Reward cards are nothing new, as they have been around for years. Essentially, travel credit cards have rewards and benefits geared towards travel purchases. This means that you typically earn the highest level of rewards when you purchase flights, accommodation, or other travel purchases.
You can also enjoy travel themed perks, such as lounge access, free checked bags, and other benefits that enhance your travel experience.
There are general travel credit cards that provide rewards for broad categories of travel and others are brand specific to particular airlines or hotel chains.
In some cases, you can also earn rewards for non travel purchases, but these are usually at a lower tier level.
Card | Rewards | Bonus | Annual Fee |
| 2X – 5X
5x total points on travel purchased through Chase Ultimate Rewards, 3x points on dining and online grocery purchases and 2x on other travel purchases. Plus, earn 1 point per dollar spent on all other purchases
| 60,000 points
60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening
| $95
|
|---|---|---|---|---|---|
| 1X – 4X
4X points at restaurants (including Uber Eats purchases in the U.S.) and U.S. supermarkets (up to $25,000 per year in purchases, then 1X points), 3X points on flights booked directly with airlines or on amextravel.com, 2X points on rental cars through amextravel.com and 1X points on all other purchases
| 60,000 points
60,000 Membership Rewards® Points after you spend $4,000 on eligible purchases with your new Card within the first 6 months of Card Membership
| $250 (Rates & Fees) | ||
| 1X – 3X
3X First Class miles on travel and dining purchases and 1X First Class miles on all other purchases
| 25,000 miles
25,000 miles on $3,000 spent in first 6 cycles
| $89 (waived first year) | ||
| 1X – 10X
10 miles per dollar on hotels and rental cars when booking via Capital One Travel, 5 miles per dollar on flights and 2 miles per dollar on all eligible purchases
| 75,000 miles
75,000 bonus miles once you spend $4,000 on purchases within the first 3 months from account opening
| $395 | ||
| 1X – 4X
4 bonus points per $1 spent for Hyatt stays and experiences including restaurants and spas, 2x for flights purchased directly from the airline, local transit, commuting, restaurants, fitness club, gym memberships and 1 bonus point per $1 spent on all other purchases
| 30,000 points
30,000 points after you spend $3,000 on purchases within the first 3 months of account opening
| $95 | ||
| 1X – 2X
2 AAdvantage miles per dollar on grocery stores and eligible American Airlines purchases, and 1 mile per dollar on other purchases
| 10,000 miles
10,000 miles and $50 statement credit if you spend $500 in first 3 months
| $0 | ||
| 1X – 10X
5X total points on air travel and 10X total points on hotels, car rentals when you purchase through Chase Ultimate Rewards®, immediately after earning your $300 annual travel credit. Also, earn 3x points on dining at restaurants and travel (after meeting the $300 travel credit), then 1x points per dollar spent on all other purchases
| 60,000 points
60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening
| $550 | ||
| 1X – 5X
5X points on up to $500,000 spent on directly-booked airfare and flights and prepaid hotels booked through American Express Travel (per calendar year), 2X points on prepaid car rentals through American Express Travel and 1X points on all other purchases
| 80,000 points
80,000 Membership Rewards® points after you spend $6,000 on purchases on your new Card in your first 6 months of Card Membership
| $695 (Rates & Fees) |
How to Maximize the Benefits of Travel Reward Cards
Even if you carefully choose the best card for you, there are still strategies that you can make to maximize the benefits of your new travel reward card.
Activate any Promotions: The first thing that you need to do is activate any promotions for the card. Some cards have limited time offers such as a free subscription or service, but you need to activate them and link them to your new credit card. So you don’t forget about these, activate them as soon as you receive your card.
Meet the Intro Bonus Criteria: This is standard for most credit cards, but there are terms and conditions attached to your welcome bonus. This is usually a minimum spend, but you’ll need to check how long you have to meet this amount. When you only have a limited timeframe, it would be very frustrating to miss it by a few dollars and miss out on a hefty bonus.
Book all Fares, Accommodation and Reservations with Your Card: While your card may offer free travel insurance or other perks, this is usually contingent on paying for the entire expense with your card. So, you’ll only get trip delay insurance if your airfare was purchased using your card, or free collision damage waiver insurance if you reserve and pay for your car rental with the card.
Max Out Other Spending Categories: If your card offers rewards on other spending categories, make sure you max out your spending up to any caps. It is quite common for one secondary category to have a higher reward rate compared to the others, so prioritize this type of spending after your travel purchases.
