Compare the Best Travel Rewards Credit Cards
If you’re a travelling enthusiast trying to score rewards for your next trip, you might think you’re better off with a general travel rewards card instead of an airline rewards credit card. Both cards can help you offset your travel costs or help you travel at no cost by rewarding you with miles or points for simple everyday purchases.
Besides scoring points redeemable for goodies like hotel stays on cruises, flight tickets and vacation packages, some travel cards also provide side benefits like welcome bonus offers, access to VIP airport lounges and travel insurance.
Read through this piece to understand the basics of travel rewards credit cards.
Find the Right Travel Rewards Credit Card for You
Finding the right travel rewards credit card will come down to the type of travelling you like to do. Some credit cards will reward you with extra benefits for cruising or flying the same company, while others give you the freedom and flexibility to explore your options. Whatever the case, there’s always a travel credit card for your next expedition.
Here are the most common types of travel rewards credit cards.
- General travel rewards credit cards. General travel cards give you flexibility in how you earn and redeem points. You can earn points by making everyday purchases and earn extra points through dining and travel purchases.
- Airline credit cards. These credit cards are a great option if you’re loyal to a particular airline. Your reward points are tied to a specific airline’s program, so you can earn great points that rack up fast.
- Hotel credit cards. Hotel credit cards might provide accelerated reward point accumulation if you use your card with the respective hotel. You can also enjoy benefits like complimentary breakfasts and hotel room upgrades exclusive to cardholders.
Benefits of Travel Rewards Credit Cards
Redeem Points for Various Benefits
Travel credit cardholders can put their points towards things like flights, hotel stays, flight upgrades, car rentals and an array of other lifestyle and shopping rewards that may make your trip a better experience.
Significant Bonus Points
Most travel rewards credit cards give you bonus points once you open the card. The number of points usually depends on the type of card, but it ranges between 40,000 to 60,000 points. For
instance, the Chase Sapphire Preferred credit card will give you about $625 worth of travel points when you meet the minimum spend.
Travel credit cards also provide excellent travel protection, like getting a refund due to severe weather or sickness. You may also get lost luggage and travel delays reimbursement. Make sure you read your credit card’s fine print to understand what benefits apply to your card.
Travel Rewards Credit Cards FAQs
What is a Travel Rewards Credit Card?
Travel rewards credit cards help you earn discounts and rewards that you may redeem towards travel. In some instances, you may reap free tickets on airlines or free nights at designated hotels.
How Do Travel Rewards Credit Cards Work?
Travel rewards credit cards work smoothly; pay with your card and earn points you will redeem for travel. This could be a flight, cruise ticket or hotel room. Most travel rewards credit cards also come with some built-in travel insurance that provides different protection types while you’re travelling.
What Rate Can I Get with a Travel Rewards Credit Card?
Different travel credit cards have varying rates, so you’ll need to compare different card options to get the best rate. However, most cards offer an introductory 0% APR for the first 12 billing cycles for purchases. After the 12 cycles, a variable ARP takes effect, and it can range from 10% to 30%. You may also incur a balance transfer fee for every transaction you make.
Can Anyone Get a Travel Rewards Credit Card?
Generally speaking, anyone can get a travel credit card, but a higher credit score will increase your chances of getting a travel rewards credit card with the best perks. It would help if you remembered that some cards would need a minimum household or personal income to qualify.
How Do I Compare Different Travel Rewards Credit Cards?
Travel rewards credit cards have different features and perks, so you’ll need to compare them against specific metrics to settle on the right card. Here are essential details to consider when comparing travel credit cards.
- Sign-up bonus. The first thing to look for in a travel rewards credit card is the value of its sign-up bonus. Look at how many perks you’ll get for achieving a certain threshold within a specific period. You shouldn’t pick a card based solely on the sign-up bonus, but you can use it as a tiebreaker.
- Annual fees. Different cards have varying annual fees – some have none. Bear in mind that there’s no harm in paying a yearly fee if you’re getting great value.
- Rewards program. Credit card rewards programs aren’t created equal. Different programs have a unique point valuation for their cards. The value of every individual point is crucial when rating travel cards and their offers.
- Foreign transaction fees. International transaction fees could easily add up to almost 3% on every purchase made abroad, so compare your cards widely.
- Insurance and protections. Some credit cards offer much more than the basic points and miles. Look for additional travel perks like trip interruption/cancellation insurance, baggage loss insurance, travel accident insurance and more.