SimplyCash Preferred Card American Express Review
Pros
- Cash back rewards: Earn 2% cash back on all eligible purchases.
- Welcome bonus: New cardholders enjoy a limited time 10% cash back on eligible purchases (up to $400 cash back) for the first four months.
- No limit on cash back earnings: There is no cap on the amount of cash back you can earn.
- Travel insurance: Card offers travel accident insurance, car rental theft and damage protection, as well as other travel-related benefits.
- Purchase protection: Enjoy coverage for theft, loss, or damage on eligible items within 90 days of purchase.
- Extended warranty: Manufacturer’s warranty is doubled (up to 1 additional year) on eligible items purchased with the card.
- Entertainment access: Gain access to special ticket pre-sales and exclusive events with American Express Invites.
Cons
- Annual fee: The card has a $99 annual fee.
- Limited acceptance: Not all merchants accept American Express, which can limit your ability to use the card.
- No bonus categories: Although the 2% cash back rate is attractive, it does not offer increased cash back in specific purchase categories.
- Foreign transaction fees: A 2.5% foreign transaction fee applies when making purchases in a non-Canadian currency.
- Ineligible purchases: Cash advances, balance transfers, and interest charges are not eligible for cash back rewards.
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Performance test results
At DollarWise, for each credit card we test 7 different factors including the rewards, value for money, perks, insurance, strengths and weaknesses of the card.
You can see our full testing methodology here to learn why we’re the most trusted source for credit card reviews.
The SimplyCash Preferred Card American Express has earned a 4.47 DollarWise Rating out of 5. This score is based on a weighted average of the two highest scoring factors (excluding acceptance and approval).
4.4
Rewards
1.8
Fees
1.3
Perks
2.7
Interest rates
4.5
Insurance
4.0
Acceptance
2.5
Approval
The highest scoring categories for the SimplyCash Preferred Card American Express are insurance and rewards.
These factors are weighted 70% to the highest scoring factor and 30% to the second highest score to get an overall review score.
This weighting allows us to judge cards on their merits and the customers they are designed for.
For the SimplyCash Preferred Card American Express the most important factors for scoring this card are its insurance and rewards.
Rewards
With the SimplyCash Preferred Card American Express, here’s the rates at which you earn rewards for different spending categories per dollar you spend:
| Bills | 2% |
| Pharmacy | 2% |
| Gas | 4% |
| Groceries | 4% |
| Restaurants | 2% |
| Specific Stores | 2% |
| Travel | 2% |
| All Other Spend | 2% |
Calculating your annual rewards
We estimate that spending $2,000 per month with the SimplyCash Preferred Card American Express would earn $648 in rewards over the year.
Our performance testing research uses an accurate estimation of the average Canadian households spending patterns to predict the rewards a card will earn.
We found that you’d earn this per category:
| Gas | $96 |
| Groceries | $240 |
| All Other Spend | $312 |
Our study investigating the value found that each dollar spent on the SimplyCash Preferred Card American Express is worth up to $0.03, depending on how you redeem.
This $648 in rewards value puts the SimplyCash Preferred Card American Express in the top 20% of credit cards in Canada based on rewards earned.
The average credit card in our database earns $337 in rewards for the same spend that the SimplyCash Preferred Card American Express earns $648 in rewards value.
We can compare this card to other options by looking at the earn rate by category.
This earn rate is the percentage return that you would get when you spend on this card, assuming you redeem at the predicted maximum value.
For example, if a card earned 5 points per dollar on gas and each point is worth up to $0.02, then the earn rate is 5 points multiplied by $0.02 each, divided by the dollar you spent.
In this example, that’s a 10% earn rate on gas.
| Spend | This Card | Average |
|---|---|---|
| Bills | 2.00% | 1.25% |
| Pharmacy | 2.00% | 1.17% |
| Gas | 4.00% | 1.48% |
| Groceries | 4.00% | 1.71% |
| Restaurant | 2.00% | 1.53% |
| Store | 2.00% | 1.94% |
| Travel | 2.00% | 1.19% |
| Other | 2.00% | 1.08% |
| Redemption method | Annual rewards |
|---|---|
| Apply to statement credit | $1,652 |
For an annual spend of $24,000, we estimated annual rewards value at up to $648.
That’s equivalent to a 2.70% return on spending.
The SimplyCash Preferred Card American Express has an annual fee of $120. After deducting this, we predicted net annual rewards of $528.
This puts it in the top 10% of credit cards for net rewards after fees.
In comparison, the average card earns net annual rewards of $254.
Fees
The SimplyCash Preferred Card American Express has a $120 annual fee.
The average card charges $85. So, the SimplyCash Preferred Card American Express is in the top 40% of cards based on the cost of the annual fee.
Perks
We manually review the perks of each credit card to determine how they compare to other cards.
The SimplyCash Preferred Card American Express scored a 1.3 out of 5 for perks, putting it in the bottom 50% of cards.
The average card scores 1.6 out of 5 for perks.
