American Airlines and Citibank have restructured their cobranded credit card program, raising the annual fee to $150 from the previous $99 while introducing a $100 annual in-flight credit designed to offset part of the increase.
The Citi AAdvantage Platinum Select World Elite Mastercard serves frequent flyers who want to accumulate airline miles and access airport lounge benefits. The $51 annual fee hike lands the card in more competitive territory with other premium airline credit cards, but the new $100 in-flight credit helps reduce the net cost for active travelers.
What cardholders get now matters here. The $100 credit applies to baggage fees, seat upgrades, food, beverages, and other incidental purchases on American Airlines flights. For someone who flies American multiple times yearly, this credit can absorb most or all of the fee increase. A traveler purchasing two checked bags per round trip at $35 each essentially breaks even on the $51 price jump within a single year.
Beyond the fee restructuring, the card maintains its core benefits. Cardholders earn accelerated miles on American Airlines purchases and at restaurants. The card grants priority boarding, free checked bags for the cardholder and one companion, and access to Admirals Club lounges at major airports. These perks remain standard for premium airline cobranded cards.
The timing reflects broader credit card market trends. Banks continuously adjust annual fees and benefits to match inflation, loyalty program economics, and competitive pressure. Chase raised the annual fee on its United Club Infinity Card to $650 in 2024, while American Express's Delta SkyMiles Reserve Card costs $750 annually. By that standard, American Airlines' $150 fee remains relatively modest.
Existing cardholders face a choice. They can accept the higher fee and access the new in-flight credit. They can downgrade to American Airlines' no-annual-fee AAdvantage card, which offers basic mile earnings and no lounge access. Or they can close the account and move to a competing airline card.
New applicants should run the numbers before applying. The math works if you fly American Airlines at least twice yearly and plan to use the $100 credit. Business travelers with frequent American flights will likely find value. Casual travelers who fly a handful of times annually should compare this card against United or Delta alternatives with similar fee structures.
Citi typically grandfathered existing cardholders during initial fee increases in past years, though the bank did eventually phase in higher fees for all members. Current Platinum Select holders should check their accounts for official communications about the change and when it takes effect.