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airline credit cards

Airline Credit Cards

Earn points for flights and upgrades

Steve Brigden
Steve Brigden | Edited by Helen Saxon
Updated 30 June 2021

Slash the cost of flights worldwide for you and your partner, just for spending on a piece of plastic. Airline credit cards offer Avios and other frequent flyer points. You earn air miles or points as you spend, not as you fly, and you can get big bonuses for signing up.
 

Important: With overseas travel still severely disrupted, and many airlines struggling as a result, a cashback or reward credit card could be a safer way to earn perks on your everyday spending. But if you're set on an airline card, our top picks are below.

Airline credit card top picks

Who's this guide for? Frequent flyers who spend on credit cards. If you're a lower spender, Top Reward Cards could be a better option. Though do note: all reward cards, incl airline cards, are only good for those who repay IN FULL every month.

Not what you want? Other related guides... Tricks to boost and max Avios | Cheap Flights

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How do airline credit cards work?

You earn points or miles doing your normal everyday spending and when you've collected enough, they can be converted into flights (though you still need to pay taxes and charges). Availability is much more limited than when paying for flights with cash, so you'll usually need to be flexible when booking.

You can combine any miles you earn from spending with those you earn from flying, or through other credit card reward schemes, such as converting Nectar points. Added together, your stash can build up much more quickly. Our Tricks to boost and max Avios points guide has full info on that scheme, though there are others.

Here's all you need to know to get the best from airline credit cards...

Airline credit card need-to-knows

  • 1. If you can't repay in full every month, DON'T get an airline credit card

    Card companies offer reward schemes because they want to encourage you to spend on the card so they can earn interest from it. If you don't repay IN FULL, the interest cost on any reward card will dwarf any gain you get.

    Always set up a direct debit to repay the card in full each month, so you'll never pay interest.

  • 2. Airline credit cards tend to work best if you'll spend £10,000+ on them every year

    Higher spenders can take advantage of the perks that some of these cards have, such as companion tickets and big intro bonuses, especially if you're willing to pay an annual fee.

    For example, the British Airways Premium Plus Amex below gives you a companion ticket if you spend £10,000/year on the card, but you need to pay a huge £250 annual fee. The British Airways Amex is the fee-free version, though you'd need to spend £20,000/year to get a companion ticket (£12,000 from 1 Sep 2021).

    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. Though be aware they're usually only valid for a year or two.

    What is a companion ticket?

    A companion ticket allows you to take someone else with you when you pay with miles or points, under similar or the same conditions for no extra miles or points. In other words, if you're flying premium to Miami, they  come for free in the same class. However you have to pay taxes for both and some companion tickets may only get you an economy ticket, regardless of how you're travelling.

  • 3. Never borrow or withdraw cash on these cards

    They're a tool to get you rewards by using them like a debit card and clearing them each month, and we rate them based on that. 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 0% Credit Cards for Spending and Best Balance Transfers for more info.

    And when it comes to withdrawing cash the rule is simple – never, ever, ever use these cards for cash withdrawals as you'll generally be charged a fee and interest, even if you pay the card off in full.

  • 4. Use these cards for all day-to-day spending to max rewards - don't see them as an excuse to overspend

    These cards are designed to encourage you to spend but never spend more than you need. Instead, use the card for all normal day-to-day purchases then set up a direct debit to repay in full each month and you'll soon see the miles adding up.

    You could max it even further by using the card for work expenses if you need to reclaim them. 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. Check it's fine with your employer though, and there's a chance it could be seen as a taxable benefit (though you'll still be up even if it is).

    Can I add an additional cardholder to my account to boost miles/points?

    Yes, you can. By doing so, both your spending collects the miles or points. This technique is particularly useful for cards that need you to hit a certain target to get a free companion flight.

    Remember, 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.

    Can I buy extra points/miles?

    You can with most schemes mentioned in this guide, so you can top yours up if you're short. Better still, if you're collecting miles and also redeeming a companion flight, you'll earn miles doing so, so in effect you get double the value.

    Once you've joined your scheme, extra points or miles can be bought at Avios or British Airways.

    With Avios points, you do also have the option to part-pay, so you pay with a mixture of Avios points and cash. From our research, we found it's generally cheaper to part-pay in Avios points on the flight-booking pages than buying extra points, especially as points can only be bought in 1,000 increments. However, Avios occasionally holds offers where it will add bonus points to any you buy, so check if one of these deals is on first.

    TABLE_CELL_STYLE BA AVIOS
    		 AVIOS
    		 FLYING CLUB
    Cost per point/mile 1.7p-3.1p 1.7p-3.1p 0.7p-3p
    Limit on points/miles you can buy 35,000 100,000 100,000

  • 5. If you need other credit soon, eg a mortgage, it may not be the right time to apply for a credit card

    You need to weigh up whether getting one is going to harm other more important credit applications you may have on the horizon – multiple searches on your credit file in a short space of time can damage your chances of getting future credit.

