Amex tightens rules after GFC

[greenfrog86]

So I rang Amex today to follow up on a recent application - I was told it was 'suspended' pending them contacting me as Amex has introduced a 2 card limit...

I have a 'free for life' QFF classic card and a David Jones Amex.

My options if I still want the card I applied for are to convert the free card or close the DJs Amex.

I'm not sure what I want - free card is good and DJs has an interest free deal on it.

Asked about charge cards and was told they fall outside the 2 card limit unless they have the 'flexible payment option' which is basically a line of credit option.

Hope this helps some people as I'd never heard of this policy before.

 

[JohnK]

Would be interesting to see if existing customers with 3 or more cards will be affected by the new card limit.

 

[cove]

Recently we added KRIS AMEX to ULTIMATE AMEX and DAVID JONES AMEX so we have not seen this tightening.
It certainly has been happening in USA which is where their ideas could be coming from.
Use it or lose it seems to apply in America for AMEX.

 

[Diesellife]

2 cards policy has been there for a long time, whether or not they reinforce it is another matter...

 

[odysseus]

Use it or lose it seems to apply in America for AMEX.

Not just AmerEx, but pretty much all the banks there have tightened up credit cards, in a number of ways.

 

[Mal]

2 cards policy has been there for a long time, whether or not they reinforce it is another matter...

Used to be 1, then they changed it. Don't recall ever hearing 2 as a limit - the last i heard they would let you have just about 1 of every Amex variety available assuming they assessed you as being credit worthy.

I've had 3, recently consolidated back to 2. Of course I moved my Credit limit from the cancelled card over, so really Amex's exposure to me is no different than it was!

Pity the banks over in the UK are giving me such a hard time with getting a CC. They've also been bitten it seems. A card I was approved for 3 weeks ago (subject to verification) with a ~$A600 limit is still going through the checks. Further info about me was asked for and provided over a week ago, but still no word as to what the situation is.

 

[zig]

I had 2 for many years - Gold Charge and Ultimate. Added Westpac Earth Platinum Amex at the start of this year without any problem, or limitations being mentioned.

 

[simongr]

I'm not sure what I want - free card is good and DJs has an interest free deal on it.

If you just want the interest free deal then switch to a regular DJ store card - unless looking for interest free outside DJ's.

 

[greenfrog86]

Seems like there is some confusion - the two card Amex limit only applies to cards issued by them. The KrisFlyer Amex and the Earth Platinum are issued under a license from Amex by other organisations (both Westpac in this case). These cards are therefore issued in much the same way as Visa and Mastercard - ie your relationship is with a bank rather than the actual scheme owner (Amex is different as they are both the scheme owner and a financial institution).

Agree with Simongr - I'm going to dump the DJ's Amex and go ahead with the Gold Ascent CC, whilst keeping the classic Qantas just because giving up 'free for life' would hurt...

In reply to another post, I doubt that existing cardholders would be affected - especially if your product mix includes 2 CC and a charge or a mix of products they have thrown at you (ie free Plat CC with the Charge card)

 

[zig]

I thought the DJ's Amex was issued by DJ's, not Amex. Is this not the case?

 

[greenfrog86]

From a servicing perspective it is dealt with seperately (ie operators cannot service other Amex products) but all the lending and processing is done by Amex.

David Jones would have a contract with Amex with some kind of profit/loss agreement.

From the discussion I had with Amex, the DJs Amex is considered lending as part of their portfolio...