Former Major League Baseball star Jose Canseco ignited debate about American Express's practices after closing his Platinum Card and discovering a harsh reality. Cardholders who shut down their last Membership Rewards account risk forfeiting all accumulated points instantly, a policy that catches many travelers off guard.

American Express enforces this rule across most U.S. states. Once you close your final Membership Rewards-eligible card, your entire points balance vanishes. This hits frequent travelers particularly hard, as the Platinum Card ($695 annual fee) attracts business professionals and luxury-focused trips who accumulate substantial point balances over time.

The Platinum Card offers premium perks including airline fee credits, hotel upgrades, lounge access, and airport transfers through services like Delta and United. These benefits justify the steep annual fee for many elite travelers. However, the points forfeiture policy creates a hidden penalty for account closure.

Canseco's public complaint shines a spotlight on American Express's terms, which technically disclose this policy but remain obscure for many cardholders. The company doesn't prominently warn users before closing accounts, leaving travelers unaware they're about to lose points worth hundreds or thousands of dollars.

For frequent flyers and hotel guests, this means strategic planning becomes essential. Before closing any Amex Membership Rewards card, cardholders should transfer remaining points to airline or hotel partners through American Express's transfer system. Options include major carriers like United, Delta, and Southwest, plus hotel chains like Hilton, Marriott, and Hyatt.

This practice contradicts competitor policies. Chase and Capital One allow cardholders to maintain point balances in inactive accounts indefinitely, giving consumers flexibility without penalty. Travel rewards experts increasingly recommend maximizing point redemption before closure or transferring balances to preserve accumulated value.

Travelers considering the Amex Platinum should we