    So if you think you'll need to apply for important credit soon, such as a mortgage, hold off applying as you'll need to spread out your applications.

  • 6. Free flights are a myth as you'll always pay taxes and charges – but you can still save a significant amount

    When you collect airline mile points, such as Avios or Virgin Flying Club miles, you can redeem them for reward flights – though taxes and charges are still payable on top.

    When we checked from London Heathrow, an off-peak economy return flight to Paris cost 8,000 Avios plus £35 in taxes and charges, while New York cost 26,000 Avios plus £373 – see our Avios Tricks guide for more.

    Under Virgin's Flying Club miles scheme, Heathrow to New York on an off-peak return flight in economy cost 20,000 Flying Club miles plus £270 in taxes and charges, while Dubai cost 20,000 miles plus £251 in charges.

    To show you exactly what you need for each destination, and what counts as peak/off-peak dates, see the Avios rewards flight calculator or for Virgin, see its Flying Club reward flights page.

  • 7. Reward flights are limited, so you'll have to be flexible around when you travel

    The availability of reward flights is much more limited than when paying for flights normally, so you'll have to go quick and be as flexible as possible.

    Tactically, the ideal time to start checking is around a year before – this is when seats start to be released (see flight release dates). Though keep checking, as sometimes there are no seats available when a flight's launched, but extra seats are released later.

    If you want to fly at peak times such as Christmas or school holidays, booking well in advance is usually essential. Use BA's search and book page to check for availability, or Virgin's reward flights calendar.

 Credit Card Eligibility Calculator

See which credit cards you've the best chance of getting, in your own personal best-buy table.

Usually, applying is the only way to know if you'll be accepted for a credit card. Yet that marks your credit file, affecting your ability to get future credit. To help, our tool uses a 'soft search' to find your chances of acceptance before applying.

Check your chance of acceptance

Top for multiple airline schemes

The other cards in this guide mean making a choice between Avios from British Airways and Virgin Atlantic, yet here you earn points which can be converted to either – or even shopping vouchers and Nectar points.

Both are from American Express, so there's a couple of important points to note:

  • Amex isn't as widely accepted as Mastercard or Visa
  • You won't get the intro bonuses below if you've had a personal (ie, not business) Amex in the last two years

If this applies to you, or if you need a backup card for when Amex isn't accepted, the Virgin Atlantic cards below are Mastercard or see our top non-Amex reward cards, those these don't give airmiles.

Top cards with choice of airline – for new cardholders (i) 

 


Amex Preferred Rewards Gold
 

- 20,000 pt bonus on £3,000 spend in first three months
- 1 pt per £1 spent
- 1 pt = 1 mile
- Two free visits per year to airport lounges
- No fee in year one, then £140/yr
- Fail to repay fully and it's 56.9% rep APR, incl fee

 

Top if you want a big intro bonus and a choice of frequent-flyer schemes: this card has 20,000 intro bonus points, which can be converted in to miles with 13 different airline schemes. You also get two free lounge passes a year – though a hefty annual fee kicks in from year two.  

 

You'll have 23,000pts if you spend £3,000 in the first three months, which you can convert to 23,000 airmiles at various schemes, including Avios, Virgin Atlantic, Emirates and Etihad. 

 

There's also the choice to convert to £184 in Nectar points, a £100 voucher or 23,000 hotel points (eg,  Hilton Honors or Marriott Bonvoy). Full rewards point info

 

A hefty £140/yr fee kicks in from year two, so diarise to cancel before then if you want to avoid it.
Check eligibility Apply*
The next best card for multiple schemes
Amex Rewards

- 5,000 pt bonus on £2,000 spend in first three months 
- 1 pt per £1 spent
- 1 pt = 1 mile
- No fee
- 22.2% rep APR
 

Top fee-free card with a choice of frequent-flyer schemes: this card earns you the same number of miles per pound as the card above, though you get a much smaller intro bonus. 
 

The initial 7,000 points you'd get if you spend £2,000 in the first two months converts to 7,000 airmiles. However, you don't get the lounge passes with this card. Full rewards point info.
Check eligibility Apply*

(i) You won't get the intro bonus if you've held a personal Amex card in the past two years.｜See all official APR examples.

Top for Avios/British Airways

Avios is one of the most popular airline loyalty schemes, giving airmiles for British Airways and other airlines in the Oneworld group such as American Airlines, Cathay Pacific and Qantas.

Again, all these cards are from American Express, so note it only pays the intro bonuses if you've not had a personal (ie, not business) Amex in the last two years. Amex also isn't as widely accepted as Mastercard or Visa.

Top for Avios – for new cardholders (i) 



British Airways Amex
 
- 5,000 mile bonus on £1,000 spend in first three months
- 1 mile per £1 spent

- Free companion ticket on £12,000+ annual spend (£20,000+ until Sep 21)
- No fee
- Fail to repay fully and it's 22.2% rep APR 

Top fee-free BA miles card: this card has a decent number of intro bonus miles with a relatively low spending trigger to get them, plus you get a simple 1 point for every pound you spend. 

