Designed to appeal to frequent fliers that travel with American Airlines, the Citi Gold AAadvantage World MasterCard offers a rewards program of AA air miles. Whilst the card can be beneficial for those who travel with the airline, it has little to make it stand out above the average card for other card holders. There are no cut price introductory rates and an annual fee is levied on card holders.
Those who do travel with American Airlines should consider if they travel frequently enough to benefit from the card, though applicants require excellent credit. The annual fee of $85 is waived for the first year and Citi offer a statement credit of $50 for the first eligible American Airlines purchase made within 12 months of opening the account.
The current APR for purchases is pretty standard at 15.24%. The cash advance APR is 25.24% and the penalty APR 29.99%. Fees levied are $10 or 5%, whichever is greater, on cash advances. Balance transfers are charged at $5 or 3% but there are far better interest rates available for those considering a balance transfer. Foreign transaction fees are charged at 3% which could be considered high on a travel rewards card.
The rewards program gives 1 AAadvantage point for each $1 of purchases, up to a maximum of 100,000 points per calendar year, excluding any bonus points earned. The points never expire providing certain criteria are met. Points must be redeemed every 18 months or be earned through spending on American Airlines, American Eagle or American Connection carrier. Additionally details of the Reduced Mileage Awards Program can be found on the AAadvantage web site.
Card holders can receive an extra 30,000 points by spending $750 on the card within the first four months of opening the account. The bonus points will easily cover the price of return domestic flight.
AAadvantage rewards points can be redeemed for flights worldwide on 20 airlines, hotels and car rentals. American Airlines promises no black out dates on flights with American Airlines, American Eagle and American Connection carrier. However availability of seats may be limited and not available on every flight.
Citi recently increased the annual fee on the card from $50 to $85, but also increased the free bonus miles from 60,000 to 100,000. Potential applicants should consider if the bonus points and opportunities they have to amass AAadvantage points outweigh the cost of the annual fee before opting for the card.