Credit cards with travel points can be an ideal option for frequent travellers, offering generous initial rewards bonuses and high point rates on purchases like airfare, hotels and rental cars. Some also provide increased points value when using their issuer’s travel portal.
General travel cards
Co-branded travel cards often offer benefits like priority boarding and airline miles; general travel credit cards let you accrue points with all purchases that can then be redeemed for flights, hotel stays, rental cars or other travel-related expenses through your card issuer’s online travel portal or transferred directly into airline and hotel loyalty programs.
How much you travel can have an enormous effect on the value of your points and miles, which vary significantly based on how often you use a card with high rewards rates in travel categories and low annual fees. Also consider whether there are foreign transaction fees involved and what ratio the transfer ratio offers between airlines and hotels partners is.
Some travel credit cards offer extra perks, like trip cancellation and delay insurance, that may make their higher annual fees worthwhile. Just be sure to pay your balance off each month in full to avoid incurring interest costs that outweigh their rewards!
Co-branded cards
Co-branded cards offer consumers who are loyal to specific retailers, airlines or hotels an excellent opportunity. These credit cards often feature exclusive rewards, offers and discounts as well as milestone benefits like movie tickets or hotel stays for cardholders who accumulate enough points. It is important to remember, however, that co-branded credit cards often carry high annual fees and interest rates that should be taken into consideration before applying.
Before choosing a co-branded card, take some time to carefully consider your spending habits and brand allegiance. Pay close attention to how many reward points or miles per dollar spent you’ll earn and whether these benefits align with your preferences and spending patterns. Also take into account annual fees and interest rates associated with each co-branded card option before making your selection.
Bonus categories
Many travel credit cards offer rewards in the form of points or miles that can be redeemed for airline tickets, hotel stays, car rentals and activities such as hiking. These cards typically offer a high return on spending related to travel-related purchases without charging foreign transaction fees and may even provide benefits like airport lounge access or free meals on flights.
Airlines and hotel credit card members often enjoy special perks like free checked bags, TSA Precheck(r), priority boarding and travel insurance policies that help cover unexpected expenses like lost luggage or flight cancellations.
Some travel cards allow you to transfer points between loyalty programs, providing greater flexibility when redeeming them. When selecting a card with high points rates for specific categories such as dining out or travel purchases, however, always consider their redemption value before making your decision. For instance, this may not be ideal if spending on those purchases is minimal.
Redeeming points
Consider your spending patterns when selecting a travel rewards credit card and how you want to accrue rewards – one-off bonuses versus ongoing points/miles accrual are two possible outcomes; also keep in mind how the card issuer offers redemption options which could impact how your points/miles may be valued.
Travel-focused credit cards often offer higher reward rates on purchases like airfare, hotels and rental cars than on other purchases; these cards typically carry annual fees; however some offer flat point rates on all transactions.
Redeeming points through a card issuer’s online travel portal typically provides the highest value. Alternatively, transferring them to airline and hotel loyalty programs provides additional redemption options; please do your research carefully as these programs differ widely in what they offer; furthermore keep in mind that your credit score could have an impact on this decision as well.
