Companion cards all the rage

Companion credit cards allow consumers to build rewards points faster. All four big banks now have American Express companion cards as a part of their credit card reward packages. Spending money on the Amex card will earn more points faster than spending money on the Visa or MasterCard that it is attached to. A companion card is attached to the same credit account with the same interest rate, fees and charges as the original credit card.

Consumers need to be aware that many merchants charge more to accept American Express card payments because Amex charges merchants more in service fees. Amex can offer more points, with the rate of accumulation as much as three times greater, because it is able to pass on its costs through higher merchant service fees.

Source: Sydney Morning Herald