Are you fed up of spending a fortune on airfare? Well, good news! Travel hacking is the answer to all your travel problems. It’s an exciting method to turn credit card sign-up bonuses and incentives into airline miles that can then be used to score discounted or complimentary flights for your dream destinations. With a bit of imagination and some information, you’ll travel for free in no time.
The Basics of Travel Hacking
Travel hacking is the art of exchanging credit card sign-up bonuses and incentives for airline miles. These miles can later be used to pay for discounted or even free flights. Certain credit cards let you redeem miles to pay for hotel stays or car rental offers.
How Does it Work?
The key to successful hacking travel is taking advantage of the credit card sign-up bonus and establishing a frequent flyer mile program for a specific group of airlines. When it comes time to make a booking, evaluate the cost. If the cost is under $300, it’s best 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 look into those frequent flyer accounts and find out which airline will give you the most value. It all boils down to the number of miles or points you have in your travel savings account for each airline.
Get Started with Travel Hacking
Ready to learn the secrets to hacking travel? The first step is opening a credit card with a sign-up bonus. There are many great credit cards with many features and benefits. It depends on the type of airline, your habits with spending and the features that are most crucial to you.
Top Credit Card Picks
Here are a few credit card options that can be great for travel hacking:
- Chase Sapphire Reserve
- Chase United Explorer
- JetBlue Mastercard
- Capital One Venture X
If you’ve been approved for a credit or debit card, you’ll need to hit the limit of spending minimum in order to qualify for the bonus. Every credit card has its own set of guidelines, so make certain to verify this information. From there you can begin to rack miles and using them to plan your dream vacation!
Ready to jet-set with your points?
Once you’ve accumulated your points amount, it’s time to redeem them for some nice getaway! Different credit card companies will have different methods for redeeming your rewards, here are some examples from a few of the companies 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 via the Ultimate Rewards portal. In this portal you’ll get access to virtually every airline, and you can use a combination of the points as well as cash in order to pay for your trip. You can book your flight entirely on points if you have the funds to pay for it! Sometimes even if you don’t possess enough points for the total price, you can buy flights with Chase Ultimate Rewards portal and pay the balance in cash with the credit card of your choice.
United
Are you tired of paying the full cost for your flight tickets? Did you know that when you book directly through United you can choose the option of paying using dollars or points? Be careful in case you don’t have enough points you aren’t able to combine points and dollars on the same flight. Don’t worry, though, if you’re a few points short, United also offers the option to purchase additional miles.
JetBlue
Are you looking for a domestic flight? You should look no further than JetBlue! JetBlue provides an enjoyable and comfortable flight experience with extra legroom and free snacks. In addition, their booking procedure is similar to United’s, allowing customers to book using either JetBlue points or dollars, but not both. But, JetBlue has a unique feature that lets you combine your points with your family members and earn points twice as quickly. Be sure to verify that you are a family member before trying to hack into the system.
Hit that Minimum Spend
If you’re like me or my travel buddy Becca I’m sure you’re pretty thrifty and it’s difficult to think of spending thousands of dollars to hit the minimum spend for a credit card bonus. However, don’t be worried as we’ve done 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 with a credit card, do it! Be prepared to pay a cost, which is usually about 3 percent. It might be worth it over the long term when the bonus is large enough.
Make a payment on a medical expense
Another excellent way to meet the required spending is to pay for the medical bills. If you don’t have any medical bills coming up then ask your family members to pay their medical bills and they can reimburse you.
Make a payment to pay off the loan
If you’re in the middle of a loan take into consideration making payments on them with an credit card. Make sure to pay off the balance on your credit card in full , so that you don’t accumulate additional debt.
Ask family for help
Talk to your family and see if they have any major expenses in the near future which you could help pay for. Make sure that you are able to have confidence in the person you are talking to and they know why you’re taking the initiative.
Purchase gifts
If it’s the holiday season take into consideration buying all your gifts using the credit card you have. This way you can reach the minimum spending requirement and be ready for giving gifts. Just make sure you’re not spending more than you were contemplating to.
There are plenty of ways to make the most from your travel credit card. You can accumulate miles or points that you can use towards the cost of flights or other expenses related to travel. Here are some additional ideas for maximizing your rewards:
Pay for travel expenses using your credit card
When you’re planning your next trip, make use of your travel credit card to pay for your hotel, flight or rental car, as well as any other travel expenses. In addition, you’ll achieve the required amount to earn your credit card reward, however, you’ll also earn points or miles for the costs.
Use your credit card to pay for your everyday costs
Another method to reach the minimum spend and earn points is by utilising your credit cards to pay everyday costs. This could include things like food, gas or even your phone bill. Just make sure to pay off the balance in full every month to ensure you don’t pay interest.
Make the most of bonus categories
A lot of travel credit cards provide bonus points or miles on certain kinds of purchases, such as eating out or travelling. Check out your rewards program on your credit card and avail the bonus categories that are in line with your spending routines.
Consider the possibility of transferring your balance
If you have existing outstanding debt due to a high-interest credit card, you might want to transfer that balance to a travel credit card with a 0% introductory APR for balance transfers. This will allow you to pay off the debt without accruing interest and simultaneously assist you in reaching the minimum amount required to earn the credit card’s bonus.
Utilize your miles and points carefully
Once you’ve accumulated a substantial amount of points or miles make sure you use them in a responsible manner. Review the rewards program for your credit card and then compare the value of different redemption options. For instance, using points to book a ticket directly with the airline could provide you with a greater value than using them for a gift card.
Another option is to get rewards cards that allow you to transfer rewards to different loyalty program. This will let you get a wider selection of options and greater freedom when it comes to redeeming your rewards. For instance, you might be capable of transferring your reward to an airline’s frequent flyer program or reward program for hotels. This will give an access greater variety of hotels, flights as well as other travel perks that aren’t accessible through the rewards program of your credit card.
Also, determine whether your credit card has any perks that can reduce your travel expenses. Some cards offer travel insurance, rental car insurance, baggage protection, and other benefits that could be invaluable when you travel.
When you travel with a friend and both of you earn rewards using your credit card. Make sure you don’t split the cost on the same card and make sure to keep track of your rewards separately.
Overall, the key to maximizing your travel rewards is to know your credit card’s rewards program and to ensure you’re making use of it in the most efficient method. By using all of the strategies I’ve listed, you’ll be able to earn rewards fast, exchange them for travel experiences that are worth it, and enjoy a wide range of travel perks.