American Express has once again made changes to its cobranded Hilton cards, this time targeting the business version of the card. The Hilton Honors American Express Business Card has undergone a significant refresh, which includes changes to the earning structure, the removal of free night rewards, a new statement credit, and an increase to the annual fee. While some of these changes may be positive for certain cardmembers, overall, the changes seem to lean towards the negative side.
Let’s take a closer look at the changes to the Hilton Honors Business Card and what they mean for existing cardmembers and prospective applicants.
Annual Fee Increase
One of the most significant changes to the Hilton Honors Business Card is the increase in the annual fee from $95 to $195. This more than doubles the annual fee for existing cardmembers. The new annual fee will take effect immediately for new applicants starting from March 28, while existing cardmembers will see the higher fee at their next renewal date.
This increase in the annual fee is quite substantial, especially when compared to the increases seen on the mid-tier Surpass and premium Aspire cards, which saw a 58% and 22% increase, respectively. The 105% jump in the annual fee for the business card is disappointing for many cardmembers.
New Hilton Statement Credit
One positive change for the Hilton Honors Business Card is the addition of a new statement credit. Cardmembers can now earn up to $240 in statement credits on eligible Hilton purchases. The statement credit is split quarterly, providing up to $60 each quarter. Eligible purchases include room reservations at Hilton properties and incidental charges such as meals or spa treatments.
While this statement credit can be a great way to offset hotel charges for frequent travelers, it may not be as useful for those who do not travel frequently or at least every quarter. To maximize the benefit, cardmembers should aim to use the credit every quarter, whether on hotel stays or dining at Hilton properties for business-related purposes.
New Car Rental Elite Status
Cardmembers will now receive complimentary National Car Rental Emerald Club Executive status. This status includes benefits such as guaranteed upgrades, access to Executive Area cars in the USA and Canada, and no second driver fees. While elite status with a car rental company can be a nice perk, it may not be a significant factor for most businesses and may not fully offset the increase in the annual fee.
Changed Earning Rates
The earning structure on the Hilton Honors Business Card has also been updated. Cardmembers will now earn 5 points per dollar spent on all purchases up to $100,000 and then 3 points per dollar thereafter. While earning 5 points per dollar is solid, the removal of the 6 points per dollar categories, which had no spending cap, could be seen as a negative development depending on spending patterns.
Removal of Priority Pass Lounge Passes
Previously, the Hilton Honors Business Card offered cardmembers 10 complimentary visits to Priority Pass lounges annually. However, this benefit has been removed. Existing cardmembers should aim to use their passes soon as this change makes the card less attractive for business-related travel.
No More Free Nights
Cardmembers will no longer earn free night rewards for spending $15,000 and $60,000 in a calendar year. This change is disappointing as earning free nights is a valuable benefit for many cardmembers, especially with Hilton’s dynamic award chart.
Overall, the changes to the Hilton Honors Business Card lean towards the negative side, with several useful benefits being removed and the annual fee more than doubling. While the addition of a quarterly statement credit is a positive development, it may not fully offset the higher annual fee for many cardmembers.
Existing cardmembers may want to consider asking for a retention offer when the higher annual fee posts at their next renewal. If that is not successful, downgrading to a card with a lower or no annual fee or canceling the card may be options to consider.
New applicants may still find the card attractive, especially with the limited-time welcome offer of 175,000 Hilton Honors bonus points after spending $8,000 in the first six months of card membership. However, it is important to weigh the benefits and costs of the card to determine if it is worth it in the long run.
In conclusion, the changes to the Hilton Honors Business Card by American Express may not be well-received by existing cardmembers, with many feeling that the negative changes outweigh the positive ones. It is important for cardmembers to evaluate their spending patterns and travel habits to determine if the card still provides value for their needs.