Quick summary
American Express reported that roughly one-quarter of U.S. Platinum cardholders have been billed the new annual fee, and retention rates remain unchanged despite the increase. The company’s Q1 2026 earnings call, published April 24, confirmed that net card fees are now growing faster than other revenue lines, with existing cardholders spending more even after the fee hike took effect for renewals.
The data signals that Chase Sapphire Reserve and Capital One Venture X are likely to follow with their own fee increases. Amex’s success proves premium travelers will absorb higher annual charges as long as statement credits create the perception of value—even when those credits require specific spending patterns to capture.
Premium card fees rise as retention holds firm
The American Express Platinum Card now carries an annual fee in the range of the previous level plus a significant increase, effective for new cardholders immediately and existing members at renewal. Amex CFO Christophe Le Caillec told investors that about one-quarter of the U.S. consumer Platinum portfolio has been billed at the higher rate, with no change to the card’s very high retention rates.
That retention figure matters because it validates a business model other premium card issuers are watching closely.
The fee increase came with expanded perks: $400 in annual Resy dining credits, $300 for Lululemon, $120 for Uber One membership, and an additional $60 annually in digital entertainment credits. Hotel credits through Fine Hotels & Resorts and The Hotel Collection also received boosts. Amex reported that lodging spend through these programs grew 50% year-over-year, while U.S. restaurant spend via Resy jumped 20%.
Net card fees grew 16% in Q1 2026 on a foreign exchange-adjusted basis—the fastest-growing revenue line in the company’s portfolio. Management expects that growth rate to accelerate as more cardholders roll into their annual renewal dates through the rest of 2026. More than 70% of new Amex accounts worldwide now carry annual fees, a structural shift that reduces the company’s reliance on interest income and interchange revenue.
The official Amex announcement positioned the refresh as enhancing lifestyle benefits, but the earnings call revealed the underlying economics: flat fees now represent a larger share of revenue than they did pre-2021, when the card last saw a major fee increase from $550 to $695.
| Card | Annual fee | Lounge access | Primary travel credit |
|---|---|---|---|
| Amex Platinum | $895 | Centurion, Delta Sky Club, Priority Pass | $200 airline incidentals |
| Chase Sapphire Reserve | $795 | Priority Pass, Chase Sapphire Lounge | $300 annual travel credit |
| Capital One Venture X | $395 | Capital One Lounge, Priority Pass | 10,000 anniversary miles |
| Citi Prestige | Discontinued | — | — |
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Why the fee hike works for Amex but may not work for you
Amex reported that existing Platinum cardholders are spending more post-refresh, with spend acceleration running about six percentage points higher than the company’s overall growth rate. That’s significant because Platinum represents a massive back book—getting long-standing cardholders to increase spending after a fee hike is a win for the issuer.
The company also claims it’s acquiring younger, affluent customers early and seeing their spend compound over time. U.S. Gen Z spend was up 38%, Millennials 13%, Gen X 8%, and Boomers 4%. Whether those younger cardholders stick with Platinum over time—and whether Amex continues overindexing on statement credits relative to the annual fee—remains an open question.
But here’s the catch: benefit costs are rising. Amex reported an 11% increase in benefit costs during Q1 2026, driven by the Platinum refresh and higher utilization rates. The company has already tightened what qualifies for reimbursement under the airline fee credit, and further restrictions are likely if cardholders continue to maximize every available credit.
The Platinum card delivers value if you use Centurion Lounges, hotel credits, Resy dining credits, entertainment credits, and Uber credits. It’s a terrible card for everyday spending outside of airfare, where it earns 5x points. Too many cardholders don’t realize this, and that gap between perceived value and actual earning rates has been great for Amex’s business.
What to do if you hold a premium travel card
The Amex retention data signals that Chase and Capital One are likely to raise fees on Sapphire Reserve and Venture X within the next 12–18 months.
- Audit your credit utilization now. Review all statement credits at the issuer’s website to confirm you’re offsetting at least 70% of the annual fee through credits you’d use anyway. If you’re not hitting that threshold, downgrade or cancel ahead of your renewal.
- Compare lounge access across cards. If you primarily value lounge access, Capital One Venture X at $395 annually offers Priority Pass and proprietary lounges at a lower cost. Chase Sapphire Reserve at $795 includes Priority Pass and Chase Sapphire Lounges but costs $100 less than Platinum.
- Watch for fee increase announcements from Chase and Capital One. If you’re considering a premium card switch, lock in current pricing before Q4 2026, when fee hikes are most likely to be announced for 2027 renewals.
- Maximize credits before downgrading. If you decide to cancel or downgrade, use all available credits in the current membership year—airline fee credits, hotel credits, and dining credits—before your renewal date.
Watch: Amex Q2 2026 earnings in July will reveal full-year retention data after the January fee billing cycle. If retention remains above 95%, expect Chase and Capital One to announce fee increases by Q4 2026.
Questions? Answers.
Will Chase Sapphire Reserve and Capital One Venture X raise their annual fees?
Likely. Amex’s retention data proves premium cardholders will absorb higher fees if perks feel rich enough. Chase recently raised Sapphire Reserve from $695 to $795, and Capital One Venture X at $395 is underpriced relative to its lounge access and benefits. Expect fee increases from both issuers by Q1 2027.
Are the new Amex Platinum credits worth the higher annual fee?
Only if you use them. The $400 Resy credit requires dining at participating restaurants monthly. The $300 Lululemon credit is useless if you don’t shop there. Calculate your personal utilization—if you’re not capturing at least 70% of available credits, the fee increase doesn’t pencil out.
Can I downgrade my Amex Platinum to avoid the higher fee?
Yes. Call Amex retention and request a downgrade to Amex Gold (annual fee $325) or a no-annual-fee card like Amex Green. Downgrading preserves your account history and avoids a credit score hit from closing the account. Do this before your renewal date to avoid paying the higher fee.
What happens to my Membership Rewards points if I cancel my Platinum card?
If you cancel your only Membership Rewards-earning card, you have 30 days to use or transfer your points before they expire. To preserve points, downgrade to a no-annual-fee Membership Rewards card like Amex EveryDay or transfer points to an airline partner before canceling.