Explore Your Redemption Options: Finally, don’t assume that one particular redemption method is best. If you have a points or miles card, there are likely to be varying redemption rates, so look at which one gives you the best return. This can also apply to travel dates and carriers, which means that you may need to play around with flights and stays when you want to book a trip.
Chase Sapphire Preferred® Card
On Chase Secure Website / Terms Apply
Chase Sapphire Preferred® Card
Reward details
Current Offer
Credit Rating
Annual Fee
0% Intro
APR
On Chase Secure Website / Terms Apply
The Chase Sapphire Preferred® Card is a travel rewards card issued by Chase Bank. This is a very popular travel rewards card because it offers a large sign-up bonus and the card is built around traveling. Many travel rewards cards have higher annual fees for the same kind of rewards. The card offers a sign-up bonus of 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening.
This card is on our top spot in regards to the best traveling and dining cards as they offer you more points compared to other cards - 5x total points on travel purchased through Chase Ultimate Rewards, 3x points on dining and online grocery purchases and 2x on other travel purchases. Plus, earn 1 point per dollar spent on all other purchases .
- Rewards Plan: 5x total points on travel purchased through Chase Ultimate Rewards, 3x points on dining and online grocery purchases and 2x on other travel purchases. Plus, earn 1 point per dollar spent on all other purchases
- APR: 20.49% - 27.49% variable APR
- Annual fee: $95
- Balance Transfer Fee: 5% or $5, whichever is greater
- Foreign Transaction Fee: 0%
- Sign Up bonus: 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening
- 0% APR Introductory Rate: N/A
- Point Sign-Up Bonus
- Bonus Points
- No Blackout Dates
- 25% More through Ultimate Chase Rewards
- No Foreign Transaction Fee
- $95 Annual Fee
- Low Merchandise Rewards
- No Introductory 0%
- Balance Transfer Fee - 5% or $5, whichever is greater
- Does the travel rewards points expire? Your points won’t expire once you keep the credit card account open.
- Does card Chase Sapphire Preferred offer pre-approval? Yes, you are able to pre-qualify for this card.
- What is the initial credit limit? The minimum credit limit that you can get with this card type is usually $5,000.
- How do I redeem cash back? You can redeem your points in a variety of ways through the Chase credit card reward portal. Some of the perks you can get include cash, travel credit, statement credit, and gift cards.
- What purchases don't earn cash back? All purchases will earn cashback through this card.
- Should You Move to Chase Sapphire Preferred card? If you travel frequently and do not want to pay a large annual fee.
- Why did the Chase deny me? You might not have met one of its requirements. You will usually find out where you fell short. You might be able to rectify the issue or you might have to look elsewhere.
- How hard is it to get a Chase Sapphire Preferred card? If you meet all of the requirements, then it is relatively straightforward to get a Chase Sapphire Preferred card. The requirements are easier compared to Chase Sapphire Reserve card.
- Is there a limit to rewards/cash back on the Chase Sapphire Preferred card? No limit
- Can I get car rental insurance with a Chase Sapphire Preferred card? how? Yes, you can get car rental insurance with this card if you decline the collision cover of the rental company and pay for the entire cost of the rental car with this card.
American Express® Gold Card
Reward details
Current Offer
Credit Rating
Annual Fee
0% Intro
APR
The American Express® Gold Card is a credit account that offers a myriad of benefits to clients. First-timers stand a chance to earn 60,000 Membership Rewards® Points after you spend $4,000 on eligible purchases with your new Card within the first 6 months of Card Membership. In terms of rewards, you can earn 4X points at restaurants (including Uber Eats purchases in the U.S.) and U.S. supermarkets (up to $25,000 per year in purchases, then 1X points), 3X points on flights booked directly with airlines or on amextravel.com, 2X points on rental cars through amextravel.com and 1X points on all other purchases.
Other premium benefits include a dedicated service team, up to $120 in Uber Cash (enrollment required), preferred seating at sporting and cultural events, signature perks at upscale hotels, fraud Protection, and baggage insurance for up to $500 for checked baggage and $1,250 for carry on*. If you're a freuqent traveler, check out the comparison between Amex gold to platinum to understand which is better for you.
