On a recent article in the State Journal Register, a reader from Alaska asked the author, Dave Ramsey, whether using an airline miles credit card would actually be easier and cheaper. Ramsey emphasizes that, although it sounds good in theory, the majority of people who chase airline miles, by using their credit card, find themselves with nothing but a big debt balance at the end of the day.
Ramsey noted that an astounding 78 percent of all airline miles are never redeemed. If the credit card airline miles thing worked well for the consumer, card companies would be going out of business. And if the 22 percent might have worked for some consumers, the airlines would make it virtually impossible for you as to when, how and even where you want to travel.
Ramsey cited a study at MIT proving that cash has an emotional element tied to it and when it leaves your hand, pain centers in your brain activate. If someone uses plastic to pay, those pain centers are NOT activated. Ramsey advises the reader to rather pay with cash and start looking for a debit card program that offers this benefit.