Frequent Flyer Credit Cards

Specific Types of Frequent Flyer Credit Cards

Browse credit cards linked with a specific airline rewards program:

• Emirates Skywards
• Jetstar
• Qantas Frequent Flyer
• Singapore Airlines KrisFlyer
• Virgin Australia Frequent Flyer
• All airline programs – a selection of card offers linked to various airlines

Frequent Flyer Cards: Frequently Asked Questions

Q: Is a frequent flyer credit card right for me? A: If your lifestyle involves plenty of travel, catching flights and purchasing travel-related products and services such as hotels and rentals, a frequent flyer credit card could be a great choice. These cards work best if you spend often; you get the most out of your membership by making purchases and earning points. Membership also opens doors to other benefits such as concierge services, access to airport lounges, priority airport check-in, complimentary upgrades along with a rolling program of special offers and discounts. Credit cards for frequent flyers usually feature insurance policies including travel insurance and purchase protection.

If you are likely to overspend, don’t always clear the balance in full and have an ongoing debt on your credit card account, the cost of using your credit card outweighs the benefits of the program. And since these cards usually have an annual fee, if you don’t travel often or use your card infrequently, another type of card would be better. Note that cash advances, buying foreign currency, balance transfers, gambling payments and other types of transaction are usually exempt from the rewards scheme and earn no points.

Q: What kinds of restrictions do these cards have? A: Each frequent flyer program has its own set of rules and regulations regarding points capping and expiration. Many cards operate with a tiered rewards system, where the more you spend, the less points you earn.

Q: How do I earn points? A: The way you earn air miles varies between different frequent flyer membership programs, but they generally function in the same way as other types of rewards scheme: you earn points each time you use your card. Typically, there is a flat rate of earning for every dollar spent on you credit card and a bonus rate for purchases with the program’s partners such as affiliated airlines, hotels, retail outlets and other partners. Different credit cards earn points at different rates within the same program – gold and platinum cards often earn more points than standard cards – and you maybe able to earn bonus points during introductory offers. It’s common for a bank to issue two cards for your account, an American Express and Visa / MasterCard, with the AmEx having the higher earn rate of the two.

Q: How do I spend my points? A: Points can be redeemed for flights with affiliated airlines: you can redeem Qantas Frequent Flyer points, for example, for flights with Qantas, British Airways and American Airlines, among others. You can also use your points for hotel accommodation, resorts and holiday packages, car rentals, entertainment and leisure services, retail products and many other options. Frequent flyer programs usually allow you to pay partly in points and partly with money. The credit card’s frequent flyer program usually gives you access to an online account where you can check your balance, browse for products and services and learn about special offers.

Q: How much does it cost to join a frequent flyer program? A: You need to enrol to become a member of a program. Most programs are free, or free with a sign-up, with the exception of Qantas Frequent Flyer, which charges a one-time fee of $82.50 to join, although the fee is occasionally waved during promotions. Depending on the program, you must earn or spend points at least once during a set period to keep your membership current and not lose your points. For Qantas, it’s once every 18 months; for Velocity, it’s at least once every 36 months, for example.

Q: What features should I consider when comparing cards? A: You should examine all the credit card features and the details of the frequent flyer program when comparing and selecting a new card.

*Program partners: The program should involve airlines, hotels, retailers and other companies that you regularly spend with using your credit card and offer the opportunity to redeem the points for rewards you want to use.

Earn rate (points per dollar spent): The value of the points you earn is very important. You should take the time to see how points are earned and the number of points needed for rewards to judge how much value for money the program really provides. For example, a card may offer 3 points per dollar, but the real value of each point may be lower than a card that offers 1 point per dollar, depending on amount needed to redeem a ticket, restrictions and blackout dates, and so on.

Introductory offers and sign up bonuses: Banks regularly offer bonus points during an introductory period, which can be a great opportunity to quickly earn rewards, but you should always examine how the program changes once the offer ends. Many cards also often run award sign-up bonuses.

Extra benefits: Frequent flyer points credit cards usually feature other benefits alongside the rewards program, including travel insurance and purchase protection. In terms of travel insurance, the level of cover can be dramatically different from one card to another, with some offering cover you and your family internationally and domestically, while others only offer cover for you while overseas.

Interest rates: As with any credit card, one of the most essential features to look at is the interest on the account, including purchase and cash advance rates. You want to use your credit card for everyday purchases, not just during travel, so it should feature a competitively low interest rate. Assuming you travel regularly, you should also research foreign exchange fees and foreign transaction fees.

Annual fees: Many of these cards feature a significantly higher annual fee than standard credit cards. You should calculate how this balances with the credit card’s other features to make sure that the cost of using your card doesn’t negate the benefits.

Q: What’s the best way to maximise rewards? A: To get the most out of your card, you need to be spending often and earning plenty of points. Look to see what regular payments you can move to your credit card – including weekly groceries, fuel payments and direct debits for bills – so that you can earn points on your normal payments.