Annual fee: $395
Foreign transaction fees: None
Current welcome bonus: After spending $4,000 within the first three months of account opening, you’ll earn 75,000 miles, equal to about $750 in travel.
How to spend the welcome bonus: Capital One points can be redeemed at a rewards rate of a penny per mile. That’s decent, but the best way to use these points is to transfer them to an airline program (once you find a redemption flight with space available). Among the best options are Air Canada’s Aeroplan, Avianca LifeMiles, and Turkish Miles & Smiles programs, all of which charge minimal fees and generally price their award tickets lower than U.S. carriers. A coast-to-coast business-class ticket on United using Aeroplan’s reward program could cost only 25,000 points (far less than United’s 50,000+ miles). You could also get a 45,000-mile, one-way, business-class ticket to Europe using Turkish miles, too. (United would charge at least 70,000 miles each way for that same flight.)
Chase Aeroplan Card
Why we love it: Surprisingly for US-based travelers, Air Canada’s Aeroplan is a superior program to most domestic frequent flier programs because, in many cases, it offers lower redemption rates for long-haul business and first-class tickets. Cardholders of the new Chase Aeroplan card automatically receive Air Canada’s entry-level elite status (Aeroplan 25K) for the first full calendar year of holding it, too. That status comes with free checked bags, priority boarding and seats, upgrade credits, and lounge passes.
How it earns miles: If you’re hungry for points, Aeroplan has lots of earning opportunities. You’ll earn three points per dollar spent at grocery stores and dining outlets. Air Canada purchases, like flights, also rake in three points per dollar. All other purchases earn one point per dollar. Unique to this card are spending bonuses that award 500 bonus points for every $2,000 spent (up to three times per month).
Additional perks: This card’s benefits are most valuable to those that fly Air Canada, but they can still be beneficial to other airline loyalists. For starters, cardholders will receive a $100 statement credit toward TSA PreCheck, Nexus, or Global Entry. Eco-conscious fliers will appreciate that Air Canada will cover carbon offsets for award redemptions for cardholders and their companions. Plus, using the card for travel purchases includes trip cancellation insurance, roadside assistance and bag delay coverage. Note that to keep Aeroplan 25K status after the first year, cardholders need to spend at least $15,000 within the calendar year—and spending $50,000 gives a boost to the next elite status tier. To incentivize more spending each year, Aeroplan offers half-off Priority award redemptions if you meet certain spend thresholds, starting at $100,000 per year.
Annual fee: $95
Foreign transaction fees: None
Current welcome bonus: New cardholders can earn up to 100,000 points—75,000 points after spending $4,000 on purchases in the first three months your account is open, and an additional 25,000 points after spending $20,000 on purchases in the first 12 months.
How to spend the welcome bonus: Aeroplan uses a distance-based chart to determine the cost of an award flight. Still, it has plenty of sweet spots where you can spend fewer points for a business-class flight than through U.S.-based programs and their mood-swing-style pricing. For example, a one-way business-class flight from the East Coast to Portugal costs 60,000 points, while a one-way business-class flight from the East Coast to the Middle East is only 10,000 points more. This is excellent value, especially when compared to more expensive programs like United MileagePlus and Delta SkyMiles.
Chase Sapphire Preferred Card
Why we love it: While you won’t be earning airline miles with this card, it deserves attention for its freestyle Ultimate Rewards points that can be transferred to various hotel and airline rewards programs. The flexibility that comes with being able to transfer to different programs or use points outright to pay for airfare makes this one of the top cards to have in your wallet, especially if you’re not loyal to any specific airline.
