Some of the most highly touted travel credit cards come with big sign-up bonuses and high rewards rates for travel purchases. But what if you want more than rewards points?
Credit cards with prestigious perks typically come at a premium — an annual fee in the hundreds of dollars. But that doesn’t mean they aren’t worth it. Let’s dig into the details of the Nerds’ favorite premium cards to determine when (and for whom) they’re a good choice.
Best for the full package: Citi Prestige® Card
Earn 50,000 ThankYou points when you spend $3,000 within the first 3 months of opening your account. Earn 3X points on air travel and hotels, 2X points on dining and entertainment and 1 point per dollar spent elsewhere. Several travel perks, including lounge access, golf course access and a $250 air travel credit every year. No foreign transaction fees. $450 annual fee.
Benefits of the Citi Prestige® Card:
- Travel perks galore: The Citi Prestige® Card more than makes up for its annual fee with a $250 air travel credit each calendar year; complimentary access to American Airlines Admirals Club lounges and hundreds of other lounges through Priority Pass Select; a complimentary fourth night stay at any hotel worldwide if you book through a designated travel advisor; a $100 Global Entry application fee credit; free golf on elite courses around the globe; and more.
- It goes the extra mile with protections. For example, it covers up to $100,000 if you become seriously ill or injured overseas and need to be evacuated to a better hospital or need help getting home. It also offers refunds on event tickets if you miss for an eligible reason.
- Get special treatment when you fly with American Airlines. With the Citi Prestige® Card, you can redeem 50,000 Citi ThankYou points for $800 in American Airline flights. By comparison, you’d get only $665 in flights on other airlines or $500 in gift cards for the same amount.
Drawbacks of the Citi Prestige® Card:
- The $450 annual fee is steep, especially if you don’t travel often.
- The Citi Prestige® Card is meant for big spenders with high incomes, so you may not get approved if you don’t fit that description.
- It charges an extra annual fee of $50 for each authorized user.
The bottom line:
The Citi Prestige® Card is a great travel companion for frequent flyers, but it doesn’t offer much benefit for occasional travelers.
Best for elite status: The Platinum Card® from American Express
Earn 40,000 points after you spend $3,000 on purchases on your new Card in your first 3 months.. Earn 2X Membership Rewards points on travel booked through the American Express travel website, and 1 point per dollar spent elsewhere. Travel perks include elite hotel status and a $200 airline fee credit every year. No foreign transaction fees. $450 annual fee.
Benefits of The Platinum Card® from American Express:
- With The Platinum Card® from American Express, you’ll get automatic Hilton HHonors Gold and Starwood Preferred Guest Gold status, both of which offer point bonuses for stays, upgrades, late checkout, complimentary in-room Wi-Fi and more.
- Other great travel perks include an annual $200 airline fee credit (per calendar year); a fee credit for Global Entry ($100) or TSA PreCheck ($85) every five years; complimentary access to Centurion Lounges, Delta Sky Clubs, Airspace Lounges and Priority Pass Select lounges; free Boingo Wi-Fi access; and a free room upgrade and $75 hotel credit on qualifying activities when you book a hotel stay of at least two nights with your card.
Drawbacks of The Platinum Card® from American Express:
- Although The Platinum Card® from American Express doesn’t charge a foreign transaction fee, keep in mind that American Express is less widely accepted overseas than Visa and MasterCard.
- The $450 annual fee may not be worth it if you don’t take advantage of all the perks.
- It charges an extra annual fee of $175 for up to three authorized user cards.
- It’s a poor choice if you’re in it for the rewards.
The bottom line:
The Platinum Card® from American Express is a great option for domestic travel, especially if you stay at SPG and Hilton hotels frequently. But if you do a lot of international traveling or you want better rewards, this may not be the best choice.
Best for flights: Citi® / AAdvantage® Executive World Elite™ MasterCard®
Earn 50,000 AAdvantage® bonus miles after making $5,000 in purchases in the first 3 months of account opening*. Earn 2 miles per dollar spent on eligible American Airlines purchases and 1 mile per dollar on other purchases. First checked bag free for you and up to eight companions. Admirals Club membership for you and guest privileges. No foreign transaction fees. The annual fee is $450.
Benefits of the Citi® / AAdvantage® Executive World Elite™ MasterCard®:
- It has a stellar sign-up bonus: Earn 50,000 AAdvantage® bonus miles after making $5,000 in purchases in the first 3 months of account opening*. With the Nerds valuing AAdvantage miles at 1.2 cents apiece, that’s worth $900 in free flights.
- Travel perks include a credit of up to $100 for the Global Entry or TSA PreCheck application fee every five years; Admirals Club membership (you’re allowed to bring in immediate family members or up to two traveling guests free); 10,000 elite qualifying miles when you spend at least $40,000 per calendar year; early boarding; a 25% discount on in-flight purchases when flying American; and the first checked bag free for you and up to eight traveling companions
- The Citi® / AAdvantage® Executive World Elite™ MasterCard® doesn’t charge an extra annual fee for authorized user cards.
- American Airlines belongs to the Oneworld Alliance, giving you flexibility to use your miles to travel virtually anywhere in the world.
Drawbacks of the Citi® / AAdvantage® Executive World Elite™ MasterCard®:
- It doesn’t offer automatic elite status with American Airlines.
- It offers the same rewards on American Airlines flights as other American Airlines-branded credit cards that have much lower annual fees.
- The annual fee is $450, which may not be a good value if you don’t travel often.
The bottom line:
The Citi® / AAdvantage® Executive World Elite™ MasterCard® isn’t bad as premium cards go, but you can get many of the same benefits and more with the Citi Prestige® Card.
Ben Luthi is a staff writer at NerdWallet, a personal finance website. Email: bluthi@nerdwallet.com. Twitter: @benluthi.
Image via iStock.
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