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Miles by Discover® Card

• 0% Intro APR*
• Double Miles on travel and restaurant purchases-up to $3,000 each year
• 1 Mile for every $1 you spend on all your other purchases-personal and business
• Unlimited Miles that never expire as long as you use your card
• Travel without restrictions
• Book it through any airline, travel agent or online travel site

Issuer : Morgan Stanley

Introductory APR : 0%

Introductory Period :  Six months

APR After Introductory Period: 0% until the last day of the billing period ending during February 2008; then the standard APR, an estimated rate between. 10.99% and 17.99%. For balance transfers it is between 15.99% and 28.99% and determined after an evaluation of your payment history.

Cash Advance Rate : 20.99% or 22.99% variable rate on cash advances depending on your credit.

Annual Fee :  No annual fee.

Credit Line Possible :  The credit line possible is dependent on an evaluation of your credit rating and personal resources.

Insurance included :  The Miles Card From Discover offers platinum type rewards that include auto rental insurance as well as  $500,000 in travel accident insurance.

Financing Configuration – Interest is calculated according to a two cycle daily balance which is more costly than the average daily balance method used by most credit card issuers.

Grace Period – You have twenty-five days after making a purchase with your The Miles Card From Discover during which you do not have to pay interest.

The Best Thing About It—Through the reward program, cardholders earn one mile for every dollar spent on general purchases. Earned miles can be redeemed for airfare or reduced airfare on most major U.S.  based airlines. Miles can be redeemed for hotel stays, car rentals, and free flights and you are well insured for travel.

The Worst Thing About It – Taking out cash advances with this card is very expensive because of the high APR.

Credit Rating Needed For Acceptance : Excellent Credit.

Who Is It For?

The Miles Card From Discover is designed for those with excellent credit who may also be looking for a card that offers a flexible and generous rewards program with a minimum of black out dates.

The Benefits

You 1000 points on each first purchase that you use the card each month. However you only get these if you consistently use the card at least once each month. Months where the card is inactive do not receive points.

The Miles Discover Duplicate cards are free.  There is no fee for asking for duplicate cards.

You can keep track of all of your business expenses in one place.  You are also able to monitor what goes on in your account with full access to an online account report.

No Fraud Liability.  If you claim someone has stolen your card then you do not have to be liable for the usual $50 that is typically deducted as fraud liability.

The Drawbacks

 

There are limits to the points you can earn. The Miles Card From Discover subject to a maximum of 60,000 Miles per account each year.

Offers may not always be available. Airline participation in the complimentary companion travel program varies from market to market and is based on airline controls and availability. Round trip coach tickets obtained with Miles require a Saturday night stay and must be purchased 21 days in advance. Certain air travel rewards are subject to a maximum dollar value, including taxes and destination fees.

Card must be used for points to remain active. Points expire within three years if the card is not active.

Monthly payments are applied to purchases before cash advances. The amounts that you pay monthly are not applied to the highest interest activities such as taking out a cash advance. This can make it longer to pay off your debt.

A short grace period. Many credit cards don’t begin to garner interest on purchases until thirty days after purchase.  The Miles Card From Discover only gives you twenty-five days. There is also no grace period on balance transfers.

The APR is not guaranteed. If you make a late payment on any bill, not just your credit card bill, your introductory 0% rate can be replaced with a costly variable default rate.

There are lots of hidden fees.  See the Fees to Watch Out For section below.  The fees charged for your every little financial transaction can really add up and make your debt difficult to pay off.

Fees To Watch Out For

 

Late payment fee : $15 on balances up to $500, and $39 on balances over $500.

Over The Limit fee : $15 on balances up to $500, and $39 on balances over $500.

Cash advance Fee : 3% for each cash advance, with a minimum of $5 and no maximum.

Balance Transfers : 3%, $5 minimum, $50 maximum (does not apply to introductory offer)

To Summarize –

Ultimately, the Miles Card From Discover Card has a high interest rate for cash advances but the points program is very lucrative (even though your 12,000 annual free points are distributed slowly over a 12 month period.) Overall, this is not an ideal credit card for those who plan to carry a revolving balance or take out cash advances but the lack of an annual fee is attractive.

Intro APR	Intro APR Period	Regular APR	Annual Fee	Balance Transfers	Credit Needed
0%	6 Months	10.99%	None	Yes	Excellent Credit