Robinhood Markets Inc. Launched an invite-only Platinum credit card on Wednesday, challenging American Express’s dominance in the premium credit card market with a $695 annual fee and a card plated in 99.9% pure platinum.
The latest card, announced at Robinhood’s “Take Flight” keynote, aims to attract high-income customers and deepen their engagement with the Robinhood financial platform, according to the company. It offers rewards including 5% cash back on dining, up to $50,000 in annual spending, and 5% cash back on flights booked through the Robinhood Travel portal. Hotel and rental car bookings through the same portal earn 10% cash back. All other purchases earn 1%.
Beyond cash back, the Robinhood Platinum Card provides a $120 credit every four years for TSA PreCheck or Global Entry, Priority Pass Select airport lounge access, and a $300 annual travel credit issued as $150 statements every six months. Cardholders likewise receive $500 in hotel booking credits, distributed as $250 statements every six months for qualifying luxury hotels, with limited credit available for standard hotels. A $250 autonomous ride credit is offered at a rate of $20 per month, with an additional $30 in December.
The card’s annual fee undercuts the American Express Platinum Card, which carries an $895 annual fee, and the Chase Sapphire Reserve, at $795. However, many of the Robinhood Platinum Card’s benefits, such as the hotel credits, require users to book through Robinhood’s travel portal. A complimentary Robinhood Gold membership, typically costing $5 per month, is also included.
Bank of America analyst Mihir Bhatia described the launch as “an incremental negative” for American Express, noting the potential impact on Amex’s customer base. The analyst maintained a Buy rating on American Express, citing the company’s scale, brand recognition, and execution capabilities.
Robinhood promises credit limits up to five times higher than those offered by its Robinhood Gold Card. The Platinum card, like the Gold card, is issued by Coastal Community Bank. Cash back rewards require a Robinhood Financial brokerage account for redemption.
The company has not yet announced a sign-up bonus for the card, and its availability is currently limited to invitees. Interested customers can enter their email address on the Robinhood website to be notified when the card becomes more widely available.
