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Rakuten American Express® Card Review 2025: Is 4% Cash Back Worth the Trade-offs?
July 1, 2025
Quick Take
Rakuten's new Amex partnership, Rakuten American Express® Card, offers extra rewards for loyal Rakuten shoppers, but restrictive caps and a modest welcome bonus limit its broader appeal. Most consumers will find better value elsewhere.
Key Features
- Welcome bonus: $25
- Annual fee: $0
Rewards Breakdown
- Rakuten purchases: Regular Rakuten rate + extra 4% (capped at $7,000/year)
- Rakuten Dining restaurants: Regular dining rate + extra 5% (up to 10% total)
- Groceries: 2% cash back
- Restaurants (non-Rakuten Dining): 2% cash back
- All other purchases: 1% cash back
- Foreign transactions: No fees
Main Limitations
1. Low Spending Cap
The extra 4% rewards cap out at $7,000 in annual spending—just $280 in additional cash back. Frequent shoppers will quickly exceed this limit.
2. Tracking Challenges
Rakuten's system occasionally struggles with:
- Purchase tracking accuracy
- Processing delays
- Inconsistent merchant rates
- Customer service response times
3. Modest Welcome Bonus
At $25, the welcome offer falls well below the $150-$500 range offered by competing cards.
4. Limited Dining Network
While Rakuten Dining promises 10% back at partner restaurants:
- Coverage varies significantly by location
- Not all transactions track reliably
- Traditional dining cards offer broader acceptance
Best Fit For
This card works for those who:
- Shop frequently through Rakuten
- Already maximize other credit card categories
- Prefer no annual fee cards
Consider Instead
- Citi Double Cash® Card: 2% on all purchases, no caps
[[ SINGLE_CARD * {"id": "580", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Everyday Spenders", "headerHint": "No Annual Fee"} ]]
- Chase Freedom Unlimited®: 1.5% minimum plus $200 bonus
[[ SINGLE_CARD * {"id": "497", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "Fantastic Cash Back Card"} ]]
- Wells Fargo Active Cash® Card: 2% everywhere, $200 bonus
[[ SINGLE_CARD * {"id": "2894", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "0 Annual Fee"} ]]
Bottom Line
The Rakuten American Express Card serves a specific niche: dedicated Rakuten users who can work within its limitations. For most consumers, cards with higher welcome bonuses and fewer restrictions offer better overall value.
Rating: 5/10 - Works for its target audience but lacks broad appeal.
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