This Article was fact checked and last updated for accuracy on July 16, 2025 by Mani Karthik
When I moved back from USA in 2017, I missed my American Express cards. The service. The acceptance. The premium feel.
So when Amex launched their Indian operations, I was among the first to apply. My wife thought I was crazy. “Another credit card? Really?”
But here’s the thing. After carrying this card for two years, I can tell you the reality. It’s not the American Amex experience we knew.
Bottom Line Up Front: This card works if you want to enter the Amex ecosystem cheaply. It fails if you expect premium benefits at this price point.
Card Overview: The Gateway Drug 🚪
The American Express Membership Rewards Credit Card is positioned as an entry level premium card. Think of it as Amex testing the waters with Indian consumers.
Target Audience:
- First time Amex customers
- Reward point enthusiasts
- People wanting brand prestige
- Those planning to upgrade to premium Amex cards later
Current Status: New applications temporarily paused as Amex integrates new platforms
Fee Structure: The Shocking Reality 💰
Fee Breakdown:
- First Year Fee: ₹1,000 plus taxes
- Second Year Fee: ₹4,500 plus taxes
- Renewal Fee Waiver: 100% waived on ₹1.5L annual spend, 50% waived on ₹90,000-₹1.49L spend
The Math Shock: First year seems reasonable. Second year hits you like a Mumbai local train during rush hour.
Rewards Structure: Simple But Limited 🎁
Earning Rate:
- Base Rate: 1 Membership Rewards Point per ₹50 spent
- Bonus Monthly: 1,000 points for 4 transactions of ₹1,500+ each month
- High Spend Bonus: Additional 1,000 points for ₹20,000+ monthly spend
What Doesn’t Earn Points:
❌ Fuel payments
❌ Insurance premiums
❌ Utility bills
❌ Cash transactions
❌ EMI conversions
Comprehensive Comparison: Reality Check 📊
| Feature | Amex Membership Rewards | HDFC Millennia | Flipkart Axis |
|---|---|---|---|
| First Year Fee | ₹1,000 + taxes | ₹1,000 (Waivable) | ₹500 (Waivable) |
| Second Year Fee | ₹4,500 + taxes | ₹1,000 (Waivable) | ₹500 (Waivable) |
| Base Reward Rate | 1 point per ₹50 (2%) | 1% cashback | 1.5% cashback |
| Annual Fee Waiver | ₹1.5L spend | ₹1L spend | ₹3.5L spend |
| Welcome Benefit | 4,000 points | 1,000 CashPoints | ₹600 activation benefits |
| Lounge Access | None | Limited | None (removed 2025) |
| International Acceptance | Excellent | Good | Good |
| Reward Flexibility | Vouchers only | Statement credit | Statement credit |
| Point Expiry | 3 years if not redeemed | 2 years | No expiry on cashback |
Real World Usage: My Family’s Amex Journey 🏠
Year 1: The Honeymoon Phase
When I got this card in 2022, my US-born son asked, “Dad, is this like your old Amex cards from America?”
I wanted to say yes. But the reality was different.
Our monthly spending pattern:
- Groceries: ₹8,000 (160 points)
- Dining: ₹4,000 (80 points)
- Shopping: ₹12,000 (240 points)
- Monthly bonus: 1,000 points (for 4 transactions ₹1,500+)
- Total monthly points: 1,480
Year 2: The Fee Shock
Second year renewal came around. ₹4,500 plus taxes. My wife looked at the statement and said, “This better be worth it.”
Spoiler alert: It wasn’t.
Annual calculation:
- Total points earned: 17,760
- Best redemption value: ₹8,000 Amazon voucher for 24,000 points
- Points needed vs earned: Short by 6,240 points
- Effective return: Couldn’t even redeem the lowest voucher
Redemption Options: The 18K and 24K Collections 💎
24,000 Points Collection:
- Taj voucher: ₹14,000
- Shoppers Stop voucher: ₹10,000
- Amazon voucher: ₹8,000
- Flipkart voucher: ₹8,000
- Tanishq voucher: ₹9,000
18,000 Points Collection:
- Taj voucher: ₹9,000
- Shoppers Stop voucher: ₹7,000
- Amazon voucher: ₹6,000
The Reality Check: Most families need 12-18 months to earn enough points for the lowest tier redemption. The value proposition is poor compared to cashback cards.
Welcome Benefits: What You Actually Get 🎁
Welcome Gift of 4,000 Membership Rewards Points on payment of joining fee and spending ₹15,000 within first 90 days
Translation: Spend ₹15,000 to get points worth about ₹2,000 in vouchers. Decent but not spectacular.
The Good, Bad, and Ugly ⚖️
The Good ✅
- Amex brand prestige: Still carries weight in India
- International acceptance: Works globally without issues
- 24/7 customer service: Actually premium quality support
- Zero fraud liability: Excellent protection against misuse
- Emergency replacement: 48 hours anywhere in the world
- No forex markup on some transactions
The Bad ❌
- Limited merchant acceptance: Many places still don’t take Amex
- High second year fee: ₹4,500 is steep for benefits offered
- Voucher only redemptions: No statement credit or cash back
- High spend threshold: ₹1.5L for fee waiver is tough
- Limited lounge access: No airport lounge benefits
The Ugly 🚫
- Applications paused: Can’t even apply currently
- Poor redemption value: Vouchers worth less than points
- Utility exclusions: No points on essential spends
- Complex bonus structure: Too many conditions to track
Who Should Get This Card? 🤔
Perfect For:
- Amex loyalists wanting to enter Indian ecosystem
- International travelers who value global acceptance
- Premium shoppers comfortable with voucher redemptions
- People planning Amex upgrades later
- Those wanting excellent customer service
Not Suitable For:
- Value seekers wanting maximum returns
- Cashback lovers preferring statement credits
- High fee sensitive users (second year onwards)
- Utility bill payers (no rewards on essentials)
- People wanting lounge access
NRI Perspective: The American Amex Nostalgia 🇺🇸
What I Expected vs Reality:
Expected (Based on US Amex):
- Premium customer service ✅
- Global acceptance ✅
- Excellent fraud protection ✅
- Rich reward ecosystem ❌
- Reasonable annual fees ❌
- Broad merchant acceptance ❌
For NRI Families:
Pros:
- Familiar brand from USA experience
- Works seamlessly for international travel
- Customer service matches US standards
- No foreign transaction fees on some purchases
Cons:
- Limited acceptance in India compared to Visa/Mastercard
- High fees relative to Indian market standards
- Voucher redemptions less flexible than US cashback
- No premium benefits like lounge access
My recommendation: Get it only if you’re nostalgic for the Amex brand. Otherwise, better options exist in the Indian market.
