Nectar AMEX Annual Charge £25

King_Of_Fools

Has anybody else received a letter informing them that there will now be a £25 charge on the Nectar AMEX card?

There is a link with more details to:
http://americanexpress.co.uk/nectarpremium

They seem to be offering an opt out of the annual charge but with worse Nectar points.

Any

No, I didn't and if I do I am cancelling!!

Any

There is no mention of the extra 500 points you get when you hit £500 in calendar month..wonder if that will still apply for the no fee card?

reclusive46

Any wrote: »

There is no mention of the extra 500 points you get when you hit £500 in calendar month..wonder if that will still apply for the no fee card?

Nope, they've tried to twist it as an improvement, but your effectively getting the same benefits for a £25 fee lol

newbutold

I haven't received anything yet, but will now expect a letter after looking at the link supplied above.

Will I be better of paying the £25 fee or opting for the fee free card?

I currently spend between £700 - £1200 a month on my card, which is paid in full each month. I save my points and spend them in Argos/Sainsburys at Christmas. Since the start of the year I have accrued 10821 points.

I could up the spending on it if I start paying for my groceries on it. At present all Amazon purchases, fuel & work expsenses go on it.

don_simon

Looks like they're also scrapping the double points for using it at Nectar retailers (Sainsbury's, BP etc).

King_Of_Fools

If you had no alternative Cashback credit card you would be better off paying the £25 fee if you spend more than £5000 a year (£419 per month) on the card.

For my use, I would be better off opting for the fee-free card and switching most of my spending to another credit card that offers more than 0.5% Cashback.

Any

reclusive46 wrote: »

Nope, they've tried to twist it as an improvement, but your effectively getting the same benefits for a £25 fee lol

Hmm... I don't like the idea of paying a fee... and my Tesco can do better then 0.5%.
It's 1 point for ever £4 you spend, but the point is worth 3p to me (as I convert to rewards) so it is effective cashback of 0.75%.

Time to have a look if anyone can do better.

Shame, I like my Nectar card - it gave you rewards monthly, rather then like cashback cards that only do it annualy...
At least Tesco gives it quaterly. Might stick with that.

What is eveyrone else replacing theirs with?

reclusive46

Any wrote: »

Hmm... I don't like the idea of paying a fee... and my Tesco can do better then 0.5%.
It's 1 point for ever £4 you spend, but the point is worth 3p to me (as I convert to rewards) so it is effective cashback of 0.75%.

Time to have a look if anyone can do better.

Shame, I like my Nectar card - it gave you rewards monthly, rather then like cashback cards that only do it annualy...
At least Tesco gives it quaterly. Might stick with that.

What is eveyrone else replacing theirs with?

Its basically the only card left they had with no annual fee anyway (Except BA card which I imagine will be changing soon). Also bare in mind the foursquare offers. You can make the fee back in one foursquare offer.

Any

reclusive46 wrote: »

Its basically the only card left they had with no annual fee anyway (Except BA card which I imagine will be changing soon). Also bare in mind the foursquare offers. You can make the fee back in one foursquare offer.

Good point re Foursquare.
I might keep the no fee one just for that. And for Costco purchases, as AE is the only credit card you can use there.

But will not use it for majority of my purchases. Given that I only spend roughly £500 a month, that would half the points used on the fee.

So it makes more sense for me to keep the fee free one and only spend on it for the offers and as I say at Costco and get actually some rewards for my other purchases.

zerog

Any wrote: »

Hmm... I don't like the idea of paying a fee...

Think of it as buying 5000 nectar points for £25 (as long as your spend is over that amount).