At the end of March American Express launched it’s financial hardship/financial relief program due to COVID-19. At the time this program was only available via phone, but it’s now available online. This program helps cardholders with:
- Lower monthly payments and interest rates
- Provide relief from future late payment fees
- Prevent accounts from going past due or further past due
There are two versions of this program. One is for periods less than 12 months and the other is for periods for more than 12 months (36 or 60 months). With the 12 month program your cards remain open (with a reduced spending limit) whereas the longer term programs your card is cancelled. This should go without saying but I’ll say it anyway, only use this program if you actually need to.
Hat tip to discovideo3
View Comments (14)
Is this asking for eyes on your account?
I have $20K balance across multiple Amex cards @ 0%APR. The greedy me thinks would they extend 0%APR duration for another 12 months? The logical me says it doesn't hurt to ask as long as I don't lie.
Please report back after you asked. I'm on a similar boat.
if you use this, i think you'll get "pop-up" for life...
Or... churners that don't carry a balance wouldn't have a need for this, so if you use it, Amex may then think that you're potentially someone who they can make money from via interest, so the popup is automatically disabled for you. Similar to Capital One logic.
any evidence if enrolling on this program will affect their membership? i.e. not pre-qualify for new cards
link?
https://www.americanexpress.com/us/customer-service/financial-relief.html
Thanks! I was going to do this since I'm already shutdown with a balance but it looks like they report this to the CRAs. Plus not all accounts are eligible for the 5 year plan. I inquired about a closed biz card and was told there were no offers :(
No reader of this blog should be paying CC interest... whether "reduced" or not.
14.7% unemployment, worst since the depression. Hard to fault people for losing their job or getting furloughed. Be careful, your privilege is showing
Or sometimes stuff happens... dont belittle people because you're better off or not having troubles
They shouldn't, but some people do get blindsided by life.
Agree with Will, do not use this path unless absolutely necessary as you could damage long term relation with Amex and who knows how this could impact credit score along with ability for future CC.