Welcome to the third installment of The Best Credit Cards in America. In this edition, I’m giving awards for the Best Airline Miles Credit Card and the Best Low Interest Credit Card in America.
The category winner is the card that scores the highest number of points based on a unique, 41-factor formula that I designed. The formula gives each card a “benefits/rewards score” and then subtracts the “costs score.”
Since the holidays are almost here, I decided it’s the perfect time to look at credit cards that offer airline miles. I know that many folks will be jetting off to see family and friends. And I know some of you travel for a living so earning miles is very important. So for all of you frequent fliers out there, I’ve reviewed dozens (and dozens) of credit cards that let you redeem airline miles for flights.
Best Credit Cards for Students
Best Secured Cards
Best Travel Rewards Credit Cards
Best Cash Back Credit Cards
I looked at cards that had annual fees below $100 (although I looked at one card that had a $175 fee just to make sure I didn’t miss a steal). The elite cards do have some amazing perks but they charge steep annual fees as well. I wanted to keep this affordable for the average consumer.
The upcoming holidays and the still-rocky economy got me thinking about low interest credit cards. I always tell folks that it’s a good idea to have a low-interest card on hand for cash-flow emergencies. You can have a rewards card to earn points, cash back, or miles, but you don’t ever want to carry a balance with a rewards card because the interest rates are usually on the high side.
So I also took a look at credit cards with the lowest ongoing interest rates (also known as the APR). If you have to carry a balance, a low interest rate credit card is a nice thing to have in your back pocket.
Okay, so let’s take a look at the winners and find out what makes them so amazing.
The Best Airline Miles Credit Card in America »
Beverly Blair Harzog Credit.com's Credit Card Expert, Beverly focuses on credit card issues and provides insight about current news that affects the credit card industry and consumers. She's a nationally recognized expert on credit card issues and is also the co-author of The Complete Idiot's Guide to Person-to-Person Lending. Reach Beverly at beverly@credit.com.
{ 11 comments… add a comment }
Excellent post. Thanks
You’re welcome. Thanks for reading.
Great timing with the holidays coming up! I was looking to switch to a card that gave me better airline mile rewards, this article was very useful!
So glad it helped!
Best credit card in south africa??
Camilla-I wish I could help but I’m not an expert about cards in South Africa. But hop online and do some research on sites that focus on these cards. You can also check with your local banks to see what cards they offer. Read the fine print carefully and set a high standard. You can come up with your own “best cards” list!
Hi Beverly – thanks for your articles!
Question: will trading in a standard Capitol one card for the Venture rewards card affect my credit rating? Seems to be conflicting info about deleting (cutting up a card) and then applying for another one. I don’t want to many and right now I don’t have any debt my cards.
I thank you in advance.
Caroline–Thanks so much for reading my articles.
There’s not a black-and-white answer about what will happen to your credit score if you cancel a card. But if your new card has a lower credit limit than your old one, then this could increase your utilization ratio (the amount of credit used compared to your available credit). An increase in this ratio can lower your credit score. But if the limits are the same, it’s probably a wash.
Honestly, there are so many factors involved in your credit score it’s hard to predict what will happen in this specific instance. Just make the choice that’s best for your personal situation and check your credit score from time to time.
None of these are a patch on my standard gold-card provided by my bank – which accumulates miles and provides free travel insurance, amongst other perks
Hey, y’all. You’ve omitted some great info about the Chase Sapphire Preferred card!
This card has free trip cancellation insurance, trip delay reimbursement and lost/damaged baggage reimbursement.
Also, you can use your points/miles for almost anything you can think of in addition to travel. Cash back, statement credit, gift cards, merchandise…you name it and there’s a way to use points for it. And did I mention the 24-hour personal service? You never have to go thru the pain-in-fanny “menu options” when you call them!
Oh, and in addition to transferring your points to frequent flier programs, you can also transfer them to frequent guest programs with many superior hotel chains!
C–Thanks for your awesome comment! My article would’ve been way too long if I included everything. I had to talk about the other winners, too!
But I love all the features you mentioned. The 24/7 concierge service that includes a real live human being is very cool. All the perks you mentioned helped the Chase Sapphire Preferred win the airline miles reward for Best Credit Card in America.