Premium credit cards aren’t going anywhere in 2026. Here’s why

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Call it a November surprise. After a 20-year legal battle over interchange fees, the transaction fees merchants pay to banks that issue credit cards, Visa and Mastercard announced a proposed settlement that stands to change the way Americans use rewards cards.

The proposed deal, first reported in mid-November, would reduce fees and give merchants more flexibility in card acceptance, easing the longstanding rule that requires businesses to accept all cards from a network (if they accept any).

The rumor mill hasn't stopped spinning since.

One potential consequence: Merchants, finally given the option to decline select cards, would take direct aim at credit cards offering rewards. That would put premium cards earning higher rewards rates and access to luxury perks, like airport lounges, at risk.

This concern may be an overreaction. While it's true that interest in premium cards hit a fever pitch in 2025, even as annual fees have spiked — upwards of $800 per year in some cases — the premium card slate doesn't appear to be shrinking anytime soon.

Here, I examine the growth of premium credit cards over 2025 and explain why they'll continue to grow in popularity in 2026.

While rewards credit cards have been around since the 1980s, 2025 was marked by annual fee increases and souped-up premium credit card offerings. A handful of new premium cards also entered the market.

In July 2025, Citi expanded its premium card lineup with the launch of the Citi Strata Elite℠ Card. The card, which offers highly sought-after perks like lounge access and statement credits, carries a $595 annual fee. This is actually among the lowest annual fees available for true premium credit cards. Notably, the card's rollout drew criticism after some cardholders reported account freezes and service issues. In a statement to The Wall Street Journal, Citi said it regretted "the inconvenience" and that protecting customers' accounts is a primary focus.

Premium options were added to business credit card lineups, as well. In June 2025, Chase launched the Chase Sapphire Reserve for Business^SM (see rates and fees), with an annual fee of $795. This is a considerably higher annual fee than the $0–$350 fees charged by other popular business cards.

Existing cards also got a refresh, with added perks and higher costs. When Chase released the new Sapphire Business card, it simultaneously refreshed the Chase Sapphire Reserve® (see rates and fees). The consumer Reserve card received numerous new statement credits, including a $500 credit for stays with The Edit^TM, a $300 dining credit and $300 in StubHub and viagogo credits. Alongside these added perks, the annual fee increased by 44.5% to $795, up from $550.

About three months after the Sapphire Reserve refresh, the American Express Platinum Card® unveiled a card overhaul, as well. While the Amex Platinum received many welcome additions, like up to $600 in annual hotel credits and premium hotel elite status, the added perks now come with a higher price tag — increasing its annual fee to $895 from $695 (see rates and fees).

Still, premium credit cards have taken root, and several factors suggest they'll remain popular in 2026.

After a year of high demand, new launches and enhanced benefits, the premium credit card market shows no signs of slowing in 2026.

Americans like the perks

Despite the rising costs of carrying premium credit cards and the potential blowback from the Visa and Mastercard settlement, early indicators suggest interest remains high in the premium card market. Notably, those who own and use premium cards seem satisfied with their choice.

American Express's refresh of the Platinum card this past September is exhibit A. Despite the substantial increase in the card's annual fee, American Express experienced relatively immediate success with its relaunch. Compared to pre-refresh, American Express saw double the number of new Amex Platinum acquisitions, record-high bookings on Amex Travel and roughly 2X more consumer Platinum spenders across Resy restaurants, Lululemon and Oura brands, according to American Express's Q3 2025 earnings presentation.

Reflecting this pattern, a 2025 J.D. Power survey, which ranks credit card satisfaction based on multiple experience factors, found that higher annual fees aligned with higher overall satisfaction among cardholders. According to the survey of 37,293 U.S. credit card customers, those who pay $500 or more annually report greater satisfaction with their overall card experience compared to those with lower fees — even if they're less satisfied with the fee itself.

Premium cardholders also tend to favor their card's unique offerings, which emphasize luxury.

According to a 2026 Chase travel and dining predictions survey, released November 2025, 81% of respondents say they're drawn to "premium casual" dining, or paying more for simple food made with premium ingredients. Seventy-one percent are into "fashionable lattes," or coffee shops and cafes run by lifestyle brands. Think: Ralph's Coffee by Ralph Lauren or Aritzia's A-OK Cafe.