 

In addition, you'll get a companion ticket each year you spend at least £12,000 (£20,000 until 1 Sep). This lets someone travel with you in economy class without using points.
Check eligibility Apply*


 

Amex Nectar 
 

- 12,500 mile bonus on £2,000 spend in first three months
- 1.25 miles per £1 spent

- No fee in year one, then £25/yr
- Fail to repay fully and it's 27.3% rep APR, incl fee  

Top if you're happy to pay a small fee for more miles: this card has a higher intro bonus and gets you more miles per pound spent than the card above, though  there is a small annual fee to pay from year two. 

 

This card's not really an 'airline card' as it doesn't give you air miles directly. But we've included it here as there's a tie-up between Avios and Nectar which means you can convert the Nectar points you get (400 Nectar = 250 Avios). Just log in to the Nectar or BA Executive Club site to do the transfer.

 

If you spend £2,000 in the first three months to get the bonus, you'd have 22,000 Nectar points, which will get you 15,000 Avios once converted. However, there's no companion bonus - this card's all about the miles.
Check eligibility Apply*
The next best card for Avios

British Airways Premium Plus Amex 

 

- 25,000 mile bonus on £3,000 spend in first three months
- 1.5 miles per £1 spent

- Free companion ticket on £10,000+ annual spend
- £195 in year one, then £250/yr
- 74.7% rep APR, incl £195 fee 

 

 

Top if you're a big spender or frequent flyer and don't mind a BIG annual fee: this card pays the best ongoing points per pound spent of the Avios cards, and comes with decent additional perks, but you'll need to check it's worth paying the fee.

 

Spend £3,000 on the card in the first three months and you'll have 29,500 Avios points, which should get you at least a return economy flight to Europe (you'll pay fees and taxes). 

 

You'll also receive a free companion ticket if you spend over £10,000 per year, which gives you a 'free' seat in the same cabin as you (again, you pay taxes and charges). 
Check eligibility Apply*

(i) You won't get the intro bonus if you've held a personal Amex card in the past two years.｜See all official APR examples.

Top for Virgin Atlantic

Virgin Atlantic's Flying Club is another big scheme and both its cards are powered by Mastercard, which is typically more widely accepted than the Amex cards above.

Here the cards pay points with no expiry that you can use to pay for flights, ticket upgrades or clubhouse visits – or spend via its Virgin Red scheme with retailers such as Greggs, Virgin Wines and Vue. 

Top for Virgin Altlantic – for new cardholders 




Virgin Atlantic Reward 

- No bonus
- 0.75 points per £1 spent

- Free companion ticket/upgrade on £20,000+ annual spend
- No fee

- Fail to repay fully and it's 22.9% rep APR

Top fee-free Virgin Atlantic card: get ongoing Virgin points, plus a free companion ticket or upgrade for high spenders. 
 

Plus, if you'll spend over £20,000/yr on the card (don't use this as a reason to overspend) you'll get a free Flying Club tier reward. If you're at its lowest 'red' tier, you can choose a free upgrade (ie, economy to premium), a companion ticket in economy or premium – though you'll both pay taxes and charges – or a Virgin Clubhouse pass.
Check eligibility Apply*
The next best card for Virgin Atlantic

 

Virgin Atlantic Reward+

 

- 15,000 point bonus on first spend (no min) within 90 days
- 1.5 points per £1 spent

- Free companion ticket/upgrade on £10,000+ annual spend
- £160/yr fee
- Fail to repay fully and it's 63.9% rep APR, incl fee

 Top card if you're a big spender & want to max your Virgin Atlantic points: this card gives double the number of miles per pound than the fee-free version above, and has 15,000 intro bonus miles to boot, but there's an unavoidable, hefty annual fee.

However, this card does have the advantage that the spending trigger for the annual companion ticket/upgrade is also lower at £10,000. 
Check eligibility  Apply*

See all official APR examples.

Cashback sites may pay you for signing up

As an extra boon, members of specialist cashback websites can be paid when they sign up to some financial products. Do check it's exactly the same deal though, as terms can be different. And remember, the cashback is never 100% guaranteed until it's in your account.

For full help to take advantage of this and the pros and cons, go to our Top Cashback Sites guide.

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Coronavirus credit card help

If you're struggling to pay off debt on an existing credit card due to coronavirus, lenders should provide support. Yet the blanket payment holiday help that used to be available has ended.

So if you're struggling to pay your credit card debt now, or you're coming off an agreed payment holiday, lenders are now supposed to provide 'tailored support'. Under this, you could be offered a (further) payment holiday or a period of reduced payments, reduced interest or a repayment plan – lenders should take into account how much you can afford and how your finances are likely to change in the near future.

Providers are expected to report any support they give you to credit reference agencies, which could affect your future creditworthiness. Yet don't let that put you off from contacting your provider – missing payments or defaulting is likely to have a far worse impact.

For the latest updates and full information on the support available, see our Coronavirus Finance & Bills Help guide.

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