All you need to know about Amex's new card for middle income group

American Express has announced the launch of their co-branded credit card with Payback, a multi-brand loyalty programme. Unlike their other cards which cater to the premium and super premium segment, this card targets middle income consumer. To know more read on.

**Offering:**On using the card you are assured an earning rate of 3 Payback points for every Rs 100 spent. And when you shop using the card at Payback partner outlets, the reward points double. Simply put, you get to earn reward points from both Amex as well as Payback.

Interest rate: The rate of interest for the first six months is 1.25 percent per month, which is 15 percent per annum for purchases of goods and services. After six months, the interest rate will increase to 3.25 percent per month, which is 39 percent per annum.

Fees: Though you don’t need to pay any joining fee to get the card, you will have to bear an annual fee of Rs 750 for the first year. From the second year, the annual fee will be Rs 1,500.

Finer details: The interest-free period for the card is 52 days. You can redeem the payback reward points over the counter at Payback partner outlets, or at their website, kiosk, or contact centres. Point of sale redemption can be done at 25 Future group stores and over 700 HPCL outlets. Unlike many other American Express cards, this card comes with an expiry date for reward points redemption, which is three years. While the late payment fee is 30 percent of the minimum amount due as shown on the statement, subject to a minimum of Rs 500 and a maximum of Rs 1,000 plus applicable service tax.

Firstpost take: If you are hell bent on getting an Amex card, this could be a good starting point before you move up to their premium offering. However, if you are not too keen on an American Express card and just looking for a card that offers value, there are many good offers available in the market, which have features similar if not same as this card.