Travel credit cards provide many attractive travel rewards, including airport lounge access and free checked bags; Global Entry/TSA PreCheck fee credits; as well as numerous insurances and protections.
Sort through your options by considering which card offers the highest value once annual fees have been factored into their value, while taking your personal preferences and credit score into consideration in choosing an optimal card for you.
Rewards
If you travel multiple times each year or more frequently, a travel credit card can be invaluable. Cards that earn points or miles with everyday spending tend to provide the greatest return, particularly those featuring built-in travel insurance protections.
Card issuers generally offer portals on their websites where you can redeem points or miles for statement credits, cash back, gift cards or airline tickets. Your rewards also may be applicable towards hotels stays and rental car purchases; airline and hotel redemption offers may offer higher values.
Capital One Venture X Rewards Credit Card offers generous rewards and perks, such as free airport lounge access. While good to excellent credit is required, its requirements are more relaxed than many premium travel cards; additionally there is no annual fee and you’ll receive a welcome bonus of 60,000 points after spending $4,000 within three months of opening an account.
Fees
An abundance of travel credit cards available makes it hard to choose the appropriate one. Some cards provide airline or hotel loyalty benefits while others are general travel cards.
Annual fees on travel cards should also be carefully considered, with many offering fees that are easily offset through rewards and perks.
Amex Gold Card charges an annual fee of $250; however, its generous rewards rates make up for that cost for frequent travelers. On the other hand, general travel cards like Capital One Venture Rewards Card may provide better value to consumers with less loyalty to any specific travel brand.
Other cards provide additional insurance and protections, such as trip cancellation coverage, rental car collision damage waiver coverage, purchase protection and global emergency assistance – this may come in handy if traveling overseas or to avoid incurring foreign transaction fees which can add up quickly.
Requirements
Credit card companies take several factors into consideration when assessing whether you qualify for their cards, including your credit score, debt-to-income ratio and history with them. A poor credit score makes it unlikely that you’ll qualify for travel credit cards; however, your chances can increase by making timely payments and clearing any existing balances.
Many of the best travel cards offer signup bonuses that require spending a minimum amount to qualify. Some even have minimum annual fees that you should carefully consider before selecting your card.
Some travelers planning international trips may require a card with rewards in various currencies. One such card, Capital One Venture Rewards Credit Card may be ideal as it offers rewards in both dollars and miles as well as no foreign transaction fees – although cash back cards provide greater flexibility.
Value
Many travel cards carry annual fees that could potentially outweigh their rewards and perks, so making the decision to get one requires careful consideration of your credit habits, spending habits and overall financial health. Furthermore, it’s wise to weigh any potential advantages against costs involved if carrying one is likely only going to be used occasionally.
Co-branded travel cards may make sense for people with strong loyalty to specific airlines or hotel brands; these can speed your path toward elite status with them more quickly. But general travel credit cards may be better options if your preferences involve flying any airline and staying anywhere – like when booking tickets on multiple carriers at once!
If you’re an avid traveler, a credit card offering generous rewards on dining, gas and other purchases could be well worth your while. The Credit One Bank Wander Card provides excellent earning and redemption opportunities for those with average to good credit scores.
