Why Airline Credit Cards Suck
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- Опубліковано 25 чер 2024
- As air travel is one of the most sought-after redemption options, you would think that airline credit cards would be the best way to earn points and miles.
Well, that’s definitely not the case, and airline credit cards suck, and I'll explain why in this video.
There will certainly be exceptions, like the Bank of America Alaska Airlines card and the Chase Aeroplan card. And, of course, every credit card will be worth it in the first year as long as you can meet the minimum spend requirement and earn the welcome offer.
And the way this video will be structured is that we'll be talking about credit cards from 3 different airlines: Delta Airlines, United Airlines, and Southwest Airlines.
And the reason I’ve chosen these 3 airlines is that their credit cards each exhibit one or more key characteristics that makes airline credit cards less desirable than a comparable hotel card or general credit card that earns a flexible points currency.
Whether or not airline credit cards will be right for you will be based on a variety of factors, including your personal airline loyalty, travel habits, spending patterns, and more, but for the everyday traveler, in my view, other credit cards are much better to have as compared to airline credit cards.
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📚 Chapters:
00:00 Intro
00:24 Credit Card Exceptions and Background
02:37 Delta Airlines
06:52 United Airlines
10:07 Southwest Airlines
14:05 Outro
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#creditcard #travelcreditcards #creditcardrewards
‘Don’t have much experience with air travel’ *flew 60 times in 2023* 😅
Haha! Ok, I guess I may have some experience 🤪
Dang!! What kind of traveler you are???😮😮😮something is not right 😅😅😅 you f***""liar !!
😂😂liar!!! 100%
essentially, it boils down to the fact that airline cards earn "inflexible points" while simultaneously have much worse multipliers than premium travel cards that earn "flexible" points. having awful multipliers earning "inflexible" points, while compared to higher multipliers earning "flexible" points is the ultimate deal breaker. but if you live near a major airline hub, and you fly with that single airline frequently, it still makes sense to have card for that particular airline alone.
Great summary of the situation! It all depends on the travel patterns if an airline credit card is worth it! For the larger majority of people, incuding occasional flyers, it's typically better to get a flexible point earning card for, yes, better multipliers and more flexibility. It's those niche passengers that fly on a single airline often where they can truly unlock the value of an airline credit card. Of course, some cards can work for occasional flyers as well depending on how the benefits are used!
Yea but only if you fly just below hitting the lowest membership tier. Once you hit that the free check bag and priority seating become overlapping
Love my Alaska Card with that automatic Companion Pass! Definitely agree with you though that in almost all cases, Airline Credit Cards aren't worth it long-term beyond the Year 1 value from the welcome bonuses. Like you said, a huge reason people may decide to get Airline Cards in the first place would be due to lounge access, but greater restrictions coming, it definitely makes that less of an appeal. Personally, I think the main Airline Cards I'll consider in the future will be ones with a clear downgrade path to a $0 Fee Card, so that I technically don't have much downside with those Cards and can capitalize on the Y1 Welcome Bonus value. Great video as always Stan!
Thanks Matt! Yeah, I'm actually pretty happy that the United/Delta cards have a clear downgrade path to a no annual fee card, if necessary. For you though, I know you'll be using Alaska as your main, and since you grandfathered into the annual companion certificate, that card is going to get you a lot of value for many years to come. I agree though, most airline credit cards are going to fall in the one-and-done category, unless you fly often in a particular airline, and after doing the calculations, it makes sense to keep it after year 1!
💯 Thanks for the info + video!
Of course, Jimmy James! Appreciate you!!
Agree 💯! Checked ✅ bags is a great perk but I still wonder why those airline cards have by far weakest multipliers. Great video, thanks for the info Stan!
Thank you César! Checked bags get you the easiest value back IMO, but yeah, the multipliers need some work - otherwise there's no need to spend on the card as compared to another flexible point earning card!
Thanks for this video Stan, I was just thinking about how I have no airline credit cards in my strategy. I guess it will stay that way haha
Of course, Jake! Yeah, airline credit cards aren't anything special - you're probably better off with what you have - haha!
Great vid stan & i completely agree.
My wife has a southwest card, but i don’t really see myself getting any airline cards. Im probably sticking with transferrable pt cards or hotel cards.
