Are you tired of spending thousands of dollars on travel? Good news! Travel hacking could be the solution to your travel-related problems. It’s an exciting way to convert credit card bonus and sign-up incentives into airline miles, which you can use to obtain discounted or cheap flights from your dream destinations. With a bit of imagination and some information, 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 as well as incentives to earn airline miles. These miles can then be used to pay for cheap or free flight tickets. Some credit cards also let you redeem miles towards hotel stays or rental car discounts.
How Does it Work?
The secret to successful hacking travel is taking advantage of the credit card sign-up bonus and building out a frequent flyer mile program for a specific group of airlines. When it comes time to book a flight, evaluate the cost. If the flight is less than $300, it’s best to pay cash and use your miles to pay for a more expensive flight. If your flights begin to climb above $500, you’ll want to check those frequent flyer accounts to determine which airline offers you the most value. It all comes down to the amount of points or miles you have in your travel account for every airline.
Get Started with Travel Hacking
Ready to learn the secrets to travel hacking? First step opening the credit card that comes with a sign-up offer. There are many great credit cards that provide a variety of features and benefits. It all depends on your preferred airline, your habits with spending and what features are essential to you.
Top Credit Card Picks
Here are some credit cards that are perfect for travel hacking:
- Chase Sapphire Reserve
- Chase United Explorer
- JetBlue Mastercard
- Capital One Venture X
Once you’ve been approved for a credit card you’ll need to reach the limit of spending minimum in order to qualify for the bonus. Every card has different rules, so be sure to check for this information. From there you can begin to rack up miles and then using them to book your dream trip!
Ready to jet-set with your goals?
After you’ve accrued the points balance, you’re ready to redeem them for some nice getaway! Different credit card companies have different methods for redeeming your rewards, here are some examples from a few of the companies I’ve worked with:
Take a trip with Chase Ultimate Rewards
If you’re a holder of a Chase card, you can use your points to redeem them through the Ultimate Rewards portal. In the portal, you’ll have access to nearly every airline. You can make use of a combination of points and cash to book your trip. You can even book entirely using points if you’ve got the balance for it! Sometimes even if you do not be able to accumulate enough points in order to pay for full price, you can buy flights with Chase Ultimate Rewards portal and pay the balance in cash with any credit card.
United
Are you fed up of paying the full cost for your flights? Did you realize that when booking directly through United, you have the option of paying using either points or dollars? Butbe aware in case you don’t have enough points you aren’t able to combine dollars and points for the same flight. No worries though, if you’re just a few points away, United also offers the option of buying additional miles.
JetBlue
Are you looking for a domestic flight? You should look no further than JetBlue! JetBlue provides an enjoyable and comfortable travel experience that includes extra space and complimentary snacks. Additionally, their booking process is similar to United’s, allowing you to book with either JetBlue either dollars or points, however, not both. However, JetBlue offers a distinct feature where you can join your points with your family members and earn points twice as fast. Just make sure you can 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 You’re probably quite frugal and it can be difficult to think of spending thousands of dollars in order to meet the required amount to qualify for credit card bonuses. However, don’t be worried, we’ve been through it and we’re here to share some of our tricks and tips.
Pay your rent (if you can)
This is a huge one! If you’re able to pay your rent with a credit card, do it! Be prepared to be charged a fee, typically at least 3 percent. It may be worth it over the long term in the event that the bonus is substantial enough.
Pay a medical bill
Another way to reach the spending limit is to cover an medical bill. If you do not have any medical expenses due Ask your family members to pay them for theirs, and they’ll reimburse you.
Repay a loan
If you’re a borrower, consider making payments on them with an credit card. Be sure to pay off the balance on your credit card in full so you don’t accrue additional debt.
Ask family for help
Talk to your family and look into any large expenses coming up that you can contribute for. Make sure that you are able to have confidence in the person you are talking to and they understand why you’re doing this.
Give presents
If you’re in the middle of the holiday season take into consideration buying all of your gifts with the credit card you have. This way you can meet the minimum spending limit and also be ready to give gifts. Be sure to avoid spending more than you contemplating to.
There are many ways to make the most from using your credit or debit card for travel. accrue points or miles to use towards the cost of flights or other expenses related to travel. Here are a few additional ideas for maximizing the rewards you earn:
Pay for travel expenses using your credit card
If you’re planning a trip, use the travel credit card to pay for your flight, hotel or rental car, as well as any other travel-related expenses. Not only will you achieve the minimum spend to earn your credit card bonus, however, you’ll also earn points or miles to cover those expenditures.
Use your credit card for everyday expenses
Another way to meet the minimum amount of spending to earn rewards is utilising your credit cards to pay every day costs. This could include things like food, gas, and even your phone bill. Make sure you pay the balance off in full each month so you don’t accrue interest charges.
Take advantage of bonus categories
A lot of travel credit cards provide miles or points in exchange on certain kinds of purchases, like eating out or traveling. Make sure you review your rewards program on your credit card and make use of any bonus categories that match with your spending habits.
Think about a balance transfer
If you have existing debt on a credit card, you might want to transfer that balance to a travel credit card with an introductory rate of 0% for balance transfers. This will let you pay off your debts without accruing interest, and also assist you in reaching the minimum spending requirement for the credit card bonus.
Use your points or miles wisely
If you’ve amassed a large amount of miles or points Make sure to utilize them in a responsible manner. Examine the rewards program of your credit card and compare the value of different redemption options. For instance using points to purchase a flight directly through the airline may give you a better value than using them for the purchase of a gift card.
Another suggestion is to use rewards cards that allow you to transfer rewards to different loyalty program. This will allow you to enjoy a greater variety of options and greater flexibility when making use of your rewards. For instance, you might be eligible to transfer your reward to an airline’s frequent flyer program or a hotel rewards program. This will give the benefit of a larger selection of hotels, flights, and other travel perks which are not offered through the rewards program of your credit card.
Also, find out whether your credit card has any perks that can save you money on travel-related expenses. Some cards offer travel insurance and rental car insurance, baggage protection, and other benefits that can be invaluable when you travel.
If you’re traveling with someone else each of you will be able to earn rewards with your own credit card. Be aware that you cannot share the costs on the same card, and be sure to track your rewards separately.
In the end, the most important thing to do to making the most of your rewards for travel is to be aware of the rewards program on your credit card and make sure you’re making use of this program in the most effective way possible. Utilizing an array of strategies I’ve outlined in this article, you’ll be able earn rewards fast, exchange them for travel experiences that are worth it and take advantage of a broad assortment of travel-related perks.