Are you fed up of spending thousands of dollars on travel? Good news! Travel hacking is the answer to your travel-related problems. It’s a fun way to convert welcome bonuses and other incentives into miles which can be used to score discounted or free flights to your desired destinations. With a little imagination and a little bit of insider knowledge, you can travel for free in no time.
The Basics of Travel Hacking
Travel hacking is the art of exchanging credit card sign-up bonuses and rewards for airline miles. These miles can then be used to pay for discounted or even free flights. Certain credit cards allow you to redeem miles for hotel stays and rental car deals.
How Does it Work?
The secret to success in hacking travel is taking advantage of credit card sign-up bonuses and to establish a frequent flyer mile program with a limited number of airlines. When it’s time to book a flight, evaluate the cost. If the flight is less than $300, it’s best to pay in cash and use your miles to pay to book a higher-priced flight. If the prices start to rise over $500, you’ll need to look into your frequent flyer accounts to find out which airline will give you the best deal. It all comes down to the number of miles or points in your travel account for each airline.
Begin by Getting Started with Travel Hacking
Ready to learn the secrets to hacking travel? First step opening an account that comes with a welcome bonus. There are plenty of great credit cards with many benefits and features. It depends on the type of airline, your habits with spending and the features that are most essential to you.
Top Credit Card Picks
Here are a few credit cards great to use for hacking travel:
- Chase Sapphire Reserve
- Chase United Explorer
- JetBlue Mastercard
- Capital One Venture X
After you’ve been accepted for a credit or debit card, you’ll need to hit the minimum spend limit in order to get the bonus. Every credit card has its own set of guidelines, so make sure to look up the details. Then, it’s all about racking up miles, and then using them to book your dream vacation!
Are you ready to set sail with your goals?
After you’ve accrued the points balance, it’s time to redeem them for some sweet travel! Different credit card providers will have different methods of redeeming your points, but here are some examples from a few of the ones I’ve worked with:
Getaway with Chase Ultimate Rewards
If you’re a holder of an Chase cards, you can redeem your points through the Ultimate Rewards portal. Within this portal you’ll have access to almost every airline and you can combine money and points 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 do not have enough points to cover the full cost, you still can purchase flights through the Chase Ultimate Rewards portal and pay the balance cash using every credit card.
United
Are you fed up of paying the full cost for your flight tickets? Did you realize that when booking directly through United, you have the option to pay with dollars or points? Be careful that if you do not have enough points you can’t combine points and dollars on flights. If you’re just a few point short United also offers the option to purchase additional miles.
JetBlue
Looking for a domestic flight? Take a look at JetBlue! JetBlue provides a comfortable and enjoyable travel experience that includes extra space and complimentary snacks. Additionally, their booking process is like United’s which allows customers to book using either JetBlue points or dollars, however, not both. But, JetBlue offers a distinct feature where you can combine your points with your relatives to earn points twice as fast. Make sure to verify that you are a family member before trying to hack into the system.
Reach that Minimum Spend
If you’re anything like me and my travel buddy Becca You’re probably quite frugal and it can be daunting to try to spend thousands of dollars to reach the minimum amount required to earn a credit card bonus. Don’t worry 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 for your rent with a credit card, do it! Be prepared to pay a fee, usually around 3%. It could be worthwhile over the long term in the event that the bonus is substantial enough.
Pay for a medical bill
Another great way to hit the spending limit is to pay for the medical bills. If you do not have any medical expenses in the near future Ask your relatives if you could pay for theirs and they will pay you back.
Pay off the loan
If you’re in the middle of a loan, consider paying them off with your credit card. Be sure to pay the credit card balance completely so that you don’t accrue more debt.
Ask family members for assistance
Talk to your family and determine if they’ve got any large expenses coming up that you can contribute for. Just make sure you are able to trust the person and that they are aware of the reason for taking the initiative.
Give gifts
If you’re in the middle of the holiday season, consider buying all your gifts using cards from your credit account. In this way, you’ll meet the minimum spending limit and also be ready to give gifts. Make sure that you’re not spending more than you contemplating to.
There are many methods to get the most out of using your credit or debit card for travel. You can accrue points or miles to spend on flights or other travel-related expenses. Here are some additional ideas for maximizing the rewards you earn:
Pay for travel expenses using your credit card
If you’re planning a trip, make use of you travel credit card for booking your hotel, flight, rental car, and any other travel expenses. In addition, you’ll be able to meet the required amount to earn your credit card bonus as well, however, you’ll also earn points or miles to cover those costs.
Utilize your credit card to pay to pay for your everyday costs
Another method to reach the minimum spend and earn points is by making use of your credit card to pay every day expenses. This could include things like food, gas, and even your phone bill. Be sure to pay the balance off in full every month to ensure you don’t pay interest.
Make the most of bonus categories
Many travel credit cards offer bonus points or miles for certain types of purchases, such as eating out or traveling. Check out your rewards program on your credit card and avail any bonus categories that align with your spending habits.
Think about the possibility of transferring your balance
If you are currently in debt on a credit card, think about transferring the balance to the travel credit card which has the introductory APR of 0% for balance transfer. This will let you pay off the debt without accruing interest. It will also help you hit the minimum amount required to earn the credit card’s bonus.
Utilize your miles and points wisely
When you’ve earned a significant amount of miles or points, be sure to use them in a responsible manner. Review the rewards program for your credit card, and evaluate the value of different redemption options. For instance you can use points to purchase a flight directly with the airline might offer better value than using them to purchase a gift card.
Another option is to get an rewards card that permits you to transfer points to other loyalty programs. This will let you get a wider selection of options and greater freedom when it comes to you want to redeem your rewards. For example, you may be able to transfer your rewards to the frequent flyer program of an airline or hotel rewards program. This gives the benefit of a larger range of flights, hotels, and other travel perks which are not offered through your credit card’s rewards program.
Also, discover 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 are very beneficial when traveling.
Finally, when you’re traveling with someone else and both of you get rewards on your own credit card. Make sure you don’t divide the cost with the same card. Also, make sure you keep track of the rewards you earn separately.
The key to reaping the maximum benefits from your travel rewards is to understand the rewards program of your credit card and make sure you’re making use of this program in the most effective way possible. By using all of the strategies I’ve outlined that you can earn rewards quickly, redeem them for valuable travel experiences and benefit from a wide range of travel perks.