Video:How to Pick a Credit Card That Provides Miles

Transcript:How to Pick a Credit Card That Provides Miles

Hey guys, Greyson Ferguson here with About.com. Today we are going to discuss how to find the best credit card with airline miles.

Shop Around When Picking a Credit Card That Provides Miles

Check with your current bank or credit union to see if they offer any kind of travel card. The application process is typically going to be easier here because they already have your banking information.

Look at what kind of perks the cards offer under the card's bios. You can visit websites such as Visa.com and Mastercard.com and look over the offered credit cards. The travel cards generally give you one point per dollar you spend, but some offer more, while others less. It also states here if there are specific airlines the points work with, or if it is specific airlines.

Read the card summary to see if it is an actual credit card or a charge card. A charge card requires you to pay off the balance, in full, each and every month. Typically, most American Express cards that offer travel perks fall under the charge cards category.

Review All Features When Picking a Credit Card That Provides Miles

Select to apply for the card the card you are interested in, but don't fill out anything yet. Here you can find all the fine print here, such as the APR, interest information, penalties and yearly fees.

Avoid anything with a variable interest rate. This typically means it varies with the market, but the recorded rate shown is the base rate, so it is just going to go up, costing you more money.

Don't Fear Annual Fees When Picking a Credit Card That Provides Miles

Don't shy away from a card just because of a high annual fee. It often depends on how often you travel. For example, the American Express Gold card has an annual fee of $95 that is waived the first year, while the American Express Platinum card has a $450 annual fee.

It sounds steep, until you read through the perks and find the Platinum card offers free companion air fare for all international business flights, access to airport lounges and a concierge service that gives you deals on four and five star hotels. Generally, if there is a higher annual fee, there is a reason why, so make sure to read the perks before saying no to the card.

Well, there you have it. To learn more, visit us on the web at About.com.