Thanks Doc! Yeah, airline cards aren’t as valuable generally imo as flexible cards and hotel cards. The nice thing is that cards like United Explorer and Delta Gold have $0 intro AFs so you can take them for a spin, at least for a year, to see if they’re right for you!
Great and informative video as always Stan. I was unaware that in order to get the free checked bag with the Explorer card, you need to book the flight with that card. I thought you just had to pay for the checked bags with the Explorer and then you get reimbursed.
Not sure if I will ever get a United card, even though EWR is my main airport. I'll probably just finish up getting hotel cards and if I have 5/24 room, maybe get a United card in the future just for the SUB.
Of course! Yeah, that Explorer card has some annoying restrictions like that, but that's how they keep you spending on the card! Yeah, no rush on the United cards - they'll always be there. Hotel cards are definitely a great way to get good value on your travels. Not sure if you're into business cards, but the United Business card is pretty nice, saves on that Chase 5/24 status, and usually has a good welcome offer. Only downside is that the comparable United Explorer card has that $0 intro annual fee, which may be nice if you wanted to give that type of card for a spin!
Yeahh, for the most part I agree. For me, the Delta Business Gold was great for the Welcome Offer, the checked bags saved me a lot of money, the 15% off SkyMiles when booking with miles, as well as just priority boarding which was a lot better than expected - all of this has been very valuable for me - and I couldn’t get with any other cards.
I’d say at least that’s given me back $500 in value in less than a year so far, and it’s $0 annual fee the first year.
And from what I hear, even Silver w/ United seems to be decently powerful for upgrades oddly enough.
Totally agreed on airline status benefits overlapping with the credit card benefits. That’s very common.
So for sure, I think most of the time, some of our other cards can outperform, but there are a few key cards that work when you fly a bit more often, more so with Delta for me 😂
Great breakdown Stan, great points all around, and you truly are a Southwest king! I mean 57 flights, that’s like 1/4 of your life 😂
Thanks Tony! Sounds like you're getting a lot of awesome value with the Delta Business Gold card. It's definitely a year 1 card for sure, but it becomes more questionable with year 2 and beyond. That $0 intro AF is great! I think the Delta Business cards are better than the personals since they have slightly better statement credits. The only real difference is the MSR on the welcome offers, but if you can hit those, they're definitely the better card. Haha, and yes! Lots of time spent with Southwest!!
Something else that’s worth pointing out about airline cards and hotel cards now that I mention it is their restriction to a single program can sometimes wipe the value of your points down to zilch. For instance, even if you love United and deck your wallet out in United cards, fact is United doesn’t have a direct flight from say Vegas to London. So in that instance you’d be stuck with a card earning 1x back on a BA flight. Building loyalty with a single brand is hard because a single brand can’t do the job alone. With transferable points, the points can be deployed to the appropriate battlefield when needed.
Great video, Stan.
That's a very good point Elliott! That's why airline alliances exist, but you're right, if you use the airline that you have the co-branded credit card on, you risk devaluing the points you get. And since airline multipliers suck already, that just makes a bad situation worse. For airlines, in particular, having the flexibility to move from one to the other is super helpful, and flexible point earning cards are the best for this purpose with transfer partners! Great tips here!
For people who live by a specific hub, that airline will take you to most of the world. Frankly, you don’t have an option of which airline you’ll be loyal to if you want the convenience of direct flights from where you live. Case and point - people who live in NJ and Houston are stuck on United. Even then…chase sapphire is still a better credit card than the United branded cards since chase has better earning overall and you can transfer points to United and Hyatt.
@@TheCreditFrog100% agree with you!!!👌👌👍👍
@@stephanieli2669 Yeah, that's true! If you live at a certain airport hub, you have the most amount of nonstop flights to any destination, but getting upgrades on those segments may be more difficulty because there's so many people flying on that airline. I will say that that the one thing that the United co-branded cards have over the CSP/CSR is access to United Clubs so I think it depends on your location. I would have a CSR if I lived in Boston, but would probably have a United Club Infinite in Chicago. Of course, both would be better, but you know what I mean haha!
Thank you Stan for this video. I agree that the multipliers suck! I have the United Mileage Plus personal and business cards, so I get 4 club passes a year. I have it linked to the Amex Platinum, so I use the $200 Amex for the Travel bank to use more lounges if needed.
