American Express Offering ‘Plan It’ Feature With No Fees On Some Purchases

Update 7/22/20: More people targeted with no fees.

Late last year American Express started testing something called ‘Plan It‘ on some credit cards. The idea behind Plan It is to give you some flexibility to pay off large purchases over a period of time, when you make a qualifying purchase with Plan It you then pay it off in equal monthly payments over a time period chosen by you. Rather than paying interest, you pay a monthly fee instead.

American Express is now offering some ‘Plan It’ offers where you don’t pay that monthly fee. Effectively this gives you an interest free period on those purchases. Think of it as AmEx offers but instead of getting a statement credit, you pay no interest on those purchases instead. For example here is one offer on Hilton purchases:

It seems that the offers are primarily on travel plans. My issue with these types of interest free period offers is that it can cause consumers to spend more than they typically would and when the interest free period ends the interest rates skyrocket. I guess in this case it looks like you’d have the full debt repaid during the interest free period, but there is still the chance of overspending and defaulting. At the end of the day each individual is responsible for making sure that doesn’t happen to them, but I always like to pay my balances in full at the end of each month that way it’s very clear what my current financial position is. Additionally rather than the type of offer above, I’d much prefer a typical AmEx Offer for Hilton that offers straight cash or points back.

Hat tip to FM

Post history:

  • Update 4/12/20: More people targeted with no fees.
  • Update 12/8/19: Looks like American Express is pushing this hard again.

 

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Novacat05
Novacat05

Got this on my BCP, perfect timing as I just purchased a new car and get this, dealership only took Amex for down payments($2k max). I was going to just pay it immediately this week but saw $0 plan it fees are back, might as well spread out payments for no fees/interest.

balwx
balwx

Looking online my BCP is showing to plan fees through 8/14/20. I have enrolled every possible purchased and selected 12 month plan, zero fees…..

ceejayoz
ceejayoz

Sounds like part of the introductory 0% APR for the first 18 months.

Michael
Michael

We have no Plan It fee on $100+ purchases until 8/14 (P1 Hilton Aspire, P1 Hilton Surpass, and P2 Delta Platinum) and no Plan It fee on $300+ purchases at Delta.com until 9/30 (P1 Hilton Aspire and P2 Delta Platinum). I don’t know what the maximum length of the plans are because none of these cards have qualifying purchases. The Aspire card gets used for dining only until we can actually stay at a Hilton. The Delta Platinum card gets used for absolutely nothing.

Related – 0% APR for 6 months (P1 Blue Biz Plus).

andy
andy

did chat with Amex, they said 2 months, they’ll refund late fees and interest. SO basically 2 months float, no strings attached. No questions asked either.
They’re leading the way on this. Other banks are doing their usual douchbaggery…

Nick
Nick

Two of my cards (both Hilton no AF cards) have zero Plan It fees right now

P
P

This is back again. I’m seeing it on some cards but limits me to a total of about $2885+

I tried signing up but it says, “Your plan it amount will be added to your minimum balance due on 5/20/2019.” So, I’m not sure if that means I have to pay the $35 minimum in addition to the plan it amount, which would result in $35 extra charges each month? I’ll have to call them about this.

Samosa
Samosa

Yes, minimum payment automatically gets added to the monthly plan amount.

sg77

I think that was just talking about the first month, where you already had a minimum payment due separate from the plan. In future months, the minimum payment can be just the plan it amount. (But if you’re also making new non-plan purchases, then the minimum payment would be higher to account for those.)

Samosa
Samosa

Weird…..just tried to create another Plan for a recent $2.5K purchase. Now they are showing me only 3, 6, and 12 month plans but not the 24 month plan (in app and in browser).

T
T

Same. I guess 24 month was too good to last. I had $9k over 24 month on a old blue cash but had to pay it off early because it tanked my FICO too much for my refi

PT
PT

Has anyone noticed an unusual difference in the plans offered depending on how you access the account, with the terms on the Amex app being much shorter?

On a $1000 charge (Hilton Aspire), I’m offered:

Computer with web browser – 24 months
Phone with Amex app – 3, 6 or 9 months
Phone with web browser – 24 mo

Jon
Jon

They emailed me $0 plan fees through late January for any plan

wtfamex
wtfamex

I got a $0 fee offer on my ancient BCE for a hotel expense incurred over Thanksgiving. I can pay it off, but I also don’t really see how plan-it is worth the hassle, for either party.

Again, this is about AmEx and its cubicle drones obsessed with trying to understand millennials. Someone decided they don’t like interest charges, so AmEx just rebrands it and then markets the ever living hell out of it. However, I seriously doubt there’s been much customer uptake.

They could’ve lowered APR’s 1% and driven the same, or more, incremental spend as opposed to thinking/hoping plan-it will do the same.

But I, thankfully, don’t dwell in one of their cubicles to help them understand this.

vc
vc

actually, if you have a high interest rate, plan it is a better deal. they have a useless feature called ‘pay it’ that just lets you make a payment for a single purchase. it’s extremely useless considering that you could just make a normal payment. i had a lengthy conversation with a rep who tried his best to explain the benefits to me.