Credit cards with travel benefits offer an array of perks, from complimentary checked bags and priority boarding passes to hotel anniversary night certificates and premium airport lounge access. When applying, be mindful of both your spending patterns and travel goals before applying.
General travel cards often offer attractive introductory bonuses of several thousands of miles. Some also allow users to transfer points directly into airline or hotel loyalty programs for greater value.
Credit Cards
When selecting a travel credit card, there are a variety of considerations. When making your choice, take time to think through how you want to accrue and redeem rewards; whether an annual fee will work best; earnings rate/benefits match with your spending/budget needs and more. When setting travel goals and objectives it can help immensely when narrowing down options until finding one which will meet them successfully.
The best travel credit cards offer high earn rates, generous sign-up bonuses and additional perks that can enhance your trip budget. Such benefits might include airline and hotel credits, free checked bags, lounge access or discounts on ancillary travel fees – these benefits often more than make up for their annual fees and are an important consideration when selecting travel rewards credit cards.
There are two general types of travel credit cards, co-branded and general. Airline and hotel co-branded cards such as United(sm) Explorer Card or Marriott Bonvoy Boundless(r) Credit Card offer you loyalty points that can only be redeemed through that brand, while general travel cards like Chase Sapphire Preferred(r) Card or American Express Gold Card provide flexible points that can be transferred between multiple airlines and hotels.
While co-branded travel cards can be an ideal solution for some travelers, their rewards program may not fit with your needs or come with spending requirements and expiration dates that eat into their initial bonuses. Furthermore, their point/mile value may not justify paying an annual fee.
Debit Cards
Though credit cards are known for their rewards programs, there are also debit cards with travel benefits that may make more sense if you travel frequently or wish to do so in the future. Such cards could give you points, miles or investments for the future on all of your spending activity.
Choose a travel card that complements your travel habits and is an effective tool in reaching your travel goals. Look for cards offering generous welcome bonuses, travel-oriented rewards structures and features like airport lounge access or travel insurance to maximize earnings and maximize earnings potential. Combine the card with airline, hotel or rental car loyalty programs for maximum earnings potential.
Consider your travel card’s fee structure carefully when making your selection. Some charge an extra premium for transactions made outside the US (known as foreign transaction fees) while others do not; NerdWallet’s travel card guide has more information and rates for more guidance.
Good news is that many travel cards offer some form of zero fraud liability protection and no foreign transaction fees. Furthermore, these cards often offer multiple redemption options like airline and hotel gift cards.
If you don’t anticipate making full use of all of the benefits and rewards a travel credit card offers, then it may not be worthwhile getting one. Instead, opt for one with lower annual fees like American Express’ $0-annual-fee Blue Cash Everyday Card which waives ATM fees at all Charles Schwab Bank ATMs worldwide and features a rewards structure offering 3% travel/entertainment rewards; 2% restaurants purchases; and 1% other purchases (this card also features ATM fee waiver). Alternatively if your travel plans include frequent international destinations, consider the Deserve(r) Pro Mastercard which welcome bonus is worth up to 80,000 Amex Membership Rewards points worth $800 in total value!
