The Alaska Credit Card works best if you fly Alaska Airlines regularly or live where they operate
The Alaska Airlines Visa Signature Card (issued by Bank of America) rewards you for Alaska Airlines flights and everyday purchases, but whether it makes sense depends on how often you fly and what you spend. The card earns 3 points per dollar on Alaska Airlines purchases and 1 point per dollar on everything else. Those points convert to Alaska Airlines miles at a 1:1 ratio, which you can use for flights, seat upgrades, or other travel perks.
The annual fee is $75. You get a companion fare discount (up to $100 off a companion ticket once per year) and a free checked bag on Alaska Airlines flights, which can offset the fee if you take even one round trip per year. But if you rarely fly Alaska or live in a region where they don't operate many routes, the card's rewards structure won't work for you.
Key Takeaways
- The $75 annual fee is offset by a free checked bag on Alaska Airlines flights, which saves $30 to $40 per round trip.
- You earn 3 points per dollar on Alaska Airlines purchases and 1 point per dollar on other spending, with points worth roughly 1 cent each when redeemed for flights.
- The companion fare discount saves up to $100 once per year but only works if you book a second ticket on the same reservation.
- This card makes financial sense if you take at least two Alaska Airlines round trips per year or spend heavily on Alaska purchases; otherwise, a flat-rate rewards card may be better.
How the rewards actually work and what they're worth
Alaska Airlines miles are not the same as points. When you use the Alaska card, you earn points that convert to Alaska Airlines miles at a 1:1 ratio. One mile is worth roughly 1 cent when you redeem it for a flight, though the value varies depending on the route and how far in advance you book. A $300 flight might cost 30,000 miles; a $150 flight might cost 15,000 miles.
The 3 points per dollar on Alaska Airlines purchases includes tickets, seat upgrades, baggage fees, and in-flight purchases. If you spend $2,000 per year on Alaska Airlines (about four round trips at average fares), you'd earn 6,000 points, worth roughly $60 in flight value. The 1 point per dollar on other purchases is competitive with many flat-rate cards, but only if you're using those miles for Alaska flights specifically.
Points don't expire as long as your account remains open and you have account activity at least once per year. Activity includes any purchase, even a small one, so the expiration rule is rarely a problem in practice.
The annual fee and what you get for it
The $75 annual fee hits your account each year. You get two concrete benefits: a free checked bag on Alaska Airlines flights (normally $30 to $40 per flight) and a companion fare discount of up to $100 off a companion ticket once per calendar year.
The free checked bag alone covers most of the fee if you take one round trip per year. The companion discount works only when you book two tickets on the same reservation—you get $100 off the second ticket's base fare. This discount is not a coupon code; it applies automatically when you book through Alaska's website or call their reservations line.
Beyond those two benefits, the card includes standard Visa Signature perks like travel accident insurance, emergency medical and dental coverage abroad, and roadside assistance. These are common on cards in this category and rarely used, but they exist.
When the Alaska card makes financial sense
The card pays for itself if you take at least two Alaska Airlines round trips per year. At two trips, the free checked bag saves you $60 to $80, which covers the $75 fee. If you also use the companion discount once per year, you save an additional $100, making the card a clear win.
The card also makes sense if you spend heavily on Alaska Airlines purchases beyond flights—seat upgrades, baggage fees, and in-flight purchases all earn 3 points per dollar. Someone who regularly pays for premium seating or upgrades could earn enough extra points to justify the fee.
If you live in Alaska, the Pacific Northwest, or California, Alaska Airlines operates more routes and you're more likely to use the card regularly. If you live in the Southeast or Midwest and rarely see Alaska flights, the card's benefits shrink significantly.
When to skip the Alaska card and choose something else
If you take fewer than two Alaska Airlines flights per year, the free checked bag doesn't cover the $75 fee, and the 1 point per dollar on other purchases is not competitive enough to make up the difference. A flat-rate rewards card like the Chase Freedom Unlimited (no annual fee, 1.5% cash back on everything) would give you more value.
If you fly multiple airlines regularly, a travel card that earns points across all airlines—like the Chase Sapphire Preferred or American Express Gold—may be better. Those cards charge higher annual fees ($95 to $250) but offer more flexibility and higher earning rates on travel and dining.
If you don't fly at all, this card has no purpose. The 1 point per dollar on everyday purchases is standard, not exceptional, and you'd be paying $75 per year for benefits you won't use.
How to compare this card to other Alaska Airlines options
Bank of America also issues the Alaska Airlines Visa Classic Card, which has no annual fee but offers no free checked bag and earns only 1 point per dollar on all purchases. The Classic card makes sense if you fly Alaska occasionally but not enough to justify the Signature fee. You lose the checked bag benefit and the companion discount, but you also lose the $75 cost.
If you're deciding between the Signature and Classic, calculate your annual Alaska Airlines spending. If you spend less than $2,500 per year on Alaska purchases (flights, upgrades, baggage), the Classic card is likely better. If you spend more than that or take multiple trips per year, the Signature card's free checked bag and companion discount usually win out.
The sign-up bonus and whether it matters
Alaska Airlines credit cards periodically offer sign-up bonuses—typically 30,000 to 50,000 bonus miles after you spend a certain amount in the first few months. These bonuses vary by offer and change throughout the year. A 40,000-mile bonus is worth roughly $400 in flight value, which can cover several years of annual fees.
If you're considering the card, check the current offer on Bank of America's website or Alaska Airlines' website before you apply. A strong bonus (40,000 miles or more) can make the first year much more valuable. However, don't apply for the card solely because of a bonus if you won't use the card's ongoing benefits—the bonus is a one-time boost, not a reason to pay $75 per year indefinitely.
Frequently Asked Questions
Can I use Alaska Airlines miles on other airlines?
Alaska Airlines is part of the OneWorld alliance, so you can transfer miles to partner airlines like American, British Airways, and Cathay Pacific. However, transfer rates are usually unfavorable—you often lose 20% to 30% of your miles' value in the transfer. Redeeming directly for Alaska flights is almost always better.
What happens to my miles if I close the card?
Your miles stay in your Alaska Airlines account even after you close the card. As long as you have account activity (any purchase or flight) at least once per year, your miles won't expire. You don't need to keep the card open to use the miles you've earned.
Does the free checked bag apply to connecting flights?
Yes, the free checked bag applies to all Alaska Airlines flights on your itinerary, including connections. If you book a round trip with a connection, you get one free checked bag each way. Baggage fees for additional bags still apply.
Can I use the companion discount on a flight I'm already booked on?
No, the companion discount only works when you book two tickets together on the same reservation. You can't apply it retroactively to an existing booking. You have to book the second ticket at the time you use the discount.
Is the Alaska card worth it if I only fly once a year?
Probably not. One round trip gives you one free checked bag, worth $30 to $40, which doesn't cover the $75 annual fee. You'd need to either take at least two trips per year or spend significantly on Alaska Airlines purchases (upgrades, seat selections, in-flight items) to justify the cost.