Yesterday, it was widely reported that American Express has offered select cardholders a $300 gift card to pay off their balances by April 30 and close their accounts.  They are encouraging such individuals to “simplify their finances”, which I suspect will indeed be the case for those who accept the offer.  This is a brilliant strategy for American Express…they’ll go to the top of the list for individuals who are deciding what debt to pay first.

Presumably, the “select cardholders” are those that are least likely to pay, in the estimation of American Express.  Certainly, this will have some positive impact on AmEx’s default rate.  Beyond that, though, the consumers in question would do well to take advantage of this offer if they can.