MYTH BUSTER: There IS a spend limit on the Centurion card!!

[MrSpokeyTokey]

Contrary to popular belief, there IS a spend limit on the American Express Centurion card.

Granted that the limit is very high (~$700K), I was always under the impression that the card was 'limitless'.

Imagine my shock when the card was 'Declined'.
Gasp!

When I rang up Amex, the CSR told me that the limit had been reached. He said that if I wanted to, he could get permission to increase it temporarily, however it would take a day or so.

Alternatively, I could pay down the amount owing, which is what I chose to do.

In any case, I thought it was interesting.

I guess the private jet purchase won't be going on the Black amex.
(Hehe..only kidding about the jet)

SpokeyTokey

PS: my account has always been paid in full and has NEVER been late.
I don't know why they worry. I'm good for it!

 

[serfty]

Welcome to AFF

Such a purchase is something I do not think I'll be contemplating in the near future.:shock:

 

[Dave Noble]

There was no myth though. All Amex cards have a credit limit ( credit cards ) or an exposure limit ( charge cards ). Depending on what your risk rating is with American Express , the exposure limit may vary. It is perfectly possible for a green card holder to have a higher exposure limit than a platinum card holder depending on past history

In many ways the varying card colours are a vanity thing and to squeeze extra money out of those who will spend it ( similar to vanity plates for cars ); there are some benefits of the differing cards, but in the key spending area they are the same

Dave

 

[Natt]

:shock: 700K in one day - now thats just being slack

If you can't hit a million you just are not trying

 

[simongr]

In many ways the varying card colours are a vanity thing and to squeeze extra money out of those who will spend it ( similar to vanity plates for cars ); there are some benefits of the differing cards, but in the key spending area they are the same

Dave

Dave - whilst I agree with your facts regarding the credit/exposure limits - it is a shame that your factual comments are distorted by your personal views and bias.

Whilst I am sure for some people the cards are vanity (although I think Kanye West might be a tad disheartened to know that lowly simongr from [insert suburb here] can access the same card as him) they are very different in how they facilitate spending.

 

[Mal]

( similar to vanity plates for cars );

Vanity plates don't fit into the same category as credit cards. I own two vanity plates - one is a CCC-NNN (Where C is a character and N is a number , the second one is CCCCCCC (ie 7 characters). In Queensland you buy them and they are yours forever. I could resell either or both, assuming someone wanted to buy them (the 7 character one is quite likely to sell quickly, the CCC-NNN not so much), and depending on who buys it, could make a huge profit on my investment.

Credit cards are also an investment for some people. They like the perks that come with the card - be it SPG Gold / Hilton Gold, PriorityPass cards, concierge and hard to book restaurant seats etc. They also like the service they get, and the ability to spend large amounts without batting an eyelid. Of course everything has a limit...

BTW- Welcome MrSpokeyTokey

 

[Dave Noble]

Whilst I am sure for some people the cards are vanity (although I think Kanye West might be a tad disheartened to know that lowly simongr from [insert suburb here] can access the same card as him)

If it isn't a status symbol, then why would he care in the slightest

Dave

 

[simongr]

I did say for "some people" the cards are vanity.

 

[greenfrog86]

I still find it astonishing that anyone could spend 700k in a cycle on their Card... I spose if you spend for business and lots of travel that would make sense

I work for a bank in the collections area - I can tell you that I've seen plenty of cases where it only takes one missed payment for the customer to fall behind badly and for us to be left exposed...

If you weren't good for it one month that would leave Amex with an unsecured debt equivelent to a house :shock:

I do however think that it would be a little more appropriate for Amex to use a system similar to that for fraud where they ring you straight away - at least that way they're not at risk of annoying Centurian holders, some of which would not take a 'declined' message too well...

The rest of us can just dream...

 

[Flying Fox]

Wow, $700K in one billing cycle is amazing to me.

