Airline Credit Cards

Recently, I found out that I was approved for an airline credit card that I applied for. As I try to think of at least somewhat interesting things to blog about, I thought I'd write a blog entry about airline credit cards. With the new credit card I'll be receiving soon, I'll have had four airline credit cards so I feel I know a little about them. Airline credit cards can be useful in helping the consumer earn airmiles for things they would've bought anyway or they can be a waste of money. It depends on how much you use the card. I remember reading an article in the Smarter Travel email I receive every week. The author whose name I can't remember recommended that if you are going to have an airline credit card, you should use THAT card for all your credit card purchases. The author had a valid point. If you charge $3,000 or $4,000 worth or merchandise and services on your airline credit card in a year then, it can be worth the $55 or higher fee you'll have to pay every year. If you don't then, it is a waste of money and a bit of a rip-off. Case in point, I had an American Airlines AAdvantage credit card. The card cost me $85 a year. I only used it 3 or 4 times a year and never charged more than $500 in an entire year. Why is that a rip-off? Because in effect, I paid $85 for 500 airmiles. You can get a much better deal buying the airmiles from the airline vice paying that. This is why it is so important that if you are going to have an airline credit card that, you use it extensively as long as you don't get yourself into massive debt doing so. The more airmiles you earn while using the card, the better deal the card is. There is one catch here. Hopefully, you'll be able to use all those airmiles you're accumulating. As I previously blogged about, in some cases, it is getting harder to get free seats or upgrades using your airmiles. A number of airlines are making it easier than ever to earn airmiles. This is great for them in generating business but it is bad for the traveller as it means there is greater competition for the limited number of free seats and upgrades. Airmiles are worthless if you can't use them when you want. There are travel credit cards that can get you seats on any airline you want. As I don't have any experience trying to get a ticket with one of those credit cards, I don't feel I'm qualified to comment on those cards.

In conclusion, airline credit cards can be a nice way to earn free travel providing you use them extensively. As the unnamed author at Smarter Travel recommended, if you are going to have an airline credit card, you should pick one airline and use their card solely. The more airmiles you earn in a year using the card, the better the deal the card is. If you're not going to use an airline credit card a lot, you'll want to find one that doesn't have a yearly fee. There are a few out there that don't charge a yearly fee. However, most airline credit cards do charge a yearly fee of between $55 and $85 a year. Bon voyage!