For frugal travelers who have subprime credit, entering the points and miles world can be a challenge. Although there are methods to improve one’s credit to begin using points-earning credit cards, getting there can be a long process. In previous years, prepaid products were available to help with those means, but required the usage of points-bearing credit cards for optimal point earning opportunities.
One of those barriers will come to an end this summer, with the launch of a new program from United Airlines. The Chicago-based carrier will offer a new points-earning prepaid card, the United Visa MileagePlus GO Card. Powered by Netspend, the MileagePlus GO card is targeted towards those who many not necessarily qualify for traditional points earning vehicles, but still have the want to earn MileagePlus miles towards frugal travel in the future.
So how does it all work? Like other prepaid solutions, travelers will be able to order the card using their active United MileagePlus number through the future MileagePlus GO website. Once the card is shipped, account holders could load their card from another account, such as a credit card or checking account. From there, travelers can use their cards to earn MileagePlus miles on transactions used from the card – similar to the United MileagePlus Explore card from Chase.
Although United and Netspend have not given all the details of how the card will earn MileagePlus miles, their press release noted cardholders will have the “opportunity to directly earn miles for qualifying purchases made with a prepaid card.” This could mean that only certain transactions would be allowed for points earning, while others would be disqualified. One example could grant travelers the opportunity to earn miles on credit-transactions run through the Visa network, but not necessarily on debit transactions.
Who would this product be best for? As we have noted in the past, there are a number of products that are geared towards helping frugal travelers who do not have the means to earn points or miles. This product allows those who are interested in using cash instead of credit to earn miles that can save money on travel. The Star Alliance is the largest reaching airline network, which can be unlocked using the MileagePlus earned from this card. For those who do not necessarily want to open a new card, or want another way to keep MileagePlus miles alive, this card could do some good.
For the advanced points earner, this card may not offer a whole lot of opportunity. With potential restrictions on earning options and limitations on loading the card, those who are advanced in the game may be better served with a credit product that allows travelers to earn MileagePlus miles. Options including the Chase Sapphire Reserve may offer more flexibility in earning even more miles towards frugal travels.
While this may not be the best product for everyone, it is still exciting to see United and Netspend make the points game more accessible to frugal travelers of all kinds. I am excited about the launch of the United MileagePlus GO prepaid card and look forward to hearing success stories for trips earned on miles from this card.
Will this prepaid debit card be a strong addition to your points earning arsenal? Or are you going to wait to learn more about the terms? Let us know your thoughts in the comments below!
Written by Frugal Travel Guy @ http://www.frugaltravelguy.com
Written by Frugal Travel Guy @ http://www.frugaltravelguy.com