Are you tired of paying thousands of dollars on travel? Good news! Travel hacking is the answer to all your travel woes. It’s a fun way to turn credit card sign-up bonuses and incentives into miles which can be used to get discounted or even complimentary flights for your desired destinations. With a little imagination and some know-how, you’ll travel for free in no time.
The Basics of Travel Hacking
Travel hacking is about swapping credit card sign-up bonus and incentives for airline miles. The miles can be used to buy discount or no-cost flights. Certain credit cards will also let you redeem miles to pay for hotel stays or rental car deals.
How Does it Work?
The key to success in hacking travel is taking advantage of the credit card sign-up bonus and to establish a frequent flyer mile program for a specific group of airlines. When you are ready to make a booking take a look at the price. If the price is under $300, it’s generally better to pay in cash and use your miles to pay to take a more costly flight. When the flights start getting higher than $500, it’s best to review those frequent flyer accounts to see which airline can give you the best price. It all boils down to the amount of points or miles you have you have in your travel savings account for each airline.
Begin by Getting Started with Travel Hacking
Ready to learn the secrets of travel hacking? Your first task is to open the credit card that comes with a sign-up bonus. There are many great credit cards that provide a variety of features and benefits. It depends on the type of airline, your spending habits, and the features that are most crucial to you.
Top Credit Card Picks
Here are some credit cards great to use for hacking travel:
- Chase Sapphire Reserve
- Chase United Explorer
- JetBlue Mastercard
- Capital One Venture X
Once you’ve been approved for a credit or debit card, you’ll need to reach the limit of spending minimum in order to receive the bonus. Each card has its own rules, so be certain to verify the details. From there you can begin to rack up miles, and then using them to book your dream vacation!
Ready to jet-set with your ideas?
After you’ve accrued your points amount, it’s time to redeem them for some nice travel! Different credit card companies will have different methods for redeeming your points. Here are a few examples from some of the companies I have experience with:
Escape through Chase Ultimate Reward
If you have a Chase card, you can redeem your points via the Ultimate Rewards portal. In the portal, you’ll get access to virtually every airline, and you can make use of a combination of money and points to pay for your next trip. You can book your flight entirely on points if you have enough balance! Sometimes even if you don’t possess enough points for the entire cost, you are able to purchase flights through the Chase Ultimate Rewards portal and pay the balance cash using the credit card of your choice.
United
Are you fed up of paying full price for flights? Did you not know that when you book directly through United you can choose the option to pay with either points or dollars? Be careful that if you do not have enough points you cannot combine dollars and points on flights. If you’re only a couple of 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 travel experience that includes extra space and complimentary snacks. Plus, their booking process is similar to that of United Airlines that allows you to book with either JetBlue points or dollars however, not both. The difference is that JetBlue offers a distinct feature that allows you to pool your points together with family members to accrue points twice as quickly. Make sure to verify that you are a family member before trying to hack the system.
Reach that Minimum Spend
If you’re like me or my travel companion Becca I’m sure you’re pretty frugal and it can be difficult to think of spending thousands of dollars in order to meet the minimum spend for credit card bonuses. But don’t fret, we’ve been through it and are here to share our tricks and tips.
Pay your rent (if you can)
This is an important one! If you’re able to pay for your rent using credit card, go for it! Just be prepared to pay a cost, which is usually at least 3%. It could be worthwhile in the long run if the bonus is high enough.
Pay a medical bill
Another great way to hit the minimum spend is to cover the medical bills. If you do not have any medical expenses in the near future then ask your family members if you can pay them for theirs, and they’ll pay you back.
Repay the loan
If you have any loans, consider repaying them using the credit card you have. Just make sure you pay off the balance on your credit card in full , so that you don’t accumulate more debt.
Ask family members for assistance
Ask your family members to look into any major expenses in the near future which you could help pay for. Be sure to be sure that you’re able to have confidence in the person you are talking to and they understand why you’re taking the initiative.
Buy presents
If you’re celebrating the holidays you should consider purchasing all of your gifts with cards from your credit account. This way you can hit that minimum spend and also be ready for giving gifts. Make sure that you’re not spending more than you already thinking of.
There are a lot of methods to get the most from the travel credit card. You can earn miles or points to spend on flights or other travel-related expenses. Here are a few additional suggestions for maximising the rewards you earn:
Book travel expenses with your credit card
Whenever you’re planning a trip, make use of you travel credit card to book your flight, hotel, rental car, and any other travel expenses. Not only will you achieve the minimum spend to earn your credit card and earn points, however, you’ll also earn points or miles on those expenditures.
Use your credit card for all your daily expenditures
Another way to hit the minimum spend to earn rewards is by making use of your credit card to pay everyday expenses. This could include things like gas, groceries or even your phone bill. Just make sure to pay off the balance each month in full so you don’t accrue interest charges.
Benefit from bonus categories
A lot of travel credit cards provide bonus points or miles for certain types of purchases, such as eating out or traveling. Be sure to review the rewards program of your credit card and make use of the bonus categories that are in line with your spending routines.
Think about a balance transfer
If you are currently in debt on a high-interest credit card, consider transferring that balance onto a travel credit card with a 0% introductory APR for balance transfers. This will let you pay off the debt without accruing interest and simultaneously help you hit the minimum amount required to earn the credit card’s bonus.
Utilize your miles and points wisely
Once you’ve accumulated a substantial amount of miles or points make sure you use them in a responsible manner. Check out the rewards program on your credit card, and evaluate the benefits of different redemption options. For example you can use your points to book a flight directly through the airline may give you a better value than using them for a gift card.
Another suggestion is to use a rewards card that allows you to transfer your reward points into other loyalty programmes. This will allow you to enjoy a greater variety of options and greater flexibility when redeeming your rewards. For example, you may be capable of transferring your rewards to frequent flyer programs of airlines or a Hotel rewards programme. This gives the benefit of a greater selection of hotels, flights and other travel benefits which are not offered through the rewards program on your credit card.
Also, determine if your credit card offers any perks that can reduce your travel costs. A lot of credit cards provide travel insurance and rental car insurance, baggage protection, and other benefits that can be very beneficial when traveling.
When you travel with someone else and both of you earn rewards using your credit card. Just remember that you can’t share the costs on the same card. Also, make sure to track your rewards in a separate manner.
In the end, the most important thing to do to reaping the maximum benefits from your rewards for travel is to be aware of your credit card’s rewards program and make sure you’re using this program in the most effective way possible. Utilizing an array of strategies I’ve listed, you’ll be able to earn rewards quickly, redeem rewards for valuable travel experiences, and enjoy a wide range of travel perks.