There are few changes happening to the the most popular credit card from American Express India which is: Membership Rewards credit card.

The changes are going live from 1st April 2021 and here’s everything you need to know about it.

The Changes

  1. Monthly Bonus: Eligibility for monthly bonus of 1K MR points raised to INR 1500/txn (instead of previous INR 1000/txn)
  2. Extra Points: Additional 1,000 MR points upon spending INR 20,000 in a month. (you need to enrol for this – Clever, Amex!)
  3. Welcome Benefit: 4,000 MR points for spending INR 15,000 in the first 90 days (instead of Rs.2K in 30 days), for paid cards.

First change is bound to happen as previous numbers were very lucrative for this segment. So now this makes it sort of in-line with the spend requirement for Amex Gold charge which is 1000*6 = 6000 INR.

Second change is a welcoming move as you can grab extra 1000 points on spending 20K INR a month. This makes it a nice value for those who already spend well on MRCC.

3rd change is for newly issued paid cards and its just fine as well.

Analysis

Below calculation is sufficient to explain what you get out of it:

As you see above, spending 72K a year gets you best return on spend but no fee waiver, also you get only 13K or so points with which you can’t redeem for 18K or 24K.

While you can pool in the points from other cards, its still not a wise way to use it.

Hence, spending 2.4L a year gives you a return of minimum 4.6% as Amazon voucher, which most of the members holding this card go for. On top of it, you also get the 100% fee waiver on crossing 1.5L a year.

If you’re into Marriott or Taj then you get an amazing return of 7% as Taj Voucher (or even more with Marriott). However, remember that you can book only non-discounted rates to redeem Taj Vouchers issued by Amex India.

So is it Good or Bad?

Overall its good for those who spend well in the range of 2L a year but not for those who hold the card just for monthly bonus on 4K spend.

While it may not be a welcoming move for low spenders, not to forget that you’ve the BOB Select credit card to serve that purpose – but yeah you’ll have to compromise on the support quality.

What do you think about these changes? Feel free to share your thoughts in the comments below.

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