Are you tired of paying a fortune on airfare? Then, there’s a good news! Travel hacking is the answer to your travel-related problems. It’s a fun way to convert credit card bonus and sign-up incentives into airline miles which you can use to get discounted or even cheap flights from your dream destinations. With a little imagination and some information, you’ll travel for free within a matter of minutes.
The Basics of Travel Hacking
Travel hacking is about trading credit card sign-up bonuses and rewards for airline miles. The miles can be used to purchase cheap or free flight tickets. Some credit cards also let you redeem miles to pay for hotel stays or rental car discounts.
How Does it Work?
The secret to successful hacking travel is taking advantage of credit card sign-up bonuses and to establish frequent flyer miles with a limited number of airlines. When it’s time to make a booking, evaluate the cost. If the price is under $300, it’s generally better to pay in cash and save your miles to book a higher-priced flight. If the prices start to rise over $500, you’ll need to review those frequent flyer accounts and determine which airline offers you the best price. All it boils down to is the amount of points or miles in your travel bank for every airline.
Begin by Getting Started with Travel Hacking
Are you interested in learning the secrets to travel hacking? First step opening an account that comes with a welcome bonus. There are a lot of fantastic credit cards that provide a variety of features and benefits. It all depends on your preferred airline, spending habits and what features are essential to you.
Top Credit Card Picks
Here are some credit cards perfect 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 spending limit for minimum expenditure in order to qualify for the bonus. Every card has different rules, so be sure to check for the details. From there it’s all about building up miles and then using them to book your dream trip!
Are you ready to set sail with your points?
Now that you’ve built up the points balance, you’re ready to redeem them for some nice vacation! Different credit card companies will offer different ways to redeem your points. Here are a few examples from some of the ones I have experience with:
Take a trip with Chase Ultimate Rewards
If you have a Chase card, you are able to redeem your points via the Ultimate Rewards portal. Through this portal you’ll get access to almost every airline, and you can use a combination of the points as well as cash in order to pay for your travel. You can even book completely using points if you’ve got the funds to pay for it! Sometimes, even if you don’t be able to accumulate enough points in order to pay for entire cost, you still can buy flights with Chase Ultimate Rewards portal and pay the balance in cash with every credit card.
United
Are you tired of paying full price for your flight tickets? Did you know that when you book directly through United you can choose the option to pay with dollars or points? Be careful in case you don’t have enough points you can’t combine points and dollars on one flight. If you’re just a few point short United provides the possibility of purchasing additional miles.
JetBlue
Looking for a flight within the United States? 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 like United’s which allows passengers to book flights using JetBlue points or dollars, however, not both. The difference is that JetBlue is unique in that they offer a feature that allows you to combine your points with your family members and earn points twice as quickly. Be sure to prove you’re really family before trying to hack the system.
Make sure you spend that minimum amount
If you’re like me or my travel companion Becca, you’re probably pretty economical and it’s daunting to try to spend thousands of dollars to hit the minimum spend for the credit card bonus. But don’t fret because we’ve been there and are here to share some of our tips and tricks.
Pay your rent (if you can)
This is an important one! If you’re able pay your rent with credit card, then do it! Be prepared to pay a fee, usually about 3%. It could be worthwhile over the long term in the event that the bonus is substantial enough.
Pay for a medical bill
Another excellent way to meet the spending limit is to pay for a medical bill. If you do not have any medical expenses coming up then ask your relatives if you could pay them for theirs, and they can reimburse you.
Make a payment to pay off the loan
If you have any loans, consider paying them off with your credit card. Just make sure you pay the credit card balance in full so you don’t end up with more debt.
Ask family for help
Talk to your family and look into any major expenses in the near future that you can 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 you’re celebrating the holidays, consider buying all of your gifts with the credit card you have. In this way, you’ll hit that minimum spend and be ready to give gifts. Just make sure you’re not spending more than you were thinking of.
There are a lot of ways to get the most from using your credit or debit card for travel. You can accumulate miles or points that you can spend on the cost of flights or other expenses related to travel. Here are a few additional suggestions for maximising your rewards:
Book travel expenses with your credit card
When you’re planning your next vacation, make use of your travel credit card for booking your flight, hotel or rental car, as well as any other travel expenses. You’ll not only be able to meet the minimum spend to qualify for a credit card reward, but you’ll also be earning points or miles on those expenses.
Utilize your credit card to pay for everyday expenses
Another way to hit the minimum spending requirement and earn points is utilising your credit cards for everyday expenses. This could include things like gas, groceries, and even your phone bill. Make sure you pay off the balance in full each month so you don’t accumulate interest.
Make the most of bonus categories
A lot of travel credit cards provide miles or points in exchange on certain kinds of purchases, including dining or travel. Be sure to review your credit card’s rewards program and take advantage of any bonus categories that match with your spending routines.
Take into consideration a balance transfer
If you are currently in debt on a high-interest credit card, you might want to transfer that balance onto an account with a travel credit card that has a 0% introductory APR for balance transfers. This will let you pay off your debts without accruing interest, and also aid in achieving the minimum spending requirement for the credit card bonus.
Make use of your miles or points carefully
When you’ve earned a significant 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 benefits of different redemption options. For example using your points to purchase a flight directly through the airline may offer better value than using them for a gift card.
Another tip is to use rewards cards that allow you to transfer rewards to different loyalty program. This will allow you to get a wider selection of choices and more flexibility in redeeming your rewards. For instance, you might be able to transfer your reward to the frequent flyer program of an airline or hotel rewards program. This will give you access to a larger selection of hotels, flights and other travel benefits that may not be accessible through the rewards program on your credit card.
In addition, you should find out the card’s benefits. any perks that can reduce your travel expenses. Many cards offer travel insurance as well as rental car insurance baggage protection, and other benefits that could be invaluable when you travel.
When you travel with someone else each of you will be able to get rewards on your own credit card. Make sure you don’t divide the cost with the same card and make sure to keep track of the rewards you earn separately.
In the end, the most important thing to do to maximizing your travel rewards is to understand the rewards program of your credit card and ensure that you’re making use of your credit card in the most effective method possible. By using a combination of the strategies I’ve outlined, you’ll be able to earn rewards quickly, redeem them for travel experiences that are worth it, and enjoy a wide range of travel perks.