Earn free flights worldwide, for you and your partner, just for spending on a different piece of plastic. Frequent flyer credit cards are an easy way to travel the world in luxury at a reduced cost.
This is full guide to the top paying airline credit cards, how to use them, boost your miles and do it all safely.
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Who should get one?
Airline credit cards are an extension of frequent flyer programs. Here you earn miles as you spend not as you fly, plus you can get free flights for signing up.
The miles earned spending can be combined with those earned flying – or from things such as converting Tesco Clubcard points; added together you can accrue much more quickly. Yet they're not for everyone.
When you've collected enough miles they can be converted into free flights – though availability is much more limited than when paying for flights, so ensure you're flexible when booking.
The more you spend, the more often you fly, and the further you go, the better these cards are for you.
For that reason we've focused this article on higher spending levels. If that's not you, instead read the Top Cashback Credit Card and Free Flights guides. Yet if you want frequent flyer miles cards...
You'll NEED a reasonable credit score
These are credit cards, so you will need to pass a credit score to get them. Most frequent flyer cards require you to have a reasonable credit history and decent income. If that's not you don't apply as it'll add a search on your file even if you are rejected.
For more information see the Credit Rating guide.
YOU shouldn't be aiming to borrow with this
These cards are a tool to get you rewards miles and we rate them based on that. Yet if you need to borrow as well you're far better off focusing on getting the lowest interest rates - that'll save you much more money. See the 0% Spending Card and Best Balance Transfers guides for more info.
You should be a regular Flyer
Don't think you can use your frequent flyer miles for any flight any time. There's far less availability using miles than paying in cash - so often your destination to will be booked up when you need it. That's why these cards are best for those who fly a few times a year and have some flexibility - if that isn't you you'd be better off with a Cashback Credit Card.
Plus, it may sound obvious, but if you're earning miles for a particular destination, ensure the airline (or partner airlines) fly there, as the schemes only let you fly with certain airlines.
These cards are mostly better for long haul as for European trips the cost of taxes alone is often the same as a budget airline flight.
Will you need other credit soon?
Multiple searches on your credit file can damage future applications, so if you think you'll need to apply for important credit soon - such as a mortgage - then hold off applying for one of these cards as you'll need to spread out your applications.
You'll gain more if you've a companion
A number of the cards include 'companion tickets' if you spend over a certain amount. This usually enables you to take someone with you on the same conditions as you - so if you go long haul business class so do they.
While this is a boon in its own right, it has another advantage. If you also earn miles another way e.g. by frequently flying on an airline for work or other reward schemes - it effectively doubles their value too.
And always remember....
Always set up a direct debit to repay the card in full each month, so you'll never pay interest
The reason card companies offer cashback or any reward scheme is simple, they want to encourage you to spend on the card so they can earn interest from it. The interest cost of all reward cards dwarves the gain you get.
Provided you've got a direct debit repaying IN FULL though, there won't be any interest so that's not a problem. Otherwise this isn't worth doing.
The top frequent flyer credit cards
We've crunched the numbers on the big frequent flyer credit cards to narrow down the best way to earn miles while you spend.
All the top cards are American Express - which isn't quite as widely accepted as Visa or Mastercard in smaller stores (see the Retailers who accept Amex table and the Who takes Amex? Forum discussion). We can't find any decent non amex options.
Plus don't compare on miles per pound spent as each scheme's miles vary widely. It's all about how far you can fly on different spending.
-
Avios miles
- BA Amex + companion flight
- Lloyds Amex - lower income
-
BMI miles
- BMI Amex - good intro freebie
BA Amex - Top for couples going long-haul For bigger spenders. Doesn't include taxes
- Intro bonus? 9,000 miles
- Standard miles: 1 for every £1
- Rep variable APR: 19.9% Official APR example
- Annual fee: N/A
- Min income: £30,000 household
- Miles expire after? 3 years from when you collect your last one Can I buy extra miles?
