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Making the Most of Frequent Flyer Credit Cards!

Navigating the seemingly endless options when choosing a credit card is notoriously difficult. Many professionals, with the aim of utilising their credit card for wealth accumulation and financial security, steer clear from credit cards with rewards opportunities. With most leading providers offering multiple options and perks, from retail gift cards to petrol vouchers; choosing the right rewards credit card can feel like an unnecessarily difficult task.

However, partnering with the right credit card provider and utilising rewards programs is the new frontier for any professional looking to take the next steps in wealth accumulation and financial security. We explore some of the simple ways any consumer can leverage a credit card’s rewards system to benefit their bottom line.

Maximising your Credit Card for Wealth Accumulation

According to recent research conducted by American Express, over a quarter of Australians could be receiving far better value from their credit cards. The main reason for this statistic is a lack of transparency over the multitude of opportunities that rewards points can offer consumers.

Rewards credit cards utilise the same benefits as standard credit card options, making them an essential tool for wealth accumulation opportunities. Having a universally accepted payment option is essential for any professional who travels, or who is pursuing multiple investment opportunities. Responsible use of credit cards builds your credit score, allowing you to pursue possible wealth accumulation opportunities with lower interest payments.

Rewards credit cards also offer a plethora of consumer protections, to protect your financial wellbeing and lifestyle. Price and purchase protection insurance are essential tools for any consumer managing their personal finances.

The Frequent Flyer Credit Card

The massive influx of available credit card options are positive for any consumer hoping to leverage their sustainable financial situation for a better credit card deal. With many providers offering similar annual fees, credit limits and interest rates; rewards programs are the key differential between most major providers.

The Frequent Flyer rewards program is the most common rewards program utilised by professionals. Whilst you can choose to redeem your points for flight bookings, the rewards programs offered by leading providers are also filled with a range of other redemption opportunities.

When searching for a credit card with a frequent flyer program attached, there are a couple of key things to look out for:

Annual Fees

It can be easy to be put off by any credit card with an annual fee. However, don’t be so quick to write off these cards from your pool of candidates.

While cards with an annual fee ranging between $100 and$400 can leave a bitter taste, most come with additional incentives that, if claimed correctly, will offset the annual fee in its entirety. For example, an annual fee of $450 doesn’t seem so bad when it is offset by an annual $300 travel credit every year. If you travel frequently, a card with a high annual fee but further travel rewards opportunities may end up putting you far ahead.

Introductory Bonus Points

With most major credit card providers partnering with major airlines including Qantas and Virgin, the credit card industry has become an incredibly competitive business. Introductory bonus points are an advantage for any consumer, as providers seek new ways to distance themselves from other competitive options.

Before signing up for any frequent flyer credit cards, it may be beneficial to wait until an introductory bonus offer is released. These may occur multiple times a year from the same provider. These bonus points may at times be utilised to fund an entire flight. Most major airlines including Qantas and Virgin, offer ‘frequent flyer calculators’ to let you know exactly how far you can get across the globe on your rewards points.

Redemption opportunities

Many Australians do not realise that travel credit from frequent flyer credit cards can also be redeemed on other services. Some credit providers will allow travel points to be redeemed on public transport fares, taxis, parking and even toll fares. If you are not ready to book your next trip overseas, pay close attention to the other redemption opportunities offered by your card of choice.

Rewards opportunities 

Frequent flyer credit cards are often a treasure trove of travel-related rewards opportunities. Many providers will offer incentives including:

  • complimentary overseas travel insurance
  • airport lounge access
  • transit accident insurance
  • flight upgrades
  • discounts on hotel stays and car rentals
  • non-foreign transaction fees

With so many opportunities available to redeem rewards, it is important to pay close attention to your credit card account. Many of these rewards go unredeemed every year, with many Australians missing out on saving considerable cash on their travel or other business related expenses.

Keeping a close eye on your account is also essential in order to maximise your rewards for purchases. Most major providers will offer periods of low interest or cash back on eligible purchases. It therefore pays to be aware and keep a close eye on any new opportunities to receive the maximum benefits from any new credit card.

To discuss your current financial situation or to find out more about the right credit card for you, contact one of our trusted Financial Specialists today, please complete your details below and we’ll be in touch or give us a call on 03 9835 8200.


The information provided in this blog is general in nature. It has been prepared without taking into account any person’s individual objectives, financial situation or needs.

Before acting on any information in this blog, you should consider its appropriateness to you, having regard to your objectives, financial situation and needs or seek professional advice from a financial advisor.

Accru are not recommending any investment or product, the investments mentioned are examples only. Please seek professional advice or do you own research for an appropriate investment.  

About the Author
Accru Melbourne , Melbourne
Accru Melbourne delivers positive financial solutions through exceptional client leadership. We’ve managed clients’ financial needs for more than 150 years and have a team of nearly 100 professionals delivering responsive, personalised and proactive financial solutions for both individuals and businesses across business advisory, audit and wealth management services.
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