You may be considering looking into applying for a miles credit card, however you are also wondering how they work. The idea behind a miles card is quite simple. Many credit card companies wanted to give their customers better incentives to apply and carry their credit card, so they joined with different airlines to offer free travel miles etc. to give them more for their spending. This means that their customers that travel a lot could earn mileage points for flights they made and then after so many points were accumulated they could travel free to certain destinations.
Okay, now you are still wondering what all that means. Well, to put it simply, a miles card gives you points for every dollar or maybe two dollars that you charge on your miles credit card. These miles when you have accumulated enough can be converted into hotel stays, car rentals, flights, etc? that the miles credit cards allows. This is great for people that travel all the time.
Since today there are many different miles credit cards available you will have to pay close attention to the incentives and of course the interest rate, annual fees, and finance charges that each miles card offers to ensure you choose the one that fits your lifestyle and gives you the most in rewards.
You will find that one miles card will offer no annual fees, 5000 bonus miles with your first purchase using the miles card, a zero percent APR for the first 12 months and one mile for every dollar that you charge. They even go so far as to allow balance transfers and after the first 12 months, the APR is at 10.99 percent. This ARP may change however due to the other changes throughout the year. Some miles credit cards can be used for any airline, any seat you desire, and no blackout dates. This is a great one if you can choose your own airline. However, this type of miles card is only given to people with an excellent credit rating.
You will also find that a miles card is offered in Bronze, Platinum and Gold. Each card offered varies on what their incentives are for bonus miles. A Bronze miles card may offer 5000 bonus miles with your first charge with one mile given for every two dollars you charge. A Platinum miles card may offer 20,000 bonus miles for every dollar spent with your first charge.
Just remember, to look at what airlines you can use, what hotels are offered, even the car rental companies that are included in the incentive program for the miles card you have chosen. Every miles card will be different according to which company offers the credit.
The major complaint centered on a miles card is the high interest rate. The normal rate after the first 12 months of 0% APR is usually around 17.49% with most major miles credit cards.
If you own an airline credit card you might think that the miles you earn can only be redeemed for airline tickets from your credit card provider or selected airlines, but this in not the case. More and more credit card providers are offering you the consumer, a wide variety of options to choose from. You get to decide how and where you spend your miles. So what can you do with air miles besides fly?
If you enjoy eating out as much as you enjoy flying, you can treat yourself and your favourite people to great restaurant dinners such as at the Olive Garden, you also have the option to turn your miles into gifts by purchasing restaurant gift cards in denominations of $50 each.
Are you into DIY? It is quite popular and very therapeutic for some people, so why not take your air miles down to your local Home Depot and trade them in for gift cards for yourself or for your friends and family. Now you can finally get that decking finished.
Does the cost of this years Christmas presents fill you with dread? If you have been using your airline credit card all year, you can reduce your Christmas bill by redeeming your air miles for children's toys at toys stores such as Toys R Us.
If you do decide to travel, you can save on hotel bills by redeeming your miles for rooms at hotels such as the Marriot; you can also enjoy free car rentals courtesy of your air miles as well, using your card in such a way, provides the maximum benefits of an airline card which is free flight, free hotel and free car rental.
Maybe you would like to take a cruise to celebrate a momentous occasion, airline card providers gives you this option as well. Although with some providers the cruise liner is chosen for you, look around as certain card providers would allow you to redeem your miles on any cruise or travel package.
Card providers try to cater for your every need by offering a host of great merchandise, one of the offers is sure to entice you. From ipods to golf clubs, from pet supplies to nap sacks, what ever you fancy chances are you can trade your air miles for it.
If you would just like plain cash for an unexpected bill or a pleasure purchase, you can trade your miles for this as well. Based on the number of miles you have you can redeem for cash values ranging form $25 to $600 which is not a bad reward, you can actually be paid in cash for doing what you love, shopping and flying.
The next time you are faced with an airline credit card offer, if you are tempted to turn it down because you are not a frequent flyer, remember there is a whole lot more to do with your air miles than fly.
Both Robert Alan & Anthony Samuel are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
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