BA/Airmiles update 16 Nov 2011: BA miles merged with Airmiles, the new scheme is called Avios. Read the MSE News Story for more details.
The BA Amex card is the only one here that gives a free
companion ticket
without any annual fee, but you need to spend over £20,000 in a year to get it.
So this is best for bigger spending couples, wanting long haul flights - though be prepared to pay taxes and charges. Avios miles can be redeemed on BA and other 'oneworld' airlines.
Destination |
Paris |
New York |
Cape Town |
Class |
Eco |
Eco |
Biz |
Passengers |
1 |
2  |
2 |
Spend needed |
£9,000 |
£40,000 |
£100,000 |
Approx Taxes |
£90 |
£610 |
£1,400 |
Annual fee |
- |
- |
- |
On the BA Amex* you accrue 1 Avios mile for every £1 spent. In addition spend £20,000 on your card in a year you get a free companion ticket to use when you redeem your miles.
The companion flight can be used to get the same ticket type as the card holder (e.g if you go first class so do they), though only on BA and is valid for 12 months. You'll also need to pay taxes and charges. You can continue to collect miles after it has been issued, but ensure you leave enough time as seat numbers can be limited when redeeming miles.
For an added boost you can convert Tesco Clubcard points to Avios miles. Be sure to repay in full, otherwise the gain will be eroded by the 19.9% representative APR.
Current Introductory Offer
This card also gives 9,000 Avios miles if you spend £1,000 within the first three months on top of the standard rewards system. The bonus is enough for a return to European destinations including Paris, Berlin and Milan.
BA Premium Plus Amex Better for big spenders
- Intro bonus? 18,000 miles
- Standard miles: 1.5 for every £1
- Rep variable APR: 50.1% Official APR example
- Annual fee: £150
- Min income: £30,000 household
- Miles expire after? 3 years from when you collect your last one Can I buy extra miles?
This card's annual fee is a whopping £150, but it has a bigger intro bonus and 50% more miles per £1. It becomes better at about £10,000 spend, as the points value doubles at the companion flight threshold. Though think very carefully; if you don't use the flights or they aren't available, £150 is a lot to waste.
Destination |
Paris |
New York |
Cape Town |
Class
|
Eco |
Eco |
Biz |
Passengers
|
1 |
2 |
2 |
Spend needed |
£6,000 |
£26,666 |
£66,666 |
Approx Taxes |
£90 |
£610 |
£1,400 |
Annual fee |
£150 |
£150 |
£150 |
The BA Premium Plus Amex* gives 1.5 Avios miles for every £1 spent. With this card the threshold to get the companion flight is £10,000. Avios miles can be redeemed on BA and other 'oneworld' airlines.
The companion flight can be used to get the same ticket type as the card holder, though only on BA and is valid for 24 months. You'll also need to pay taxes and charges. You can continue to collect miles after it has been issued, but ensure you leave enough time as seat numbers can be limited when redeeming miles.
For an added boost you can convert Tesco Clubcard points to Avios miles. The fee on this account is a huge £150, which you pay once a year and will show on your first statement. Be sure you'll use the miles, otherwise you're just wasting cash. The APR on purchases is 19.9% (or 50.1% representative including the annual fee).
Current Introductory Offer
This card also gives 18,000 Avios miles if you spend a big £3,000 within the first three months on top of the standard rewards system. The bonus is enough for a return to European destinations including Malaga, Helsinki and Vienna.
Discuss the British Airways credit cards in the Forum Discussion
Lloyds Duo Avios Amex - lower incomes Fly with BA, Virgin etc. Doesn't include taxes
- Intro bonus? 5 times the number of miles for first 3 months
- Standard miles: 1 for every £1
- Rep variable APR: 15.9% Official APR example
- Annual fee: N/A
- Min income: N/A
- Miles expire after? 3 years from when you collect your last one Can I buy extra miles?
BA/Airmiles update 16 Nov 2011: BA miles merged with Airmiles, the new scheme is called Avios. Read the MSE News Story for more details.
