Airline credit cards are similar to regular credit cards in that they process transactions and payments. However, there are some distinct differences between the two that appeal to some and not to others.
In general, these cards were designed for those who frequently make trips via an airplane due to work and want to build up points for their journeys. But are they always the best option?
Are Airline Credit Cards Your Friend?
There are some great benefits to getting your hands on an airline credit card. Here are just a few:
- Bonus miles for travel: Similar to the benefit you would get from travel rewards cards, many airline miles credit cards offer bonus miles to add on top of your already traveled frequent flyer miles.
- Priority travel features: Some frequent flyer credit cards offer priority travel features if you build up enough bonus miles or credits. In this case, you could get priority seating or other priority travel features.
- Unlimited air miles: Depending on the card company you work with, you might take advantage of unlimited miles. Usually this feature is awarded to those who build up a specific number of miles.
- Convert miles into cash: Some cards will allow you to convert your accumulated airline miles into cash. Not bad!
Because they offer the other benefits of using a credit card, including the ability to use them anywhere and cash back opportunities, many card carriers say the airlines credit card is their friend.
Are Airline Credit Cards Your Foe?
So with all of the benefits, are there any reasons that you should feel this card should be your foe?
- Limits on rewards points: Some cards only allow cardholders to accumulate a limited number of rewards points per year.
- Limits on air miles: While you can accumulate a significant number of air miles, many cards require that you consume those miles within a three-year period or they will be forfeited.
- Higher fees and rates: Often times, because the airline miles credit card offers benefits that standard credit cards don’t offer, you may have to pay higher annual fees and interest rates.
So now that you’ve learned a little bit about the pros and cons, do you think these cards are for you? If they are then now’s the time to get your hands on an airline credit card.