Affinity credit cards are cards tied-up to a certain organization. For airline companies, they’re a big money-maker. Sometimes even if you don’t really need another credit card, these ones have such strong and appealing come-ons and sign-up offers, they’re hard to say no to.
What Really Is An Airline Credit Card?
If you’re not too familiar with an airline credit card, it’s somewhat similar to a cash back credit card, except that you don’t earn cash every time you spend. Instead you earn points that are convertible to miles. Once you’ve gathered enough miles, you can use these in exchange for free travel anywhere in the world.
The most popular and well-known airline reward scheme was Airmiles from British Airways. Sometime in 2011, this changed to Avios, which is still generally the same. Other airline credit cards are Easyjet, Flybe, Ryanair and Virgin. As you spend, these cards allow you to gather more miles. The reward schemes and values may vary from card to card but you can more or less expect to spend something like five to six thousand pounds to get a free flight to Paris.
Choose a Good, Practical Airline Credit Card
If you have this under consideration, be smart when choosing from any of the airline credit cards. Take a close look at the bonuses being offered. Consider how often you use the airline and consider as well the other airlines and businesses they’re working and associated with.
Be aware that many of these cards waive their annual fee for the first year and that using it makes it easy for you to keep your earned miles active. You should also know that some airlines may have some minor additional fees when you redeem your points so that the free ticket may cost you more than what you had planned for. On top of all these, of course, make sure you can afford another credit card. You wouldn’t want to unnecessarily create any bad loans.
What Are the Advantages of An Airline Credit Card?
If you spend frequently using your airline credit card, you get to accumulate enough miles for a free flight faster and easily. If you’re a businessman who does a lot of traveling, this could save you a lot of flying costs. Sometimes several of these cards would even offer some extra benefits and bonuses in their promotions. Watch out for them and take full advantage.
Many of these airline credit cards have an annual fee of 150 pounds. These may be worth it only if the range of rewards are particularly attractive.
Do some pencil pushing and some personal budget computations. Make sure you can afford to pay off the balance in full each month. No point in having your account labeled as a bad loan by these airlines.