{"id":2491,"date":"2025-08-26T10:51:58","date_gmt":"2025-08-26T10:51:58","guid":{"rendered":"https:\/\/ft365.org\/index.php\/2025\/08\/26\/american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-bankrate\/"},"modified":"2025-08-26T10:51:58","modified_gmt":"2025-08-26T10:51:58","slug":"american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-bankrate","status":"publish","type":"post","link":"http:\/\/ft365.org\/index.php\/2025\/08\/26\/american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-bankrate\/","title":{"rendered":"American Express Continues To Lead In Credit Card Satisfaction, Discover Takes A Dive | Bankrate"},"content":{"rendered":"<div>\n<p>Another year, another crown for American Express, which claimed the top spot in the <u>J.D. Power U.S. Credit Card Satisfaction Study<\/u> for the sixth year in a row and the 15th time in the 19 years the report has been published. The big surprise is that Discover, which had previously placed no lower than second, slumped to fifth.<\/p>\n<p>                         <iframe loading=\"lazy\" title=\" American Express continues to lead in credit card satisfaction\" width=\"560\" height=\"315\" data-src=\"https:\/\/www.youtube.com\/embed\/FdGupmc7GnA?si=q386Bdi55gNWGyPn\" src=\"https:\/\/www.youtube.com\/embed\/FdGupmc7GnA?si=q386Bdi55gNWGyPn\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture\" allowfullscreen>                         <\/iframe>                                              <\/p>\n<p><em>Have a question about credit cards? E-mail me at\u00a0<\/em><em>ted.rossman@bankrate.com<\/em><em> and I\u2019d be happy to help.<\/em><\/p>\n<h2 id=\"whats-the-deal-with-discover\" data-position=\"1\" data-beam-element-viewed data-id=\"br-h2-1-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"What\u2019s the deal with Discover?\" data-outcome>What\u2019s the deal with Discover?<\/h2>\n<p>Discover was acquired by Capital One earlier this year; <u>the $35 billion deal officially closed in May 2025<\/u>. It was a long time coming, having been first announced in February 2024. While we haven\u2019t seen major changes to Discover cards yet, customers seem to be on edge.<\/p>\n<p>\u201cJ.D. Power study data \u2026 has shown clear and consistent trends where both acquiring and acquired brands typically experience significant satisfaction declines in a merger\/acquisition,\u201d according to John Cabell, J.D Power\u2019s managing director, payments intelligence. \u201cIt is likely there is some volatility for Discover and Capital One related to the acquisition, and there may be in upcoming study years as well.\u201d<\/p>\n<h2 id=\"what-happened-with-capital-one\" data-position=\"2\" data-beam-element-viewed data-id=\"br-h2-2-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"Parent company knows best?\" data-outcome>Parent company knows best?<\/h2>\n<p>Interestingly, Capital One held steady in third place in this year\u2019s ranking. Its standing has been on the upswing in recent years, from fifth place in 2022 to fourth in 2023 and third in each of the past two years.<\/p>\n<p>I viewed Capital One as more likely than Discover to drop in the rankings this year, since Capital One announced in June that most <u><span data-capi-name=\"8046\">Capital One Venture X Rewards Credit Card<\/span><\/u> holders will no longer be able to bring guests into airport lounges beginning in February 2026. That was upsetting news for many cardholders.<\/p>\n<p>It\u2019s particularly surprising that Discover\u2019s ranking has fallen. The company has long made customer service a central marketing message, including elements such as late fee waivers and TV commercials touting \u201cwe treat you like you\u2019d treat you.\u201d And Discover cards haven\u2019t undergone any major changes since the acquisition. Alas, the student has become the teacher, with Capital One outpacing Discover in this ranking for the first time since its inception nearly two decades ago.<\/p>\n<h2 id=\"blame-broader-trends\" data-position=\"3\" data-beam-element-viewed data-id=\"br-h2-3-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"Broader trends are to blame\" data-outcome>Broader trends are to blame<\/h2>\n<p>It\u2019s likely that Discover\u2019s drop in the rankings is primarily due to external factors. For example, the latest J.D. Power study highlights a growing divide between cardholders who carry debt and those who do not. Satisfaction tends to be highest among cardholders who pay in full (that\u2019s not surprising), are \u201cfinancially healthy\u201d (also not surprising) and pay annual fees (that part is a bit surprising, although it often correlates with fancier <u>travel rewards cards<\/u> favored by affluent, especially creditworthy consumers).<\/p>\n<p>While Capital One has moved noticeably upmarket in recent years, courting these heavy spenders with a host of upper-crust travel benefits, Discover has doubled down on its base of \u201cprime revolvers.\u201d That is, customers with good credit scores who tend to carry balances from month to month. Traditionally, this has meant a lot of regular, middle-class Americans. It could be that this group is feeling the cumulative strain of <u>prices that have grown almost 25 percent<\/u> since the beginning of 2021. Worse, this coincides with an <u>average credit card rate<\/u> that remains over 20 percent, near a record high.<\/p>\n<p>Economic inequality is growing, with Moody\u2019s Analytics reporting that the <u>top 10 percent of earners now account for 50 percent of spending<\/u>, the highest since tracking began in 1989. These are the types of customers who have historically gravitated to American Express, not Discover.<\/p>\n<h2 id=\"annual-fees-can-be-worth-it-with-caveats\" data-position=\"4\" data-beam-element-viewed data-id=\"br-h2-4-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"Higher annual fees can be worthwhile, but debt isn\u2019t\" data-outcome>Higher annual fees can be worthwhile, but debt isn\u2019t<\/h2>\n<p>\u201cCardholders with higher financial health scores and no revolving debt \u2014 especially those using cards with points\/miles rewards programs and annual fee cards \u2014 are driving significant gains in overall satisfaction among cardholders,\u201d Cabell added.