Are you tired of spending thousands of dollars on travel? Well, good news! Travel hacking is the answer to all your travel problems. It’s an exciting method to convert bonus and sign-up incentives into airline miles, that can then be used to get discounted or even cheap flights from your dream destinations. With a little imagination and some know-how, you’ll be jet-setting for free in no time.
The Basics of Travel Hacking
Travel hacking is about exchanging credit card sign-up bonuses and rewards for airline miles. These miles can then be used to buy discounted or even free flights. Certain credit cards permit you to use miles for hotel stays and car rental deals.
How Does it Work?
The most effective method for successful hacking your travel plans is to take advantage of the sign-up bonuses for credit cards and establishing frequent flyer miles on a select group of airlines. When you are ready to book a flight consider the cost. If the cost is less than $300, it’s generally better to pay in cash and save your miles to take a more costly flight. When the flights start getting over $500, you’ll need to review those frequent flyer accounts and see which airline can give you the most value. It all boils down to the number of points or miles you have in your travel savings account for each airline.
Get Started with Travel Hacking
Ready to learn the secrets to hacking travel? First step to open the credit card that comes with a sign-up bonus. There are a lot of fantastic credit cards with many features and benefits. It all depends on your preferred airline, your spending habits, and the features that are most essential to you.
Top Credit Card Picks
Here are a few credit cards that are great for travel hacking:
- Chase Sapphire Reserve
- Chase United Explorer
- JetBlue Mastercard
- Capital One Venture X
If you’ve been approved for a credit card, you’ll need to reach the limit of spending minimum in order to get the bonus. Every credit card has its own set of rules, so make certain to verify this information. From there it’s all about building up miles and then using them to book your dream vacation!
Ready to jet-set with your points?
Now that you’ve built up your points balance, it’s time to use them towards nice travel! Different credit card providers will have different methods for redeeming your rewards, here are some examples from a few of the ones I’ve worked with:
Escape through Chase Ultimate Reward
If you’re a holder of an Chase credit card, then you are able to redeem your points through the Ultimate Rewards portal. Within this portal you’ll get access to nearly every airline and you can combine the points as well as cash in order to book your travel. You can even book entirely using points if you’ve got the funds to pay for it! Sometimes even if you don’t have enough points to cover the total price, you can book flights using the Chase Ultimate Rewards portal and pay the balance in cash using the credit card of your choice.
United
Are you tired of paying full price for flights? Did you know that when you book directly through United You have the option to pay with either points or dollars? Be careful that if you do not have enough points you aren’t able to combine points and dollars for the same flight. No worries though, if you’re a few points away, United gives you the option to purchase additional miles.
JetBlue
Looking for a flight within the United States? Look no further than JetBlue! JetBlue provides an enjoyable and comfortable flight experience with extra legroom and free snacks. Plus, their booking process is similar to United’s which allows you to book with either JetBlue either dollars or points, however, not both. However, JetBlue is unique in that they offer a feature that lets you pool your points together with your relatives to earn points twice as quickly. Be sure to establish that you’re a real family member prior to trying to hack the system.
Hit that Minimum Spend
If you’re like me or my travel companion Becca, you’re probably pretty thrifty and it’s difficult to think of spending thousands of dollars to reach the minimum amount required to earn credit card bonuses. However, don’t be worried because we’ve been there and are here to share some of our tricks and tips.
Pay your rent (if you can)
This is a big one! If you’re able to pay your rent using credit card, go for it! Make sure you pay a fee, usually at least 3%. It could be worthwhile over the long term if the bonus is high enough.
Pay for a medical bill
Another way to reach the required spending is to cover a medical bill. If you do not have any medical expenses in the near future, ask your relatives if you could pay for theirs and they will repay you.
Make a payment to pay off a loan
If you have any loans, consider making payments on them with an credit card. Be sure to pay off the credit card balance in full , so that you don’t end up with more debt.
Ask your family members for help
Talk to your family and look into any major expenses in the near future which you could help pay for. Just make sure you have confidence in the person you are talking to and they understand why you’re doing it.
Give gifts
If you’re celebrating the holidays take into consideration buying all your gifts with your credit card. In this way, you’ll meet the minimum spending limit and also be prepared to give gifts. Make sure that you’re not paying more than you planning to.
There are plenty of ways to get the most out of using your credit or debit card for travel. You can earn miles or points to use towards flights or other travel-related expenses. Here are some additional suggestions for maximising the rewards you earn:
Pay for travel expenses using your credit card
If you’re planning a trip, use you travel credit card for booking your flight, hotel or rental car, as well as any other travel-related expenses. You’ll not only be able to meet the required amount to qualify for a credit card as well, but you’ll also earn points or miles for these expenditures.
Utilize your credit card to pay for everyday expenses
Another way to meet the minimum spend and earn points is by using your credit card to pay every day expenditures. This could be things like gas, groceries, and even your phone bill. Be sure to pay off the balance each month in full so you don’t accumulate interest.
Benefit from bonus categories
A lot of travel credit cards provide miles or bonus points on certain kinds of purchases, such as eating out or travelling. Be sure to review the rewards program of your credit card and make use of any bonus categories that align with your spending routines.
Consider the possibility of transferring your balance
If you are currently in debt on a credit card, consider transferring the balance to the travel credit card which has a 0% introductory APR for balance transfers. This will allow you to pay off the debt without accruing interest. It will also aid in achieving the minimum amount required to earn the credit card’s bonus.
Make use of your miles or points carefully
When you’ve earned a significant amount of miles or points, be sure to use the points or miles wisely. Examine the rewards program of your credit card, and evaluate the worth of various redemption options. For example, using points to purchase a flight directly with the airline might give you a better return than using them for an gift card.
Another tip is to use rewards cards that allow you to transfer your rewards to different loyalty program. This will allow you to get a wider selection of choices and more flexibility in you want to redeem your rewards. For instance, you might be eligible to transfer your reward to an airline’s frequent flyer program or Hotel rewards programme. This gives an access larger range of flights, hotels and other travel benefits which are not available through your credit card’s rewards program.
Additionally, try to determine if your credit card offers any perks that can help you save money on travel costs. Some cards offer travel insurance, rental car insurance, baggage protection, and other benefits that could be extremely valuable when you’re traveling.
If you’re traveling with someone else each of you will be able to earn rewards using your own credit card. Just remember that you can’t split the cost on the same card and make sure to keep track of your rewards separately.
In the end, the most important thing to do to making the most of your travel rewards is to understand the rewards program on your credit card and ensure that you’re making use of your credit card in the most efficient way possible. By using all of the strategies I’ve outlined in this article, you’ll be able get rewards in a short time, use them for travel experiences that are worth it and take advantage of a broad assortment of travel-related perks.