What's the Best Airline Travel Credit Card?

Travel costs can be considerable, which is why many travel vendors, such as hotel chains, rental car companies and airlines offer loyalty programs. These programs allow travelers to earn free travel products, such as airfare or hotel stays, by booking travel.

What are Airline Travel Credit Cards?

To accelerate the earnings process, many airlines have partnered with credit card companies to offer the opportunity to earn airline miles through the use of a credit card. Airline travel credit cards allow users to earn points per every dollar spent using the card. The advantage to this is that individuals can more quickly earn a free airline ticket, or other perks, by making everyday purchases. It also allows someone who does not travel frequently to earn free travel without having to wait years before qualifying for a free ticket.

In most cases, these credit cards also earn you preferential treatment onboard and in airports. For example, you may be able to get preferred boarding, passes to airline clubs, seating upgrades, and discounts on in-flight purchases. These privileges can make travel, even work travel more bearable and add value to your card usage.

Airline Travel Credit Card Features

Each airline travel credit card has its own distinct features. Here are some things you might want to look for when selecting an airline mileage credit card:

Airline specific vs. generic travel credit cards: Some airline mile cards are affiliated with one airline and its loyalty program, while others allow you to earn miles that cannot be applied to tickets with any airline. If you have a preferred airline, you may be able to get a better deal by choosing a card affiliated with that airline.

Airline partnerships: Some smaller or foreign airlines partner with major U.S. airlines so that travelers can earn mileage in a select program when flying on other carriers. This can be a real advantage if you are flying overseas or to an area where your preferred airline does not travel.

Mileage per dollar spent: find out how many miles you get for every dollar spent using the card. In some cases, some purchases may qualify you for additional miles. For example, your card might normally give you 2 miles for every dollar spent, but travel related purchases might qualify you for five dollars per dollar spent. If you tend to spend a lot in a particular category, and that category qualifies for bonus miles, that card might be a good option.

Bonus offers: Many airline travel credit cards offer a sign on bonus either in the form of miles, reduced interest rates in the first couple of months, or both. Offers can change frequently, so it makes sense to monitor credit card companies offerings and apply when a strong deal comes along.

Loyalty tier advancement: Some airline cards allow you to earn points toward moving into higher tiers in the loyalty club. This can accelerate the rate at which you earn rewards, while also qualifying you for upgrades and other travel-related amenities when you fly.

Perks: Some credit cards offer travelers additional perks. These might include access to airport lounges, additional ticket upgrades or free checked baggage.

Travel insurance: if you use your airline credit card to purchase travel products, you may automatically be covered by travel insurance or other coverage. This can vary between cards and vendors, but you might be able to get travel cancellation insurance, lost baggage coverage, emergency assistance, or rental car liability coverage.

Costs & fees: Many credit cards have annual fees, the cost of which can add up over time. In addition, other fees, such as for late payments or going over your credit limit, can also increase the cost of using your card. Pay attention to these fees and charges when making a decision about which card to apply for. It's also important to be aware of interest rates. Well you may qualify for a low introductory rate when you first open an account, that rate may go up significantly over time.

Best Airline Travel Credit Cards

Below are some top-rated airline travel credit cards:

Delta SkyMiles® Gold American Express Card: Normally, you will earn one mile per dollar spent with this American Express card, but purchases made with Delta, restaurants, meal delivery services or at grocery stores will get you two miles per dollar. Other benefits include one free checked bag when you fly, rental car insurance coverage and purchase protection that covers products purchased with your card.

UnitedSM Explorer Card: United flyers can earn miles with this Chase Visa card. You'll earn 1 mile on every dollar spent, but can earn 2 miles on travel related expenses, including hotel stays, restaurant dining, delivery and airfare. You'll also get two free passes to United Club airport lounges, priority boarding, a $100 credit toward Global Entry or TSA Precheck applications, a free checked bag, and cash back on in-flight purchases.

Southwest Rapid Rewards Credit Card: Southwest Rapid Rewards members can use this Chase Visa to earn one mile per dollar on most purchases, but it also offers bonus miles on several categories, including public transit, internet and streaming services, cabs/rideshare, dining and delivery, and triple points on purchases made with Delta. Users also get four flight upgrades per year, a 7,500 mile birthday bonus, and free baggage check.

Citi® / AAdvantage® Platinum Select® World Elite Mastercard®: Citibank and American Airlines have teamed up on this Mastercard that offers one mile per dollar spent with the card for most items: You can earn double miles at restaurants and gas stations, as well as for American Airlines purchases. Other perks include one free checked bag for yourself and up to four traveling companions, discounts on in-flight purchases, and preferred boarding.

Alaska Airlines Visa® Credit Card: Available through Bank of America, this card offers a straightforward one mile per dollar spent on most purchases and three miles per dollar spent with Alaska Airlines. Other perks include discounts on in-flight purchases, half off on airport lounge day passes, and a companion fare offer for your birthday.

As noted above, many of these cards offer excellent introductory bonus point offers along with waived or low fees. These offers change frequently, but in many cases the bonus point offer may exceed what you would need for a free ticket or an upgraded fare. If you are planning a trip in the near future, getting an airline card can significantly reduce your costs.

Final Word

One thing to keep in mind is that credit cards, even those that earn points, come with fees and if you don't pay off your balance each month, interest charges. These costs can offset the amount of savings you receive through perks and free tickets. When choosing a travel credit card, calculate these costs to make sure that you are actually benefiting from your card. If you carry a balance, or end up paying the amount due late (thus incurring fees) your travel savings may not make up for these costs. In such cases, you may be better off using a debit card.