Citi, American Airlines announce new credit card

To coincide with the bustling air travel season, Citi Cards and American Airlines recently announced the Citi Executive/AAdvantage World Elite MasterCard. According to the companies, the new card is part of a 24-year partnership and offers exclusive and elite-level services to flyers traveling on American Airlines. Citi Cards and American Airlines first launched their collaborative credit card in 1987, which now serves millions of customers.

The new card also includes Admirals Club privileges, no transaction fees for foreign purchases, no charge for the first bag on domestic flights, the Expert Concierge Service and the Enhanced Airport Experience, the companies stated.

"The new Citi Executive/AAdvantage card is a direct reflection of the benefits frequent flyers are seeking in a rewards card and underscores the commitment of Citi and American Airlines to enhancing our customers' experiences," said Terry O'Neil, executive vice president of Citi Cards.

Additionally, American Airlines flyers can also use the new card for a once-a-year Elite Qualifying mileage-earning opportunity, which is based on how much money users spend on the card. Later this year, Citi plans to release a credit card with an EMV chip. According to the companies, this EMV option is an integral part of making purchases abroad, and the technology is becoming even more important for secure transactions.

"The new Citi Executive/AAdvantage card offers unprecedented airline benefits that allow card-members to travel in comfort and style," said Maya Leibman, president of the AAdvantage Loyalty Program. "Moving through the airport more quickly, relaxing at the Admirals Club and earning AAdvantage Elite Qualifying Miles are just a few of the many fantastic perks this new card provides."

As owners of the new credit card receive spending perks and Citi prepares its EMV card later this year, security remains a key issue for the payment processing market. According to a Chicago Tribune report, criminals are increasingly using a method called "skimming," which is achieved using several methods. Federal agents discovered that several people installed a security system on a bank's door to record unsuspecting patron's account information. Also, this same group installed its own keypad on the ATM machine and was able to steal customers' PIN codes.

Since credit and debit cards contain unencrypted data located on the magnetic strip, the process of reading the details through skimming is easier to achieve, according to the report.