As the world of travel slowly begins to reopen, many of us are looking to plan our next vacation and make the most of our hard-earned money. One way to do this is by using a travel rewards credit card, which allows you to earn points or miles for every dollar you spend, which can then be redeemed for flights, hotels, and other travel-related expenses. But with so many options on the market, it can be overwhelming to choose the best travel rewards credit card for your needs. In this article, we’ll break down some of the key factors to consider when selecting a travel rewards credit card and provide some top recommendations.
One of the first things to consider when choosing a travel rewards credit card is the type of rewards program it offers. Some cards offer points or miles that can be redeemed with any airline or hotel, while others are tied to a specific loyalty program, such as Delta SkyMiles or Marriott Bonvoy. If you have a preferred airline or hotel chain, it may make sense to choose a card that is affiliated with that loyalty program, as you’ll be able to earn and redeem rewards more easily. However, if you’re a more flexible traveler who doesn’t have a particular loyalty to any one brand, a card that offers more general rewards points or miles may be a better fit.
Another important factor to consider is the earning rate of the card. This is the number of points or miles you’ll earn for each dollar you spend on the card. Some cards offer higher earning rates for certain types of purchases, such as travel or dining, while others offer a flat earning rate for all purchases. It’s important to look at your spending habits and choose a card that offers a good earning rate for the types of expenses you typically charge to your credit card.
In addition to the earning rate, it’s also important to consider the redemption value of the points or miles you earn. This is the value you’ll get when you redeem your rewards for travel expenses, and it can vary greatly between different cards. Some cards may offer a higher value for points or miles when redeemed for certain types of travel, such as flights or hotel stays, while others may offer a lower value for other types of redemptions, such as car rentals or gift cards. Be sure to compare the redemption value of different cards to ensure you’re getting the most value for your rewards.
Another factor to consider when choosing a travel rewards credit card is the annual fee. Most travel rewards credit cards come with an annual fee, which can range from a few hundred dollars to over a thousand. While a higher annual fee may be worth it if the card offers a lot of valuable perks and a high earning rate, it may not make sense to pay a high fee for a card that doesn’t offer much in return. Be sure to weigh the annual fee against the benefits and rewards of the card to determine if it’s a good value for you.
Finally, it’s worth considering any additional perks or benefits that come with the card. Some travel rewards credit cards offer things like free checked bags, priority boarding, or airport lounge access, which can make your travels more comfortable and convenient. These perks can vary greatly between different cards, so it’s worth looking at what each card offers to see if it aligns with your travel style and needs.