Of course Joe! Yeah, airline credit cards are definitely special, but I like the use case you described. Since Amex let's you use the United Travel Bank, and you have those United card, you have a good well to draw from when it comes to United lounge access, which is harder to get into unless you pay up front or have a credit card with some passes. Tbh, I really miss my United Explorer card for this purpose, and maybe if I ever start flying United again, I may PC back up to it!
Insightful video Stan! I'm always unsure of how to feel about airline cards as yes they can be powerful for their flight benefits (especially since I don't have any statuses), but they're such poor earners & they have features that entice you to spend more on them (e.g. new credits on the Delta cards).
Thanks Monty! Here's how I would think of them. If you find yourself flying a particular airline a lot, dive into that airline's particular credit card lineup and see if the benefits would work for you! Specifically free checked bags because that's the easiest way you'd get value back. But once you select said airline card, now you're incentivized to fly that airline often so you can maximize your benefits and experience with that single airline. So it funnels you into one system in a way - works for some, but not others! Personally, I'd rather do that with hotel cards. Also, I fly SW so since I already get free checked bags, the Platinum is good enough for me and I don't need to get their cards (unless I'm gunning for CP, which I may do towards the end of this year!)
@@TheCreditFrog Thanks & completely agree! I'd also prefer to get funneled into 1 system with hotel credit cards, especially since you can maximize 1 system & then easily move onto another. It's harder with airline cards since not all airlines will serve your main airport unless you live in LA or something.
Thanks for the video. For me in my situation my airline credit card works for me. My wife and I travel about 6to9 times a year all for pleasure. I do not fly enough to earn any status on an airline. Unless you're flying for business, most people don't fly that open.
Please keep producing the videosyou content creators. I have learned a lot from.
And if I ever see you I will be sure to buy you a drink
Thanks Dave! I would appreciate that haha! I'm glad you're able to travel with your wife for vacations casually. I agree, with that type of flight frequency, airline credit cards would be helpful to get those basic benefits usually offered with airline status. Appreciate the support my friend!
I like your "digging out of the hole" metaphor! If you only have one shovel, go for the hole with the biggest reward (Amex Plat or Brilliant which has OUTSIZED value), and not the little stuff (just getting back to +$0).
Thanks LK! Yeah, I agree. You get a lot of outsized value on those higher AF cards because they tend to have more benefits and statement credits. The mid-tiers can be ok, but they generally get you back to $0, if anything, unless you count things like offers and deals. Great observation!
Have to agree here. When I eventually get an airline card it’ll be for the extra perks and the sign up bonus but not the spending multipliers
Thanks Jacob! Yeah, I'm surprised that you don't have an airline card yet since you take a lot of trips and travel often! I guess that just shows how other types of credit cards like flexible point cards and hotel cards are just better to have in general!
Agreed. I got both the Alaska business and personal cards when they gave the companion certs without spend. Flying to Fairbanks again this week 🥶. -52°F last week.
Oh dang, that is SUPER cold ⛄! Way too cold for my liking, but I'm glad you grandfathered into the Alaska cards, and you have both personal and business - awesome!! Those Companion certs are awesome!
Went to Fairbanks back in nov. to hot springs. And also to Juneau. Hope to visit anchorage next year!
Just got the United Explorer card for the SUB and to see what their priority boarding is like. Living next to a United hub they fly to pretty much any place we’d want to go to plus the $0 year 1 AF helped with getting it
Nice Nick! Congrats on the new card 🎉. I loved the Explorer card - just using the 2 lounge passes every year got me net positive value. I'm all about priority boarding and it really decreases my anxiety when boarding a plane so I have a spot for my carry-on. If you check bags, that's even more value! If you fly with United at least twice a year, it's a great card for that purpose!
recently got the Amex Delta Business Gold card. Not a big earner, but a keeper card for me where free checked bags alone is a perk. Add in the 15% discount booking with points (that I transfer from Amex) plus the $150 hotel credit and it seems like a great card for me. Yes hotel credit is through their platform but for a non Hilton or Marriott or Hyatt stay might be how I use that. And a rare Amex card not splitting it up into quarterly or monthly chunks.
That's awesome! The way you're using the Business Delta Gold is how to maximize all the benefits on that card. Luckily, it doesn't need to be a card for spend (unless you're going for that MSR on the welcome offer of course!). Also, the fact that it has a $0 intro annual fee is just the cherry on top. If you only use this card for the 1st year in the way that you describe, you'll make out like a bandit! If you fly Delta often, may be worth it to keep it past then, but you'll have a year to figure that out!
