Overview of the Plum Card® from American Express
The Plum Card® from American Express is a unique business card with a flexible payment option. You can get a 1.5% discount if you pay early or pay up to 60 days interest-free (on new balances) if you make the minimum payment. Unless you’re a business with fluctuating cash flow, other cards with higher rewards will likely suit you better. Card rating*: ⭐⭐
*Card Rating is based on the opinion of TPG editorial staff and is not influenced by the card issuer.
The Amex Plum Card is a simple business card with no preset spending limit and an annual fee of $250 (see rates and fees). Normally you have to pay this type of card in full each month, but with the Plum card you can get an interest-free period of up to 60 days as long as you make the minimum payment before the due date.
Still, this card is very light on the benefits. In most cases, you are better off applying for one of the best business credit cards from TPG. There are many cards on that list with more modest annual fees, first-year benefits worth more than $1,000, and comparable (or better) ongoing rewards rates.
The recommended credit score for this card is 670 or higher.
Let’s take a closer look at the Plum card to see if this card is right for you.
Plum Card pros and cons
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Plum Card Welcome Offer
Unfortunately, the Plum card has no welcome offer.
Many other business cards with similar or lower costs have valuable welcome offers, so it’s quite disappointing not to see a welcome offer despite such a high annual fee on this card.
Related: This month’s best welcome deals
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Plum Card Benefits
With the Plum card, you’ll earn a 1.5% discount on eligible charges paid within 10 days of your statement closing date. The discount will be deducted from your account as a credit on the statement below. You don’t have to manage rewards or choose from different redemption options: everything is automated for you.
You also have the option to carry a balance for up to 60 days interest-free. To qualify for this option, you must pay at least the minimum amount due (10% of new purchases plus the entire previously deferred balance) by the due date. However, deferred amounts are not eligible for the 1.5% discount.
This card has no foreign transaction fees (see rates and fees) and comes with extended warranty protection, return protection, and secondary rental car damage and loss insurance.*
*Eligibility and benefit levels vary by card. Terms and conditions and restrictions apply. Visit americanexpress.com/benefitsguide for more details. Endorsed by AMEX Assurance Company.
Plus, employee cards are free and you get a range of expense management tools to help you keep track of your spending.
This is a very light list of benefits for a card with such a significant annual fee. If you don’t need the ability to carry a balance for 60 days interest-free, you will almost certainly get more value from another card.
Related: Who is eligible for a business credit card?
Earn money back with the Plum Card
With the Plum card, you’ll earn 1.5% cash back on all purchases when you pay your balance within 10 days of the statement closing date. If you do not pay within this period, you will not receive any reward for your expenses.
This win rate is especially unremarkable because many cash back cards offer 1.5% or more on all purchases. Additionally, many of these cards have no or lower annual fees and no restrictions like the Plum card’s 10-day payment term.
Related: Cash Back vs. Travel Rewards: How to Choose a Credit Card
Redeem cash back on the Plum Card
Refund money on the Plum card is simple, because it is automatically applied as a credit on your next bank statement.
This can be useful if you don’t want to worry about how to get money back. However, it is a disadvantage if you would like to get money back and exchange it in one go.
I prefer to earn points and miles rather than get cash back because I tend to get a lot of value from redeeming points so I get a lot more value out of my American Express® Gold Card than I would with this card.
Related: The Best Credit Cards for Travel Rewards
Which cards compete with the Plum Card?
Many other cards are more attractive than the Plum cardwith lower or no annual fees and better earning potential.
For more options, check out our full list of the best business cards.
Related: Small Business Credit Card vs. Business Credit Card: Which One Is Right for Your Business?
Is the Amex Plum Card Worth It?
The Amex Plum Card is only worth it if you are a business with variable cash flow and need extra time to pay by taking advantage of the 60 days to pay the full amount. You’d have to spend more than $16,660 to break even on the card’s $250 annual fee after the first year, so most business owners will want to opt for another card.
In short
The main value of the Plum Card from American Express is its simplicity; there’s no credit line to navigate, and it earns 1.5% back on eligible early payments. However, because you can earn 1.5% (or more) back on various business credit cards with no annual fees, the Plum card is rarely a good fit.
Click here for American Express Plum Card rates and fees.
For rates and reimbursements of the Blue Business Plus Card, click here.