- APR: 20.74% - 28.74% Variable
- Annual fee: $250
- Balance Transfer Fee: N/a
- Foreign Transaction Fee: None
- Rewards Plan: 4X points at restaurants (including Uber Eats purchases in the U.S.) and U.S. supermarkets (up to $25,000 per year in purchases, then 1X points), 3X points on flights booked directly with airlines or on amextravel.com, 2X points on rental cars through amextravel.com and 1X points on all other purchases
- Welcome bonus: 60,000 Membership Rewards® Points after you spend $4,000 on eligible purchases with your new Card within the first 6 months of Card Membership
- 0% APR Introductory Rate: None
- Welcome Bonus + Premium Point Rewards Rate
- No Foreign Transaction Fees
- Special Gold Status Perks
- $250 Annual Fee
- High Requirements
- Is there a limit to rewards? There is a cap on getting the premium rate of cashback on certain types of purchases.
- Can I get car rental insurance with Amex Gold Card? Yes, you will get it automatically once you decline the car insurance from the rental company and you pay the full rental charge using this card.
- What are Amex Gold Card income requirements? There is no out and out income requirement outlined by Amex when it comes to the Gold card.
- Does card Amex Gold points expire? They do not have an expiration date.
- How do I redeem cash back on Amex? There is a points-based system. You can redeem the points for a variety of rewards that are showcased on the Amex website. These include statement credit, gift cards, paying for certain services etc.
- What purchases don't earn rewards? The minimum rate is 1 point for every $1 spent.
- Should You Move to Amex Gold Card? If you need a versatile card that covers a wide range of purchases, with a main focus on travel-related purchases and perks.
- Why did Amex deny me? You might not have met one of the requirements. You can ask the customer support team if there is something you can do to change this eventuality. Otherwise, you can look for an alternative card.
- How to maximize rewards on Amex Gold Card? Use it for a versatile range of purchases, make sure you are aware of the different perks and credit that you get with this card.
- Top Reasons NOT to get the Gold Card? If you do not travel a lot.
- Can I get pre-approved? Yes, you can get pre-approval.
- What is the initial credit limit? The credit limit will usually be at least $5,000.
TD First Class Visa Signature
Reward Details
Current Offer
Credit Rating
Annual Fee
0% Intro
APR
On TD Bank Website, Terms Apply
With a TD First Class Visa Signature Credit Card, you'll have access to exclusive events, a free 24/7 concierge, and special shopping benefits. Visa Zero Liability is available on this card, as it is on many others. You also do not have to pay any additional fees for international purchases. To be eligible to apply for this credit card, you must have a good credit score.
Cardholders who do not like to track categories when they shop, on the other hand, will find the TD First Class quite limiting if they value rewards. Otherwise, when compared to similar rewards cards, the card provides a good but not exceptional value. It's also worth noting that the rewards earned on this credit card aren't transferable to other cards or partner programs.
- APR: 17.49% variable
- Annual fee: $89 (waived first year)
- Balance Transfer Fee: $5 or 3%
- Foreign Transaction Fee: $0
- Rewards Plan: 3X First Class miles on travel and dining purchases and 1X First Class miles on all other purchases
- Sign Up bonus: 25,000 miles on $3,000 spent in first 6 cycles
- 0% APR Introductory Rate period: 12 billing cycles on balance transfers
- Signup Bonus & Miles Reward
- Low APR
- 0% Intro APR
- No Foreign Transaction Fee
- Annual Fee
- Rewards Are Not Transferable
- 0% Intro Only on Balance Transfers
Capital One Venture X Rewards
On Capital One Website, Terms Apply
Capital One Venture X Rewards
Reward details
Current Offer
Credit Rating
Annual Fee
0% Intro
APR
On Capital One Website, Terms Apply
The Capital One Venture X Rewards Credit Card is a premium travel card that can be a good fit for travelers who want extra travel perks like airport lounge access, travel insurance protection, and special rental car privileges, in addition to better rewards rates. It has quite high annual fee ($395)
When booking hotels and rental cars through Capital One Travel, the Venture X earns 10 miles per dollar on hotels and rental cars when booking via Capital One Travel, 5 miles per dollar on flights and 2 miles per dollar on all eligible purchases. In addition, new applicants can earn 75,000 bonus miles once you spend $4,000 on purchases within the first 3 months from account opening, and there is no foreign transaction fee. If you're looking for more basic card, check out the Capital one Venture benefits.