Interest Rates
| Purchase | 20.99% |
| Cash Advance | 21.99% |
| Balance Transfer | N/A% |
The average (median) credit card has a purchase interest rate of 19.99% and so the SimplyCash Preferred Card American Express charges 1% more than the average.
For cash advances it costs 21.99% compared to the average of 19.96%.
Testing the SimplyCash Preferred Card American Express with a $2,000 starting balance, you can see in the graph how the 1% more in interest rates impacts the interest over a year, compared to the average card.
Insurance coverage
| Insurance | This Card | Average |
|---|---|---|
| Extended Warranty | 1 year | 1 year |
| Purchase Protection | 90 days | 90 days |
| Travel Accident | $100,000 | $500,000 |
| Emergency Medical Term | 15 days | 15 days |
| Flight Delay | $500 | $500 |
| Baggage Delay | $500 | $500 |
| Lost or Stolen Baggage | $500 | $1,000 |
| Rental Car Theft & Damage | Yes | No |
| Hotel Burglary | $500 | $1,000 |
| Mobile Phone Insurance | $1,000 | $1,000 |
We scored it 4.5 out of 5 for insurance.
It offers 10 types of insurance, whereas the average card has 5 types of coverage.
Approval and qualifying
| Do I qualify? | |
|---|---|
| Estimated Credit Score | 760 – 900 |
| Personal Income | $0 |
| Household Income | $0 |
| Fees | |
|---|---|
| Annual Fee | $120 |
| Extra Card Fee | $0 |
| Card type | AMEX |
We scored it 2.5 out of 5 for approval.
We predict that you will require a credit score of at least 760 to qualify for the SimplyCash Preferred Card American Express, while the average card requires 652 to qualify.
This puts it in the top top 10% of cards by approval difficulty.
The personal income requirements are $0, while the average card requires $23,896.
This puts it in the top 50% of cards by the income required to qualify.
The SimplyCash Preferred Card from American Express is a great choice for Canadians who value straightforward cash back earning. This card offers competitive cash back rates and a variety of benefits, making it an attractive option for those in search of a user-friendly credit card.
Earning potential with the card
The SimplyCash Preferred Card earns a flat rate of 2% cash back on all eligible purchases, with no limit to the amount of cash back you can earn. This means that regardless of the spending category – be it dining, travel, grocery, or any other – you receive a consistent cash back rate.
Benefits
- Simplicity in Cash Back: The first major advantage of this SimplyCash Preferred Card is its simplicity. With no need to track bonus categories or worry about spending caps, this card keeps earning cash back uncomplicated.
- Attractive Introductory Offer: The second major advantage of this card is the attractive introductory offer. New cardholders can earn 10% cash back on all eligible purchases (up to $400 cash back) for the first 4 months.
- Comprehensive Insurance Coverage: The third major advantage of the SimplyCash Preferred Card is the comprehensive suite of insurance coverage, which includes travel insurance, car rental insurance, and purchase protection. Having such a strong coverage package can provide peace of mind while using your card.
- Exclusive Event Invitations: The fourth major advantage of this card is access to American Express Invites, a program offering exclusive event invitations and entertainment perks. This gives cardholders the opportunity to create memorable experiences, making it an added value beyond cash back earning.
Drawbacks
- High Annual Fee: A significant drawback of the SimplyCash Preferred Card is its annual fee of $99. While the flat-rate cash back and additional benefits may offset the fee for many cardholders, one should ensure they will utilize the card enough to justify paying the fee.
- Limited Merchant Acceptance: Another significant drawback of this card is that American Express is not as widely accepted as other credit card networks, such as Visa or Mastercard. Some merchants may not accept American Express, which could limit the use of this card for certain purchases.
Additional information
The SimplyCash Preferred Card offers a referral bonus, allowing cardholders to earn cash back for referring their friends to apply for the card. This can be an extra financial incentive for those who enjoy recommending the card to others.
In summary, the SimplyCash Preferred Card from American Express is an excellent choice for Canadians who seek a straightforward cash back credit card with a flat-rate reward structure.
With its competitive earning rate, impressive insurance coverage, access to exclusive entertainment, and referral bonus opportunity, this card can provide solid value for many users.
However, potential cardholders must weigh the benefits against the annual fee and American Express acceptance rate to ensure it matches their specific needs.
Interested in other credit cards? Canadians that like the SimplyCash Preferred Card American Express credit card also like the American Express Gold Rewards Card. If you’re looking for other options you should consider the American Express Aeroplan Reserve Card, and the American Express Green Card.
FAQ
Key benefits
- 2% cash back on all eligible transactions
- Welcome offer of 10% cash back for first four months (maximum $400)
- Unlimited cash back earning potential
- Comprehensive travel insurance coverage
- Theft, loss, or damage protection for new purchases
- Extended warranty feature, up to 1 extra year
- American Express Invites for special event access
- $99 annual fee applied
- Usage restrictions with some merchants
- No bonus categories for additional rewards
- 2.5% foreign transaction fee for non-Canadian currency
- Cash advances, interest charges, and balance transfers not eligible for rewards