I'd imagine that number of FF points gained from your CC must be massive!!!

 

[samh004]

I'd imagine that number of FF points gained from your CC must be massive!!!

That's immediately what I thought of too, ultimately lots of free travel!

 

[simongr]

Don't forget that 1.5 point/$ stops at $500K for the centurion card...

 

[serfty]

So there's the first 750,000 MR points. Spend another $250K and earn a million MR points.

 

[Dave Noble]

So there's the first 750,000 MR points. Spend another $250K and earn a million MR points.

Convert them to AA via SPG and then 4,850,000 MR points gives LT Platinum

Dave

 

[MrSpokeyTokey]

There was no myth though. All Amex cards have a credit limit ( credit cards ) or an exposure limit ( charge cards ). Depending on what your risk rating is with American Express , the exposure limit may vary. It is perfectly possible for a green card holder to have a higher exposure limit than a platinum card holder depending on past history

Dave

What you say makes logical sense.

I guess, like a lot of people, I bought into the myth of the card being 'limitless'. Hehe.

SpokeyTokey

 

[ejb]

Convert them to AA via SPG and then 4,850,000 MR points gives LT Platinum

Dave

OT.....but......

Is LT Plat better than LT SG?

If so I may convert my MR points to AA.

ejb

 

[serfty]

The fine print from a charge card offer I recently received:

¹A Charge Card has no pre-set limit which does not mean unlimited spending. Your purchases are approved based on a variety of factor, including current spending patterns, your payment history, credit records and financial rescorces known to us.

 

[simongr]

OT.....but......

Is LT Plat better than LT SG?

If so I may convert my MR points to AA.

ejb

Worse if flying on CX or BA, worse if flying domestically in the US and worse if flying TATL on BA.

Better if flying on QF and wanting to earn 100% status bonus.

 

[Flashback]

OT.....but......

Is LT Plat better than LT SG?

If so I may convert my MR points to AA.

ejb

LT SG on Qantas is the same as LT Plat on AA as they are both OneWorld Sapphire.

 

[Dave Noble]

OT.....but......

Is LT Plat better than LT SG?

If so I may convert my MR points to AA.

ejb

They are both OW Sapphire status so have pretty similar benefits. If you travel to the USA, then the ability to use electronic upgrade credits on flights there is def a nice benefit. Also, for mileage earning on eligable flights, a QF Gold member earns 50% bonus on miles whilst a Platinum AA member earns 100% bonus and the redemptions are generally cheaper on AA. Also AA Platinum members can get exit row seats pre-assigned on AA which is a nice benefit

The only gotcha in Australia is that E,Q and N classes on QF earn no AA miles

e.g. fly SYD-MEL on QF as AA PLT or QF Gold .... QF earns 1000 min earning whilst AA earns 500 base + 500 bonus = 1000 , so earning is the same

fly something further such as SYD-PER on discount economy ( 2041 miles ) and would earn 2041 base + 1022 status miles = 3063 miles whilst the AA member would earn 1022 base plus 1022 bonus = 2044 miles. it is a lower amount but the significantly lower redemption costs will benefit . on K or higher then AA earnings will be higher ... note if in N,E or Q class, then dont credit to aa

If you are using miles to redeem for business/1st class then is well worth sending the miles to AA rather than QF

to redeem SYD-LHR r/t would cost 256,000 in business or 384,000 in 1st on QF / BA . On CX would cost more at 273k/406k

redeeming using AA miles, then the cost would be 120k/160k

Also, would avoid paying the $215 fuel surcharge that QF award would apply .

120k AA points will require 96k SPG points which requires 290k AMEX points so more than the 256k needed for QF or 273k needed for CX travel but does save $215 in fines
160k AA points requires 388k Amex points so is pretty much the same cost as using a QF award on QF and cheaper than the QFF award on CX

If you have the points to get LTP on AA and you use points for premium class travel, I would get AA LTP. No real loss


Dave