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# Amex Simply Cash additional 4% promo

• Last Updated:
• Apr 15th, 2017 12:25 am
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[OP]
Jan 9, 2011
3256 posts
Vancouver

## Amex Simply Cash additional 4% promo

I just got this promo snail mail from Amex, earn an additional 4% (on top of the 1.25% I already get) for 3 months on my Amex Simply Cash card.

\$900 minimum spend is required at 1.25% before 4% top-up kicks in (earn \$11.25 CB on the \$900)
Maximum bonus CB to be earned under the promo is \$50, so that's a \$1,250 spend after spending \$900.
Add to \$50 the additional \$15.63 CB I'd normally earn at 1.25% and it totals \$76.88 CB on a \$2,150 spend.

Or a net return of 3.58% for 3 months. Can I do better by going with this over my MBNA RWE that earns 2%?

Doing the math:
0.02x = 11.25 + 0.0525(x-900)

The break even point is \$1,107.69 over the 3 months, or \$369.23/month. Better to stay with the MBNA if I don't move that much spending to Amex. Maximum return is realized by moving no more than \$717/month to the Amex (extra \$34.88 in cash back).
Last edited by Kiraly on Mar 22nd, 2017 7:36 pm, edited 4 times in total.
18% = GTA residents as a proportion of Canada's total population
97% = chance that an RFDer lives in the GTA when he posts something location specific, without giving a location

Were you hit with surprise customs/import fees on an Amazon.ca purchase?
7 replies
[OP]
Jan 9, 2011
3256 posts
Vancouver
If any of you get the same offer and want to figure out if it's worth it to you to take it and move spending from your current rewards card earning between 1.5% and 3% to the Amex, here's a simplified formula to find the break even point:

36 / (0.0525 - x), where "x" is the rewards % on your current card. For example, if your current card earns 1.5%, the formula for the break even point is 36 / (0.0525 - 0.015) = \$960 over 3 months. If you can move that much spending to the Amex, you'll earn more cash back if you do. If you can't, you're better off staying with your current card.

The maximum return if you move to the Amex is always realized by not spending more than \$2150 over 3 months.
18% = GTA residents as a proportion of Canada's total population
97% = chance that an RFDer lives in the GTA when he posts something location specific, without giving a location

Were you hit with surprise customs/import fees on an Amazon.ca purchase?
Jr. Member
Apr 30, 2006
163 posts
Toronto
Amex is good to giving bonus cash back for existing customers not just enticing new customers.
Don't worry about exact spending too much for the 3 months if you do not plan to do large amount of purchase.
If you are not meeting the \$2150 toward the end of promotion.
Buy gift cards from Walmart, Metro, Shoppers DrugMart, Gas Station, and use them later.
Newbie
Jul 8, 2014
30 posts
Westmount, QC
Both my wife and I received the promo mails from AMEX. My was 4% after \$400 spend; my wife's was 4% after \$250 spend.

In fact, I received two mails, first one was 4% after 400, I activated the offer; then I received second mail three weeks later, 4% after \$200. But AMEX website didn't allow me to activate second promo, said I was already enrolled. So, my advice is, if \$900 is too much for you, then don't activate the offer, you may get a better promo later.
[OP]
Jan 9, 2011
3256 posts
Vancouver
Damn, shoulda waited!
18% = GTA residents as a proportion of Canada's total population
97% = chance that an RFDer lives in the GTA when he posts something location specific, without giving a location

Were you hit with surprise customs/import fees on an Amazon.ca purchase?
[OP]
Jan 9, 2011
3256 posts
Vancouver
alvisblue wrote:
Mar 25th, 2017 9:39 pm
If you are not meeting the \$2150 toward the end of promotion.
Buy gift cards from Walmart, Metro, Shoppers DrugMart, Gas Station, and use them later.
Not a bad idea, but it won't work for me. I can get gift cards for almost anywhere at grocery stores for 4% CB with my Scotia Visa.

I've decided it's not worth it to move the spending from my current 2% CB card to the Amex. I figure I'll break even or at most make such a small amount of additional cash back that it won't be worth the bother.
18% = GTA residents as a proportion of Canada's total population
97% = chance that an RFDer lives in the GTA when he posts something location specific, without giving a location

Were you hit with surprise customs/import fees on an Amazon.ca purchase?
Member
Nov 24, 2015
478 posts