Airlines can barely keep up with the demand this summer – staffing shortages are causing bumps in the road for travelers. Amid a record-breaking season, airlines are aggressively hiring to address these issues.
For example, United Airlines hired 7,000 new employees in the first four months of the year and plans to hit 15,000 new hires by the end of the year. The airline hopes to add 50,000 additional workers to its workforce by 2026. Despite rising prices, passengers are still willing to book trips and the demand is not slowing down. If you’re itching to go on a vacation, you’ll have to get smarter and smarter about paying for your flights. Should you get a travel credit card with miles or points? And what about an airline vs. travel credit card – what’s better? Here’s what you need to know.
Airline VS Travel Credit Cards
When choosing between airline and travel credit cards, you need to weigh the pros and cons to make an informed decision. Airline credit cards offer enticing benefits such as free checked bags, priority boarding, and access to airport lounges, which can significantly enhance the overall flying experience. These cards often come with generous sign-up bonuses and reward systems that allow you to earn miles for your flights and other purchases, leading to potentially substantial savings on travel expenses.
On the other hand, travel credit cards provide more versatility as they are not tied to specific airlines. These cards typically offer rewards for a broader range of travel-related expenses, including hotels, rental cars, and dining. Travel cards often have more flexible redemption options, allowing you to use points for a variety of travel experiences beyond flights.
However, airline credit cards may come with annual fees and restricted redemption options, limiting their appeal to frequent flyers of specific carriers. Meanwhile, travel credit cards might offer lower rewards rates for airline-specific spending compared to dedicated airline cards.
Airline credit cards are great for loyal customers of a particular airline seeking exclusive perks and substantial flight rewards. Conversely, travel credit cards suit travelers who value versatility and want to earn rewards across various travel expenses. Ultimately, the choice depends on your travel habits and preferences.
Credit Card Miles or Points?
You may also be wondering about the differences between a credit card with miles or points. Points are a type of reward that can be earned on certain credit cards for various purchases, and they are usually more flexible, allowing you to redeem them for a wide range of rewards like travel, merchandise, or cashback.
On the other hand, miles are specifically tied to travel-related credit cards and are earned based on your airline or hotel spending. These miles are often used to book flights or hotel stays, providing more targeted benefits for frequent travelers.
The earning potential for rewards on a credit card, whether it’s points or miles, depends on various factors such as the card’s rewards program, the issuer’s terms, and your spending habits. There isn’t a definitive answer that universally applies to all credit cards.
Some credit cards may offer higher rewards rates in terms of points for certain categories of spending, while others may provide more miles for specific travel-related expenses like flights or hotel bookings. The value of points and miles can also vary based on how you redeem them.
Ultimately, to determine which type of rewards card helps you earn more, you should compare the rewards structures of specific cards, consider your typical spending patterns, and assess how you plan to use the rewards.
Booking flights is not going to get cheaper in the next few years, as airlines are struggling to keep up with the demand despite rising prices. To maximize your travel budget despite these trends, consider a credit card with an appealing reward structure.