- Rewards Plan: 10 miles per dollar on hotels and rental cars when booking via Capital One Travel, 5 miles per dollar on flights and 2 miles per dollar on all eligible purchases
- APR: 21.24% - 28.24% (Variable)
- Annual fee: $395
- Balance Transfer Fee: 3% for promotional APR offers, none for balances transferred at regular APR
- Foreign Transaction Fee: None
- Sign Up bonus: 75,000 bonus miles once you spend $4,000 on purchases within the first 3 months from account opening
- 0% APR Introductory Rate: N/A
- Statement Credit For Travel
- Better Rewards Rate, Sign-Up Bonus
- Capital One Travel Portal
- No Foreign Transaction Fee
- $395 Annual Fee
- No Upgrading or Elite Status
- Smaller Network
What are the income requirements?
Neither issuer specifies a minimum income, but you will need excellent credit for the Venture X. Your income will be a factor for consideration, but it will not be the sole factor. If proof of income is required to support your application, the card issuers will contact you with a list of acceptable documents.
Can you get pre approval?
Capital One requires that you complete a full application for the Venture X, which will involve a hard credit pull.
What is the initial credit limit?
You can expect an initial credit limit of $5,000 to $30,000 with the Capital One Venture X.
How much is 10,000 miles worth?
The average value of Capital One miles is one cent per mile. This means that 10,000 miles would be worth $100. However, it may be possible to get a higher redemption rate with partner programs.
How’s the card customer service availability?
Capital One has a customer service line that is available 24/7, so you can access help at any time of the day or night
How long does it take for approval?
Capital One aims to give an approval decision within a few minutes, unless additional information is required to support your application. In this case, it can take a further 7 to 10 days. After approval, you should receive your card within 10 days.
The World of Hyatt Credit Card
Reward details
Current Offer
Credit Rating
Annual Fee
0% Intro
APR
On Chase Website, Terms Apply
If you like the Hyatt network or tend to visit places where its network covers, the World of Hyatt card is ideal for saving money on hotel accommodations.
Cardholders earn 4 bonus points per $1 spent for Hyatt stays and experiences including restaurants and spas, 2x for flights purchased directly from the airline, local transit, commuting, restaurants, fitness club, gym memberships and 1 bonus point per $1 spent on all other purchases. In addition, you can also get an early check-in and a late checkout. This makes hotel stays much more enjoyable, as well as a nice welcome bonus.
It's also a good card for people who want a card they can use anywhere to get free hotel stays and upgraded rooms. However, in order to offset the annual fee ($95) and receive the benefits advertised by the card, you must stay in Hyatt hotels several times per year.
- Rewards Plan: 4 bonus points per $1 spent for Hyatt stays and experiences including restaurants and spas, 2x for flights purchased directly from the airline, local transit, commuting, restaurants, fitness club, gym memberships and 1 bonus point per $1 spent on all other purchases
- APR: 19.74 - 26.74% Variable
- Annual fee: $95
- Balance Transfer Fee: $5 or 5% (whichever is greater)
- Foreign Transaction Fee: $0
- Sign Up bonus: 30,000 points after you spend $3,000 on purchases within the first 3 months of account opening
- 0% APR Introductory Rate: None
- Travel Rewards & Welcome Bonus
- One Free Night Every Year
- Monthly Bonus Category
- Discoverist Status
- Annual Fee
- No Discounts For Multi-Night Stays
- Better For Off Season
Does the Hyatt card have a point rewards limit?
There is no points reward limit on either card, but there is an introductory offer with either card that requires you meet a spending limit to get bonus points.
Can I get car rental insurance?
No, the World of Hyatt card does not offer a car rental insurance.
Can I redeem for flights with airline partners?
World of Hyatt is partnered with 25 airlines including Delta SkyMiles, American Airlines AAdvantage, and British Airways Executive Club. Generally, the transfer rate is a 5:2 ratio. This means that 5,000 points is worth 2,000 of the airline miles, but this can vary depending on the airline miles program
Can I get pre approved?
Typically, Chase does not have pre approval for its cards including the World of Hyatt card. This means that when you complete the online application form, it will trigger a hard credit search.
Does it offer flight cancellation insurance?
No, the World of Hyatt card doesn't offer flight cancellation/interruption or delay insurance.
What are the top reasons not to get it?
