Post Office branches now accepting American Express

You can now pay with American Express at the Post Office.

The Post Office is now accepting American Express cards for payments across its network of 11,500 branches.

As a result, it becomes the largest UK retailer to take American Express.

Initially American Express users will only be able to pay for over-the-counter transactions at their Post Office branch.

But by the end of 2015 members will also be able to make payments using their American Express card online or when using Self Service Kiosks available in over 300 branches across the UK.

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Limits with American Express

American Express-issued cards are not as widely accepted as cards operating under the MasterCard or Visa schemes.

Though millions of merchants take this method of payment across the world, you'll come across quite a few which don’t.

The main reason some don’t take American Express is that processing fees on transactions tend to be higher than those charged by Visa and MasterCard.

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Who takes American Express?

You can save the hassle of being caught short by taking a look at the unofficial website whoacceptsamex.co.uk.

It has a comprehensive A-Z list of UK high street shops, online stores and other companies which do accept American Express and those who don’t.

American Express cards are welcome at all major supermarkets, including Asda, Morrisons, Sainsbury's, Tesco and Waitrose; restaurants and fast food chains like McDonalds, Pizza Express and Cote;  pharmacies such as Boots and Superdrug; petrol stations, including Shell and Esso; online at Amazon and Expedia; and at all sorts of high street chains like John Lewis, Marks & Spencer, Primark, Next and Zara.

But according to the site retailers like Aldi, Sky, Rush Hair, Five Guys, Allied Carpets, B&Q, Hungry House, Just Eat, Papa Johns and the DVLA still don’t accept American Express.

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Why American Express is still popular

American Express credit cards are popular because of the top class rewards and member benefits they offer.

Its range includes market-leading cashback credit cards. The fee-free American Express Platinum Everyday Cashback Credit Card for example offers 5% cashback when you spend £2,000 (capped at £100) within your first three months with the account. Thereafter it pays tiered levels of cashback up to 1.25% depending on how much you spend.

For an annual fee of £25 you can get the American Express Platinum Cashback Credit Card which offers 5% cashback when you spend  £2,500 (capped at £125) in your first three months. Thereafter you can earn 1.25% cashback on every £1 you spend.

There are also cards that can help rack up Avios.

With the fee-free British Airways American Express Credit Card you earn one Avios for every £1 you spend and there is a special introductory offer of 3,000 bonus Avios if you spend £500 within the first three months of opening your account. You’ll also get a companion voucher each year you spend £20,000.

For a £150 annual fee the British Airways American Express Premium Plus can earn 50% more. You’ll get 1.5 Avios for every £1 you spend and a whopping 18,000 bonus Avios if you spend £3,000 within your first three months of card membership. You’ll also get a companion voucher each year you spend £10,000.

There are plenty of other American Express cards that let you build up points which can be converted into a range of rewards, such as the American Express Nectar Credit Card which can help you boost your Nectar points. You earn two Nectar points for every £1 spent on the card or four for every £1 spent at Nectar partners. There’s also a 20,000 Nectar bonus points when you spend £2,000 within your first three months with the card, which is the equivalent of £100 to spend with Nectar partners.

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The duo solution

Though more and more retailers like the Post Office are coming on board in the UK, being turned away at shops and restaurants can be frustrating especially if you haven’t got an alternative to pay with.

But a number of providers now offer both a MasterCard or Visa and an American Express card on the same account. With these duo card accounts you’ll still be able to pay even if a merchant doesn’t accept American Express.

The Lloyds Bank Avios Rewards Account for example comes with a MasterCard and an American Express card to build up Avios with. You can earn 1.25 Avios for every £1 spent on the American Express or for every £5 spent on the MasterCard. The rewards are a bit more diluted with the MasterCard, but with this account you’ll never miss out on racking up points as you spend.

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More on credit cards:

The best reward credit cards

The best cashback credit cards

The best 0% purchase credit cards

The best 0% balance transfer credit cards

The best low-fee balance transfer credit cards

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