Depending on the card you might be able to get a retention offer. I got one on the Quest last year being the 3rd year ive had it (got in 2022 for 100k offer). Flew to India for work R/T for free almost a 2kUSD ticket.
Also have received a few spend offers to 5x on a few categories. Used the discounted reward bookings for 3 tickets from ROM to FL. (chase UR and UA miles). Did another mixed redemption from Asia to the East Coast. If you are flying UA even a little it makes a lot of sense to get that card.
It does take a bit of work but it’s not that hard.
Yeah, it really depends on the offers you get and how you can redeem your miles! It’s also a matter of personal preference. It’s nice you were able to get a retention offer and those elevated 5X categories every so often! Sounds like you’re getting a lot of great value for your airline credit cards! Awesome!
I'm a corporate traveler. I have Delta reserve so help me earn status faster. While it's multiier is weak, if I gain status that ups my miles multiplier since there's multipliers for each elite status. I only fly Delta though and I got upgraded frequently. I enjoy the Comfort + and 1st Class upgrades so it's worth it for me.
The way I look at it, Reserve card's 3x multiplier becomes 10x if I hit silver, which is above the multiplier for Platinum. Someone in platinum would have to spend 15k without a card to get that many points, but with my card I'm guaranteed to hit silver with the 2500 mqd boost and I've spent 650.
I care about status but at the same time I wouldn't have this card if I was flying personally. I'll keep it as long as work is footing the bill for my flights.
Nice! Yeah, the Delta Reserve card is primarily a benefits card, just like the other Delta cards at this point, but the MQD boost on their Platinum/Reserve personal/business lineup is pretty good for those Delta loyalists like yourself. And if you're a corporate traveler, it's definitely worth it to have some sort of status. As someone who also flies frequently (but on Southwest), there's definitely a lot of value with higher-tier airline status. Happy to hear that you're able to get Comfort+ and some 1st Class upgrades! I heard those are hard to come by, especially if you fly out of a hub airport.
Long term SW credit card holder. The main reason to have is for those upgraded boarding pass. If you forget to check in exactly on time i have the option to get free upgrade. Life saver at times.
Yeah, I love having those upgraded boarding passes! I think for the occasional flyer, these benefits are great! But once you get to A-List and A-List Preferred, those boarding passes aren't as useful anymore since you already get upgraded boarding!
Living in Houston the united quest is a must if you fly but don’t have status. Airline status is also difficult to get. If you fly once on United and pay using the united quest card you’ve made your money back. S tier
Not sure if I'd agree with the Quest card. I think the Explorer card is probably the better card in terms of value, but I guess it would depend on how often you fly on United. But if you fly a lot of United - at that point, it's better to get the Club Infinite card IMO!
Stan, maybe the strategy for airline cards is to hold a card with your SECONDARY carrier (the one with which you do not have status, but maybe fly occasionally during the year because of certain routes). This way you have priority boarding with your primary carrier because of status, and you also avoid “paying up” for a ticket with your primary carrier if a less expensive option is available with a secondary carrier. Thoughts?
Yeah, I think that would be something to think about! I think it depends since it seems counterintuitive to get a credit card on an airline you're not really flying with regularly, but I can see how it could be beneficial. It comes down to you doing the math for yourself and seeing if the value is there. Even the smallest thing like free checked bags can put you in net positive territory!
@@TheCreditFrog Totally. The “free checked bag” benefit can often extend to Basic Economy tickets in the form of a free carry-on too. So there can be value there as well.
One item you didn't mention is the spend towards mqd/status with Delta, to some, that's important.
Yup! Those new MQD changes are pretty important since Delta recently revamped their cards. I addressed it in detail in the Delta changes video I made directly before this one, but great point!
I think shipping on the Alaska business is a great category for spending. It would be difficult to earn as much 2X in any other category, even the personal version, unless you're driving for a living. Though 1X isn't bad if you're using their miles for international flights with their partners (say 3 cents per mile).
I've read through the Delta forums, it is incredible how many people put every dollar they can on the Delta Cards. These aren't people in the credit card game, they don't even seem to switch to Double Cash once they've hit their spending goals for the year. I guess Delta cards made up 1% of last year's GDP for a reason!