Personal Anecdote: The Grocery Store Reality Check 🛒
Last month, I took my family to a new premium grocery store in Bangalore. The kind of place that sells imported cheese and organic vegetables.
At checkout, I confidently pulled out my Amex card. The cashier looked at it like I’d handed her Monopoly money.
“Sir, we don’t accept American Express.”
My US-born son whispered, “Dad, this never happened in America.”
He was right. In the US, Amex was accepted everywhere. In India, it’s still a work in progress.
Lesson learned: Always carry a backup Visa or Mastercard in India.
Alternative Cards to Consider 🔄
| If You Want | Consider Instead |
|---|---|
| Better value for money | HDFC Regalia |
| Cashback over points | SBI Cashback Card |
| Lower annual fees | HDFC Millennia |
| Travel benefits | Axis Atlas |
| Premium Amex experience | Amex Platinum Travel (when available) |
Fee Waiver Strategy: Making It Work 💡
To get 100% fee waiver in second year:
- Target spend: ₹1,50,000 annually
- Monthly requirement: ₹12,500
- Strategy: Use for all eligible non-utility spends
Practical approach:
- Use for groceries: ₹8,000/month
- Dining and entertainment: ₹3,000/month
- Online shopping: ₹2,000/month
- Avoid: Fuel, utilities, insurance
Result: Fee waived + decent point accumulation
The Current Application Pause: What It Means 🚨
Amex is “temporarily pausing the acceptance of new proprietary Card applications in India as we integrate new platforms for our domestic Card issuing operations”
Translation: They’re revamping their India operations. This could mean:
- Better integration with Indian payment systems
- Improved merchant acceptance
- Enhanced benefits structure
- More competitive pricing
My take: Wait for the relaunch. The current card isn’t compelling enough to rush into.
Financial Impact Analysis: Real Numbers 💰
Scenario 1: Low Spender (₹60,000 annually)
- Annual points earned: 1,200
- Cannot reach lowest redemption threshold
- Effective return: Zero
- Net cost: ₹4,500 annual fee
- Verdict: Terrible value
Scenario 2: Moderate Spender (₹1,20,000 annually)
- Annual points earned: 2,400 + bonuses = ~4,000
- Cannot reach 18,000 point threshold
- Effective return: Zero meaningful redemption
- Net cost: ₹2,250 (50% fee waiver)
- Verdict: Poor value
Scenario 3: High Spender (₹2,00,000 annually)
- Annual points earned: 4,000 + bonuses = ~8,000
- Can accumulate for 18K redemption over 2+ years
- Effective return: ₹6,000 voucher after 2+ years
- Net cost: ₹0 (fee waived)
- Verdict: Acceptable but not great
Final Verdict: The Honest Truth 🎯
Rating: 5.5/10
This card is neither terrible nor great. It’s aggressively average.
My recommendation:
- Get it if you’re an Amex loyalist wanting brand familiarity
- Get it if you travel internationally frequently
- Get it if you plan to upgrade to premium Amex cards later
- Skip it if you want maximum value for your money
- Skip it if you prefer cashback over point systems
Best Use Case Scenario:
International business traveler, household income ₹15L+, spends ₹2L+ annually on card, values brand prestige over pure returns.
Expected annual benefit: ₹6,000-8,000 in vouchers for zero annual fee (if spend thresholds met).
The Bigger Picture: Amex India Strategy 📈
American Express is playing the long game in India. They’re building brand awareness through entry level cards like this one.
What this means:
- Current cardholders become candidates for premium upgrades
- Better cards likely coming as market matures
- Customer service standards remain high
- Merchant acceptance slowly improving
For consumers: Consider this card as a stepping stone, not a destination.
Quick Action Items ✅
If you currently have this card:
- Calculate your annual spend against fee waiver thresholds
- Plan point accumulation for meaningful redemptions
- Use strategically for international travel
- Maintain good relationship for future upgrade offers
If you’re considering this card:
- Wait for application resumption and potential improvements
- Compare thoroughly with other options in market
- Assess your spending patterns against reward structure
- Consider your long-term Amex strategy
Sources & References 📚
Data Sources:
- American Express Official Membership Rewards Page
- Amex India Credit Card Fees Structure
- Paisabazaar Amex Analysis
- BankBazaar Card Features
- American Express Benefits Portal
Additional Resources:
Last Updated: July 2025
Next Review: When new applications resume
Connect with me:
For more insights on optimizing your financial life after moving back to India, visit BackToIndia.com
Disclaimer: This review is based on personal experience and publicly available information as of July 2025. American Express is currently not accepting new applications for this card. Features and benefits may change when applications resume. Always verify current terms with American Express before applying.