Are you tired of paying thousands of dollars on travel? Good news! Travel hacking could be the solution to all your travel woes. It’s a fun way to turn credit card sign-up bonuses and incentives into miles that can then be used to score discounted or cheap flights from your ideal destinations. With a little bit of imagination and a little bit of insider know-how, you’ll travel for free in no time.
The Basics of Travel Hacking
Travel hacking is the art of swapping credit card sign-up bonus and incentives for airline miles. These miles can later be used to purchase discounted or even free flights. Some credit cards also permit you to use miles for hotel stays and car rental deals.
How Does it Work?
The key to successful travel hacking is to take advantage of the sign-up bonuses for credit cards and to establish frequent flyer miles with a limited number of airlines. When you are ready to book a flight take a look at the price. If the price is under $300, it’s generally better to pay cash and use your miles to pay for a more expensive flight. If the prices start to rise higher than $500, it’s best to review your frequent flyer accounts and see which airline can give you the best deal. It all boils down to the number of points or miles you have you have in your travel savings account for every airline.
Start with Travel Hacking
Are you ready to discover the secrets of travel hacking? Your first task is to open an account with a sign-up bonus. There are a lot of fantastic credit cards that offer a variety of benefits 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 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 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. Then it’s all about building up miles, and then using them to book your dream vacation!
Are you ready to go on a jet-setting with your goals?
Now that you’ve built up your points balance, it’s time to use them towards sweet vacation! Different credit card companies offer different ways to redeem your points. Here are some examples from a few of the providers I’ve worked with:
Getaway by using Chase Ultimate Rewards
If you’re a holder of a Chase cards, you are able to redeem your points via the Ultimate Rewards portal. Within the portal, you’ll get access to nearly every airline and you can use a combination of points and cash to book your next trip. You can book your flight entirely using points if you’ve got enough balance! Sometimes, even if you don’t possess enough points for the total price, you can book flights using the Chase Ultimate Rewards portal and pay the balance in cash with every credit card.
United
Are you fed up of paying full price 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 aren’t able to combine dollars and points on one flight. No worries though, if you’re a few point short United also offers the possibility of purchasing additional miles.
JetBlue
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 like United’s that allows customers to book using either JetBlue either dollars or points, however, not both. But, JetBlue has a unique feature where you can join your points with your family members and earn points twice as fast. Be sure to prove you’re really family before trying to hack the system.
Reach that Minimum Spend
If you’re like me and my travel buddy Becca, you’re probably pretty economical and it’s difficult to think of spending thousands of dollars to hit the minimum amount required to earn the credit card bonus. However, don’t be worried because we’ve been there and we’re here to share some of our tips and tricks.
Pay your rent (if you can)
This is a huge one! If you’re able to pay your rent with credit card, go for it! Be prepared to pay a cost, which is usually about 3 percent. It may be worth it in the long run in the event that the bonus is substantial enough.
Pay for a medical bill
Another great way to hit 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 will repay you.
Make a payment to pay off a loan
If you’re in the middle of a loan you owe, think about paying them off with your credit card. Make sure to pay off the balance on your credit card completely so that you don’t end up with more debt.
Ask family members for assistance
Ask your family members to see if they have any big expenses coming up which you could help pay for. Make sure that you are able to trust the person and they are aware of the reason for doing it.
Give gifts
If you’re celebrating the holidays you should consider purchasing all your gifts using your credit card. So you’ll be able to hit that minimum spend and also be prepared for gift giving. Just make sure you’re not paying more than you thinking of.
There are a lot of methods to get the most from using your credit or debit card for travel. earn miles or points to be used towards airfares or other travel-related costs. Here are a few additional suggestions for maximising your rewards
Pay for travel expenses using your credit card
If you’re planning a trip, make use of you travel credit card to pay for your flight, hotel or rental car, as well as any other travel expenses. Not only will you be able to meet the minimum amount of spending required to earn your credit card bonus and earn points, however, you’ll also earn points or miles on the expenditures.
Utilize your credit card to pay for all your daily costs
Another way to hit the minimum spend in order to accumulate points by utilising your credit cards for every day costs. This could include things like food, gas or even your phone bill. Make sure you pay the balance off in full every month to ensure you don’t accrue interest charges.
Take advantage of bonus categories
A lot of travel credit cards provide bonus points or miles on certain kinds of purchases, like eating out or travelling. Make sure you review your rewards program on your credit card and avail 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 high-interest credit card, you might want to transfer the balance to a travel credit card with an introductory rate of 0% for balance transfers. This will allow you to pay off your debts without accruing interest and simultaneously help you hit the minimum spend 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. Check out the rewards program on your credit card, and evaluate the benefits of different redemption options. For instance, using your points to book a flight directly with the airline could provide you with a greater return than using them for a gift card.
Another tip is to use a rewards card that allows you to transfer reward points into other loyalty programmes. This will allow you to enjoy a greater variety of options and greater flexibility in making use of your rewards. For example, you may be able to transfer your reward to the frequent flyer program of an airline or Hotel rewards programme. This can give an access wider selection of hotels, flights as well as other travel perks that aren’t accessible through the rewards program on your credit card.
Also, determine if your credit card offers some perks that could help you save money on travel costs. A lot of credit cards provide travel insurance as well as rental car insurance baggage protection and other benefits that could be invaluable when you travel.
If you’re traveling with a companion, both of you can earn rewards using your own credit card. Make sure you don’t divide the cost with the same card, and be sure you keep track of your rewards in a separate manner.
In the end, the most important thing to do to maximizing your travel rewards is to know your credit card’s rewards program and make sure you’re using it in the most effective method. Utilizing an array of strategies I’ve outlined that you can earn rewards quickly, redeem rewards for valuable travel experiences and benefit from a wide assortment of travel-related perks.