AmEx and U.S. Bank vie for airline credit card customers

04.27.09
By Sarah Beldo

Are you a holder of a Northwest WorldPerks Visa card? If so, some changes are coming to your rewards account.

Today, American Express released some more details about its new position as the exclusive provider of SkyMiles airline loyalty program credit cards.

The news follows the merger of Delta with Northwest, which means the two airlines' frequent flier programs are being integrated into SkyMiles - and AmEx has been chosen as the official issuer of its credit card.

What does this mean for existing WorldPerks customers? If you already have a Northwest WorldPerks credit card, you can keep the miles you have already earned, AmEx says. However, to earn additional miles you will need to apply for a Delta SkyMiles credit card.

According to David Rabkin of American Express, the issuer is offering "rich incentives" to encourage people to switch. These include waiving the annual fee for the first year for the Gold Delta SkyMiles Card and giving out up to 25,000 bonus miles.

Meanwhile, U.S. Bank - which issued the WorldPerks Visa credit card before the merger - is stepping up to the plate to compete with AmEx by introducing an unaffiliated travel rewards card.

Bob Daly of U.S. Bank told KARE 11 News that its new card will be marketed on flexibility, allowing customers to use miles for merchandise or to obtain seats on any airline - without blackout dates.

"It'll all be hassle free," he told the news provider. "We're providing access to not just the largest airline in the world, but 150 others."

With both companies eager for customers to apply for a credit card with them, you may want to do some more research into the specific terms of each offer before making a commitment.

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American Express is offering rich incentives to encourage people to switch.