If you don’t typically care what hotel you stay in when you are on vacation, you’ll find this card a bit restrictive. In this scenario, you would be better off with a miles or other type of rewards card that allows you to redeem your rewards for flights, hotel stays and other travel perks.
American Airlines AAdvantage MileUp℠ Card
On Citi Website, Terms Apply
American Airlines AAdvantage MileUp℠ Card
Reward details
Current Offer
Credit Rating
Annual Fee
0% Intro
APR
On Citi Website, Terms Apply
The AAdvantage MileUp card is the cheapest card among American Airlines credit cards, and ideal for infrequent American Airlines flyers who want to enjoy AAdvantage miles and earn rewards on everyday purchases. This, combined with the fact that there is no annual fee, makes it an appealing card for people who are new to travel rewards.
However, there are other travel rewards credit cards available if you're willing to pay an annual fee. Depending on the cardholder's credit history, travel needs, and frequency, a potential cardholder may want to look into other options before applying for the American Airlines AAdvantage MileUp Card.
Since the majority of travel cards have an annual fee, this one can be a good option if you prefer a card with no annual fee.
- Rewards Plan: 2 AAdvantage miles per dollar on grocery stores and eligible American Airlines purchases, and 1 mile per dollar on other purchases
- APR: 20.74% - 29.74% (Variable)
- Annual fee: $0
- Balance Transfer Fee: $5 or 5%
- Foreign Transaction Fee: 0%
- Sign Up bonus:10,000 miles and $50 statement credit if you spend $500 in first 3 months
- 0% APR Introductory Rate:None
- No Annual Fee
- Rewards & Sign up Bonus
- No Rewards Cap
- Citi Travel Options
- 25% off on in-flight food and drinks
- Average Rewards Rate
- Foreign Transaction Fee
- High APR
Chase Sapphire Reserve®
On Chase Secure Website, Terms Apply
Chase Sapphire Reserve®
Reward details
Current Offer
Credit Rating
Annual Fee
0% Intro
APR
On Chase Secure Website, Terms Apply
The Chase Sapphire Reserve® card is a premium travel card that offers many benefits that your average reward card does not. You'll receive , which is about $750 in travel rewards if booked through Chase Ultimate Rewards.
In addition, you earn5X total points on air travel and 10X total points on hotels, car rentals when you purchase through Chase Ultimate Rewards®, immediately after earning your $300 annual travel credit. Also, earn 3x points on dining at restaurants and travel (after meeting the $300 travel credit), then 1x points per dollar spent on all other purchases
However, due to the high annual fee ($550) - you should make sure your regular spending habits fits to this card and you'll be able to cover the high annual cost. If that's not the case - the Chase Sapphire Preferred is a good alternative, check out our comparison between the Reserve and the Preferred card.
- APR: 21.49% - 28.49% variable APR
- Annual fee: $550
- Balance Transfer Fee: $5 or 5%
- Foreign Transaction Fee: 0%
- Rewards Plan: 5X total points on air travel and 10X total points on hotels, car rentals when you purchase through Chase Ultimate Rewards®, immediately after earning your $300 annual travel credit. Also, earn 3x points on dining at restaurants and travel (after meeting the $300 travel credit), then 1x points per dollar spent on all other purchases
- Sign Up bonus: 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening
- 0% APR Introductory Rate period: N/A
- Points Rewards
- Sign Up Bonus
- More Ultimate Chase Rewards
- No Foreign Transaction Fee
- Airport Lounge Access
- Annual Fee
- No 0% Introductory APR
- Balance Transfer Fee
- Chase Restrictions
- Can I get car rental insurance with a Sapphire Reserve card? Yes, you can get car rental insurance with this card if you decline the collision cover of the rental company and pay for the entire cost of the rental car with this card.
- What are Sapphire Reserve card income requirements? There are no transparent income requirements, but it is usually expected that your annual income is at least $30,000 and you may be asked for proof of income.
- How do I redeem cash back? You can redeem your points in a variety of ways through the Chase credit card reward portal. Some of the perks you can get include cash, travel credit, a statement credit, and gift cards.
- What purchases don't earn cash back with the Sapphire Reserve? All purchases will earn you cashback with this card.
- Should You Move to a Sapphire Reserve card? If you travel a lot then this is a great option for you. It's recommended to understand your spending habits and compare the Reserve card with other premium travel cards such as the Amex platinum card.
- Why did Chase deny me? What to Do Next? You might not have met one of its requirements. You will usually find out where you fell short. You might be able to rectify the issue or you might have to look elsewhere.
