Credit Card Ladder: How Issuers Create Illusionary Value

Financial analysts have been touting the emergence of 'almost-premium' credit cards as a new trend in consumer finance. Cards such as the Amex Gold, Citi and American Airlines co-brand, Capital One Venture X, and Alaska Atmos Rewards Summit are positioned as a more affordable alternative to high-end luxury cards like the Chase Sapphire Reserve or Amex Platinum.

The prices of these cards do indeed seem lower than their premium counterparts, ranging from $325 to $395 per year. However, a closer look at the data reveals that this perceived value is largely an optical illusion created by issuers raising fees across all tiers simultaneously.

American Express raised its Gold card fee from $250 to $325 in July 2024 and Platinum from $695 to $895 in September 2025. The increases were nearly identical, with a 30% hike for Gold and 29% for Platinum. Meanwhile, the gap between these two cards grew from $445 to $570.

This strategy is designed to make the middle tier appear more attractive by comparison, effectively stretching the rungs of the credit card ladder to create an illusion of value. In reality, the middle tier has not actually become cheaper; it's just that the top tier has become expensive enough to make the middle feel like a bargain.