American Express Personal Loans Reviews

Since you must be an existing cardholder to be offered an American Express personal loan, these loans aren’t very accessible to the average borrower. Generally, it isn’t recommended that you apply for an Amex card just to receive a personal loan offer. Unless you specifically want an Amex credit card, you should consider a personal loan from a local bank, credit union or online lender.

American Express offers personal loan options to existing cardholders. When you log into your Amex account, you can see if you’ve been preapproved for a personal loan.

Amex’s personal loans are unsecured, which means they don’t require any collateral, and can range from $3,500 to $40,000, with fixed interest rates.

Your loan can be used to cover most expenses, such as consolidating (non-Amex) debt, paying for home improvements and making big purchases like a vacation or upgraded appliances. However, Amex specifically states its loans can’t be used for:

• Paying off or consolidating Amex-issued cards
• College expenses
• Real estate
• Business
• Vehicles (unless used as a down payment)
• Illegal activities

On its website, Amex discloses that its APR ranges from 6.99% to 19.99%. To get an idea of how much your APR will be, and if you are already an Amex cardholder, you should consult the preapproved personal loan offer sent to you by Amex. Your actual APR will not exceed this APR if you proceed with your application.

Amex gives an example APR of 12.98% on a $10,000 loan repaid over 36 months, although the APR offered to you could be much higher depending on your loan amount, repayment term and creditworthiness.

» LEARN: What is APR?

Amex doesn’t charge application fees, origination fees or prepayment penalties if you decide to pay off your loan early. However, it does charge a $39 late payment fee if your payment is overdue or returned due to insufficient funds.

Before you can apply for an American Express personal loan, you’ll need to meet certain eligibility requirements, including the following criteria:

• Receive an offer to apply for a personal loan through your American Express online account
• Be a current Amex cardholder
• Be at least 18 years old
• Be a citizen or resident of the U.S. or its territories

Log into your Amex account to see if you are pre-approved for a personal loan. You can then apply online or over the phone. Amex will let you know the maximum you can borrow, as well as your maximum APR, before you proceed with the application process.

If you decide to continue, Amex will ask you to provide the following information on its application:

• How much you want to borrow
• Your income
• What you need the loan for
• What payment term you’d like

Amex offers near-instant approval for most applications, but loan decisions are sometimes delayed if it needs to further verify the information you provided. If approved, American Express will send the funds as quickly as one day after you sign the loan agreement. Your loan will be deposited to your bank account on file within three to five business days.

Personal loan terms from American Express will vary based on factors including your credit score and loan amount. You should review your loan offer before comparing it to other personal loan lenders.

Here is how Amex measures up to a competitor, Best Egg, based on the information publicly disclosed by the companies:

American Express is a legitimate credit card company with over a century and a half in business. It has built a reputation as a trusted financial services company and is FDIC-insured. While Amex is a legitimate financial institution, scammers often impersonate American Express in order to get personal or financial information. You should only communicate with American Express using the contact information found on the company’s website.