That's insane! It just goes to show that Delta is targeting a specific subset of users, likely business users, who put a lot of spend on their cards. I know some people just don't care and want simplicity, but all that value lost just makes me cringe a little inside. There are fewer and fewer cards with a good shipping multiplier so yeah, if you fly Alaska and/or know how to use their cards, this is a nice way to get some good earnings on that spend.
Also a big disadvantage is most of Lots of these cards don’t offer trip insurance/travel delay 😩. I find it tough to weigh the pros of free bag vs the Insurance Amex Plat Chase Sapphire offer
Very true! Just another reason to get those mid to high tier flexible point earning cards!
Did not expect that nonchalant “57 times” 😂
Haha 🤣! It actually surprised me on how single-sided my air travel was last year!
I just like the priority boarding
Yes, the benefits of having an airline card is complimentary to one’s core set up. Thats why I have one as well.
Me too. Such a nice benefit to have!
I don’t have any of these cards, I have the JetBlue world Mastercard but I still agree with ur opinions!!! 😁😁😁
Airline cards are incredibly polarizing, but yeah, airline credit cards can be good in certain situations, but there are certainly better options out there!
I got an airline credit card for the perks and benefits only. It can be a good addition to your core flexible currency line up.
Definitely! Airline credit cards can be very helpful if used in the right way! But yeah, the multipliers suck - no getting around that!
hi Stan, question again... does the 2x dining on United Explorer applies outside US? thanks
Yes, it should!
Didn’t realize you don’t get the perks for United if you don’t book using the card. Disappointing but I think the Explorer card is still worth it for me! Thanks as always Stan!
Yeah, it's an unfortunate system, but that's how United keeps you spending on their cards! I have to say though, being in Group 2 boarding on United is worth it. It's so nice being seated earlier than general boarding and making sure my carry-on has a spot in the overhead compartment - and close to me as well! Glad you enjoyed the video Jake!
@@TheCreditFrog Thanks! If I booked a United flight using points through Turkish for example and payed the taxes and fees with the card, would I still get the benefits?
@JakeVanderPloeg That’s a good question! Based on how the terms are worded: “must purchase your tickets” with the card and provide your mileage plus number with your reservation, I think it’s possible! Not sure though, I’ve never tried it.
@@TheCreditFrog Gotcha. No worries. Thanks Stan
Oh, wow. I booked a first class Delta flight from Seattle to Las Vegas and thought that I could not use the lounge at the Seattle airport, but your video says otherwise. Is it true? This is my first delta flight ever!
Yes! If you booked a first class Delta flight, you should be able to access the Delta Sky Club! It's a part of the ticket!
Great! Thanks for your confirmation. Definitely looking forward to it.@@TheCreditFrog
Agree, only thing is I’ve gotten a lot of chase my bonus offers for 5x On my SW card almost every quarter
Yeah, that's pretty solid! Chase does those promotions for their cards and it's like a little 5X rotating category bonus! I get those on my United Gateway and Bonvoy Bold cards too!
Stan, I got the Bilt Card today - I’m 6/24. Maybe I’ll start working on my Lol/24 status.
I wanted a way to get some AA Miles and I think Bilt transactions earn more miles than the AA cards (without the SUBs) do with non-ticket spend.
Keith! Congrats on the Bilt card 🎉!! It is definitely worth a 5/24 slot 😎. Yeah, it's great that Bilt has AA as a transfer partner and if you can use that 5-day 5X welcome offer plus the rent day promotion for double points, you can start racking up a lot of Bilt points!
Thanks, Stan. They gave me a $30K CL so I'm going to run up the score on them. It will be my daily driver but I'm moving all recurring spending to Rent Day for the 2X; so in theory most of my charges will be 2x or more on the card. It's a M/C so I can add it to AA Simplymiles portal for their monthly offers. I've I don't use the Bilt points for their Rent Day Transfer Bonuses then they'll go towards AA miles because are so valuable.@@TheCreditFrog
30k CL for me too! Nice! The only downside is the cap on Rent Day spend, which is 10,000 points, so if you're gunning with 2X, then the most you can spend is $5,000. Kind of annoying, but appropriate for a no annual fee card, I guess.
@@TheCreditFrog ugh. I thought it was $10k of spend and not 10k of points. Damn it.
