Are air miles on credit cards worth? Can you realistically build up enough reward points to afford a flight? It can be tricky to know if air miles or a cashback credit card is the right choice for you.
Inflation is driving up the cost of living at a rate not seen since the 80s. This includes the cost of travel and flight prices are increasing rapidly. We need to recapture some of that spending. One of the ways you can keep flight prices affordable is to build up airmiles for all your extra spending. If we’re going to end up spending all this extra money, we might as well get some kind of reward for it!
One of the best ways we can do that is to use air miles credit cards. You can get points for your every day spending but most importantly you earn bonus points. This last aspect makes all the difference when it comes to buying those flights.
Please note this is not financial advice and you are responsible for your own financial decisions. This article also contains affiliate links.
What Are Air Miles?
Air miles are points that can be spent on flights and other services offered by your airline. For example, you can earn Avios linked reward credit card and spend points with British Airways. With a Virgin Atlantic credit card, you can collect Virgin Points to spend on Virgin Atlantic flights. There are also a number of credit cards which allow you to switch their branded points with Avios points.
Once you have accrued enough Air miles via your credit card you can buy flights, hotels, car hire, experiences or upgrades with an airline. In fact here’s a more comprehensive list:
Hotel stays
Package holidays
Flight upgrades
Hotel upgrades
Car hire
Travel insurance
Airport lounge access
Airport parking
Holiday tours
Hotel transfers
Cases of wine
Theatre tickets and experience days
Theme park tickets
How To Build Up Air Miles Quickly
As I mentioned earlier, you can also earn bonus points when you first sign up or companion tickets if you spend over a certain amount. So make sure you know how to fast-track your bonus points.
It’s important to note that air miles credit cards aren’t quite the same as frequent flyer miles. Frequent flyer miles cards offer loyalty points when you fly with a particular airline such as Emirates Skywards points. These can be difficult to build up, because you only earn them when you fly with the specific airlines.
Air miles rewards credit cards let you earn points on your spending, which can then be spent on flights. Which is today’s economy, will build up quickly!
< Explore: The 5 Best UK Online Banks For Innovative Money Saving Features >
What Air Miles Can You Earn?
After a decent amount of research I decided that Avios points were the way to go for me. This is because Qatar recently joined the program. If I ever go to Asia I tend to go via Qatar so it makes sense for me to pick-up points I can use with this airline. I also already have around 15k points with them from flying back from Australia.
You can also convert Amex points to Virgin Atlantic reward points. As I’m flying with Virgin this summer to get to Costa Rica perhaps might come in useful at some point.
| Airline | Points Type |
|---|---|
| British Airways | Avios |
| Qatar | Avios |
| Iberia | Avios |
| Aer Lingus | Avios |
| Vueling | Avios |
| Flybe | Avios |
| Virgin Atlantic | Flying Club Miles |
| Emirates | Skywards Miles |
| Lufthansa | Miles & More |
| United Airlines | MileagePlus |
| American Airlines | AAdvantage miles |
| Etihad | Eitihad Guest Miles |
Which is the Best Air Miles Credit Cards in The UK?
You can probably see where this is leading. The card I have recently opted for is the British Airways (BA) Amex credit card. If you use my personal link you can get 6,000 bonus points when you spend over £1,000 in your first three months. The standard is 5,000 if you sign up separately.
This occasionally jumps to 10,000 when the card is running a special offer. So, maybe you’ll get lucky when you sign up! With the British Airways Amex credit card you also get:
- 1 point per £1 spent
- Free companion ticket on £12,000+ annual spend
- There is no fee but fail to repay fully and it’s 25.3% rep APR interest.
Is It Difficult To Spend £1,000?
You might think that £1,000 sounds like a lot of money. Like I say, in this economy is doesn’t go far! If you spend £50 on a weekly shop, that works out to £216 per month. You petrol might be another £50 a week, that’s another £216 a month. After three months you’ll have spend £1296.
This is not including clothes, birthday presents, household items, or meals out in all of this. I wasn’t sure I would make it to the bonus points but I got there pretty quickly. I’m actually thinking that I might even make it to the £12,000 companion ticket now!
< Explore: How To Save Up Money For Travel In 2022 >
Air Miles or Cashback Credit Card
Air Miles on credit cards worth it or are you better with a cashback credit card. I’ve recently been asking myself weather I should spend on my Amex or my Sainsbury’s credit card. So which is better, air miles or cashback credit card?
The kicker here is obviously the bonus points and companion tickets you can use on travel. Remember you’ll get 6,000 to 10,000 bonus points via my British Airways Amex link. This is better than the 5,000 points if you sign up on your own.
In addition, you’ll get a companion ticket each year you spend at least £12,000. This lets someone travel with you in economy class without using points. Please remember, this isn’t an excuse to ever spend. You can earn the bonus points by spending normally.
Personally, I’m swaying to the idea that it’s better to use my Air Miles Credit Card, rather than my cashback credit card. This is because of these pretty significant bonus points.
When It Is Better to Use A Cashback Credit Card?
That being said with my Sainsbury’s credit card I also earn Nectar points when I spend and bonus points when I spend in store. These can either be spent in store or converted to Avios points. That’s right, you can convert Nectar points to Avios points or to Virgin Atlantic air miles.
So perhaps it’s a case of deciding where you get the better bonus points. For example, when you use your Sainsbury’s credit card you can earn 2pts per £1 spend at Sainsbury’s/Argos but only £1 pt per £5 spent elsewhere.
< Explore: Where’s The Best Place To Exchange Money: How To Spend Money Internationally >
Conclusion: Are Miles Credit Cards Worth It?
You know, I’ve been kicking myself for not getting an Amex credit card sooner. Previously, I wasn’t as bothered because I don’t tend to fly with British Airways. This big change for me is being able to build up Avios points for Qatar.
The British Airways Amex card also gives you some pretty decent discounts on flights and hotels. You can actually search and book hotels through the app at a highly discounted price. This is an added bonus on top of the 5,000 points bonus points I’ve picked up. Which I can now combine with my previously earned Qatar Air Miles.
Qatar is the gateway to much of Asia and the Pacific. I’ve flown with them to Vietnam, Thailand and back from Australia. They’re definitely my airline of choice, especially now I can unlock some free flights in the future. You can too, so remember to get your 6,000+ bonus points by clicking here.
The great thing about getting an Amex is that they set up your Avios account for you. Each month you points are transferred across, ready for you to use. This makes it an easy way to unlock air miles on a credit card for the first time!
Trackbacks/Pingbacks