As Citi and American Airways Go Unique, Their Playing cards Want Tweaks

In early December 2024, American Airways and Citi introduced an extension of their decades-long partnership, together with a promise to go unique with regards to bank cards.

For years, American Airways has provided co-branded AAdvantage bank cards from two totally different banks: Citi and Barclays. That uncommon association dates again to the 2013 merger of American Airways with US Airways. Barclays was the issuer of US Airways’ playing cards, whereas Citi issued them for American Airways. After the merger, each issuers retained a portion of the mixed airways’ bank card portfolio.

However in its December announcement, Citi famous it is going to purchase Barclays’ suite of AAdvantage playing cards, turning into the unique issuer for American Airways and aiming to maneuver current Barclays cardholders over to Citi merchandise someday in 2026. Citi and American have each teased new advantages for flyers, however past that, the businesses have been quick on specifics, noting that extra particulars would finally comply with.

I grew up close to a significant American Airways hub and have been an AAdvantage member since 1998. Whereas I don’t have any main complaints about flying American, its bank cards and perks for frequent flyers have been outpaced by rivals in recent times, which provides me little incentive to decide on an American flight over Delta, United or Southwest. Ideally, Citi and American will take this chance to overtake these bank cards and make this system a little bit extra aggressive for flyers — beginning by, in the end, permitting the switch of Citi ThankYou factors to American Airways miles.

Presently, a number of AAdvantage playing cards stay available on the market, together with two of the best-known American Airways client playing cards:

The 2 playing cards have comparable annual charges, and by way of ongoing rewards on American Airways spending, they’re an identical. Each provide perks like early boarding, a checked-bag waiver, and a proportion low cost on qualifying in-flight purchases with American.

Nonetheless, they differ in some important methods, together with their sign-up bonuses and facet advantages.

Barclays has no rapid plan to drag the AAdvantage® Aviator® Pink World Elite Mastercard® from the market till the acquisition date is a little bit nearer. However given the similarities to the Citi® / AAdvantage® Platinum Choose® World Elite Mastercard®, it appears unlikely that the AAdvantage Aviator playing cards would proceed to be accessible to new cardholders as soon as Citi acquires Barclays’ portfolio.

As for current holders of the AAdvantage® Aviator® Pink World Elite Mastercard®, they’ll hold utilizing their playing cards as regular for now, however main modifications will probably be on the horizon for them, possible together with a completely new card. Citi famous in its information launch that it “will start transitioning [Barclays] cardmembers to the Citi portfolio in 2026,” though it is unclear what alternative product these prospects would get.

In contrast with different airline playing cards, Citi’s American Airways playing cards are, properly, kinda boring. Certain, you get a free checked bag and might board early, however these are fairly commonplace advantages. I hope this partnership conjures up Citi so as to add some attention-grabbing new perks to their playing cards.

Out of all of the journey rewards I’ve accrued, I’m most protecting of my American Airways miles and least possible to make use of them on a whim. That is partly as a result of I earned plenty of these miles the exhausting approach — really flying. But it surely’s principally as a result of they’re not precisely a renewable useful resource. I can’t earn as many American sign-up bonuses as, say, Chase bonuses, and ongoing rewards for spending on American Airways playing cards are considerably decrease than I’d earn through the use of my Chase Sapphire Most popular® Card or Capital One Enterprise Rewards Credit score Card.

And in contrast to the airline’s rivals, you’ll be able to’t switch any proprietary bank card factors to American. Delta, United, Southwest, JetBlue, Alaska and Hawaiian Airways all associate with no less than one bank card issuer, permitting sure cardholders to switch rewards to the airline’s loyalty program. Why doesn’t American?

Sure, there are some workarounds: You possibly can switch Marriott Bonvoy factors to American (at a very terrible switch fee). I usually switch bank card factors from Chase, AmEx or Capital One to British Airways after which ebook a home American Airways flights utilizing Avios. But it surely’s inconvenient and a problem if you’ll want to change your flight.

Previously, sure Citi cardholders and Bilt cardholders might switch factors to American, however neither partnership proved to be everlasting. If Citi might snag a long-term deal permitting cardholders to switch its proprietary ThankYou factors to American, it will be a giant win for flyers and an enormous increase for the not too long ago revamped Citi Strata Premier℠ Card. I’d personally apply for that card as quickly as potential.

The sign-up bonus on the AAdvantage® Aviator® Pink World Elite Mastercard® is among the best you may get, as a result of any sort of buy will set off it, no minimal required, past the annual charge: Earn 60,000 AAdvantage® bonus miles after making your first buy and paying the $99 annual charge in full, each inside the first 90 days. It’s precious, too. NerdWallet estimates that these factors may very well be value $960. It’s uncommon to discover a sign-up bonus that may get you many round-trip flights only for making a single buy. Citi’s American Airways playing cards, together with playing cards from aggressive airways, usually require you to spend hundreds of {dollars} to get that sort of sign-up bonus.

Citi might additionally select to present holders of its client playing cards the chance to earn a companion cross by spending, just like Southwest’s co-branded playing cards. To get that airline’s companion cross, flyers have to take 100 qualifying Southwest flights or earn 135,000 factors in a 12 months. However bank card spending and sign-up bonuses on Southwest playing cards will rely towards this quantity.

If Citi had been to supply a companion cross on its client playing cards, it will in all probability look extra just like the present perks on the AAdvantage® Aviator® Pink World Elite Mastercard® and the CitiBusiness® / AAdvantage® Platinum Choose® Mastercard®, which each require a major quantity of spending in a 12 months to earn the cross ($20,000 and $30,000, respectively). It’s a lot tougher to earn a companion cross with these playing cards, however hey, no less than it’s an choice for heavy spenders.

Delta and United cardholders each have entry to cheaper rewards flights. Delta cardholders get an computerized 15% low cost, whereas United cardholders get cheaper charges on sure flights. An identical perk can be a giant win for American flyers.

American Airways offers lifetime standing to anybody who earns 1 million miles. Years in the past, cardholders might spend their approach towards this achievement. Bringing this again can be a welcome perk for loyalists who received’t fly sufficient within the foreseeable future to earn lifetime standing the standard approach.

American stopped together with cardholder spending towards the million miler program in 2011, nevertheless it’s not unimaginable that the airline might convey it again. Between Could and December 2020, spending on American Airways playing cards counted towards the million miler program.