There is one exception that isn’t noted here. Not sure about Delta or SW, but having a United cobranded card will unlock lower redemption prices (XN fare class). This is actually quite useful if you live in a United hub and have a ton of United points and can easily make up the AF.
Great point! That does sound super useful - thanks for bringing it up. Having a lower redemption price can certainly add up over time!
They may be worthwhile for someone to get one of the Delta cards and earn points and then use those points to book a flight on a Skyteam airline that is Delta and one that has no transferrable currencies to it from Chase/Amex/Bilt/Cap1. Just my thoughts. Same for United cards, etc.
Definitely! I think that US airlines though, don't have great transferability to partner international airlines, in terms of great value, whereas the opposite is true! Exceptions exist, of course, so it's something to think about!
This will basically apply to nobody watching but if you live in Japan and get the Amex delta gold card (28,600 yen/year or about $191 usd/ year) then starting from card anniversary you get gold medallion status. I had this card when I lived there and I got to visit deltas lounges for the first time and was bumped up to first class for the first time because of that credit card and the gold medallion status. One can only dream this will expand outside of Japan.
Oh seriously? Does the Delta Gold card in Japan get you Gold Medallion status as a standard benefit! If so, that's pretty awesome! Wish there were benefits like that here in the US. But we're spoiled in some ways, so that's why we can't have these nice things.
That is honestly an amazing benefit. Especially if you ever fly out of Haneda, the Skylounge there is excellent!
@@exclusivelymattHello! I have yet to try the Sky Lounge at Haneda airport because I lived in Japan when Delta had the Sky Lounge at Narita airport. Of course I visited that and it was my first real sample of what a lounge should be. Very hard to enjoy another lounge for me after experiencing that. 😅
hi Stan, is the 3x dining on CSP limited to US dining or is it dining globally?
It should work for dining globally!
Are you sure we can still access Delta Sky Club just by holding the AMEX Plat?
Yes, but beginning 2/1/25, the unlimited access will be changing to 10 annual visits.
Didn’t see it mentioned but the Amex delta gold and above give you 15% discount of flights booked with miles. One flight I’m taking transferring to virgin it’ll be 55k points. Although if I got the gold it would be 51k transferring to delta.
Thanks for pointing that out Logan! Yeah, I didn't highlight that benefit, but it's definitely a good one! We should take every discount we can get to up the value of our redemptions!
hi Stan, given that the Explorer offers $0 AF on the 1st yr, will Chase claw back the SUB when I downgrade the Explorer on the 2nd yr to $0 AF card?
No, you should be fine once the second year AF hits!
To me, it's quite different. I don't see any value in the hotel credit cards because when I'm traveling somewhere, I'm going there to see things, like the city itself, food culture, historical sites, etc. I'm not going there to stay in the hotel of course. So it doesn't make any sense for me to get a hotel credit card because I don't get any proper value out of it. I need a decent-quality hotel room to have a decent sleep. On the other hand, if I can get a companion pass that's more valuable to me.
That's fair Asif! I think it depends on the type of traveler you are, and since you're the adventurous type, that totally makes sense! Taking a family/friend using a companion pass is great value too so like you mentioned, it just depends on your priorities!
Hey Stan, love your videos and analysis, but I have to disagree with you regarding the value of United cards. If you do not have status, you get Priority Access, First bag with priority handling and Club access at least twice per year. These are very valuable features even to people who travel only once or twice per year.
I am a 1K and I have the United Club card. The Club would cost $650. Just the access to the United Club for the annual fee of $525 is worth it. In addition, I can pay the annual fee with 35000 United Miles. Even though I am 1K and do not benefit from Pirority Access, 1st and 2nd bag, multipliers and 25% discount on items bought on plane, I still get plenty of benefit. I get IHG Platinum membership, discounted saver fares of 10% on continental US travel, and when combined with Status, I get complimentary upgrade on award travel. As long as I fly United and use United Clubs, this has tremendous value for me as a 1K. If a person flies more moderately, they benefit even more for the flights they do take.
Hey Jim! Thanks for your feedback. It's pretty awesome to hear from someone who travels as much as you do and has 1K status with United! Very cool! You're definitely a power user, and what I mean by that, is that you fly with them pretty often (or get a lot of PQPs). I think that at the 1K level, having the United Club card is kind of a must given everything you just stated. Especially, the United Club access since you're probably in there quite often! I didn't know about the 35k United Miles to pay the annual fee - that's pretty amazing tbh!
