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Review: the American Express Nectar credit card

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This is our review of the American Express Nectar credit card.

Head for Points mainly focusses on credit cards which offer airline miles or hotel loyalty points for your spending. However, it is also worth taking a look at the Amex Nectar credit card because of the generous sign-up bonus.

If you want to check your credit record before applying for a new card, click here to get your free Experian Credit Score.

This article was updated on 1st January 2021, and all of the information is correct as of that date. Ignore the original publication date shown.

The legal stuff …..

Key link: American Express Nectar application form

Key facts: No fee for Year 1, £25 annual fee from Year 2

The representative APR is 27.3% variable, including the annual fee from Year 2, based on a notional credit limit of £1,200. The representative APR on purchases, and in Year 1, is 22.2% variable.

Review American Express Nectar credit Card

Should I get the American Express Nectar card?

As with all the credit cards I look at, you need to think separately about the sign-up bonus and the on-going bonus. There are actually two separate questions to consider:

“Is it worth getting this card just to benefit from the sign-up bonus?


“Is this a card I want to keep in my wallet for the long-term?”

What is the Amex Nectar sign-up bonus?

The Amex Nectar card has the usual generous sign-up bonus. They are currently offering 20,000 Nectar points which is worth £100 when spent with any Nectar partner, including Expedia. This page on our sister site Shopper Points shows the best value Nectar redemptions if you want to maximise the value of the points.

You need to spend £2,000 within three months to receive this – you do not receive it as soon as you are accepted for the card.

The American Express Nectar credit card comes with a £25 annual fee. For the first year, however, the card is free. This gives you 12 months to decide if you can spend enough on the card to justify keeping it long term. If not, you can cancel within the first year and will have paid nothing.

What are the rules for qualifying for the Amex Nectar sign-up bonus?

The bonus is only available to customers who have not held a personal American Express card in the previous 24 months.  Cards issued by MBNA or Lloyds Bank do not count.

You will definitely receive the bonus if you are only a supplementary cardholder on someone else’s American Express card. As far as Amex is concerned, that card belongs to the primarily cardholder and does not make you an ‘existing cardholder’.

If you do not qualify for the bonus, you can still apply. You still receive the other card benefits including the ‘no fee in the first year’.

What is the on-going earning rate?

You earn 2 Nectar points per £1 of general spend. This is effectively 1% cashback.

This is on top of the standard points you earn at Sainsbury’s and other Nectar partners.  This means that your total Nectar earning when shopping at Sainsbury’s is 3 points per £1 if you use this card – two points come from the credit card and one point comes from your usual in-store Nectar earning.

What more should I know?

American Express no longer has a minimum income requirement for its cards.


For day-to-day spending, the Amex Nectar card is not a bad deal, effectively giving you 1% cashback. The £25 fee means that – after the first FREE year – this is not a great deal if you are not a high spender. For the first year, though, the 20,000 Nectar points sign-up bonus means that you will certainly come out on top.

(Want to earn more miles and points from credit cards?  Click here to visit our dedicated airline and hotel travel credit cards page or use the ‘Credit Card Offers’ link in the menu bar at the top of the page.)

Disclaimer: Head for Points is a journalistic website. Nothing here should be construed as financial advice, and it is your own responsibility to ensure that any product is right for your circumstances. Recommendations are based primarily on the ability to earn miles and points and do not consider interest rates, service levels or any impact on your credit history.  By recommending credit cards on this site, I am – technically – acting as a credit broker.  Robert Burgess, trading as Head for Points, is regulated and authorised by the Financial Conduct Authority to act as a credit broker.