The Plum Card from American Express Review [2021]: Need More Than 30 Days to Pay?

If you are looking for a flexible business card with net-60 payment options, the Plum Card from American Express may be a good fit for you.
Last updated Jun 4, 2021 | By Brett Holzhauer

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The Plum Card® from American Express is a unique card in that it offers business owners flexible payment options over a 60-day period rather than 30. While this business card doesn’t offer any robust rewards program, there’s an option to earn a discount for early payments.

In this Plum Card from American Express review, you’ll learn more about the card’s unique structure and if applying for this small business card makes sense for your business.

Flexible Payment Options for Business Owners

Benefits

  • 1.5% early pay discount
  • Net-60 payment cycle
  • Annual fee waived for the first year
  • No foreign transaction fee
  • $250 annual fee. Terms apply.
  • See rates and fees

Drawbacks

  • Has annual fee after first year

Who should get this card?

If you are a small- to medium-sized business that invoices clients, invoices customers, or purchases inventory to sell, it may take you some time to get paid for your product or services. Having a longer period of time to pay your card balance could be helpful to make up for gaps in cash flow.

The Plum Card could come in handy if you’re facing this situation. It offers a “net-60” payment cycle as opposed to the standard “net 30” — meaning you have 60 days to pay your balance instead of 30.

Along with this, if credit card rewards in the form of points or cash back aren’t your highest priority, the Plum Card from American Express could be perfect for you.

Card basics

Card type Business
Card issuer American Express
Annual Fee $250 (waived first year) (See rates and fees). Terms apply.
Welcome Bonus Not applicable
Recommended Credit Score Excellent, Good
Foreign Transaction Fee None (See rates and fees)

Top card benefits

  • Net-60 payment terms: The Plum Card gives you two full months to pay your charges with no interest. This differs not only from standard charge cards, but also gives you more time without interest than credit cards do.
  • Early pay discount: 1.5% cash back on the portion of your eligible charges balance that you pay within 10 days of your statement closing date, as long as you pay at least your minimum payment.
  • No preset spending limit: There’s no predetermined spending limit like a traditional credit card. This doesn't mean you can spend endlessly, but it does provide flexibility based your purchase history as well as your payment and credit histories.
  • Protection policies: The Plum Card from American Express comes with extended warranty protection, purchase protection, and car rental loss and damage insurance (secondary coverage).
  • Expense management tools: If integration is important for your bookkeeping, American Express has tools to help you with your expenses, including connecting to QuickBooks. You do need to enroll you card in select benefits such as QuickBooks.

Earning & redeeming

The only earning or redeeming offered by the Plum Card is the ability to earn 1.5% cash back on the portion of your eligible charges balance that you pay within 10 days of your statement closing date, as long as you pay at least your minimum payment. Cash back is in the form of statement credit. But if what you’re after is cash back, you shouldn’t get this card based on that discount, as there are plenty of higher-earning cashback rewards cards.

Common questions

How does the American Express Plum Card work?

The Plum Card from American Express is a business card that allows business owners a longer time period to pay their balance. With a typical credit card, you’re given a net-30 payment cycle. With the Plum Card, the payment cycle is net 60. Net 30 means your payment is due in 30 days, while net 60 is due in 60 days. In addition to the payment cycle, you have the opportunity to earn discounts for timely payments.

What credit score is required for the American Express Plum Card?

For the best chance of being approved for the Plum Card from American Express, you’ll need to have a good-to-excellent FICO score of 670 or higher.

Is the American Express Plum Card worth it?

If you simply need a longer time to pay your balance, then yes. Outside of that feature, there are many other business credit cards that provide more lucrative rewards and benefits.

Does the Plum Card from American Express have a foreign transaction fee?

No, it does not.


Others cards to consider

If the Plum Card from American Express doesn’t sound like it would suit the needs of your business, consider taking a look at one of the two cards below.

If you’re looking for a small business card with no predetermined credit limit, consider the American Express® Business Gold Card. With a valuable welcome offer and a robust points-earning system, this card brings a lot of potential to save money and earn valuable rewards. You can earn 4X Membership Rewards points for the first $150,000 spent in two select categories each year (after that 1X), and 1 point per $1 spent on other purchases.

Looking to simply save on your bottom line? Consider the Chase Ink Business Cash Credit Card. This card is a straightforward cashback card with heaps of savings potential. To start, you can earn $750 bonus cash back after spending $7,500 in the first 3 months. You’ll also earn 5% cash back at office supply stores and on internet, cable, or phone services (up to $25,000 combined annually); 2% cash back at gas stations and restaurants (up to $25,000 combined annually); and 1% cash back on everything else. Lastly, you’ll have a 0% introductory APR (annual percentage rate) on purchases for 12 months.

Flexible Payment Options for Business Owners

See how these cards compare:

American Express® Business Gold Card
American Express® Business Gold Card
  • Earn 70,000 Membership Rewards points after spending $10,000 in the first 3 months
  • 4X Membership Rewards points in selected categories
  • No foreign transaction fees
  • $295 annual fee. Terms apply.
  • See rates and fees
Chase Ink Business Cash Credit Card
Chase Ink Business Cash Credit Card
  • $750 cash back sign-up bonus
  • No annual fee
  • 0% intro APR on purchases for 12 months
  • Up to 5% cash back

Author Details

Brett Holzhauer Brett Holzhauer is a graduate of the Walter Cronkite School of Journalism at Arizona State University. He writes about using points & miles for travel, travel industry news, utilizing credit cards as financial leverage, and investing for the future. He has been featured in publications such as The Points Guy, Million Mile Secrets, The Money Manual, Recruiter, Travel Pulse, and Bald Thoughts. He is a full-time digital nomad with his wife, Kiersten.