Strategy to obtain US Amex

[marki]

The spread itself isn't that bad. I've noticed it can be as low as 0.2-0.5%. Conversion fees can also be reduced if using IBKR. Wise at 0.4% isn't too bad either.

Overall I think you can reduce the average loss from the spread and conversion to about 0.7-0.8%.

However the biggest loss that is difficult to manage is the volatility of the USD/AUD rates.

For example, I used my US amex last month to make some big purchases when the AUD was at 67c USD, then in just 2 wks it crashed down to 65c and I needed to convert to USD at 65c rate to repay my AMEX credit card. From my calculations I made about a 4% loss off a $6K purchase and now the AUD rate is back to 68c USD.

Its also a massive headache on deciding when to convert, will it drop further or will it go back up, the cc bill is due next week etc. Playing with FX rates to me is feeling like a mugs game right now.

Can convert right after making a purchase to eliminate this risk but then you'll lose the interest from holding the cash in the offset and its more of a hassle to remember to do this each time.

I was worried once that Aussie was 1.05 cents USD. Should I wait? It's always a mugs game. I love it - that the US Amex - does not charge conversion fees! Shop like a local!

 

[djchuckles]

The spread itself isn't that bad. I've noticed it can be as low as 0.2-0.5%. Conversion fees can also be reduced if using IBKR. Wise at 0.4% isn't too bad either.

Overall I think you can reduce the average loss from the spread and conversion to about 0.7-0.8%.

However the biggest loss that is difficult to manage is the volatility of the USD/AUD rates.

For example, I used my US amex last month to make some big purchases when the AUD was at 67c USD, then in just 2 wks it crashed down to 65c and I needed to convert to USD at 65c rate to repay my AMEX credit card. From my calculations I made about a 4% loss off a $6K purchase and now the AUD rate is back to 68c USD.

Its also a massive headache on deciding when to convert, will it drop further or will it go back up, the cc bill is due next week etc. Playing with FX rates to me is feeling like a mugs game right now.

Can convert right after making a purchase to eliminate this risk but then you'll lose the interest from holding the cash in the offset and its more of a hassle to remember to do this each time.

As you say the trick is (if you can) to move the money over to USD and into a USD checking account at the point you make the purchase on your credit card. Of course it protects you if the rate goes down, but you also lose the benefit if it goes the other way! I personally don’t mind a flutter here and there so I’m happy to take the rough with the smooth - over a longer period of time - i woudl hope you’ll gain as much as you lose.

 

[georgie23]

News headline AUD hit 69c which is an 18 month high - might not be too bad a time to lock in some conversion

I dont normally stress - its the cost of doing business - over the lifetime of card usage you will win some and lose some

 

[QF029]

I've done something to upset Chase. After 3 Ink Business cards spread out by around 6 months per card I was rejected for the 4th. A week later I was rejected for a Hyatt personal card with the excuse that I've had too many applications.

I applied for one other Amex card at least 18 months ago (approved and since closed) so shouldn't be foul of 5/24.

 

[qiaqia]

Hi all, I tried contacting Amex (aus) earlier, asking to transfer Aus MR points to US account, the guy never heard of this and told me this was never allowed. waited him to check with someone else on the team, the answer was also no.
What is the process called? is there any webpage or anything I can forward to them / how did you guys transfer?

 

[georgie23]

American Express - Moving Abroad - Global Card Transfer - United States

Have you recently been relocated to US, or will you be moving overseas to US? Start the process to transfer your card to US.

www.americanexpress.com

Call the number here and they will do for you - quick and easy - its done from US end

For Personal Card apply by phone: Call 877-621-2639, available Monday - Sunday from 8:00 - 23:00 (EST).

 

[DC3]

Hi all, I tried contacting Amex (aus) earlier, asking to transfer Aus MR points to US account, the guy never heard of this and told me this was never allowed. waited him to check with someone else on the team, the answer was also no.

