Here Are the Best and Worst Reasons to Open the Amex Platinum Card

The Platinum Card® from American Express gets recommended often. Because it has an incredibly long list of perks, and because it costs a whopping $695 per year (see rates and fees), some people assume that it's the best of the best.

It's not quite so cut and dry. You could save a ton of money with this American Express card. Or, you might find it frustrating to use and end up losing money. This card definitely isn't right for everyone, so it's important to figure out if it's a good fit for you before applying.

The best reasons to open the Amex Platinum Card

So, how can you know if The Platinum Card® from American Express is a match? I'd only recommend getting it if all of the following are true.

You'll be able to use its spending credits

Travel rewards cards with high annual fees usually have spending credits to balance out those fees. That's true with this American Express card. It has the most spending credits I've seen on a card -- over $1,500 per year of them. Terms apply.

A lot of people see that and think "Wow, I'll save over $1,500!" But here's the thing about spending credits: They only save you money if you can easily use them. And they're really only valuable if they cover something you'd already be buying.

For example, this card offers $300 in statement credits each year when you use it to pay for an Equinox membership. Terms apply. Great if you go to Equinox, but if you don't, that's $300 in value you won't be getting. Here are some of the other credits this card offers:

• $200 in Uber Cash per year: You receive $15 in Uber Cash per month with a $20 bonus every December.
• $240 digital entertainment credit: You get up to $20 in statement credits each month after using The Platinum Card® from American Express to pay for eligible purchases with any of the following: Disney+, a Disney Bundle, ESPN+, Hulu, The New York Times, Peacock, and The Wall Street Journal.
• $155 Walmart+ credit: When you use The Platinum Card® from American Express to pay for a Walmart+ membership, you'll receive a monthly statement credit covering the full cost ($12.95 plus applicable taxes).
• Select enrollment required, terms apply.

Those are just some of the highlights, but they give you an idea of what this card offers and how its credits work. Make sure you can use at least $700 to $800 in spending credits if you're going to apply.

You travel often and like to book luxury travel

This card is designed for big spenders who want to upgrade their travel experience. Here are a few examples of its luxury benefits:

• Access to over 1,400 airport lounges, including The Centurion® Lounges from American Express
• Complimentary Marriott Bonvoy® Gold Elite status and Hilton Honors™ Gold Status
• The Fine Hotels + Resorts® Program, a collection of high-end hotels where card members can get special benefits
• Select enrollment required, terms apply.

If you like to stay at luxury hotels that cost $500 or more per night, this card will be right up your alley. Budget travelers, on the other hand, won't get nearly as much out of it.

You don't mind learning how to use American Express points

American Express points aren't the type of rewards that you just redeem for whatever you want. You can, but you won't get very good value that way. If you want to make the most of your points, you'll need to transfer them to the card issuer's travel partners.

There are plenty of opportunities to transfer your points. American Express has over 20 airline and hotel partners in its rewards program. But it takes some time to learn how to use American Express points, so you should only get this card if you're willing to do that.

The worst reasons to open the Amex Platinum Card

There are a couple of terrible reasons to get this card. And unfortunately, some people do apply for these reasons.

As a status symbol

The Platinum Card® from American Express is nice to look at, and it's one of those weighty, metal cards. As far as status symbols go, it's not quite a Ferrari. But there are those who get it so they'll look like they can afford a Ferrari.

This is more common than you might think. One-third (33%) of Americans said they sometimes or always feel judged by the card they use, according to a credit card survey by The Motley Fool Ascent.

There's no reason to pay an annual fee for a card just so you can impress others. It's simply not a good use of $695. Also, I hate to burst anyone's bubble, but tons of people have this card. It's not some exclusive card that only a select few have the privilege of holding.

Because a TikToker recommended it

TikTokers love to promote The Platinum Card® from American Express. It's a popular card, so just talking about it is a way to get views.

Take financial advice from TikTok with a grain of salt. There are some influencers who provide good tips on credit cards and other financial topics. But there are many more who are only focused on making money and building their personal brands.

Make sure you'll get your money's worth

The Platinum Card® from American Express has a lot to offer, but it also has a lot of features that many people won't use. Despite its popularity, I'd say it really only serves a small niche well. If you're in that niche, you'll probably love it. The best way to find out is to spend some time going over the benefits. If you like them and think you'll be able to use them, then it could be the right card for you.