December 13, 2019
How Credit Card Miles Work and Which Are The Best

How Credit Card Miles Work – And Which Are The Best

Credit card Miles are the rewards for frequent shoppers and in turn, they provide you an exciting opportunity to take advantage of your collected miles. It can be used as a gift card, cashback, travel cards, etc. There are three major types of credit cards – (a) Credit card rewards (b) cashback (c) points and Credit card Miles is one of these three major types. Although there is not much difference in points and miles, Miles resembles usually to travel.

As various types of credit card points, there are several types of Credit card miles. Credit card miles are usually related to an airline that provides you certain earned miles in its Airline’s loyalty program. More often than not a person is given general miles which can be used for any travel.

In most of the cases, you’ll get an initial bonus of thousands of miles in the first few months when your account got opened. At Least $1 per mile is spent on all purchases, while in a few categories you can avail some bonus miles as well.

How Does a Credit Card Miles Work?

There are usually three types of Credit Card Miles: –

  1. Flexible miles that can be used for travel
  2. Airline specific miles
  3. and Miles that can be redeemed via the company’s travel booking portal

(C) is more tied to credit card points than that of credit card miles. However, in creating cases they are required for some miles.

For occasional customers having no specific airline choice, general miles cards work better but for frequent travelers, it’s not the same.

Major airlines like American Airlines offer their miles credit cards. With such airlines, you can earn rewards with their credit cards via their loyalty programs. 

For example, SkyMiles earned by Delta SkyMiles American Express cards can be redeemed for flights on Delta or partner airlines. Though there are other ways to redeem SkyMiles, you still have to confine to the restricted companies Delta has partnered with!

Best Credit Card Miles

  • Capital One® Venture® Rewards Credit Card

Capital One Venture Rewards Credit Card

Source:

Annual fee: $0 for 1st yr, after that $95

Rewards Bonus: 50,000 miles

Rewards Rate: 2 miles / $1

Purchase Intro APR: Not Offered

Transfer Intro APR: Not Offered

Regular APR: 17.99% – 25.24% (V)

One of the leading products of Capital One Venture, this card gives you 50,000 bonus miles for $3,000 in the first three months. On each dollar spent, you can avail up to 2X miles. It costs you $0 annual fee for the first year and $95 after that. It has the best reward rate, i.e, 2X miles on per dollar purchase!

Annual fee: $89

Rewards Bonus: 50,000 miles

Rewards Rate: 1 – 2 miles / $1

Purchase Intro APR: Not Offered

Transfer Intro APR: 0% for 15 months, Transfer Fee: 3% (min $5)

Regular APR: 17.99% – 26.99% (V)

With an annual fee of $89, it provides you 50,000 sign up bonus with a rewarding rate of 1 – 2 miles on every dollar. Like Frontier Airlines Credit Card, it doesn’t offer Purchase intro APR!!

  • Bank of America® Travel Rewards credit card
    Bank of America Travel Rewards credit card

Source:

Annual Fee: $0

Intro APR Purchases: 0% Introductory APR on purchases

Intro APR Balance Transfers: N/A

Regular APR: 16.99% – 24.99% Variable APR on purchases and balance transfers

Intro Term Balance Transfers: N/A

If you have spent $1000 in purchases in the first three months, then you’re liable to avail 25,000 bonus points. It’s one of the generous sign-up bonuses without paying an annual fee. Spending a dollar can give you 1.5 competitive points.

  • Discover it® MilesDiscover it Miles

Source:

Annual fee: $0

Rewards Bonus: N/A

Rewards Rate: 1.5 miles / $1

Purchase Intro APR: 0% for 14 months

Transfer Intro APR: 10.99% for 14 months

Transfer Fee: 3% intro balance transfer fee, up to 5% fee on future balance transfers*

Regular APR: 13.99% – 24.99% (V)

This offers consumers good credit and gives them better than average reward rates without an annual fee. Unlike other international travel credit cards and providing large sign-up bonuses, it matches your rewards in the first year itself. Discover it® Miles stands apart in the market for its such features!!

  • Frontier Airlines Credit Card With No Annual Fee
    Frontier Airlines Credit Card With No Annual Fee

Source:

Annual fee: $0

Rewards Bonus: 10,000 miles

Rewards Rate: 0.5 – 1 mile / $1

Purchase Intro APR: Not Offered

Transfer Intro APR: 0% for 15 months

Transfer Fee: 3% (min $5)

Regular APR: 17.49% – 26.49% (V)

It provides you a sign-up bonus of 10,000 miles costing you no annual fee at all! For every dollar purchase, you may get up to 1.5 points. It doesn’t offer purchase into APR!!

  • Chase Sapphire Preferred® Card
    Chase Sapphire Preferred Card

Source:

Annual Fee: $95

Intro APR Purchases: N/A

Intro APR Balance Transfers: N/A

Regular APR:17.99% – 24.99% Variable

Intro Term Balance Transfers: 0 months

Having 60,000 bonus miles, it has a huge sign-up-bonus. However, required to spend $4,000 in purchases within the initial three months. earn up to excellent 2X points on all travel & dining at restaurants purchases. It can be transferred later to airlines and hotel partners. At the time of redeeming these points, in case of travel, it would be 25% more through Chase Unlimited Rewards. This simply means getting a 60,000 sign up bonus worth $750 towards travel!!

Credit card miles can be redeemed with every purchase from a travel rewards credit card and can also be used for future travel purchases made on that card. The value of the redeemed Credit card per mile is worth 1 cent when redeemed as a statement. For frequent travelers, the ‘frequent flier miles’ can be earned by an airline’s branded credit card at the time of its redeeming while purchasing an award ticket on that airline or its partners. 

There are restrictions on redeeming frequent flier miles but they are worth every penny if thought strategically!

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