United is pretty unique in that their Clubs are readily accessible if you pay money, but other non-United cards don't offer any way to get in. Only the United cards do. From that perspective, even the United Explorer is great for someone who flies United even 1-2 times per year if they can get use the 2 free lounge passes on a card with a $95 AF!
I think the main takeaway here is that airline credit cards are great for benefits, but the multipliers are just not as competitive with other types of cards. Of course, the benefits will be the best for those who travel on the specific airline with their credit card so it's going to be a case by case basis on who will truly benefit from airline credit cards. If I flew United as much as I flew on Southwest. I would 100% have the United Club card as well!
Hope that makes sense! Thanks for your support my friend!
As I said in your short, there are exactly three scenarios where an airline card makes sense:
1. If there are no transfer partners with said airline, such as with American (yes they can transfer from Bilt, but that’s ending soon)
2. If you can spend towards status (similar with hotel cards)
3. If there is a “keeper” perk on the card (such as a companion certificate)
Definitely agree! There's always going to be exceptions, but there are usually more reasons not to get an airline card then the other way around!
correction: there is a fourth: if you fly enough with an airline for the perks (such as checked bags or lounge access) to make sense BUT not enough to get those perks with status, then that could be another exception.
When it comes to Airline vs Hotel Credit Cards, I'd go for a hotel co-branded credit card any day of the week
Hotel cards are the best! You get it Eric! But probably Venture X above all, amiright?
had a barclays AA red card. I asked if I was able to downgrade when the annual fee came, they said no and I said ok go ahead and close it. they transferred me and the new rep was like. oh no we can downgrade you.
Just an interesting data point.
Thats hilarious. I was about to downgrade AA also. Now I know. Thanks for the dada points!
Hah! That's pretty funny. Guess they still want you as a customer after all! Thanks for sharing that data point 🤣
The white Barclays AA card still looks nice!
Clueless Filipino call centers....
I never understood why AA, Delta & United don’t have higher than 2x multipliers on every day spend categories like Aeroplan.
I think they could really attract more people who are on the fence.
I agree. But US Airlines aren't as good as international airlines both in price and in quality so from that perspective, it kind of makes sense. It's why their cards are mainly benefit cards and not spending cards.
I hope when you canceled your Delta reserve Boeing 747 limited edition card, that you didn't destroy it. Hopefully you held on to it as a cool little piece of aviation history.
Oh I've definitely held on to it! It's a collector's item!
I absolutely LOVE my Delta Reserve.
Awesome! ✈️
Yeah for spending they are horrible, just the perks. That's from where they get the value, for people who spend through them when there are much better options
Agreed Pedro! Spend the money on some other card, but if you fly with a certain airline, the benefits can make that trip more valuable, and that just compounds the more you fly with the airline. Wish the multipliers were better!
Cobranded Cards, in general, suck for earning free travel compared to their flexible point counterparts; here's why - if you co-brand, that brand wants a slice of the interchange fee and AF off the top. Bank-branded cards allow for a bigger slice of the pie to be given out in rewards. Why would a bank co-brand and make it better than their own cards? Chase doesn't have to split revenue on a Sapphire card. Interestingly, so many creators are okay with the FNA coupon book element from hotels yet don't care for coupon book elements of airline cards. Co-branded cards' superpowers are in brand perks and brand coupons, so they only make sense if you have some loyalty to the brand and become keeper cards. If you're a 100% free agent, get cobranded for the SUB to use on a specific trip and go back to your transferable currency cards.
I like your style Chad! Yeah, that actually makes a lot of sense why the multipliers / rewards are not as high on co-branded cards. I will say that I like FNAs because when redeemed for luxury properties, you can get a lot of value from them! I definitely agree that co-branded cards are all about the benefits, not so much about the multipliers. And for your welcome offer example, the Delta Gold is a nice option as a welcome offer card, especially with the $0 AF for the first year! Get that welcome offer then back to those flexible point cards! Love it!
One of the first things that I noticed when I got into this game was that Airline cards suck. But they are good for the free checked bags and for the subs. Delta/Southwest are good for the companion cards.
