Are The Awards Of An Airmiles Mastercard?
How does it work?
The idea is that, for every purchase, you make using your Airmiles Mastercard you earn air miles,
which add up to enough to pay for flights and other rewards. There are over 120 sponsors with whom you can earn air
miles and a large number of entertainments, leisure and travel places to spend them. An air miles collector card is
where you log your air miles, but with an Airmiles Mastercard you automatically update your account with air miles
each time you make a qualifying transaction. The Airmiles reward program started in Canada in 1992 and as well as
individuals, it offered a loyalty air miles program for small business and employees.
Providers of Airmiles Mastercards
Different companies participate in the air miles reward program, and there are a number of different air miles
credit cards available, such as American Express. The best known Airmiles Mastercard provider is BMO which is the
Bank of Montreal. The BMO Airmiles Mastercard is part of a package offer of ways to earn air miles with BMO. They
offer a debit card which with one of their checking accounts is an interest-free way to pay for merchandise, and at
the same time earn 1 air mile for each $40 you spend up to a maximum of 40 air miles a month. Alternatively with
their Airmiles Gold MasterCard, you get a 25% discount on all Airmiles flights and a 25% discount on the number of
reward miles needed for buying eco-friendly products in the Airmiles My Planet, online shop. You can earn 150 bonus
reward miles with your first purchase, followed by 1 air mile per $15 transaction, double reward miles at Canadian
Shell, National Car Rental and Alamo Rent-a-Car locations. The gold card costs $99 per annum and has an interest
rate of 19.5% unless you choose to pay an additional $35 per annum and then the rate reduces to 12.9%. If you
maintain a daily balance of $5000 in your personal account that is worth 100 bonus reward miles, and spending $2000
or more on your card, each month in the first three months earns you additionally, 150 reward miles per month. The
standard Airmiles MasterCard with BMO earns a reward mile per $20 transaction with no annual fee and 19.5% interest
although you can reduce this to 12.9% if you pay the $35 per annum.
Is this better than a normal credit card?
If you bank with BMO, use their debit card and a standard Airmiles Mastercard, as long as you pay your Mastercard
balance in full each month and use it for expensive purchases, you can build up air miles at no cost to yourself.
BMO's interest rate is reasonable, certainly worth paying the $35 a year to reduce it to 12.9%, and, if managed
carefully, could be a good way to make purchases and, at the same time, earn rewards. However, an Airmiles
MasterCard is still issued subject to credit checks like any credit card.
Source: Credit Cards For People With Bad Credit Rating
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