Charging Towards Frequent Flyer Miles

They are out there. Credit cards that can make your next flight easy on your wallet. They are potent weapons, but easily misused.

There are plenty of choices when it comes to credit cards that earn you frequent flyer miles. But (surprise) most are not worth the trouble.

All FF-earning cards have annual fees. All have higher than normal APRs. One could easily cancel out any gains or upgrades with interest payments and fees.

There are some secrets to wielding the plastic without killing your budget.

First, choose a credit card that is specifically for the airline you intend to fly. This focuses all your airline miles into one place. Make sure that the card allows you to use miles earned from flying with miles earned from using your card.

Check blackout dates. These can be a real joy killer if you are unaware of them. Also know that miles have an expiration date.

Find a card that offers a bonus for signing on. Some cards dole out a bunch of bonus miles when you sign on the dotted line.

Don’t be put off by higher interest rates. Cards with higher rates usually offer more miles (1 mile per dollar is average, higher APR or a higher annual fee might earn two or even three miles per dollar). As long as you pay the balance off monthly, you won’t be hampered by interest. You’ll have to weight the annual fee (between $50-$100) against the possible gains in FF miles.

Using your card to buy gas and groceries and then paying off the balance monthly might save you a couple hundred bucks or even a shot at a sought after upgrade.