- How hard is it to get Sapphire Reserve card? It is harder to get this card than some of the other Chase credit cards. However, if you have a credit score of at least 720 then you will be in with a good chance of getting approval.
- How to Use Sapphire Reserve card Benefits? To maximize rewards, you should take advantage of the high dining and travel-related cashback redemption rates and generally use them for these types of expenses.
- Top Reasons NOT to get the Sapphire Reserve card? If you do not travel a lot or you don’t want to pay the large annual fee.
- Does travel rewards points expire? Your points won’t expire once you keep the credit card account open.
- Does it offer pre-approval? Yes, you can get pre-approved for this card.
- What is the initial credit limit? The usual minimum credit limit for this card is $10,000.
- Is there a limit to rewards? No limit
The Platinum Card® from American Express
The Platinum Card® from American Express
Reward details
Current Offer
Credit Rating
Annual Fee
0% Intro
APR
The Platinum Card® from American Express is one of the best luxury cards available, offering extra ordinary benefits especially when it comes to travel. The card offers 5X points on up to $500,000 spent on directly-booked airfare and flights and prepaid hotels booked through American Express Travel (per calendar year), 2X points on prepaid car rentals through American Express Travel and 1X points on all other purchases. Terms Apply.
Also, you can enjoy welcome bonus of 80,000 Membership Rewards® points after you spend $6,000 on purchases on your new Card in your first 6 months of Card Membership, as well as a lot of extra premium perks such as dedicated service team, up to $200 in Uber Cash (enrollment required), preferred seating at sporting and cultural events, signature perks at upscale hotels, fraud Protection and baggage insurance for up to $500 for checked baggage and $1,250 for carry on*.
If you're looking for a premium luxury card, compare the Amex Platinum cards with the Chase Reserve card.
- Up to $200 hotel credit per year when you book select prepaid hotels using your Platinum card via American Express Travel. Enrollment Required.
- Up to $240 or $20 per month in Digital Entertainment Credit when you pay for one or more The New York Times, Peacock, SiriusXM or Audible products with your card. Enrollment Required.
- Up to $155 in Walmart+ credit. When you use your card to pay for your monthly Walmart+ membership, you’ll get the full cost back every month. Enrollment Required.
- Up to $200 in Airline fee credit per year when you charge incidental travel fees from selected airlines on your card. Enrollment Required.
- Up to $300 back every year for eligible Equinox memberships when you enroll and pay using your card.
- Up to $189 back per year when you use your card to pay for a CLEAR® membership. Enrollment Required.
- Welcome Bonus + Premium Point Rewards Rate (Terms Apply)
- No Foreign Transaction Fees
- Special Premium Status Perks
- High Annual Fee
- High Requirements
- Why did Amex Platinum Card deny me? What to Do Next? You might not have met one of the requirements. You can ask the customer support team if there is something you can do to change this eventuality. Otherwise, you can look for an alternative card.
- How hard is it to get Amex Platinum Card? You need to meet the credit score and income requirements, which are higher than a lot of other cards.
- What is the initial credit limit? The minimum credit limit you will get with this card will be $5,000.
- How do I redeem cash back? There is a points-based system. You can redeem the points for a variety of rewards that are showcased on the Amex website. These include statement credit, gift cards, paying for certain services etc.
- What purchases don't earn cash back? Every type of purchase through this card will earn cashback points.
- Should You Move to Amex Platinum Card? It is a good fit if you spend a lot of money on travel-related expenses and want to avail yourself of some great travel perks.
Table Of Content
If you enjoy traveling, you may have considered travel credit cards. Many people find these cards a little confusing, so here we’ll explore this niche and how to find the best travel credit cards.
Pros and Cons of a Travel Card
As with all financial products, there are both positives and potential negatives of travel credit cards. It is important to be aware of both so you can make an informed decision about the card that is the right product for you.
- Travel Benefits
Most travel cards offer benefits that enhance your travel experience. From free checked bags to additional insurance, each card has a different benefits package that can save you money on your travel expenses.
- Earn Rewards on Your Travel Purchases
For frequent travelers, air fare, accommodation and other travel expenses can represent significant spending. A travel credit card can allow you to earn a higher tier of rewards on this spending.