<\/p>\n<p>Overall, J.D. Power found that 53 percent of cardholders are currently carrying revolving debt. Some 56 percent are classified as financially unhealthy, a proprietary metric that J.D. Power crafted based upon consumers\u2019 spending\/savings ratio, creditworthiness and \u201csafety net items\u201d such as insurance coverage. The firm\u2019s research revealed \u201csignificantly higher levels of customer satisfaction among financially healthy customers than among those who are less financially resilient.\u201d<\/p>\n<p>This jibes with the broader theme of economic inequality, and the idea that the rich are getting richer and the poor are getting poorer.<\/p>\n<h2 id=\"top-cards-this-year\" data-position=\"5\" data-beam-element-viewed data-id=\"br-h2-5-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"Leading the pack\" data-outcome>Leading the pack<\/h2>\n<p><u><span data-capi-name=\"22146013\">The Platinum Card\u00ae from American Express<\/span><\/u> topped J.D. Power\u2019s ranking of cards that charge annual fees, while the <u><span data-capi-name=\"221012282\">Capital One Savor Cash Rewards Credit Card<\/span><\/u> claimed top honors in the <u>no annual fee<\/u> category.<\/p>\n<p>The top five issuers for overall satisfaction were American Express, Bank of America, Capital One, Chase and Discover.<\/p>\n<h2 id=\"lifestyle-may-explain-card-satisfaction\" data-position=\"6\" data-beam-element-viewed data-id=\"br-h2-6-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"Know thyself\" data-outcome>Know thyself<\/h2>\n<p>Credit cards are not one-size-fits-all, of course. One of the biggest takeaways from this research is that cardholders should evaluate cards within the framework of their unique circumstances. It\u2019s a bit surprising that cards with higher annual fees ($500 or more) tend to have higher satisfaction scores, but there are two main explanations.<\/p>\n<ol>\n<li>The types of affluent, creditworthy individuals who flock to these cards tend to be faring better in today\u2019s economy. <\/li>\n<li>These customers, by and large, seem to be taking advantage of the perks.<\/li>\n<\/ol>\n<p>Yes, <span data-capi-fee=\"ongoing_annual\" data-pid=\"22146013\">$695<\/span> per year is a lot to pay the Amex Platinum. But if you take advantage of its many perks (airport lounge access, credits for airline fees, hotel stays, expedited airport security, digital entertainment, rideshares, food delivery), the card could be well worth it, despite its expensive price tag.<\/p>\n<p>One thing just about everyone can agree upon? We don\u2019t like <u>credit card surcharges<\/u>. J.D. Power says about two-thirds of Americans have encountered these. When they do, customer satisfaction plummets and 81 percent have chosen to pay with a different payment method as a result.<\/p>\n<h2 data-position=\"7\" data-beam-element-viewed data-id=\"br-h2-7-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"The bottom line\" data-outcome>The bottom line<\/h2>\n<p>Consumer rankings can be informative, but they don\u2019t change that the <u>best credit card<\/u> for you is one that meshes well with your spending habits, bestowing elevated rewards on your top spending categories and providing ongoing value in terms of cash back, travel perks and\/or credits that offset various expenses. If you carry a balance, forget about rewards for now and seek the <u>lowest interest rate<\/u> possible.<\/p>\n<div data-cta-initial data-helpful-cta data-beam-element-viewed id=\"did-you-find-this-helpful\" data-type=\"cta\" data-location=\"article-bottom\" data-position=\"banner\" data-text=\"Did you find this page helpful?\">\n<div>\n<p>             Did you find this page helpful?             <\/p>\n<\/p><\/div>\n<p>Help us improve our content<\/p>\n<\/p><\/div>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Another year, another crown for American Express, which claimed the top spot in the J.D. Power U.S. Credit Card Satisfaction Study for the sixth year in a row and the 15th time in the 19 years the report has been published. The big surprise is that Discover, which had previously placed no lower than second<\/p>\n","protected":false},"author":2,"featured_media":2492,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-2491","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-news"],"featured_image_urls":{"full":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive.jpg",1280,720,false],"thumbnail":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-150x150.jpg",150,150,true],"medium":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-300x169.jpg",300,169,true],"medium_large":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-768x432.jpg",640,360,true],"large":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-1024x576.jpg",640,360,true],"1536x1536":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive.jpg",1280,720,false],"2048x2048":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive.jpg",1280,720,false],"morenews-featured":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-1024x576.jpg",1024,576,true],"morenews-large":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-825x575.jpg",825,575,true],"morenews-medium":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-590x410.jpg",590,410,true],"crawlomatic_preview_image":["http:\/\/ft365.org\/wp-content\/uploads\/2025\/08\/2491-american-express-continues-to-lead-in-credit-card-satisfaction-discover-takes-a-dive-260x146.jpg",260,146,true]},"author_info":{"display_name":"henry","author_link":"http:\/\/ft365.org\/index.php\/author\/henry\/"},"category_info":"<a href=\"http:\/\/ft365.org\/index.php\/category\/latest-news\/\" rel=\"category tag\">Latest News<\/a>","tag_info":"Latest News","comment_count":"0","_links":{"self":[{"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/posts\/2491","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/comments?post=2491"}],"version-history":[{"count":0,"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/posts\/2491\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/media\/2492"}],"wp:attachment":[{"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/media?parent=2491"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/categories?post=2491"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/ft365.org\/index.php\/wp-json\/wp\/v2\/tags?post=2491"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}