 

[qiaqia]

thanks so much, will give them a call.

ps. I just finished a live chat with the US customer service before reading your reply, they also told me this was never allowed, haha

 

[levelnine]

I've done something to upset Chase. After 3 Ink Business cards spread out by around 6 months per card I was rejected for the 4th. A week later I was rejected for a Hyatt personal card with the excuse that I've had too many applications.

I applied for one other Amex card at least 18 months ago (approved and since closed) so shouldn't be foul of 5/24.

If you have a thin credit file, you've likely reached the limit of credit and/or new cards that Chase will extend to you. You'll likely need to reduce credit limits & close an Ink if you want to open a new card.

 

[Fil-Ski]

I have a personal AMEX Green Card for approx 9 months now. Is it possible to apply for an AMEX Business card (I do have an Australian business)

 

[QF029]

If you have a thin credit file, you've likely reached the limit of credit and/or new cards that Chase will extend to you. You'll likely need to reduce credit limits & close an Ink if you want to open a new card.

It's interesting because I've been scaling back and closed an Amex I've had for 8 years with a $30k limit. My credit score took a small hit.

 

[georgie23]

I have a personal AMEX Green Card for approx 9 months now. Is it possible to apply for an AMEX Business card (I do have an Australian business)

Most people say very easy
Australian business has nothing to do with it
Apply as a sole trader under own name is the way I understand it

 

[Ansett Nostalgic]

It's interesting because I've been scaling back and closed an Amex I've had for 8 years with a $30k limit. My credit score took a small hit.

Closing accounts is not ideal - your US score will be higher if you have more open accounts, more total limits, and longer account ages.

 

[georgie23]

Closing accounts is not ideal - your US score will be higher if you have more open accounts, more total limits, and longer account ages.

Just curious
Lets say you have lots of cards and want to reduce AF how can you minimise damage to credit score - close newer accounts?, downgrade to low cost cards?

 

[QF029]

Closing accounts is not ideal - your US score will be higher if you have more open accounts, more total limits, and longer account ages.

Agreed but it's only a few points. Now I don't live in the US I don't need to keep cards open (and paying annual fees) aside from the great points chase.

 

[nthd_nthd]

Just curious
Lets say you have lots of cards and want to reduce AF how can you minimise damage to credit score - close newer accounts?, downgrade to low cost cards?

downgrade or product changed to no annual fee ones - if not those two then closing is last option after 1 year but

 

[Daventry]

Was any spend attempted, or just red flag on activation only? Not tried to add to Apple Wallet by any chance? Just asking as I have no first-hand experience with this sort of thing.

That's hit & miss.
My second Chase card was my first business card and I was able to add it to Apple Wallet and use it before using the physical card.

 

[itsjackson]

Update on my attempt to double dip the upgrade offer from Green to Gold with the 90k bonus and also sign up for a new Gold card with a 75k SUB.

A few weeks ago, I successfully applied for a new Gold card. Today, I tried to accept the upgrade offer from Green to Gold (it expires tomorrow, but I was waiting for a refund), but I was asked for an SSN which I don’t have. I called AMEX, and they informed me that they no longer see the upgrade offer for Gold - only one for Platinum with 125k, since I already have the Gold card. I declined as it didn’t seem worth it.

This is bummer since the 90k offer was a great deal. I can no longer see the Gold upgrade offer in my online account - just the Platinum one. I’m unsure if there was a specific method for accepting both a new card and the upgrade offer, or if I simply waited too long between the new card and the upgrade. I assumed I was fine as long as I accepted it before the email’s expiration date.

Do I have any recourse or alternative ways to still accept the upgrade offer to Gold?

 

[georgie23]

That means you'll need to submit a tax return.

I'm going to need to do one for the first time in a while as a result of referral bonuses. I think there is some free software out there that allows you to do it relatively easily.

just curious if you had to complete the return @levelnine ?
what software did you use?
did it affect you Australian tax return at all

cheers

 

[QF_Flyer]

You can load e.g. 200 US into something like United Mileage Bank every year...

This is what I was doing with the Hilton Aspire credit when it wasn't available for any airline purchase. Valid for 5 years, hopefully I'll use it before then!