American Express Essential Credit Card

Last updated: Oct 9, 2020

Enjoy Membership Rewards points without an annual fee, plus complimentary smartphone screen insurance and access to Amex offers and experiences.

The American Express Essential is a no annual fee credit card designed to suit modest spenders, with a combination of money-saving features and complimentary extras. This card offers a low ongoing purchase rate and complimentary insurance covers.

This card earns 1.25 Membership Rewards point per eligible $1 spent (1 point per $1 with government bodies). You can redeem points for gift cards, statement credits or other options through Membership Rewards, shop with points at David Jones, or transfer them to a partnered frequent flyer program – including Velocity Frequent Flyer, Singapore Airlines KrisFlyer and Emirates Skywards.

14.99% p.a.

Purchase rate

1.25

Reward points

Per $ spent

$0 p.a.

Annual fee

55 days

Interest free period

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Details

Product Name	American Express Essential Credit Card
Rewards program	Membership Rewards Gateway
Purchase rate	14.99% p.a.
Annual fee	$0
Interest-free period	55 days
Min credit limit	$2,000
Max credit limit	$25,000
Card type	American Express
Foreign currency conversion fee	3%

Minimum income	$40,000
Available to temporary residents	Yes - Conditions apply
Joint application	No

Pros

$0 annual fee
Transfer points to a choice of 8 airline rewards partner programs
Competitive purchase rate of 14.99% p.a.
Smartphone screen insurance of up to $500 per claim and up to two claims per 12-month period will be covered.

Cons

Charges a 3% transaction fee when used overseas or for making online payments in a foreign currency

Rewards program	Membership Rewards Gateway
Rewards points per $ spent	1.25
Rewards points cap	Uncapped

Annual fee	$0
Minimum monthly repayment	2.5% of the closing balance or $30, whichever is greater
Late payment fee	$30
Foreign currency conversion fee	3%
Additional cardholder fee	$0
Number of additional cardholders	4

Expert review

Review by

Amy Bradney-George

amy.bradney-george@finder.com

Amy Bradney-George has been writing about personal finance for more than 13 years – including over 600 articles as a senior writer for Finder. Her work has also appeared in publications including Money Magazine, The Sydney Morning Herald, Financy, ABC News Australia and Equity Magazine. Amy has a Bachelor of Arts in Journalism and Drama from Griffith University.

Expert review

The American Express Essential has the rare combination of rewards and an ongoing $0 annual fee. Its competitive purchase rate of 14.99% p.a. also stands out when compared to the typically high interest rates seen on other rewards credit cards. Plus you can use this card through Apple Pay, Google Pay and Samsung Pay, with the added benefit of complimentary smartphone screen insurance.

Your everyday spending on this card will earn you 1.25 Membership Rewards points per $1 on most eligible purchases, including at supermarkets, petrol stations and restaurants. You’ll also earn point per $1 spent with government bodies in Australia.

How to apply

If you've checked out a few credit cards and want to get the Amex Essential, you can apply online in around 10 minutes and may get a response within 60 seconds of completing the application. Get started by making sure you meet the eligibility criteria and that you have all the documents and details needed for the application.

Eligibility criteria

Minimum income. You must earn a minimum annual income of $40,000.
Residency. You must be an Australian citizen, permanent resident or hold a current long term visa (12 months or more). Student visas are not eligible.

New cardholder. The balance transfer offer is only available to new applicants.
Credit history. You must not have a history of bad debt or payment defaults. If you don't know your credit score or what's on your file, you can get a free copy of your credit report through Finder.
Age. You must be at least 18 years old to apply.

Required documents

- Personal details. This includes your full name, email address, date of birth, driver's licence number, marital status, number of dependents and contact number.
- Employment details. This covers your salary, current job title and your employer's contact information. You may also need to provide recent payslips, your latest tax return or your accountant's information.
- Financial information. Beyond your salary, you'll need to share details of any other assets, such as savings or shares. You'll also need to provide estimates of your essential expenses – such as rent, mortgage payments, groceries and utility bills – as well as any other loans or lines of credit.

Card benefits

Membership Rewards Points. The Amex Essential earns 1.25 Membership Rewards points per $1 spent on eligible purchases, and 1 point per $1 spent with government bodies in Australia. Points can be redeemed for gift cards, Select + Pay with Points and more through Membership Rewards, or transferred to airline partner programs including Velocity Frequent Flyer and Singapore Airlines KrisFlyer.
Complimentary purchase insurance covers. Use the American Express Essential to pay for eligible purchases and get peace of mind with purchase protection insurance, refund protection insurance and extended warranty cover (known as "Buyer's Advantage").

Mobile payment compatibility. You can conveniently tap and pay with your smartphone when you add this card to your Apple Pay, Google Pay or Samsung Pay account.
Smartphone Screen Insurance. It's all too easy to end up with a smashed smartphone screen. But if you use your Essential card to pay for your phone (outright or on contract), you can get cover for smartphone screen repairs of up to $500. Cardholders can take advantage of up to two claims per 12-month period.

Amex perks. Enjoy exclusive shopping deals and benefits through Amex Offers, plus pre-sale events and ticket promotions through American Express Experiences.

Rates & fees

$0 annual fee. There is no annual fee for the American Express Essential.
Interest rate. The Amex Essential has an ongoing purchase rate of 14.99% p.a. Note that you cannot make cash advance transactions with the Amex Essential.

Up to 55 interest-free days. If you pay your balance in full, you will receive up to 55 interest-free days on purchases.
Foreign currency conversion fee. If you use this card overseas or make online payments in a foreign currency, you'll pay a fee worth 3% of the total transaction amount.
Emergency card replacement. If your card is lost or stolen, you could get it replaced within 48 hours, from almost anywhere in the world.

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American Express Essential Credit Card