The Schwab Investor card® from American Express offers a unique blend of benefits tailored for investors and everyday spenders alike. It stands out with its ability to deposit cashback directly into your Schwab brokerage account, making it an excellent tool for those looking to effortlessly grow their investment portfolio.

With no annual fee and a simple rewards structure, this card is perfect for Charles Schwab clients who want a credit card that aligns with their investment goals. Additionally, the card features an introductory APR period and travel benefits that cater to those looking for both financial growth and convenience in their credit card.

Key information about the Schwab Investor card® from American Express

The Schwab Investor card® from American Express is designed to integrate seamlessly with Charles Schwab’s investment offerings. It allows cardholders to earn 1.5% cashback on all eligible purchases, automatically deposited into their eligible Schwab brokerage account.

This feature makes it easy for users to boost their investments with everyday spending. The card also offers a $200 statement credit as a welcome bonus when new users spend $1,000 within the first three months.

In addition to cashback rewards, the Schwab Investor card® provides various travel and entertainment perks, such as access to a Dining & Events Assistant, who can help secure reservations at restaurants and events. Furthermore, the card offers a 0% introductory APR on purchases for the first six months, after which a variable APR of 19.24% to 29.99% applies, depending on your creditworthiness.

How does the annual fee work?

One of the significant advantages of the Schwab Investor card® is that it comes with no annual fee. This makes it an attractive option for users who want to earn rewards and grow their investments without the burden of an additional yearly cost. Many premium credit cards charge hefty annual fees for comparable rewards and benefits, but this card offers great value at no cost to the cardholder.

How is the credit limit determined?

The credit limit for the Schwab Investor card® from American Express is determined based on the cardholder’s creditworthiness. When you apply for the card, American Express evaluates several factors, including your credit score, income, and financial history. The higher your credit score and financial stability, the more likely you are to receive a higher credit limit.

Credit card benefits 

• 1.5% cashback on all purchases: Cardholders earn 1.5% cashback on all eligible purchases, which is automatically deposited into their Schwab brokerage account. This feature makes it easy to grow your investments through everyday spending.
• $200 welcome bonus: New cardholders can earn a $200 statement credit after spending $1,000 within the first three months of opening the account.
• No annual fee: With no annual fee, this card offers exceptional value, making it a cost-effective option for those looking to earn rewards without additional costs.
• 0% introductory APR: Enjoy 0% APR on purchases for the first six months. After the introductory period, a variable APR of 19.24% to 29.99% applies, depending on your creditworthiness.
• No foreign transaction fees: The card is ideal for international travelers as it charges no foreign transaction fees, helping users save on foreign purchases.
• Travel and dining benefits: Access to a Dining & Events Assistant, offering help with securing dining and event reservations for cardholders.

Investment growth through cashback

The most notable feature of the Schwab Investor card® from American Express is its cashback program, which deposits 1.5% of your spending directly into your Schwab brokerage account. This allows users to grow their investments passively with everyday purchases.

Whether you’re buying groceries, paying bills, or booking travel, every dollar spent contributes to your long-term financial goals. This feature sets the Schwab Investor card® apart from other cashback cards, as it aligns perfectly with the investment-oriented mindset of Schwab clients. It’s a hassle-free way to enhance your investment portfolio over time.

Disadvantages

• Limited to Schwab account holders: You must have an eligible Schwab brokerage account to apply for the card, limiting its availability to non-Schwab users.
• Relatively low cashback rate: While 1.5% cashback is solid, there are other cards that offer higher cashback percentages on specific categories, such as dining or travel.
• Variable APR: The card’s variable APR, which ranges from 19.24% to 29.99% depending on your creditworthiness, may be high for those who carry a balance.

Schwab account requirement

A significant drawback of the Schwab Investor card® is that it is only available to Schwab account holders. If you don’t have a Schwab brokerage account, you’ll need to open one to be eligible for the card.

While Schwab accounts come with their own benefits, this requirement may be a hurdle for individuals who don’t want to open a new brokerage account just to qualify for a credit card. For some, this limitation could be a dealbreaker, particularly for those who prefer to keep their banking and investments separate.

Who can apply for this card?

To apply for the Schwab Investor card®, you must have an eligible Schwab brokerage account, such as a Schwab One® account. In addition, applicants need to meet the following requirements:

• Minimum age: Applicants must be at least 18 years old.
• U.S. resident: This card is only available to U.S. residents.
• Creditworthiness: A good credit score is required to qualify for the card. While the exact credit score threshold isn’t publicly specified, applicants should ideally have a score in the good to excellent range (typically 670 or higher).

This card is not suitable for individuals with poor credit or those looking for a card with lenient approval criteria. It is designed for individuals who are already committed to investing with Schwab and have a solid credit profile.

How to apply for the Schwab Investor card® from American Express

Applying online

The easiest way to apply for the Schwab Investor card® from American Express is through the Schwab website. The application process is straightforward and requires providing personal information such as your name, address, income, and Schwab account details. Once you submit the application, American Express will review your financial information and determine your eligibility.

If approved, your new card will be mailed to you, and you can start using it right away for everyday purchases and investment growth. You’ll also have access to American Express’s mobile app, where you can manage your account, view transactions, and track your cashback rewards.

In summary, the Schwab Investor card® from American Express is an excellent option for investors who want to earn cashback while growing their Schwab brokerage accounts. With no annual fee, a solid welcome bonus, and investment-focused benefits, this card offers great value for both everyday spending and long-term financial goals.