Many travel reward credit cards offer special bonuses to entice consumers to sign up for their card. Some of these bonuses can be quite good, but often they are seductive to people who really should not be getting a rewards credit card in the first place. Read the article on choosing a travel reward credit card and avoiding the dangers of a travel reward card before jumping onto any credit card promotion.
Here is a list of current bonuses being offered with credit cards in the United States as of 2008:
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AirTran Visa: One-way coach ticket with first purchase.
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American Airlines MasterCard: 20,000 Aadvantage bonus miles after you make $750 in purchases in the first four months.
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Continental MasterCard: 20,000 bonus miles with first purchase.
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Delta American Express: 15,000 bonus miles with first qualifying purchase.
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JetBlue American Express: 50 True Blue Points with first purchase (100 needed for round trip)
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Northwest Visa: 15,000 bonus miles with first purchase
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United Visa: 21,000 bonus miles with first purchase
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US Airways Visa: 25,000 bonus miles with first purchase
Bonus miles are a great way to get started with a travel reward credit card, since it gives you the feeling that you are already on your way somewhere. It is important however, to avoid the pitfalls of a reward card by following the golden rule: always pay off the balance in full every month!
Sometimes bonuses can be combined, as in CIBC Aerogold and Aeroplan's 'double-dipping' strategy, where Aeroplan rewards one point for every $3 spent, and CIBC Aerogold rewards 1.5 points for every $1 dollar spent (with certain retailers), which means that for every $100 spent you are earning 183 points. If you start with a bonus of 15,000 or even 25,000 bonus miles, you are well on your way to earning enough points to get a trip.
Do plenty of research before committing to a travel reward plan. Check the official websites of the cards you are interested in, but also check online forums where intrepid users often find obscure information and make it public. You can also contact the credit cards directly, and ask them about any upcoming specials. Many of them know about big promotions that are going to happen well in advance, and may be willing to share that information with you if they know it will get them a customer. The most important thing is to do your homework before you sign up.
Happy travels!
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