American Express Co. (NYSE: AXP) announced that it would upgraded the Platinum card, starting to offer Platinum customers $200 of free Uber rides, while increasing its annual fee.
According the the American Express, in addition to the $200 credit for Uber service, customers could also earn five-times rewards points at appointed hotels when booking through the lender’s website. Platinum card customers could also access Uber perks, and they don’t need to sign up for the credits first.
However, the annual fee of the card will be higher, which will rise 22% to $550 from the current fee of $450. The change will start from March 30. It is the first annual fee rise in over ten years, and it would become the highest fee compared to similar cards in the market. The company said that for the current users of Platinum Card, the change will take effect on annual renewal dates, which is on or after September 1.
“For some, platinum is a color. For us, it is a commitment,” said Janey Whiteside, who is in charge of the Platinum card business. “We created the premium card category 33 years ago and now we are reimagining it.”
“Because we’ve built long-term relationships with our Platinum Card members we have a deep understanding of what they value most about their membership — access to exclusive experiences, rich travel rewards and superior service,” said Janey Whiteside, a senior vice president of American Express.
Last year, JPMorgan Chase announced its Chase Sapphire Reserve card and provided huge sign-up bonus. By upgrading the Platinum card, American Express is trying to defend its dominance against JPMorgan Chase’s Sapphire.