Are you considering applying for an air mile credit card? Look before you fly, for not every air mile reward credit card will supply you with the benefits, bonus miles and interest rates that you want. Here is some information that will help you determine if an airline credit card is for you.
An airline sponsored credit card only allows you to work with one specific airline. If that specific airline offers the majority of the destination routes in your area, it will give you convenience and efficiency and it will be quite economical. Bank sponsored credit cards allow you more choices. Why? Because the air miles that you amass can be utilized with a wide range of airlines. If you have no airline in your realm that controls the majority of destination routes, this is the card that will be the best to you. Another plus is that often the minimum amount of air miles called for before you can use them for travel is lower with an airline sponsored card. However, use extreme caution. Bank sponsored credit cards are open to a lot of fine print.
Membership and annual fees can vary greatly for different kinds of cards. Virtually all major credit card companies offer standard, gold and platinum air miles credit cards. Realize that the better the deal, the higher the fees. Gold and platinum cards give you high credit limits but membership and annual fees are also higher and these mount up quickly. Most major credit card companies offer introductory air miles cards with 0 % interest. How come? Because they want your credit card business. If interest rates are of concern for you, an air mile reward credit card is not the card for you since interest rates tend to be quite high. Most air miles credit cards have a token number of skymiles that have to accumulate before you get a free or discounted trip. Be sure to read the fine print and then read it again. Be sure you understand all of the stipulations.
If you travel often for business or vacationing, an air mile credit card can be very useful. With these varieties of cards, you use your credit card to purchase your everyday goods and services. In return, you accumulate a reward in the form of points and then you redeem them for air miles. You then use the air miles to get free or discounted trips to the destination of your choice. As an added motivator, airline credit cards often offer bonus air miles at chosen stores, or on specific travel destinations. Generally, both airline and bank sponsored cards give bonus air miles when you sign with their company. Remember to read carefully the conditions and offers from any company. Like all credit cards, the interest rate may change over time, and when using your bonus airline miles, special conditions may apply.
There are a few disadvantages to using an air mile credit card. Oftentimes these cards, as stated earlier, have much higher interest rates than standard cards, which can add up rapidly if you don't pay the complete balance off each month. Another disadvantage is that these cards are often used for superfluous purchases in order to accumulate points to be switched over for air miles. There are many matters to consider with air mile credit cards. Does the card accept balance transfers? What sort of purchases are eligible for rewards and what is the amount that you have to spend in order to earn reward miles? As with all credit cards, an air mile reward credit card has to be used responsibly in order for the cardholder to reap the benefits. To quote a famous scholar, let the "flyer" beware!
