SimplyCash from American Express credit card review

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Rewards are great, but they usually come at a price. And with credit cards that usually means an annual fee. Not so with SimplyCash from American Express: This no fee credit card offers impressive rewards at no extra cost to you. With an impressive earn rate of 1.25% on everything you buy, the SimplyCash credit allows you to earn as you spend. And it doesn’t complicate things with bonus categories, tiered earn rates or spending caps—it’s simply 1.25% across the board. And that’s considerably higher than most no fee cards from the big banks offer.

Quick facts about SimplyCash from American Express*

Annual fee: $0
Rewards: 1.25% cash back on everything
Welcome offer: 2.5% back on up to $6,000 in purchases for the first three months
Income requirement: None
Purchase interest rate: 19.99%
Best features: Great flat earn rate and entertainment perks with American Express Experiences
Who it’s good for: Shoppers not wanting to pay an annual fee and who prefer a simple rewards program (straightforward cash back with no complicated bonus categories); and optimizers who want to maximize rewards by carrying multiple credit cards

Get more details about SimplyCash from American Express*

8 things to know about SimplyCash from American Express

1. Everyday cash back rewards

With the SimplyCash from American Express, it’s all in the name: You earn cash back according to a very clear and easy-to-understand rewards structure, with a consistent 1.25% earn rate on everything you buy. There’s no earn rate structure to think about, like bonus categories with other cards—just the reassuring knowledge that you’re getting money back every time you use the card.

Thanks to this straightforward rewards format, you’ll earn on the various purchases that often don’t get much love with other cards, like online shopping, clothing and electronics. And by comparison, most no fee cards typically only earn you 0.5% cash back on those same purchases.

Another bonus with the Amex SimplyCash card? Outside of the welcome offer, there’s no cap on rewards—something that can’t be said for all no fee credit cards—so your earn rate won’t drop, no matter how much you spend per month or per year.

Considering all this, the SimplyCash card from Amex is arguably the best no fee flat-rate cash-back card on the market. The only other card that comes close is the Rogers World Elite Mastercard, which does have a slightly higher earn rate of 1.5% cash back on all purchases; however, Rogers cardholders must have an annual income of at least $80,000 and spend a minimum of $15,000 on the card every year just to qualify. SimplyCash has no such requirements, making it more accessible.

2. Welcome offer

Within the first three months using SimplyCash from American Express, the earn rate is doubled—that’s 2.5% cash back on everything you buy up to a maximum of $150 (so, $6,000 in purchases). This is a standout bonus when you consider no fee credit cards don’t typically feature a welcome offer. Or if they do have one, the cap is usually at $100 cash back.

3. Cash back is rewarded once per year

The one small catch with the SimplyCash from Amex is that the cash rewards are granted once per year, on your September statement. This is a slight drawback compared to other cash-back cards, like the BMO CashBack Mastercard or TD CashBack Visa, that allow you to redeem rewards any time you like.

4. There’s no annual fee and no income requirement

The biggest draw of the SimplyCash from American Express is, of course, that there’s no annual fee. That means it’s completely free to use (provided you pay off your balance in full every month, of course). So, all the rewards go right into your pocket instead of offsetting an annual fee. As well, there’s no strict income requirement to be eligible for the card, making SimplyCash from Amex accessible to the majority of Canadians.

5. Side perks

As you might expect with a no fee card, SimplyCash from American Express doesn’t have the most impressive suite of benefits. But it does offer something you won’t get with other no fee cards from Visa or Mastercard: American Express Experiences. This is a serious entertainment perk that gives you access to presale tickets to major events, shows and concerts, as well as early bookings to some of the country’s hottest restaurants and even specially curated private shopping experiences. As well, the SimplyCash offers up to $100,000 in travel accident insurance—an unexpected benefit for a no fee card. You’ll also get purchase protection and automatic extended warranties for up to one year (which is the norm for most credit cards).

6. It’s a great option to use as part of a two-card strategy

Since SimplyCash from American Express has no annual fee and an above-average earn rate of 1.25% on everything you buy, it’s ideal to use in combination with another card as a way to earn more rewards. For instance, you could carry the TD Cash Back Visa Infinite for groceries, gas and recurring bills, as it will earn you a substantial 3% on those purchases, and use the SimplyCash to earn 1.25% on everything else since the TD Card by default earns only 1% on everything outside of its bonus three categories.

7. The SimplyCash is a credit card, not a charge card

It’s commonly thought that all American Express cards are charge cards, meaning it must be paid off every month no matter what. But that’s not actually the case; SimplyCash from Amex is a conventional credit card, just like any Visa or Mastercard. Once you apply, you’ll be approved for a set credit limit, and as long as you pay off your balance in full every month, you won’t owe any interest. The card does allow you to carry a balance from month to month, but an interest rate of 19.99% will kick in if you do that. Again, that is just like any other credit card.

8. More places are now accepting Amex

While it’s true that American Express isn’t as widely accepted as Visa and Mastercard, the difference is not as significant as you might think—depending on your shopping habits. In fact, we’d say the stigma around Amex acceptance is a little overblown, and here’s why: It’s accepted at more than 96,000 locations across Canada, including most major department stores and restaurant chains, many prominent grocery stores and virtually all online-delivery and ride-share apps. That said, it’s true Amex isn’t accepted at several places, such as Loblaws, discount grocers and many smaller local stores, restaurants and cafes. A common strategy among Amex cardholders is to carry a debit card or a second credit card from Visa or Mastercard in case a retailer doesn’t accept Amex.

How much can you earn with the SimplyCash from Amex?

It depends on your spending habits.

For example, if you were to spend $1,500 per month—we all know that’s not hard to do—you’d rack up $225 cash back every year, which is pretty impressive for a no fee card. And calculating how much you’ll get is easy since the earn rate is a straight 1.25% cash back on everything.

As noted earlier, one of the smartest ways to use the SimplyCash is in combination with another card. Let’s say that you carry the TD Cash Back Visa Infinite, which earns 3% back on groceries, gas and recurring bills and 1% on everything else; if you also carry the SimplyCash card, you can boost your rewards by using it to pay for “everything else” without owing any extra annual fees.

Are there any drawbacks to the Amex SimplyCash card?

There’s the restriction that cash-back rewards are only redeemable once per year, on your September statement. With most other cash back cards, you can redeem your rewards monthly or at any time of the year. The only other downside is that American Express isn’t accepted quite as widely as Visa or Mastercard, particularly at discount groceries and smaller independently-run shops, cafes, and restaurants.

Final word

If avoiding an annual fee on a credit card is a priority for you, then this option is hard to beat. It has one of the highest earn rates among no fee credit cards, and its simple unlimited rewards structure means you don’t have to think about bonus categories or spending caps. As well, SimplyCash card holders have access to American Express Experiences, a pretty great perk unique to Amex. Overall, this is one of the best no fee rewards cards in Canada and a great option for those who aren’t looking for premium perks or won’t earn enough rewards to offset an annual fee.

Get more details about SimplyCash from American Express*

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