Credit cards that offer points or miles are a popular choice among consumers who want to maximize the benefits from their everyday spending. These cards, often linked with frequent flyer programs or hotel loyalty schemes, allow users to accrue points or miles that can be redeemed for travel, merchandise, or even cash back. In this article, we’ll explore the various aspects of credit cards with points or miles, including how they work, what to consider when choosing one, and some of the best options available as of early 2024.

When evaluating the best credit card companies, it’s essential to consider factors like customer service, reward offerings, interest rates, and overall user satisfaction. Two companies that consistently rank highly across these criteria are American Express and Chase.

American Express, often known as Amex, is renowned for its exceptional customer service and comprehensive rewards programs. The company offers a diverse range of cards catering to various needs, from cashback and travel rewards to luxury perks for high spenders. Amex cards are particularly favored by those who value customer support and enjoy premium benefits like airport lounge access and hotel upgrades. However, it’s worth noting that Amex cards often come with higher annual fees, making them more suitable for users who can take full advantage of the offered perks.

Chase, on the other hand, is celebrated for its flexible rewards program and user-friendly interface. Chase’s Ultimate Rewards program is highly versatile, allowing cardholders to redeem points for travel, cashback, or merchandise. Furthermore, Chase offers some of the best sign-up bonuses in the market, making its cards extremely attractive to new users. The company also provides a range of cards with no annual fees, appealing to budget-conscious consumers.

Understanding Points and Miles Credit Cards

How They Work: Credit cards with points or miles reward users with points for every dollar spent on the card. These points can vary in value depending on how they’re redeemed. Typically, you’ll get more value by redeeming points for travel-related expenses like flights or hotel stays.

Types of Rewards Programs: There are generally two types of rewards programs:

1. Airline Miles Programs: These cards are co-branded with specific airlines. You earn miles for that airline’s frequent flyer program with each purchase.
2. General Rewards Points: These cards are not tied to any specific airline or hotel chain. They offer points that can be redeemed through the card issuer’s rewards program for various types of rewards.

Factors to Consider When Choosing a Card

1. Earning Rates: Look at how many points or miles you’ll earn per dollar spent. Some cards offer higher rates for certain categories like travel or dining.
2. Sign-up Bonuses: Many cards offer attractive sign-up bonuses that can be a significant boost to your points balance.
3. Annual Fees: Weigh the cost of any annual fees against the benefits. Cards with higher fees often offer more lucrative rewards.
4. Redemption Options: Consider the flexibility and value of redemption options. Some cards allow for transfers to a variety of airline and hotel partners.
5. Additional Perks: Many cards offer extra benefits like airport lounge access, travel insurance, or no foreign transaction fees.

Best Credit Cards with Points or Miles in 2024

1. The Explorer Miles Card

• Earning Rates: 3x miles on travel and 2x miles on dining.
• Sign-up Bonus: 50,000 miles after spending $3,000 in the first 3 months.
• Annual Fee: $95 (waived for the first year).
• Perks: Free access to airport lounges, no foreign transaction fees.

2. The Ultimate Rewards Card

• Earning Rates: 2x points on all purchases.
• Sign-up Bonus: 60,000 points after spending $4,000 in the first 3 months.
• Annual Fee: $120.
• Perks: Points transfer to multiple airline and hotel partners, travel insurance.

3. The Global Traveler Card

• Earning Rates: 5x points on flights and hotels booked through the card’s travel portal.
• Sign-up Bonus: 75,000 points after spending $5,000 in the first 3 months.
• Annual Fee: $550.
• Perks: Extensive airport lounge network, annual travel credit, elite hotel status.

4. The Dining Rewards Card

• Earning Rates: 4x points on dining worldwide.
• Sign-up Bonus: 30,000 points after spending $2,000 in the first 3 months.
• Annual Fee: $0 for the first year, then $95.
• Perks: Exclusive dining events, no foreign transaction fees.

5. The Airline Advantage Card

• Earning Rates: 2x miles on the affiliated airline and 1x miles on other purchases.
• Sign-up Bonus: 40,000 miles after spending $2,000 in the first 3 months.
• Annual Fee: $99.
• Perks: Free checked bag, priority boarding, in-flight discounts.

Maximizing Your Rewards

To get the most out of a points or miles credit card, it’s crucial to:

• Pay Balances in Full: Avoid interest charges by paying off your balance each month.
• Use the Card for Everyday Purchases: Earn points on regular spending like groceries and utilities.
• Take Advantage of Bonus Categories: Use the card for purchases that earn higher points.
• Be Aware of Expiration Dates: Some points or miles might expire if not used.

Conclusion

Credit cards with points or miles can be a great tool for earning rewards on your everyday spending, especially if you’re a frequent traveler. However, it’s important to choose a card that aligns with your spending habits and travel preferences. By considering factors like earning rates, sign-up bonuses, annual fees, and additional perks, you can find a card that offers the best value for your lifestyle. Remember to use credit responsibly to maximize the benefits and minimize any costs.