Why do we recommend the American Express Cobalt®️ credit card?
The American Express Cobalt®️ credit card stands out for several compelling reasons. Firstly, it offers an attractive points system that allows cardholders to earn Membership Rewards points quickly.
You earn 5 points per dollar spent on eligible food and drink purchases, including groceries, restaurants, bars, and food delivery services. This makes it an excellent choice for anyone who spends a significant amount on dining out or grocery shopping.
Additionally, you earn 3 points per dollar on streaming subscriptions, 2 points per dollar on travel and transit (including rideshares), and 1 point per dollar on all other purchases.
The rewards program is highly versatile, allowing points to be redeemed for travel, gift cards, merchandise, or statement credits. For travel, 1,000 points equate to a $10 statement credit, making it easy to cover travel expenses like flights and hotel stays.
Furthermore, the card provides extensive travel insurance, including emergency medical coverage, flight delay insurance, baggage delay insurance, and car rental theft and damage insurance. These features offer peace of mind while traveling, ensuring you are covered for a variety of unforeseen events.
The Cobalt card also offers exclusive access to entertainment events through American Express Invites, providing cardholders with the opportunity to purchase presale tickets and reserved seats for concerts, shows, and other events. This perk is particularly valuable for those who enjoy attending live events and want to secure the best seats.
Moreover, the card includes benefits like a hotel credit and complimentary room upgrades when available, adding further value to your travel experiences. The monthly fee of $12.99 (totaling $155.88 annually) is manageable, especially considering the extensive benefits and rewards you receive in return.
When can the American Express Cobalt®️ credit card be useful?
The American Express Cobalt®️ credit card can be especially useful for individuals who frequently dine out, travel, or subscribe to streaming services.
With its high points return on dining and groceries, it is an ideal choice for food enthusiasts and families who spend a significant portion of their budget on food and drinks. The ability to earn 5 points per dollar in these categories means that your everyday expenses will quickly accumulate into substantial rewards.
For frequent travelers, the Cobalt card offers numerous benefits that make it a valuable companion. The travel insurance coverage is extensive, including emergency medical insurance, trip interruption and delay insurance, and car rental insurance.
These features ensure that you are well-protected during your travels, providing peace of mind whether you are traveling domestically or internationally. Additionally, the ability to earn 2 points per dollar on travel and transit means that your travel-related expenses contribute significantly to your rewards.
Entertainment lovers will appreciate the exclusive access to presale tickets and reserved seating for various events through American Express Invites. This perk allows cardholders to secure the best seats at popular concerts, shows, and other events, enhancing their overall entertainment experience.
The versatility of the Membership Rewards program also means that points can be redeemed in a variety of ways, making the card useful for different needs. Whether you prefer to use your points for travel, gift cards, merchandise, or as statement credits to offset purchases, the Cobalt card provides flexibility in how you can benefit from your rewards.
In summary, the American Express Cobalt®️ credit card is a highly beneficial tool for those who enjoy dining out, traveling, and attending live events. Its generous rewards structure and extensive benefits make it a valuable addition to your wallet, helping you maximize the value of your everyday spending.
Benefits of the American Express Cobalt®️ credit card
The American Express Cobalt®️ credit card offers a range of benefits that make it a standout choice. Firstly, the rewards structure is highly attractive, with 5 points per dollar spent on eligible food and drink purchases, 3 points per dollar on streaming subscriptions, 2 points per dollar on travel and transit, and 1 point per dollar on all other purchases. This allows cardholders to accumulate points quickly, especially if they spend significantly on dining and travel.
In addition to the rewards program, the Cobalt card offers comprehensive travel insurance, including emergency medical coverage, trip interruption and delay insurance, baggage insurance, and car rental theft and damage insurance. These insurance benefits provide peace of mind and financial protection during travel.
Cardholders also enjoy exclusive access to presale tickets and reserved seating for concerts, shows, and other events through American Express Invites. This perk enhances the overall value of the card for those who enjoy live entertainment.
Furthermore, the card offers a monthly fee of $12.99, making it easier to manage than an annual lump sum payment. The flexibility of the Membership Rewards program, allowing points to be redeemed for travel, gift cards, merchandise, or statement credits, adds to the card's appeal.
Disadvantages of the American Express Cobalt®️ credit card
Despite its many benefits, the American Express Cobalt®️ credit card does have some disadvantages. The card comes with a monthly fee of $12.99, which totals $155.88 annually. While this fee is manageable for many, it may be a drawback for those looking for a no-fee card.
Additionally, the points earned in the bonus categories are capped at $30,000 in purchases per year, which may limit the rewards potential for high spenders. Lastly, the card charges a foreign transaction fee of 2.5%, which can add up for those who frequently make purchases in foreign currencies.
How is the credit analysis done for the American Express Cobalt®️ credit card?
The credit analysis for the American Express Cobalt®️ credit card involves several factors. Firstly, applicants must meet a minimum credit score requirement, which is typically around 725. This score indicates that the applicant has a good credit history and is likely to manage their credit responsibly.
American Express also considers the applicant's income and financial stability. While there is no specified minimum income requirement, having a stable income helps in the approval process. Applicants need to be at least 18 years old to apply.
During the credit analysis, American Express reviews the applicant's credit report, which includes their payment history, credit utilization ratio, length of credit history, types of credit accounts, and recent credit inquiries. A strong credit history with timely payments and low credit utilization increases the chances of approval.
Additionally, American Express may assess the applicant's debt-to-income ratio to ensure they can manage additional credit. This ratio compares the applicant's monthly debt payments to their monthly income, helping the issuer determine the applicant's ability to handle new credit responsibly.
Is there a maximum and minimum amount for this credit card?
The American Express Cobalt®️ credit card does not have a specified maximum credit limit, as the limit is determined based on the applicant's creditworthiness and financial profile. However, like most credit cards, it does have a minimum credit limit, which typically starts around $1,000. The actual credit limit assigned to an applicant depends on various factors, including their credit score, income, and overall financial situation.
Do you want to apply? Learn how to get the American Express Cobalt®️ credit card here
Ready to enjoy the benefits of the American Express Cobalt®️ credit card? Click the button below to learn how to apply and start earning rewards on your everyday purchases today!