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 an exciting way to convert sign-up bonuses and incentives into airline miles that can then be used to score discounted or cheap flights from your desired destinations. With a bit of creativity and some insider know-how, you’ll be jet-setting for free in no time.
The Basics of Travel Hacking
Travel hacking is the art of swapping credit card sign-up bonus as well as incentives to earn airline miles. These miles can later be used to purchase discount or no-cost flights. Certain credit cards will also allow you to redeem miles towards hotel stays or car rental offers.
How Does it Work?
The key to successful travel hacking is to take advantage of the credit card sign-up bonus and building out frequent flyer miles with a limited number of airlines. When it comes time to make a booking take a look at the price. If the flight is under $300, it’s generally better to pay cash and use your miles to pay to take a more costly flight. If your flights begin to climb over $500, you’ll need to look into the frequent flyer account and see which airline can give you the most value. All it boils down to is the amount of points or miles in your travel bank for each airline.
Get Started with Travel Hacking
Are you ready to discover 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 offer various advantages and features. It all depends on your preferred airline, spending habits and the features that are most important to you.
Top Credit Card Picks
Here are a few 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 minimum spend limit in order to qualify for the bonus. Every credit card has its own set of rules, so be sure to check for this information. From there it’s all about building miles and using them to plan your dream vacation!
Are you ready to go on a jet-setting with your ideas?
After you’ve accrued your points balance, you’re ready to redeem them for some delicious getaway! Different credit card providers will have different methods of redeeming your points. Here are some examples from some of the companies I’ve had experience with:
Escape through Chase Ultimate Reward
If you’re a holder of a Chase cards, you are able to redeem your points via the Ultimate Rewards portal. Through it, you’ll have access to virtually every airline and you can make use of a combination of money and points to book your travel. You can even book completely with points if you’ve enough balance! Sometimes even if you don’t possess enough points for the entire price, you can purchase flights through the Chase Ultimate Rewards portal and pay the balance cash using the credit card of your choice.
United
Are you tired of paying full price for flights? Did you know that when you book directly through United, you have the option of paying with either points or dollars? Be careful that if you do not have enough points you cannot combine points and dollars on one flight. Don’t worry, though, if you’re just a few points short, United provides the option of buying additional miles.
JetBlue
Looking for a domestic flight? You should look no further than JetBlue! JetBlue provides a comfortable and enjoyable flight experience , with more legroom and free snacks. Additionally, their booking process is similar to United’s that allows customers to book using either JetBlue dollar or points, but not both. The difference is that JetBlue has a unique feature that lets you join your points with your relatives to earn points twice as quickly. Be sure to establish that you’re a real family member prior to trying to hack the system.
Make sure you spend that minimum amount
If you’re anything like me and my travel buddy Becca You’re probably quite economical and it’s difficult to think of spending thousands of dollars to hit the required amount to qualify for the credit card bonus. However, don’t be worried as we’ve done it 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! Just be prepared to be charged a fee, typically at least 3%. It could be worthwhile over the long term when the bonus is large enough.
Pay a medical bill
Another way to reach the minimum spend is to pay for a medical bill. If you do not have any medical expenses in the near future Ask your family members to pay their medical bills and they’ll repay you.
Pay off the loan
If you have any loans, consider making payments on them with your credit card. Just make sure you pay off the balance on your credit card in full so you don’t accrue additional debt.
Ask family members for assistance
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 are able to trust the person and that they understand why you’re doing this.
Purchase gifts
If you’re in the middle of the holiday season, consider buying all your gifts using your credit card. This way you can meet the minimum spending limit and also be ready to give gifts. Just make sure you’re not spending more than you were already thinking of.
There are many ways to get the most from the travel credit card. accrue points or miles to be used towards airfares or other travel-related costs. Here are a few more suggestions for maximising the rewards you earn:
Make travel reservations using your credit card
Whenever you’re planning a trip, use the travel credit card to pay for your flight, hotel or rental car, as well as other travel costs. In addition, you’ll be able to hit the required amount to qualify for a credit card reward as well, however, you’ll also earn points or miles to cover those expenditures.
Make use of your credit card to pay for everyday expenditures
Another way to meet the minimum spending requirement to earn rewards is by using your credit card to pay daily expenses. This could include things like food, gas and even your telephone bill. Be sure to pay off the balance in full every month to ensure you don’t accrue interest charges.
Take advantage of bonus categories
Some travel credit cards will offer miles or bonus points for certain types of purchases, like eating out or traveling. Make sure you review your credit card’s rewards program and make use of any bonus categories that match with your spending habits.
Think about the possibility of transferring your balance
If you’re in the middle of a debt on a credit card, think about transferring that balance to an account with a travel credit card that has the introductory APR of 0% for balance transfers. This will enable you to pay off the debt without accruing interest, and also help you hit the minimum amount required to earn the credit card’s bonus.
Utilize your miles and points prudently
When you’ve earned a significant amount of points or miles Make sure to utilize them wisely. Check out the rewards program on your credit card, and evaluate the worth of various redemption options. For instance, using your points to purchase a flight directly with the airline might provide you with a greater return than using them for an gift card.
Another option is to get an rewards card that permits you to transfer reward points into other loyalty programmes. This will allow you to get a wider selection of options and greater flexibility in redeeming your rewards. For example, you may be able to transfer your reward to the frequent flyer program of an airline or a Hotel rewards programme. This gives an access wider range of flights, hotels and other travel benefits which are not offered through the rewards program of your credit card.
Also, find out whether your credit card has some perks that could reduce your travel expenses. Many cards offer travel insurance and rental car insurance, baggage protection, and other benefits that are very beneficial when traveling.
When you travel with a friend, both of you can earn rewards with your credit card. Be aware that you cannot share the costs on the same card and make sure you keep track of your rewards separately.
In the end, the most important thing to do to maximizing your travel rewards is to know the rewards program of your credit card and to ensure you’re using it in the most effective method. By using a combination of the methods I’ve described that you can get rewards in a short time, use rewards for valuable travel experiences and benefit from a wide range of travel perks.