Egg Money or Lloyds TSB Airmiles?

bwgames

Not sure if anyone can help me, but I'm at a loss as to what to do here:

I just recently applied for, and got, an Egg Money cashback card, and a Lloyds TSB Airmiles duo, primary for the 500 free miles, which are going towards flights.

I can't decide whether to keep the Egg Money card, and get 1% back annually from everything, or use the Airmiles cards, and get 1 airmile per £10 (assuming AmEx), as well as airmiles from Tesco, and other shops.

I usually fly about 6-7 times a year at least, mainly short haul european (Amsterdam) flights, but, they are about half-half from East Midlands (BMIbaby), and the other half from London airports (KLM/BA or easyjet depending on time and cost).

The airmiles are only really beneficial for 'flag carrier' flights though from what I can tell, and I'm planning on saving the 500 until I really need them, or putting them towards a long distance (USA) flight.


Looking at it from straight numbers:
Assume £1k/year spend.
Egg Money cashback = £10.
Airmiles soley from using the cards: say 80, as I won't be able to use the AmEx card 100% = Part way towards a flight. This is excepting any airmiles I'd get from say Tesco, or online shops.

At the moment, I'm leaning towards the Airmiles card, but I was wondering if anyone else had been in a similar situation and had any advice?

Thanks

student100

Even if you decide Amex airmiles card is best, the Egg Money is probably second-best for times when the Amex isn't accepted.

AnW'sMum

Purely spending £1k on the Amex card would net you 100 miles but this can be increased by doing some of your shopping on line with the airmiles partners and fuelling your car (assuming you have one!) at Shell garages. Where Amex is not accepted (the list of places accepting it is growing all the time) you would use the mastercard and get 1 point per £50 spend.

If you are going to use the cards to accrue airmiles then I would try to buy as much as you can using your Duo cards and set up a direct debit to pay it off in full every month. That way you max out the points you can get and you pay no interest as the balance is paid in full.

Before making a final decision I would double check now many points you need and if the flights you want a available within the scheme at the times you are wanting to fly.

I use a cash back credit card for just about all my spending, the only cash I use is in the corner shop etc. everything else goes on the card including any monthly bills where there is no additional charge for using the card eg broadband, also insurance renewals (again provided no additional charge). With a direct debit set up to repay in full each month there is no interest to be paid and I grab the cash back once a year.

bwgames

Thanks, thats pretty much what I was thinking - use AmEx card where I can, and the Egg Money where they don't accept AmEx.

Only problem is, they've both got relatively low credit limits, which isn't a massive issue as I pay them both off, but just wish it could be more. Guess I'll just make at least a payment a month on both of them, and pay them both off every month.