American Express Cobalt® Card vs SimplyCash® Card from American Express: Which one is better?

Annual Fees and Requirements

The American Express Cobalt Card carries an annual fee, while the SimplyCash Card has no annual fee. Neither card has specific income requirements, which makes both accessible to a wide range of applicants. However, the Cobalt Card’s fee may be justified for individuals who can maximize its rewards and benefits.

Rewards Comparison

The American Express Cobalt Card offers higher rewards on categories like dining, groceries, and streaming services, making it ideal for those with significant spending in these areas. In contrast, the SimplyCash Card provides straightforward cash-back rewards, with a higher rate on gas and groceries, but lower overall returns. The welcome bonuses also differ, with the Cobalt Card providing more long-term value for higher spenders, while the SimplyCash Card offers a modest bonus tied to lower spending.

Reward Redemption Options

The Cobalt Card offers flexible redemption through American Express Membership Rewards, which can be transferred to airline and hotel partners for enhanced value. Other redemption options include travel, merchandise, and statement credits. SimplyCash Cardholders, on the other hand, benefit from the simplicity of cash-back rewards, which are more versatile and can be used for anything, but lack the added value seen in point transfers for travel.

Benefits and Insurance

The Cobalt Card includes a wide range of insurance coverages, such as travel medical, flight delay, and mobile device insurance, which are more comprehensive than the SimplyCash Card's limited options. The Cobalt Card’s unique benefits, such as more robust travel insurance, make it a better option for frequent travelers. SimplyCash Cardholders still get perks like purchase protection and extended warranty but lack extensive travel benefits.

Conclusion

The American Express Cobalt Card is ideal for people who spend heavily in categories like dining and travel, and those who want to take advantage of premium benefits. On the other hand, the SimplyCash Card is a great choice for low spenders, individuals who don’t dine out often, and those who prefer a no-fee card with straightforward cash-back rewards on everyday purchases.