Clear from American Express

Clear from American Express is designed for those with good credit who are looking for a card with absolutely no fees and an uncomplicated reward program.

Through the reward program, cardholders earn a cash rebate of 1% on all eligible purchases. The rebates are automatically issued in the form of an American Express® branded shopping card worth $25 each time the cardholder reaches $2,500 in spending. Shopping cards expire one year after they are issued.

The truly unique feature of this card is that it has no fees. There are no annual fees, no late fees, no over the limit fees, no balance transfer fees, and no cash advance fees. However, fee-free credit does not mean cardholders can forsake their payment responsibilities. If minimum payments are not paid within the grace period for two times during any portion of a twelve-month billing period, the default APR of 21.99% + Prime Rate will be applied to all balances for a minimum of twelve billing periods.

The card also provides benefits and services commonly found with American Express® credit cards, such as auto rental insurance, a purchase protection plan, and up to $100,000 in travel accident insurance. It also provides a free year-end credit report including the cardholder's credit score.

The APR for purchases and balance transfers is reasonably low for a reward card (for those who qualify). In addition, the card offers a 0% introductory APR for up to twelve months on purchases and a low 5.99% introductory APR on balance transfers for the life of the loan if the balance transfers are submitted during the application process.

Therefore, those who plan to take advantage of the reward program, the fee-free transactions, and the various services provided will benefit most from what the Clear from American Express has to offer.

Review date: 2008-04-23 00:00:00