American Express and Delta Extending the Co-branded SkyMiles Card
American Express and Delta Airlines have been in a common card business since 1996 offering a collection of valuable SkyMiles rewards and benefits to frequent flyers. In 2008 when the crisis forces cancellation of rewards programs, the two big enterprises are extending their partnership and promising customers greater, more exquisite choice.
On December, 9, 2008, they announced the prolongation of their Co-branded card partnership, hoping it would bring positive benefits and new opportunities for all participants. Other arrangements included into the partnership extension would streamline American Express Membership rewards, travel services and merchant acceptance.
The SkyMiles benefits of the co-branded card partnership will traditionally be offered to valuable customers with high rating and good financial standing.
It is more likely that American Express would extend the improvements among its existing cardholders than that it would use them to attract new ones. Approval is not ruled out though if you have long and positive credit history, companies' trust and high household income. With such references, you can make use of the American Express online credit card applications and get the card with most appealing features and SkyMiles rewards.
A detailed look at the new co-brand card partnership reveals a substantial cash inflow ($1 billion) to the Delta Air Lines liquidity after selling its SkyMiles rewards. Another $1 billion is expected to be infused into the company's budget throughout 2010.
For this, American Express will increase the value of its co-branded credit cards which would offer greater options for buying travel services at Delta Airlines and extended merchant acceptance. AmEx SkyMiles cards would now be accepted in more places throughout the Midwest region.
With Delta's intention to integrate the Northwest WorldPerks program into Delta Skymiles, the new agreement is expected to bring greater financial benefits to both enterprises. In the light of the current happenings in the credit industry, the maintenance of premium services and rewards puts American Express in line with most successful and reliable financial services providers operating in the USA.
A very nice point about the extension of American Express and Delta partnership is the stability of card rates and charges. Most Amex skymiles co-branded cards retain average APRs, first-year no annual fees or very low fees and attractive intro rates on balance transfers. Other issuers' frequent flyer credit cards may appeal you with lowest ingoing APRs, no annual fees and 0% intro balance transfer rates but they will not offer the same world-class travel services and rewards opportunities.
American Express used the best time for improving its Skymiles co-brand card products, agreeing to the new partnership after Delta Airlines purchased the Northwest WorldPerks. Of course, this implies greater popularity and demand of Membership Rewards with their new rout offers, and co-branded Delta card benefits such as redeeming miles for any seat, any time on the world's premier airline company.
American Express has already built a substantial amount of business and introduced valuable Cardmember benefits working with Delta. Today it looks into continuing their beneficial relationship and awarding their customers with greater perks and services.