When is AMEX suppose to charge the Annual Fee for Platinum Charge Card?

[prodaroda]

My wife activated her card 1 month ago, and just received her statement. And it shows that she has been charged the $1200 annual fee.
I thought that fee gets charged at the end of the 1 year period.

And will we be refunded for the amount of days we use the card if we are to cancel?

 

[opusman]

Credit card account fees are usually (always?) paid in advance. You're unlikely to get a pro-rata refund, particularly if you've actually used the card, but you'd have to check the T&Cs to be sure.

If you were thinking you could nab the 120K points and then cancel without paying the $1200 fee, think again

 

[prodaroda]

Wow. I was under the impression that they charged the fee on a pro-rated basis. And there's another thread here that said that AMEX is ending the annual fee refund in September but only in the US.

 

[greenfrog86]

If you think about this card in particular, no issuer would be crazy enough to charge a fee after you've used your free flight, all your hotel memberships, events, travel credit etc... They would run the risk of you not paying at the end of the year, leading to an endless chase to recoup the money.

Part of the revenue model is to collect the fee upfront and then make you eligible for all the benefits for the next year.

I've not heard of any card issuer in Australia charging a fee for a year that has already finished.

 

[BillytheFIsh]

Wow. I was under the impression that they charged the fee on a pro-rated basis. And there's another thread here that said that AMEX is ending the annual fee refund in September but only in the US.

Ouch. I'm not sure what gave you the impression that you had, but as others have said, it isn't correct and I doubt very much you'll get any kind of a refund, particularly given the sign up bonus.

On the plus side, 120,000 AMEX points is worth more than $1,200 to most people, so that's why many people sign up, pay the first year and then cancel before they get charged a second annual fee.

The only time you won't get charged a fee in the first month or so is when it's a fee free card or there is a specific promotion of "first year fee free" or similar.