And they can't get enough of the real-world perks. Chase Sapphire Reserve cardholders have access to "featured experiences," like exclusive Sundance Film Festival ticket packages or, previously, the chance to dine on the floor of the Chase Center, home of the Golden State Warriors. Similarly, those with access to Amex Experiences through a card like the Amex Platinum can gain special entry to Formula 1 races or exclusive VIP access to Coachella.

The 2026 Economic Outlook report from the Mastercard Economic Institute, released in December 2025, predicts that consumers will continue to place greater emphasis on "meaningful moments," particularly through travel and live entertainment. This is precisely what these premium cards offer.

Demand for premium offerings remains high

As we head into 2026, credit card demand isn't likely to ease. Overall balances are predicted to rise by 2.3%, according to TransUnion's 2026 Consumer Credit Forecast. While this is the smallest increase in the past 12 years, balances have been rising steadily each year, with the exception of 2020.

Further, TransUnion's Q4 2025 Consumer Pulse Study found that among those seeking additional credit in the coming year, 55% intend to apply for new credit cards, and 20% intend to increase their available credit on current cards. This demand for access to more credit was strongest among Millennials and Gen Z, with 46% and 44% reporting plans to seek or refinance existing credit over the next year, respectively.

Of course, access to these cards in particular may be a limiting factor in and of itself. Premium cards typically require a higher credit score for approval (or a FICO Score of 670 and up); they also frequently offer a much larger credit limit and tend to feature higher APRs.

Credit cards are too ingrained to cease

As for the speculation around whether the recent Visa and Mastercard settlement could affect credit card rewards and premium perks, in my role as a credit cards reporter and researcher, I'm not seeing any meaningful changes so far. What's more, the concern may even be moot. According to the National Retail Federation (NRF), 85% of credit cards issued are rewards cards, making it nearly unavoidable for retailers to accept them.

The settlement also proposes a reduction in swipe fees (the charges businesses pay to card networks and issuing banks for each transaction) by 0.1% for five years. This change is unlikely to have much short-term impact. Continued reductions in swipe fees could eventually impact card benefits, but the current proposed changes are far from a death knell for credit card rewards programs.

While premium credit cards can cause a bit of sticker shock when you see the annual fees, they can provide a great return on your spending over time — but only if you take advantage of the perks and benefits.

You travel often or in luxury

If you find yourself flying multiple times a year (or if whenever you do, you prefer to fly in style), a premium card will likely provide great value over time.

With the Citi Strata Elite℠ Card, you gain complimentary access to 1,500+ airport lounges worldwide, plus four Admirals Club® Citi Strata Elite℠ passes for access to nearly 50 Admirals Club® lounges. The card also reimburses your application fee for either Global Entry® or TSA PreCheck® (up to $120 every four years), so once you speed through airport security, you can make your way to a lounge to wait in peace or score complimentary food.

The points you earn with the Strata Elite can also be transferred to one of Citi's 20 transfer partners — 15 airlines (including American Airlines) and five hotels. Transferring points typically allows you to get even greater value compared to other redemption options.

You want access to exclusive events and restaurants

Whether you're a gourmand looking to partake in an exclusive, curated restaurant pop-up or a cinephile hoping to experience behind-the-scenes access to exclusive Apple Originals, Chase Sapphire Reserve cardholders can always expect something special from the issuer.

The Sapphire Reserve also includes access to Sapphire Reserve
Exclusive Tables, a dining concierge service that can help secure reservations at some of the hardest-to-book restaurants in major cities, including New York, Chicago and Miami.

You enjoy taking advantage of statement credits

One trend that has become increasingly prevalent among premium cards is the addition of new statement credits. This style of benefits, often referred to as "coupon book" format, can be fairly polarizing in the credit card world. While statement credits are an easy way to increase the value of a card, these benefits are typically slightly harder to use, either tied to individual brands or split over the course of the year.

If you enjoy extracting every bit of value you can from a credit card, the Amex Platinum offers over $2,300 in value via statement credits alone, across several different brands. These statement credits are some of the best ways to earn large chunks of value in one go.

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For rates and fees of the American Express Platinum Card®, click here.