Find out the credit score required for American Express Platinum credit card that you should know about and the perks of having one.
Knowing the credit score required for an American Express Platinum credit card is essential, for you wondering if you can get one.
American Express Platinum requires an excellent credit score that ranges from 800 to 850. People who are have a credit score of under 800 may still apply, but there may be a few more requirements needed. Here are some of the information about this credit card from American Express.
This platinum credit card from American Express has an annual fee of USD 450 and an APR of 13.24% to 23.24%. Another good thing about this card is it has no foreign transaction fee.
American Express Platinum will let you earn reward points that you can use for merchandise, dining, and travel purchases. You can also earn 40,000 points after spending USD 3,000 on purchases during the first three months of getting the card.
People who frequently travels and the ones who love the luxury perks of traveling should get this card. The reason behind this is because the more you purchase airfare tickets, the more miles you earn, which you can use for your next trip.
Explanation of credit score ranges
It is important to know the category that you fall into when it comes to credit score for you to be aware. The range of a credit score can go from 300 to 850. Always remember that the higher your score, the higher the chances of you to qualify for a loan. There will also be instances where a financing company is okay with 650 scores, while the other is fine with a 750 score. It will all depend on the lender itself.
A lender or a bank will check your credit score if you qualify for the application that you are requesting. Here are some of the credit score ranges that you should know.
Bad credit score
People with a credit score below 579 is known as high risks. Foreclosures, poor payment history, and bankruptcies are the reasons why people fall into this category.
Good credit score
A good credit score ranges from 680 to 719. People with this credit score can expect approvals and interest rates that are better.
A very good credit score ranges from 720 to 799. People with this credit score is known to be small risks, and they often get loan amounts that are higher than usual.
An excellent score ranges from 800 and above. Financial freedom is expected to people with this score.
How are credit scores calculated?
The weight of each of the five categories are; 30% of amount owned, 10% is for the new credit, 15% accounts for the length of credit history, 10% is the credit mix and the last 35% accounts for the person's payment history.
The FICO score takes into consideration positive as well as negative aspects of the credit report. The percentage or the weight of any of the categories mentioned above may differ from a person to another depending upon the information available in the credit report.
The FICO score takes all of the information from your credit report. However, the banks or any other lending institution might look at your income, type of credit and employment history when you apply for a loan or mortgage.
Once a certain lender asks for a client's credit report, they can also ask for the Fico score. Other sources say that your Fico score will include 35% of your payment history, 30% of your credit utilization, and 15% as to how long have you been borrowing.
Credit cards offers based on credit score
Find out the different credit cards offers based on credit score by reading the information below.
There are a lot of credit card offers today but your approval will depend on the credit score that you have. Of course, they will still check other factors that will determine your approval rating. Below are some of the credit cards offer based on credit score.
BankAmericard Travel Rewards
BankAmericard offers this card for people who have 690 to 850 credit score. They have 20,000 online bonus points if you spend at least USD 1,000 during the first 90 days of the card. It has no annual fee and an ongoing APR of 15.24% to 23.24%.
Capital One QuicksilverOne
Capital One Quicksilver is offering this card for people who have a 630 to 689. You can earn 1.5% cashback on every single purchase that you will have. They have an annual fee of USD 39 and an ongoing APR of 23.24%.
Things you can do to improve your credit score
Having a bad credit score is similar to having poor health. Therefore, you need to take measures that ensure you are continually improving on it. The most efficient way of repairing bad credit is good management over time. Improving your credit score is necessary for you to be eligible for better terms and rates for loans in the future.
Regular credit report checks
You are advised to monitor your credit report regularly to see if it has any errors. A credit report brings you up to speed on your status as a debtor. Ensure that the payments are reported correctly and the amount owed to each creditor is correct. Errors must be disputed to your credit bureau promptly.
Reduce your debt
Most people usually take loans just because they are eligible for them without considering the potential damage to their credit score. For a start, you can reduce your reliance on credit cards. Design a plan that ensures you give priority to your debts that have the highest interest rates.
If your monthly premium is not automatically debited from your account, you need to set up a payment reminder. Timely credit repayment improves your credit score over time. Some financiers usually send emails or texts to their clients to make payments.