The scheme here is the same as with the BA cards above, however with slightly different terms. If you don't have a high enough income for the BA card, or you're not interested in the companion flight, this Lloyds card could be better for you.
Destination |
Paris |
New York |
Cape Town |
Class |
Eco |
Eco |
Biz |
Passengers |
1 |
2 |
2 |
Spend needed |
£9,000 |
£80,000 |
£200,000 |
Approx Taxes |
£90 |
£610 |
£1,400 |
Annual fee |
- |
- |
- |
The Lloyds Duo Avios* also gives 1 Avios mile for every £1 spent. It comes with both an Amex & Mastercard, though only spend on the Amex as it gives the most miles.
The miles can be redeemed on a variety of airlines including AA, BA, Emirates and Virgin. Read the Avios Boosting guide for more ways to collect miles. Ensure you repay in full to avoid the 15.9% representative APR.
Current Introductory Offer
Apply via the Avios* website you'll get five times the number of miles in the first three months. If you're a big spender you could earn more miles than with the BA bonus above, though there's no companion ticket, so it really depends what you're saving your miles for.
Lloyds Premier DuoAvios Amex Better if spending over £15,000/year
- Intro bonus? 10 times the number of miles for the first 3 months
- Standard miles: 1.25 for every £1
- Rep variable APR: 21.9% Official APR example
- Annual fee: £50
- Min income: N/A
- Miles expire after? 3 years from when you collect your last one Can I buy extra miles?
This card charges a £50 annual fee, a good enough reason for most to avoid it. However, it does gives 25% more miles per £1, and a
companion ticket
if you spend over £15,000 a year. Not quite as good as the BA Premium Plus, but the fee is a lot lower.
Yet if you don't think you'll spend that much or don't need the extra flight, it's not worth paying the fee.
Destination |
Paris |
New York |
Cape Town |
Class |
Eco |
Eco |
Biz |
Passengers |
1 |
2 |
2 |
Spend needed |
£7,200 |
£32,000 |
£160,000 |
Approx Taxes |
£90 |
£610 |
£1,400 |
Annual fee |
£50 |
£50 |
£50 |
On the Lloyds Premier Duo Avios Amex* you earn 1.25 miles per £1 spent. Avios miles can be redeemed on a variety of airlines including AA, BA, Emirates and Virgin.
If you reach £15,000 spend in a year you'll get a companion flight, it can be used when redeeming your Avios, however unlike other companion tickets this can only be used on BA economy (valid for 12 months from issue) and you'll need to pay taxes and charges. Read the Avios Boosting guide for more ways to collect miles.
The APR on purchases is 13.1% (or 21.9% representative APR including the annual fee).
Current Introductory Offer
Apply via the Avios* website you'll get ten times the number of miles in the first three months. If you're a big spender you could earn more miles than with the BA bonus above, though the companion ticket here isn't as good, so it really depends what you're saving your miles for.
Discuss the Lloyds Duo credit cards in the Forum Discussion
BMI credit card - Good intro freebie Most miles per £1 spent, doesn't include taxes
- Intro bonus? 20,000 miles
- Standard miles: 1.5 for every £1
- Rep variable APR: 16.9% Official APR example
- Annual fee: N/A
- Min income: N/A
- Miles expire after? No expiry date Can I buy extra miles?
The BMI cards are the quickest way to accrue long distance miles, however as with the other cards you have to pay the taxes. Also there's no free companion flight.
Destination |
Paris |
New York |
Cape Town |
Class
|
Eco |
Eco |
Biz |
Passengers |
1 |
2 |
2 |
Spend needed |
£6,000 |
£60,000 |
£100,000 |
Approx Taxes |
£90 |
£610 |
£1,400 |
Annual fee |
- |
- |
- |
The BMI credit card comes with both an Amex and Visa but only spend on the Amex as it gives you more miles; 1.5 for every £1 you spend. You'll have to pay taxes when you redeem miles.
Although there's no companion flights with this card, you can use your miles to get flights for others, so if you have enough you could invite someone (or go twice!).
