Escape by Discover Card Review
by Mr Credit Card
Discover has launched a new card called the Escape by Discover® Card. This is essentially a travel rewards credit card. Upon examining the card, it looks like I have quite a few good things to say about the card. But first, what’s the big fuss with this card?
Reward Formula – First and foremost, this is a travel rewards credit card. The unique feature of this card is that you can earn double miles for every dollar that you spend on the card. You can earn unlimited miles which never expire. Bear in mind that to keep your miles, you have to use your card for 18 consecutive months and cannot have 2 consecutive late payments.
How to Redeem Miles? – This is how the rewards work. You are supposed to use the card to book any travel items, whether it be airline tickets, hotels etc. You then have to submit this expense within 90 days to Discover. Basically, 10,000 miles is worth $100 in value. Hence, unlike the reward program of the past, you have the flexibility to book any ticket with any travel agent, online or off-line. It frees you up to find the best deal for yourself. I think this is a much better deal than many frequent flier programs because you are not restricted in any way that you book your travels.
Exchange Miles for Gift Cards – Those who are familiar with Discover know that they have the most comprehensive gift card partners (over 90 partners and now approaching 100). What is impressive about the program is that you can get more value than the number of miles you have. For example, many gift card merchants will accept 2,000 miles for a $25 gift card! Some merchants like Celebrity cruise will double the value of your gift card!
ShopDiscover.com – Discover also has a program called shopdiscover.com with about 100 retailer partners. With other Discover Cards, you can get 5% to 20% cash back bonus is you shop through these sites from shopdiscover.com. With the Escape Card, rather than earning cash rebates or discounts, you will earn additional double miles for every dollar that you spend.
Fees and Rates – The annual fee for this card is $60, which is actually a bargain considering that you can earn double miles for all purchases. Most airline credit cards charge an annual fee anywhere from $50 to $85 and you can only earn double miles if you book their airline ticket.
Verdict – In the past, most credit card reward programs required you to have a set points to redeem for a specific flight in a sector. For example, you typically need 25,000 miles or points to get a free economy class return ticket within continental USA. With this system, it came with a lot of restrictions like having to book three weeks in advance, having to stay a Saturday night for example. Now, most programs have moved away from this system and instead, they let you use points with more flexibility. But you still have to book your tickets through them. For example, witi Citi, you need to use expedia.com. With Capital One, World Points and Membership Rewards, you still have to use their in-house travel agent. This could sometimes cause problems because different travel agents are given a set amount of seats and tickets by airlines and hotels. So a seat may be available elsewhere but not with the credit card issuers travel agent!
The Escape Card solves this problem because you can book with whoever you want. It leaves you to find the best bargain and itinerary for yourself. Plus, you get to earn double miles for every purchase, which hardly any card offers.
If you are someone who is sick of all the restrictions placed by frequent flier programs or credit card programs and like the flexibility to finding the best travel deals for yourself, then I would highly recommend the Escape by Discover® Card
June 19th, 2009 at 08:31
It’s now June and we just went through credit card companies raising base interest rates (when their money is next to nothing…check your saving statements and fed rates) plus the affinity benefits have chunks removed. No longer does Citi Aadvantage give 2 points spent on AA but one one…the same as any purchase. American Express is lopping credit limits without hesitation and benfits are reduced also in programs. You are right here, that their (AMEX’s) saving grace remains only Costo and Starwood cards. The President Continental Card (annual $375, but includes the $400 CO Club fee and the card place many CO advantages therefore it is also better that the AMEX premium Delta $450 card. This Escape by Discover card looks to be a winner ! Thanks for the good report.
August 3rd, 2009 at 16:19
This card does not offer collision damage waiver insurance on rental cars outside of the United States. It does offer insurance for US rentals.
August 20th, 2009 at 15:25
I can’t believe they have this card out there. How is it that they can make money on it? I applied for one and I am using it for every purchase.
August 21st, 2009 at 09:12
Mark
enjoy the perks while it is available!
October 16th, 2009 at 01:12
What is the normal charge limitation on this card (e.g., $25,000)? Is this based on what you request and your credit rating?
Once you have accumulated the points, how soon can you use them to obtain airline tickets?
Can you use these points on any airline in US? Europe?
Are there any restrictions on travel outside US?
October 16th, 2009 at 01:23
your limit depends on what limit the card gives you. You can buy any ticket with any travel agent, online or offline and just submit the expense and your points will be used to credit back your statement.
October 19th, 2009 at 14:17
[...] – I’m assuming you are referring to either the Discover Miles Card or the Discover Escape Card. This is how both card works. You book any flight you want with anyone. Within 60 days, you should [...]