Amex Downgrade Options

Earlier today I talked about my back door triple dip decision. A big part of this option, or what made it possible, was the ability to downgrade my credit card. Because of that I decided it was worth diving into the Amex downgrade options a bit more. I'll go over how you downgrade Amex cards, what the rules are for it and some potential pitfalls to look out for.

What Is A Downgrade?

What is exactly a downgrade? While the answer is for every credit card issuer, it isn't always available to cardholders. That is what is nice about the American Express system since they let you downgrade cards. There are rules involved though, more so with Amex than some others, but we'll get to that in a bit.

A credit card downgrade is essentially the inverse of an upgrade. It is when you go from a card with a higher annual fee to a card with a lower annual fee, or a card with no annual fee at all. This could be done to save money on an annual fee or because you prefer the card perks or earning structure of the lower card etc.

Downgrade Rules For Amex Cards

Now that we know what a downgrade is for every issuer (that allows them) let's talk about some specific Amex downgrade options rules.

• Cards must be in the same family
  • This is a rule that Amex has, as well as some other issuers, that you can only downgrade to other cards in the same family tree. I'll break down the card families below.
• Cards can only be downgraded after 12 months
  • This is the same as when we tell you to never close a card within the first 12 months. While it is against the law for banks to allow you to upgrade a card within the first 12 months, it is technically allowed for you to downgrade a card within the first 12 months. Having said that, it is a bad practice to do though. It could also cause Amex to claw back any welcome offer that you earned on the card.
• You can downgrade into multiples of the same card
  • It is possible to carry more than one of the same card with American Express. This could be advantageous because of their bonus category earning caps, like 6% on the first $6,000 in grocery spend with the Blue Cash Preferred.
• Amex prorates annual fees after a downgrade
  • If you downgrade to a card with no annual fee, or a lower annual fee, you should get a prorated refund for the difference of the card annual fees.

PSA On American Express Downgrades

There is one rule that I thought should be broken out separately when talking about Amex downgrade options. That is the fact that a downgrade can eliminate your chances for a welcome offer on the card you downgrade into. That is because American Express has a once per lifetime rule on welcome offers for their cards (outside of no lifetime language offers). In their ecosystem it doesn't matter if you earned a welcome offer on said card or not, only if you have carried it in your lifetime. “Lifetime” is defined by roughly 5-7 years in Amex's eyes. Because of that definition, downgrading into a card you have never carried can negate a future welcome offer for you.

This is all gets more hairy when you include the family card rules Amex recently rolled out on some of their cards. I link to each rule below where pertinent as well.

That is why your best Amex downgrade options are cards you have already had, or currently have. It may be even worth grabbing the card for the welcome offer shortly before performing the downgrade. Especially since American Express lets you carry multiples of the same card, as mentioned above. That all depends on if it is a personal card or not, and what your Chase 5/24 count is though.

If you are interested in more detail on this be sure to check out our guide on all of the application rules for every bank. If you find all of this confusing, which is understandable, don't hesitate to ask questions about it in the ToP Facebook Group.

How To Perform A Downgrade

The best way to perform a downgrade, once you know about your Amex downgrade options, is to either call the number on the back of your card or reach out via Amex Chat. While the chat agents can not perform an upgrade for you, unless you are specifically targeted for an offer, they can request downgrades on your behalf. That is extra helpful if you have a spouse that hates making phone calls!

Amex Downgrade Options For Each Family

Now that we know that Amex downgrade options require you to stay in the same family, and how to pull them off, let me break down what options each family has. I'll bold the “head of household” card and continue in descending order by annual fee cost. Every card in that family line can be downgraded or upgraded to. Example, the middle card can be downgraded to the bottom card just as the “head of household” can.

No Preset Limit / Pay Over Time Cards

Personal Cards:

• Amex Platinum (vanilla version)
  • American Express Gold
    • Amex Green

• Charles Schwab Platinum
  • Charles Schwab Gold

The Morgan Stanley Platinum does not have a downgrade option. Be aware of the Amex Gold card family rule and the Platinum card family rule.

Business Cards:

• Amex Business Platinum
  • American Express Business Gold
    • Amex Business Green

The business cards do not have family rules at the time of writing.

Delta Family

Personal Delta Cards:

• Delta Reserve
  • Platinum Delta
    • Delta Gold
      • Delta Blue

Be aware of the Delta family rule for the personal cards when looking at your Amex downgrade options.

Business Delta Cards:

• Delta Reserve Business
  • Platinum Delta Business
    • Delta Gold Business

The business cards do not have family rules at the time of writing.

Hilton Card Family

Personal Hilton Cards:

• Hilton Aspire
  • Surpass Hilton
    • Hilton Honors Card

The Hilton Business card does not have a downgrade option as it is the only business option. There is also currently no Hilton card family rule.

Marriott Card Family

Personal Marriott Cards:

• Marriott Bonvoy Brilliant
  • Marriott Bonvoy Bevy
    • $95 Amex Bonvoy Card (only available via downgrade)

The Marriott Bonvoy Business card does not have a downgrade option. The Marriott cards have the most convoluted application rules and now a family rule as well.

Everyday Card Family

• Everyday Preferred
  • Everyday (No Fee)

There is an Amex EveryDay family card rule you should be aware of when looking at your Amex downgrade options.

Blue Cash Card Family

• Blue Cash Preferred
  • Blue Cash (No Fee)

There is a Blue Cash family rule you should be aware of as well.

Amex Downgrade Options: ToP Thoughts

Hopefully this Amex downgrade options guide gives you all the info you need on how & when to downgrade your American Express cards. The main takeaways are to remember that the cards need to be in the same family and that a downgrade can work against you. That is because it could potentially eliminate a future welcome offer with Amex's wonky rules. That is why it is best to downgrade to a card you currently have, or have had in the past. Remember to be aware of the different family rules so you don't shoot yourself in the foot there too.

Let us know if you have any Amex downgrade questions over in the ToP Facebook Group.