American Express or AmEx is one of the world’s largest three financial services corporations. It is one of the three credit card service providers. Although it is the credit card provider still a lesser number of people know what it is. AmEx is the most expensive credit card service used in the world. It is owned by the American Express Financial Corporation who has a head office in New York.
Difference in Use
We all are well aware of the Visa Cards. Visa is also a company that provides credit cards. But on a visa card, the name of the credit provider or issuer is given on the card which is a third party, usually a bank. Visa provides cards and the bank issues you the credit. But in the case of Amex merchant services, the card is provided by the company and the same company issues you the credit. The credit card transaction is entirely limited to the company and it does not involve the third parties.
Pros and Cons
There are both, positive and negative aspects of every system. Let’s discuss the benefits AmEx gives its customers and American Express rates and costs.
As in Visa services, there is a limit to the credit which can be taken from a card. In American Express Merchant Services, there is no limit. You can shop online up to the limit you want. Then they give handy benefits to the customers. Major of these is the quality points upon shopping which increase by the increase in the credit amount. In the end, these quality points give you several bonuses and discounts. The American Express also provides the airline tickets credit which is not provided by the other companies. One more positive point of the American Express is reimbursement for safe traveler program enrolment fees. This is a big advantage because to pay the enrolment fees, the customer has to go through a long procedure in the regular banking channels which can be avoided using the American Express. Some other benefits include the Uber credits and the high-end airport lounge access. For travelers, moving around the globe, it becomes very handy to use the AmEx credit card because it solves the problems of third party access.
As the advantages are discussed, now is the turn for the disadvantages. The AmEx has high annual fees as compared to the other services. Moreover, the use of this service is less common in the market by the users as well as the businesses. Therefore, this is expensive than other services.
