What the AAdvantage Miles credit card does
The AAdvantage Miles card is American Airlines' co-branded credit card, issued by Citi. You earn miles on purchases, which you can redeem for flights, seat upgrades, and other travel rewards. The card comes with an annual fee, and the miles you earn have real value only if you fly American Airlines or its partners regularly.
Unlike cash-back cards that give you a percentage of your spending back as money, this card ties your rewards directly to American Airlines' pricing. That means the value of your miles depends on which flights you book and when you book them. A mile might be worth half a cent on one route and two cents on another.
Key Takeaways
- The card charges an annual fee (the amount varies by card tier and changes over time), so you need to earn enough miles to make that fee worthwhile.
- You earn miles on every purchase, but the earning rate is higher on American Airlines tickets and certain partner purchases than on everyday spending.
- Miles expire if your account is inactive for 18 months, so you must use or earn miles regularly to keep them.
- The card's value depends entirely on your travel habits — if you don't fly American Airlines or its partners, the miles are difficult to use.
- Annual fees, earning rates, and sign-up bonuses change regularly, so you should check Citi's current terms before deciding.
How you earn miles with this card
You earn miles on two types of spending: purchases you make with the card, and the annual fee itself (which Citi credits back as miles on some versions of the card). The earning rate varies by purchase category. American Airlines tickets and certain partner purchases earn at a higher rate than everyday purchases like groceries or gas.
The card also offers a sign-up bonus — a large number of miles awarded after you spend a certain amount in the first few months of card ownership. This bonus is often the main reason people open the card, since it can cover the cost of a domestic flight or two. The bonus amount and spending requirement change throughout the year.
Miles you earn do not expire as long as your account stays active. Citi defines active as earning or using miles at least once every 18 months. If your account goes inactive, your miles will be forfeited. This matters if you open the card, earn miles, and then stop using it for a year and a half.
Annual fees and other costs
The AAdvantage card charges an annual fee, which Citi may waive for the first year or credit back as miles depending on the card version and current promotion. After the first year, you pay the fee every year you keep the card open. The exact amount varies by which version of the card you hold — there are multiple tiers, each with different fees and benefits.
Beyond the annual fee, you pay interest on any balance you carry month to month. The card's interest rate (called the APR) is not fixed and depends on your credit score and Citi's current rates. If you pay your full balance each month, you pay no interest. If you carry a balance, the interest charges can quickly exceed the value of the miles you earn.
Some versions of the card offer statement credits for certain purchases — for example, a credit toward baggage fees or seat upgrades. These credits reduce your net cost of the card but only if you use them. If you never pay for baggage or upgrades, the credit has no value to you.
When this card makes financial sense
The AAdvantage card is worth keeping if you fly American Airlines or its partners at least a few times per year and you pay your balance in full each month. The miles you earn on tickets and the sign-up bonus can offset the annual fee and give you extra value. If you fly frequently, the card's higher earning rates on airline purchases make it more valuable than a flat cash-back card.
The card is not worth keeping if you rarely fly, fly only other airlines, or carry a credit card balance. Miles have no value if you never redeem them, and interest charges will cost you far more than any miles you earn. You should also close the card if you stop flying for an extended period, since the annual fee will drain value from your account with no way to recover it.
To decide whether to open the card, calculate whether the sign-up bonus covers your first year's fee and whether your expected miles earnings in year two will cover the fee again. If the math does not work, the card is a net cost, not a benefit.
How to redeem your miles
You redeem miles through the American Airlines website or app by searching for flights and selecting the "award" option instead of paying cash. You can book flights on American Airlines or on partner airlines like British Airways, Cathay Pacific, and others in the oneworld alliance. Award availability varies by route and date — popular flights often have few or no award seats available.
Miles can also be used for seat upgrades, baggage fees, and other travel-related purchases through the American Airlines website. Some people use miles for these smaller purchases, though the value per mile is often lower than booking a full flight. You can also transfer miles to American Airlines' hotel and car rental partners, though the redemption value varies widely.
Award flights do not include checked baggage or seat selection on some fares, even though you paid in miles. Read the terms for each award before you book to understand what is included. Some award bookings cannot be changed or refunded, so you are locked into your travel dates once you redeem.
Comparing this card to other travel rewards cards
Other travel rewards cards earn points or miles that you can use with multiple airlines and hotels, not just one carrier. A card that earns flexible points may give you more options if you do not fly American Airlines exclusively. Cash-back cards give you a percentage of your spending back as money, which has a fixed value and does not depend on airline pricing or award availability.
The advantage of the AAdvantage card is that it earns at a higher rate on American Airlines purchases than most flexible travel cards do. If you are loyal to American Airlines, you will earn more miles per dollar spent than you would earn flexible points on another card. The disadvantage is that your miles are locked into one airline's ecosystem, so if your travel plans change or you move to a different airline, your miles become harder to use.
Before opening any travel rewards card, compare the annual fee, sign-up bonus, earning rates, and redemption options across cards you are considering. A card with a higher annual fee is only worth it if the miles you earn and the bonuses you receive exceed that fee by a meaningful amount.
Frequently Asked Questions
What happens to my miles if I close the card?
Your miles remain in your American Airlines account and do not disappear when you close the credit card. However, if you do not earn or use miles for 18 months after closing the card, your account will become inactive and your miles will be forfeited. You can keep your miles alive by flying, using them to book a flight, or transferring them to a partner program.
Can I use my miles on airlines other than American?
Yes, American Airlines is part of the oneworld alliance, which includes British Airways, Cathay Pacific, Japan Airlines, and others. You can book flights on these partner airlines using your AAdvantage miles. Award availability and the number of miles required vary by partner and route, so you may find better value on some partners than others.
How much is a mile worth?
The value of a mile depends on which flight you book. A mile might be worth 0.5 cents on a short domestic flight or 2 cents on a long international flight. The best way to understand value is to search for the flights you want to take and compare the miles cost to the cash price, then divide the cash price by the miles required.
Do I have to pay the annual fee every year?
Yes, unless Citi waives it as part of a promotion or you close the card. Some versions of the card waive the fee for the first year, but you will owe it in year two and every year after unless you cancel. If the miles you earn do not exceed the fee, closing the card is the right financial move.
What credit score do I need to open this card?
Citi typically requires a good to excellent credit score, though the exact minimum is not published. You can explore and see whether you are approved, but approval is not may provide. If you are denied, you can contact Citi to ask what score or credit history they require.