Saks buyers, begin your engines! It is time to use your American Express Platinum Card® credit.
Earlier this week, Saks International, the mum or dad firm of Saks Fifth Avenue, filed for Chapter 11 bankruptcy. Whereas this does not imply shops shall be closing instantly, or that associated perks will mechanically disappear, it’s a good time to check out your retailer merchandise credit in case restructuring impacts your potential to make use of them.
For a lot of Amex Platinum Card holders, the $100 in Saks Fifth Avenue assertion credit awarded each calendar yr — as much as $50 from January to June and the opposite as much as $50 within the second half of the yr — is a big a part of the worth of the cardboard’s present $895 annual charge (see rates and fees). Enrollment is required.
Associated: 6 items to buy with your Amex Platinum credit
This use-it-or-lose-it credit score resets twice yearly, which suggests enrolled cardholders presently have as much as $50 to make use of on the retailer.
Considering of heading to Saks or saksfifthavenue.com to make use of your credit score? This is what it’s essential know.
What’s taking place with Saks?
There have been rumors about Saks’ decline and impending chapter for a number of years. This week, Saks International, which is the mum or dad firm that owns not solely Saks Fifth Avenue, but additionally Neiman Marcus and Bergdorf Goodman, filed for chapter safety, after, based on The New York Times, “crumbling below billions of {dollars} in debt, a fraying relationship with distributors and lagging gross sales.”
Saks International says, based on the Occasions, that it intends to “emerge from chapter later this yr, and it expects to honor all buyer applications, make funds to distributors and proceed to pay workers.”
And whereas Chapter 11 proceedings often give an organization time to restructure its funds, and do not imply closure is quickly or imminent, they might be the beginning of value reductions, in addition to reductions in partnerships.
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What it’s best to do now in case you’re an Amex Platinum cardholder
Whereas we at TPG do not have a crystal ball to say what is going to occur subsequent, there are some canaries within the purchasing coal mine we’re keeping track of.
Saks International has $3.4 billion in debt, largely, monetary analysts say, from its acquisition of Neiman Marcus on the finish of 2024, which is a big hurdle to beat. And final yr, in 2025, Saks Fifth Avenue closed seven of its Off Fifth shops, together with a well-liked location in New York Metropolis’s Higher East Aspect.
Saks says on its web site that “our shops will proceed to supply promotions and occasions as a part of the luxurious purchasing expertise our clients count on.”
In a press release to TPG, a consultant for American Specific stated, “Eligible American Specific Card Members can enroll and proceed to make use of their Saks Fifth Avenue profit presently.”
Nevertheless, in case you’re sitting on a credit score and wish to have the biggest accessible number of objects, the time to make use of it’s now.
Even final week, earlier than the announcement, I attempted to make use of my credit score at Saks’ web site, solely to repeatedly discover that the objects I used to be enthusiastic about, and had beforehand been capable of buy on the positioning, have been offered out. On the time, I believed this meant the objects hadn’t been restocked after the vacations, however as I learn extra concerning the monetary disaster at Saks, it appears extra possible that merchandise is not being restocked, a sentiment I’ve discovered echoed throughout the web.
In fact, you can additionally simply sit tight. A contributing TPG bank card editor informed me he is holding off on looking for one thing to purchase, explaining: “I am a long-term Platinum cardmember, and I am not going to hurry to purchase one thing from Saks. I am taking the gamble that Amex could supply a goodwill (as much as) $50 assertion credit score to me if Saks really goes down. Provided that I paid my annual charge in November below the idea that every one advantages could be honored, I’d request that Amex give me this credit score as a goodwill gesture — and $50 in ‘money’ is price extra to me than a nonessential Saks product.”
Backside line
It is nonetheless early days within the Saks International Chapter 11 monetary restructuring. Nevertheless, if in case you have an Amex Platinum Saks Fifth Avenue credit score to make use of, or every other Saks credit for that matter, now could be the time to behave if in case you have your eye on merchandise within the retailer or on-line.
For those who’re in search of some purchasing inspiration, contemplate Ray-Ban, Hill House Home and Le Labo — all of that are offered at Saks and are common amongst TPG staffers.
And when purchasing at Saks, do not forget to double-dip by beginning your buy at a shopping portal, which can provide you bonus factors or miles for each greenback spent.
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For charges and costs of the Amex Platinum, click on here.
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