- Travel Themed Rewards
Another benefit of travel credit cards is that the reward redemptions are typically geared towards travel. While some cards allow you to redeem for statement credit, most give the best redemption rates when you use your points, miles or cash back to purchase flights or hotel stays.
- Generous Expiration Policy
While this can differ from card to card, most travel credit cards have a generous expiration policy. This allows you to accumulate rewards and spend them when you’re ready to travel.
- Limited Rewards for Other Spending
While you may want to earn rewards for travel purchase, there are only a few travel credit cards that offer good reward tiers for other types of spending. This means that you’ll earn a very basic level of reward, if any for everyday purchases. If you're looking for a premium card with everyday spending benefits, compare the Amex Gold with the Chase Reserve card.
- Best Rewards for Excellent Credit
As we touched on above, the best travel credit card reward packages are only available to those with excellent credit. If you have less than excellent credit, you may need to lower your expectations and compromise on the rewards package.
- Some Cards are Brand Restricted
Some travel credit cards are brand specific, which means that you’ll earn few reward benefits outside of this brand.
- Third Party Portals
Although you can get the best redemption rates for travel purchases, these are usually managed through a third party portal, which can create customer support issues in the event of a problem.
How to Compare Travel Rewards Cards
As you may already be aware there is an abundance of travel reward cards on the market from dozens of different card issuers.
While this choice is superb, it can make finding the right card for you a little challenging. This means that you need to be aware of how to compare and evaluate travel rewards cards. Fortunately, we have some pointers for you.
Does it Support Your Preferred Brands?
This is the first thing you need to look at, as there is no point in getting a higher rate of rewards if the card requires you to use an airline you rarely fly with. If you are brand loyal, a brand specific card makes sense. If you always fly American Airlines or always choose to stay in a Marriott hotel, there are cards to support your spending patterns.
However, if you tend to look for the best travel packages regardless of the airline or hotel chain, a more general travel card that offers a high tier of rewards for all travel purchases is a better option for you.
What Travel Perks Do You Want or Need?
Many travel credit cards have a long list of travel perks and these can vary significantly from card to card. So, you’ll need to think about what travel perks you want or need.
For example, if you rarely travel with more than one bag, getting two checked bags free is not something you will particularly use. However, if you love the idea of getting lounge access to relax or work as you wait for your flight, this is a feature you will need to look for in your potential card options.
Foreign Transaction Fees
It may seem sensible to assume that all travel cards have no foreign transaction fees, but this is not the case. Some travel credit cards still charge foreign transaction fees and if you frequently travel abroad, this can quickly add up.
However, if you tend to only travel domestically, this will not be an issue for you and you may overlook the fees if the card offers appealing benefits.
Miles, Points or Cash Back?
Another point of comparison is whether the card offers miles, points or cash back. This is a matter of personal preference, but if you don’t like complicated redemption rates, you may prefer a card that offers a simple percentage cash back reward scheme.
On the other hand, if you like to save for superb future travel plans, you may prefer the thought of accumulating miles or points to use later.
7 Things You Can Get In a Good Travel Rewards Card
The feature set of travel reward cards can vary a great deal, so it can make choosing the best travel credit card a little tricky. Fortunately, there are seven things you can get in a good card, which we’ll break down in more detail here.
- A Reasonable Rate: While your rate will depend on your specific credit score, it should still be reasonable. There are travel cards on the market that have a far higher rate to offset the card benefits. So, you should look for cards that not only offer a great benefits package, but have a competitive rate.
- Multiple Ways to Earn Rewards: Although you may want to use your credit card for travel purchases, it is still nice if you can earn rewards with other types of spending. Good travel rewards cards will still offer points, miles or cash back on every day spending such as gas or grocery shopping. This means that if there is a situation where you are unable to travel, such as the 2020 Covid Pandemic, you can continue to earn rewards.
- Appropriate Travel Perks: This sounds obvious, but the best travel credit cards offer great travel perks. What you consider great will depend on your needs and preferences, but there are card options to suit everyone. For example, your top priority might be lounge access, while someone else may look for the potential for room upgrades. Think about what you would like and look for cards that can meet your preferred requirements.
- Non Travel Perks: As we touched on above, there may be times when you are unable to travel, so it is nice when your travel credit card also offers non travel perks. There are a number of cards that offer free subscriptions or memberships to get access to streaming services or food delivery, which can be a nice perk.
