a new card?
It's generally not possible to get the annual fee waived for the first year of a new American Express card. Annual fee waivers or retention offers are typically for existing cardmembers considering canceling their card after the first year's fee has posted.
How to negotiate an Amex annual fee if I don't spend much?
Even if you don't have massive spending, you can still try. Focus on your loyalty (how long you've been a customer), responsible payment history, and the benefits you haven't been able to utilize. Explain that the fee no longer aligns with the value you're receiving.
How to find the Amex retention department phone number?
You can call the main customer service number on the back of your specific American Express card. When the automated system asks for your reason for calling, state "annual fee" or "cancel card," and it should direct you to the retention department.
How to get an Amex annual fee waived with Membership Rewards points?
Some Amex cards, or specific retention offers, allow you to use your accumulated Membership Rewards points to offset the annual fee. You'd need to have a sufficient points balance for this to be an option. Check your Amex online account or ask a representative.
How to know when my Amex annual fee will post?
Your annual fee typically posts around the anniversary of your card opening date. You can check your past statements for the previous annual fee charge or log into your online Amex account to see your next statement details.
How to prepare for a call to waive my Amex annual fee?
Before calling, have your card number ready, mentally (or physically) list the benefits you do and don't use, know your annual fee amount, and be prepared to articulate why you're considering canceling or finding the fee too high.
How to handle being denied an Amex annual fee waiver?
If you're denied, you can politely ask if there are any other offers available. If not, consider calling back another day to speak with a different representative. If still unsuccessful, explore downgrading your card to a no-annual-fee option or canceling the card after redeeming any rewards.
How to decide if I should downgrade or cancel my Amex card instead?
Downgrading is often preferred as it preserves your credit history with that account and allows you to keep any accumulated points. Canceling means closing the account, which can slightly impact your credit utilization and average age of accounts. Only cancel if the card offers no value to you and no suitable downgrade option exists.
How to get an Amex annual fee waived if I'm active military?
Active duty military members should call American Express and specifically inquire about Servicemembers Civil Relief Act (SCRA) benefits. Amex has a strong policy of waiving annual fees for active military personnel.
How to use an Amex retention offer effectively?
If you receive a retention offer (e.g., statement credit or bonus points with a spending requirement), make sure you meet any conditions associated with it. If it's a statement credit, it'll typically apply automatically. If it's a spending requirement, ensure you hit the target within the given timeframe to earn the bonus.