Priority boarding is okay but I'm usualy not at the gate when my section boards so thats no big deal for me. If I bring a bag, unless its a bookbag, I check it no matter how small it is
Haha! I wish I had you're foresight Sledge, because when I started, I thought airline credit cards were the best! (they weren't). It's nice that you're cool with boarding when you can. I get so anxious when I'm not at the gate and they start boarding. Don't know why, but I feel so much better when I'm able to board in the earlier groups and get to relax in my seat while I watch others go by after me!
@@TheCreditFrog hahaha, but I've also missed 3 flights and thats no fun!! You are the smart one.
Delta companion pass is useless. Almost no availability with it.
@@Rhaegar7504 That’s what I’ve heard too
Airline credit cards to me are only for the benefits. Just have the one for the companion passe which for me outweighs the annual fees. But spending on the card? No way since there are many other choices to get better return and then can actually book business class fares with the extra points earned negating the need for thr airline card benefits. Basically fly business several times a year just from points and sign ups. So who needs airline cards.
Definitely! I agree that airline cards are just for the benefits. Flexible point earning cards have the better multipliers. And if you only fly several times a year on business, than having that extra multiplier boost is pretty important! The companion pass is a solid benefit if you purchase a higher fare class, and I'm happy to hear that you're getting great value from it!
Would it be worth to get 2 united club cards for a family of 4? (AF waived due to military) wife just got below 5/24 and trying to consider her options for a new chase card 😅
Yes, I think that would be helpful for a family of 4. But it also depends how often you fly United since you'd have to do the math on how many lounge visits you'd do over the course of the year as well as any savings you'd get on that first and/or second checked bag!
@@TheCreditFrog true! If we dont travel that much would it be worth just getting a diff card? Already got our sapphires and marriot cards from last year 😅
@jmcapitul0 Yeah, probably better to get a different card if you don’t travel often with United!
@@TheCreditFrog any recommendations?
@@jmcapitul0 Not sure since I don't know much about your travel habits/patterns. If you already have Marriott/United cards, the Chase IHG cards have limited-time offers that are worth looking into!
I want a Barclays AA card just because haha and American Airlines is a solid airline!
The welcome offer is pretty amazing. First purchase + $99 AF and instant 60k miles. No MSR to hit - so nice!
i think the biggest problem these airline credit cards suck compared to hotel credit cards is that they don't give you status. you have to earn it every single year by spending on their cards
Definitely another major negative with these cards. But at least Delta lets you stack their MQDs to get to Medallion Silver if you want! It's a step in the right direction.. I think? 🙄
Haven't really gotten into airline cards. Hotel cards in my opinion are so much better.
Agreed Chase! Hotel cards get me a lot more value!
@@TheCreditFrog and you know exactly how to finesse them
Appreciate the info dude but from one brother to another just don’t do the slick back hairdo
Noted thanks
I fly once every few years.😢
Well it's ok, airline credit cards aren't for you anyways so you can get one that's a better fit for your lifestyle!
Good to see someone actually telling it how it is. If you actually do the math, there are actually very few “keeper” cards with annual fees. Most UA-camrs use a healthy does of copium in their calculations
Thanks! Yeah, annual fee cards are becoming less and less valuable these days due to various nerfs. Being a power user of a co-branded card can still yield a lot value if you fly/stay with that brand often, but it's becoming more of a chore, and I think that's exactly what the issuers want!
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First!
Congrats CJ! You are FIRST!! 🥇
1:50 57 FLIGHTS on SOUTHWEST in 2023 WITHOUT CARD bc it CANCELLED in 2022. STRANGE?
Yes, I don’t need a Southwest card to buy Southwest flights. I can use any card I want.
Bottom line. Airline cards are very poor earners. And their status is at best hit or miss.
At most, I will pick one airline I use the most and stick with them if any. (in my case AA) Otherwise, there are fewer and fewer incentives to use airline credit cards. Awesome Video Stan.
Btw, I really love your Bonvoy card videos. It was like rocket science to me to figure out the card rules between Chase and Amex. Your video is the best one I've seen online explaining the difference.
And your video really helped me to figure out how I'm proceeding. I'm well on my way to get Ritz and Brilliant! Thanks again!
Absolutely agree Kevin! Airline cards are really only to be used for the benefits. Unless there's some sort of spending requirement you're targeting on the card. And yes, I appreciate your kind words about the Marriott series. Glad you are considering the Ritz card and Brilliant cards! I have both, and love it! Highly recommend as a Marriott loyalist!