- An Easy to Understand Reward Structure: Credit rewards can become extremely complicated, so if you can’t follow how to earn rewards, you’ll not make the most of the scheme. If you’re prepared to manage card categories, there are travel credit cards that allow you to designate primary and secondary reward categories. However, if you want a simple to use card, the best options will simply provide a set percentage of cash back or points for each category of spending.
- Minimal Fees: This is a factor which is common to all good credit card options, including travel cards. This is why it is important to check the terms and conditions carefully before you complete your card application. This will allow you to double check that you are comfortable with the fee structure and will not face any unpleasant surprises in the future.
- Good Customer Support: Finally, you can’t overlook the value of good customer support from your credit card provider. Whether you have a transaction query or need to report a lost or stolen card, you need to feel confident that a representative will quickly resolve any problems.
Can I Get a Travel Card With a 600 Credit Score?
Travel credit cards with the best rewards tend to be reserved for those with good to excellent credit. This makes sense as there is the potential to earn thousands of miles or hundreds of dollars of rewards. So, credit card companies tend to want these cards in the hands of people who have proven to be highly financially responsible.
However, this does not mean that if you have less than perfect credit, you won’t be able to enjoy a travel credit card. There are still some options available for those with fair credit.
For example, the Capital One Platinum credit card may not offer reward points, but you can enjoy some excellent travel benefits. There are no foreign transaction fees and you’ll get auto rental collision damage waiver, travel accident insurance, and a 24 hour travel assistance helpline when you purchase your fare and car rental using your card.
Best Travel Cards With No Annual Fee
Generally, most travel cards require an annual fee. However, if you're only looking for a basic card, there are a variety of options for those who would like to skip the annual fee – here are two cards to consider:
American Airlines AAdvantage MileUp℠ Card
This is a great card option for those who are loyal to the American Airlines brand but don’t want to pay a fee. You’ll still earn loyalty points towards your AAdvantage Status as you can with other AAdvantage cards. You’ll earn one point for every dollar, which can help you on your way to AAdvantage Gold status.
You can also earn a 25% saving on your inflight purchases. So, if you like to have snacks and drinks on your American Airlines flights, make sure you pay with your MileUp card to enjoy savings.
Discover it® Miles credit card
The Discover it® Miles credit card offers decent earning of miles on all purchases even though it may not be the most rewarding travel card available.
Cardholders can earn unlimited 1.5x miles for every dollar spent on all purchases. Also, there is a welcome bonus of Discover matches your first year miles automatically (for example: 10,000 miles becomes 20,000 miles).
The Discover it® Miles credit card is a good choice for budget-conscious customers who want to earn miles on all transactions without having to remember to track bonus categories or turn on quarterly bonuses.
Best Travel Cards for International Travel
This is one of the most important categories to check when it comes to choosing a good travel card for your needs.
Chase Sapphire Preferred® Card
This card has a generous reward structure, but you’ll earn 25% more on your redemption value when you use your points to book travel using the Ultimate Rewards portal. You can also transfer points to 14 other loyalty programs at a 1:1 ratio.
Other card perks include travel insurances, including trip delay, baggage insurance, trip cancelation and travel emergency assistance. There are also no foreign transaction fees.
The Platinum Card® from American Express
International travel can be tiring, so you’ll appreciate the airport lounge perks offered with the Platinum Card. You’ll get Priority Pass Select Membership and access to Delta Sky Clubs and Amex Centurion lounges.
The card also offers numerous other travel perks including Hilton Honors Gold Status, Marriott Bonvoy Gold Status, 24/7 Platinum Card Concierge and Global Entry reimbursement. You can also benefit from insurance including car rental, trip cancellation and trip delay cover.
Best Travel Cards for Fair Credit
If you have a fair credit, it may be difficult to get one of the premium travel cards. Here are some decent cards for those who have fair credit:
Capital One Platinum
While this card does not have a travel rewards structure, it does have nice travel benefits, particularly as you can qualify with fair credit.
The perks include auto rental collision damage waiver coverage, no foreign transaction fees, and travel accident insurance. You can also access a 24 hour helpline for any travel issues or problems.
Citi AAdvantage Platinum
This is a miles credit card that is more suited to those with fair approaching good credit, as it offers far more perks. You can save money on American Airlines baggage fees and enjoy preferred boarding on American Airlines flights.
There are no foreign transaction fees and you’ll get an American Airlines discount certificate each year on renewal if you spent $20,000 in the previous year.