The rate on purchases for this card is 16.9% representative APR. Miles can be redeemed on BMI and other 'Star Alliance' airlines.
Current Introductory Offer
Its big plus is spend £250 within 90 days and you get a bonus 20,000 miles. That's enough for a business class return to Turkey or Majorca, alternatively you can get two economy returns to closer destinations such as France or Germany, for full info read the Credit Cards Freebies guide.
BMI Plus Amex credit card Better if spending over £20,000 a year
- Intro bonus? 24,000 miles
- Standard miles: 2 for every £1
- Rep variable APR: 34.5% Official APR example
- Annual fee: £85
- Min income: N/A
- Miles expire after? No expiry date Can I buy extra miles?
This card charges a £85 annual fee and offers more intro bonus miles and 33% more miles per pound spent. It only really becomes worthwhile if you're spending over £20,000 a year and if you're sure you'll use the extra miles.
Destination |
Paris |
New York |
Cape Town |
Class
|
Eco |
Eco |
Biz |
Passengers
|
1 |
2 |
2 |
Spend needed |
£4,500 |
£45,000 |
£75,000 |
Approx Taxes |
£90 |
£610 |
£1,400 |
Annual fee |
£85 |
£85 |
£85 |
The BMI Plus Amex card gives 2 miles for every £1 spent, again the taxes and charges aren't included.
Although there's no free companion flights with this card you can use miles to get flights for others, so if you have enough you could invite someone (or go twice!).
The APR on purchases is 17.9% (or 34.5% representative APR including annual fee). Miles can be redeemed on BMI and other 'Star Alliance' airlines.
Current Introductory Offer
Its big plus is spend £250 within 90 days and you get a bonus 24,000 miles, enough for one business class return or two economy returns to Turkey or Majorca, for full info read the Credit Cards Freebies guide.
Discuss the BMI credit cards in the Forum Discussion
Can I buy extra miles?
All the above schemes allow you to buy extra miles, so if you're just short of enough miles you can top them up. Better still if you're collecting miles and also redeeming a companion flight you effectively get double the value.
BMI miles |
BA Avios |
Avios |
|
|---|---|---|---|
Cost per mile |
1.3p-2.7p |
1.7p-3.1p |
1.5p |
No. of miles allowed to be purchased per year |
24,000 |
24,000 |
5,000 |
Once you have joined the scheme extra miles can be bought online at BMI, British Airways and Avios. Keep an eye out for promotions when buying miles as sometimes it's possible to get up to 25% extra for free.
Think before adding the 'insurance'
Payment protection insurance is commonly sold with credit cards - the idea is it'll make some payments for you, usually for a year, if you are unable to (eg, if you lose your job).
There have been a myriad of cases where it has been missold eg, borrowers didn't realise they were signing up for it, or it was totally unsuitable for them, and some big lenders have been fined.
The protection isn't always bad, though policies sold with cards are often overpriced (you pay a monthly amount depending on the size of your balance). If you want it, compare the lender's cover with standalone providers such as Paymentcare or Best Insurance.
Always be vigilant to check you aren't getting more than you bargained for when you fill in the application, then check your statement each month to check you aren't inadvertently paying for extras if you didn't ask for them.
How to get the best out of these cards
For some it's possible to use these nifty tricks to really rack up the miles....
-
Long haul and business class provides best value
Using your miles for long haul business class flights gives you a substantially better cash equivalent return - on some cards with companion tickets up to 5% back on your spending on the card. All the schemes require you to pay taxes which defeats much of the gain on short haul.
However this is of course at business class flights' list value, and you pay a huge amount more for that extra comfort (many days worth of 5 star hotels worth) so it depends on how much you value flying business - you get more flights using your miles for economy trips and don't have to wait as long to earn enough. - Use it for all spending
These cards are designed to encourage you to spend, obviously we'd never want you to spend more than you need. Instead use the card for all normal day-to-day purchases, instead of debit cards, or cash, cheques or other credit cards - then set up a direct debit to repay in full each month and you'll soon see the miles adding up.
