Our Travel Card of Choice
Looking for a way to travel for less or even “free”? Read about our favorite travel credit card that has saved us thousands on flights and other travel expenses!
We know credit cards are a controversial topic, but we believe that if you don’t spend any more than you can afford to pay off in a month, like if you were using a debit card, they are one of the best travel tools out there!
We got our first travel credit card early in 2023. By taking advantage of the large sign up bonuses and earning lots of points through our normal purchases, we were able to fly to the Azores in Portugal basically for free.
Before we get started, here are some important disclosures:
1. Some of the links in this blog post are affiliate links and we will receive commission if you choose to sign up for the card, at no additional cost to you.
2. Terms apply to benefits and offers. Enrollment may be required for select Chase benefits and offers. Visit creditcards.chase.com to learn more.
Before we dive into specific credit cards, there are two main types of travel credit cards to choose from, as well as different price points to choose from. Each has its own benefits and downsides to consider when deciding which travel credit card is for you.
CO-BRANDED TRAVEL CARDS (AIRLINE OR HOTEL SPECIFIC)
Co-branded travel credit cards are tied to a certain airline or hotels, like Delta or Hilton. These cards earn points that can only be used at the specific airline or hotel.
These cards can be great if you’re looking for rewards specific to those brands, such as free nights or upgrades, but they can also limit your options if a certain reward isn’t available when you need to use it, such as award seat availability.
We only recommended getting these if you only (or mostly) stay at these specific chains or fly the same airline.
GENERAL-PURPOSE TRAVEL CARDS
General-purpose travel cards give rewards that can be used like cash on any airline or hotel brand, such as the Chase Sapphire Preferred or Capital One Venture Card.
These travel cards are best for those who want the most flexibility for flights and accomodations. While you get more flexibility, the downside is that you typically do not get brand specific perks.
We personally like to keep our flight and accommodation options open by using general-purpose travel cards that aren’t tied to specific airlines or hotels.
PREMIUM VS. BUDGET CREDIT CARDS
Another big differentiator between travel credit cards are Premium vs. Budget cards.
Premium credit cards come with a high annual fee, but earn miles much faster and come with many more perks. Budget credit cards on the other hand, have a much cheaper (or free!) annual fee, but typically earn points at a slower rate and do not come with as many perks.
When deciding between the two, it is important to weigh the perks for each and decide which one you’re going to get the most value out of. It is a balance between how much of a fee you are willing to pay, how fast you want to earn points, and what perks come with it.
HOW TO GET THE MOST VALUE FROM A TRAVEL CREDIT CARD
Here are a few tips to help make sure you get the most value from your travel credit card!
Make sure you hit the minimum spend
To get the most value from a travel credit card, you need to make sure you hit the minimum spend to get the sign up bonus. These requirements differ between cards, but the sign up bonus typically can cover a round trip flight, so missing out on that would be heartbreaking!
We recommend applying for a travel credit card around a big purchase you have to make in order to help earn the sign on bonus. For instance, if you are needing a new laptop, get the credit card then use that card to buy the laptop or camera.
Dinner’s on me!
One thing I have loved doing with our travel cards is picking up the dinner bill for work dinners or out with friends. As long as you trust your employer or friends to pay you back, this is a great way to get extra miles!
Refer a friend
Some cards have offers where if you refer your friends and family to sign up for the card, you get loads of bonus miles for each person that signs up!
Multi-card strategy
If you decide to have more than one travel credit card, you can also be strategic and use specific ones for specific things. For example, if one card gives you 3x the points for dining and travel expenses, you would use that for those purchases.
But if another card has 2x the points for every purchase, you could use that one for any purchase that doesn’t get 3x points. The only downside of this is that then your points are spread out among a few different cards, so you may not have as high of a balance in one account.
Treat it like a debit card
We also highly advise only spending money you have and paying off the balance every month. If you’re carrying a large balance and have to pay the high interest rate, all the benefits you get from these cards is totally erased by the interest that adds up very quickly. Not to mention it can negatively affect you credit score.
For more information on how a credit card can impact you financially, including your credit score, speak to a financial professional.
What Credit Card Do We Use?
The card we are currently using is the Chase Sapphire Preferred® card. If you’re a frequent traveler or looking to travel more, and you want the flexibility of choosing any airline and the ability to get more money for your points, we couldn’t recommend this card more!
Annual Fee: $95/year
Intro Bonus: As of Sept. 2023, the intro bonus is 60,000 bonus points if you spend $4,000 in purchases in the first three months of opening the card.
Airline: This card is not airline specific, which means you can use it for any airline! (Points can also be redeemed for most airlines)
Our Favorite Perks
While the high annual fee is a bit shocking, the perks make the fee worth it in our opinion!
Your points have 25% more value. This is by far our favorite perk! For most travel credit cards, 60,000 points is worth about $600 in travel. However, with the Chase Sapphire Reserve, your 60,000 points would be equal to $750 in travel if you book through their portal.
3x points per dollar on dining worldwide, including eligible delivery services, take out and dining out.
3x points on select streaming services and online grocery purchases, excluding Target, Walmart and wholesale clubs.
2x points on all other travel purchases, from airfare and hotels to taxis and trains. Earn 1 point per $1 spent on almost all other purchases.
5x points on travel purchased through Chase Ultimate Rewards. Excludes hotel purchases that qualify for the $50 Anniversary Hotel Credit.
Trip and rental car insurance. Never pay for a rental car’s expensive insurance again! With the Chase Sapphire Reserve, you get auto rental collision damage waiver, trip cancellation/trip interruption insurance, travel and emergency assistance services, and more!
1:1 point transfer to many hotel and airline loyalty programs. This includes United, Southwest, JetBlue, KLM, Air France, Emirates, British Airways, and more!
No foreign transaction fees. Whenever you use your card internationally, you will not have to pay any foreign transaction fees.
