Copyright Men's Journal
It’s obviously become quite common in recent years for airlines to embrace rewards credit cards, offering customers rewards points on their purchases that they can then use on travel or airfare. Rewards credit cards have become so common throughout the airline industry that one legislator even went as far as to “basically credit card companies that own some planes” when proposing some legislation to limit those types of credit cards. Now, United is embracing a new trend to offer to customers: a rewards debit card, following the lead of Southwest Airlines, which announced a similar move last month. Rewards Credit Cards Are Common Rewards credit cards are exceedingly common in the airline industry, and United Airlines is no exception, offering a lineup of rewards credit cards that allow customers to earn MileagePlus miles for spending. More than 31 million Americans currently hold airline travel reward cards, and 57 percent of all frequent flier miles and points issued in 2023 were generated by airline credit card use. Nearly 16 million domestic air trips were awarded from points earned through the use of an airline-branded credit card in 2023. United Debuts Rewards Debit Card Last week, United Airlines announced a new take on a rewards card as the airline rolled out its first rewards debit card. “We’re constantly looking for new ways to add value and optionality for our members, and a debit card is a natural next step,” said Bob Daly, United’s Managing Director of Global Co-Brand Cards. “The United MileagePlus Debit Rewards Card offers customers an additional way to earn miles whether they’re spending on United flights and everyday purchases or saving and making plans for the future.” “We’re proud to partner with United to bring this innovative debit rewards card to market,” said Bill Kennedy, Interim CEO and CFO of Galileo Financial Technologies. “It’s a great example of how leading brands can use Galileo’s modern platform to move quickly, meet customer demand, and create differentiated loyalty experiences.” For a limited time, new MileagePlus Debit Rewards cardmembers can earn a 10,000-mile bonus after approval and making qualifying purchases. Miles may be earned on dining, retail, groceries, and more, with additional miles earned on United purchases such as flights, bags, onboard snacks, and more. Follows Southwest Airlines This move from United comes just a few weeks after Southwest Airlines announced a similar move, debuting its own rewards debit card. “At Southwest Airlines, we are continually exploring new ways for our Customers to experience the benefits of our Rapid Rewards program,” said Tony Roach, EVP Chief Customer and Brand Officer at Southwest Airlines, in a statement last month. “With more than 90% of Americans using debit cards, expanding our award-winning Rapid Rewards loyalty program to include a debit card was a natural next step. Whether it’s a college student looking to book a flight to watch their favorite team, a parent setting up an account for a recent graduate, or a cash-savvy Customer looking for another way to earn rewards, the Rapid Rewards Debit Card offers unlimited options to turn everyday spending into that next Southwest flight.”