Yet do beware of setting up regular payments from it, or any other credit card, though. These are technically called recurring payments and unfortunately, unlike standing orders or Direct Debits, once set up you can't cancel them, only the company you're paying can. If you're in dispute, this can be a nightmare (see the Recurring Payments guide for more).
Plus you get extra protection too, click here to find out more
There's another big bonus to using any credit card, you actually have far more consumer protection. This all comes about due to what's called Section 75 of the Consumer Credit Act 1974 which says...
75. — (1) If the debtor under a debtor-creditor-supplier agreement falling within section 12(b) or (c) has, in relation to a transaction financed by the agreement, any claim against the supplier in respect of a misrepresentation or breach of contract, he shall have a like claim against the creditor, who, with the supplier, shall accordingly be jointly and severally liable to the debtor.
Which of course, reads like gobbleydegook... yet in a nutshell means:
Buy something costing over £100, here or abroad, and pay on a credit card, and the card issuer's equally liable if something goes wrong.
Now this protection only applies to credit cards, not debit cards or any other plastic and it's hugely important, especially in the current credit crunch climate. It means order something and if the retailer went kaput, you'd still be able to claim your money back from the card company. Read a full article on Section 75 refunds.
-
Make your partner a cardholder too
Assuming you are in a trusting relationship, arrange for a second card on the same account for your partner, so both your spending collects the miles. This technique is particularly useful for cards that need you to hit a certain target to get a free companion flight.
Yet it's important to be aware with credit cards there's no such thing as a joint card - it's your card and you're giving them permission to spend on it. Any spending is yours to pay off not theirs.
-
Use companion tickets wisely
Some frequent flyer programmes give you a companion ticket over a certain amount of spending that means you get to take someone else with you under exactly the same conditions for no extra miles.
In other words if you're going business to Miami - they come for free (though most cards require you to pay taxes for both as well).
If your card does that it's worth waiting until you've got the companion voucher before spending your miles as you get much better value from them - and remember they usually only last a year. - If you can use it for expenses
For those who have work expenses they need to reclaim, this can be a powerful way to earn more miles at no cost to you, provided you can cope with paying the bill in full each month. Do check it's fine with your employer though and there's a chance it could be seen as a taxable benefit (you'll still be up even if it is though). -
Keep your eye open for miles' sales
Over the last couple of years a number of the frequent flyer schemes such as BA and Virgin have done miles sales - which temporarily reduce the number of miles needed to fly somewhere. Be ready to pounce if they happen. - Ensure you claim miles when you fly too
These cards are just one part of frequent flyer schemes. You also earn miles when you fly, so ensure that whenever you go on an airline (or its partner) that qualifies you claim the miles to maximise the gain. With Avios you can also earn miles for spending in various places - see the Boost Your Avios guide.
Beware of bts or cash withdrawals
It's important to understand, you normally only earn the miles when you spend on it, other transactions don't apply. Worse still there can actually be nasty consquences for doing anything other than spending on a frequent flyer card.
-
Never use frequent flyer cards for withdrawing cash.
Withdraw cash and you'll often be charged a fee, plus even if you pay the card off in full you'll usually be charged some interest. The rule's simple: never, ever, ever use these cards for cash withdrawals.
-
Avoid balance transfers on a frequent flyer card
It's no coincidence that some frequent flyer cards offer miles when you transfer a balance – they want to tempt you to both spend on the card and shift debts to them. As you'll be unlikely to repay the balance in full every month, you'll end up paying the interest which will decimate any gain.
However if the card is offering 0% on balance transfers, you can use it to your advantage. Card providers must allocate repayments to the most expensive debt first, so as long as you fully repay the spending amount each month, you won't be charged interest. You must ensure you repay in full before the 0% ends.
This can get complicated, so usually the best option is to do use separate cards for earning miles and balance transfers (see the Balance Transfers article).
