American Express has created an old-fashioned charge card for young people. The rewards are nice, but the card's annual fees are a bit too pricey.
Who the ZYNC Card from American Express Is For
- Young adults.
Credit Rating Required
- Fair and up (660+).
About the ZYNC Card from American Express
Pros
- Flexible rewards package.
- No preset spending limit.
Cons
- High annual fees.
- Balance must be paid in full every month.
Rewards
- Amex Membership Rewards Express points, plus additional points if you sign up.
Fees
- Annual fee: $20.
- Additional rewards "packs" may be purchased from $0 to $25 per year.
- Late payment fee: $35 or 2.99 percent of balance, whichever is greater.
- Returned payment fee: $38.
ZYNC Card from American Express Review
The most important thing you should know is that the ZYNC Card from American Express is an old-fashioned charge card, not a credit card. You're required to pay your balance in full every month. If you don't, you'll be charged a late payment fee equal to the greater of $35 or 2.99 percent interest on your outstanding balance - that's an APR of more than 36%.
For many young people, learning to pay their card balances in full every month is an important lesson. However, that lesson comes at a high cost here, and not just because of the late payment fee: There's a $20 annual fee. While that's cheaper than Amex's other charge cards - the classic Green card costs $95 a year (after the first year) - it's a lot more expensive than other student rewards cards, many of which have no annual fee. Also, sometimes you want to be able to carry a balance, so a charge card has both good and bad aspects.
Like Amex's other charge cards, there's no preset spending limit, so there are no over-the-limit fees.
The ZYNC Card comes with Amex Membership Rewards Express points, which pay you one point per dollar charged. In addition, you can purchase optional "Packs" that pay you additional points based on your lifestyle and spending habits. For example, if you buy the $25 Restaurant Pack, you earn two points per dollar at selected restaurants. If you buy the $20 GO Pack, you earn double points on airline tickets. The ECO Pack, which has no additional fee, lets you earn double points at selected "green" merchants.
Recommendation
The idea behind the ZYNC Card from American Express card is great: it forces young adults to pay off their balance every month. A lot of people need that discipline. But the annual fee, if combined with one of the additional rewards packs, will run you up to $45 a year. That's too expensive just to have the supposed prestige of having an American Express card. If you must have an Amex card, you're much better off trying to get a Blue card, which has basically the same rewards package but without the annual fee, plus you have the option of carrying a balance if you want or have to.