If you’re an avid traveler, opt for a card with bonus rewards in your primary spending categories. A co-branded card may make sense if you prefer one airline or hotel brand over others or wish to fast track elite status with them.
Be wary of cards with high annual fees that are hard to justify; consider whether perks like airport lounge access and statement credits for programs like Global Entry could offset some or all of its cost.
Rewards
Credit cards that offer travel rewards can quickly add miles and points, especially those that offer generous welcome offers that give back right away. These generous windfalls can help offset the annual fee or costs related to future travel plans.
A great travel credit card should also provide flexible redemption options that fit with your spending habits, giving the maximum return from rewards dollars spent. Consider choosing one with transferability capabilities so that your rewards can be transferred directly into airline and hotel loyalty programs for additional redemption options such as free flights, hotels or upgrades.
Airline and hotel cards often have stringent requirements for redeeming rewards, while general travel cards allow users to redeem points or miles toward travel-related expenses or gift cards. Furthermore, premium travel cards often provide added perks like statement credits for airfare or hotels and access to airport lounges.
Travel perks
The best credit cards for travel provide valuable rewards, including free flights and hotel stays. Some co-brand with specific airlines or hotels; others provide general travel rewards currency that can be used like cash in various ways. Furthermore, many cards come equipped with additional benefits while traveling, such as airport lounge access or car rental insurance coverage.
These benefits can make a dramatic difference to the value you derive from your credit card. But it is vital to fully comprehend any fees or perks associated with any card before selecting it, and use your points or miles wisely in order to maximize rewards such as sign-up bonuses worth $500 or more that provide outsized value when booking airfare or taking advantage of travel perks like priority boarding or in-flight meals.
Convenience
Credit cards tailored for travel offer many convenient features, including no foreign transaction fees and complimentary checked bags and lounge access. Some even come equipped with travel insurance including trip interruption coverage and auto rental collision damage waivers for added peace of mind.
Travel cards may offer co-branded loyalty programs that enable you to quickly build miles or points and reach elite status with certain hotel or airline brands, while general rewards cards provide greater flexibility allowing users to book flights, hotels and activities from any carrier or hotel brand.
Look for features of your travel card that can reduce its annual fee, such as free nights, airport lounge access and elite status benefits. Also consider whether or not your miles/points can be transferred to partner loyalty programs to maximize their value.
Annual fee
Travel cards can add significant value to your vacation plans, but it is essential that you carefully consider their advantages and disadvantages before selecting one. Cards with annual fees typically offer rewards that can be used towards travel expenses directly, or exchanged for points with airlines and hotels loyalty programs. Furthermore, certain travel cards also waive foreign transaction fees which can add up when traveling overseas.
Travel credit cards often provide attractive perks that offset their annual fee, such as free checked bags and airport lounge access. Some also feature generous sign-up bonuses and welcome offers that could offer up to tens of thousands of miles for spending in your first month or so. It’s important to consider whether these benefits outweigh their annual fees, especially if you carry a balance and incur interest charges on purchases; higher fee travel cards should probably be avoided unless used regularly.
