Are you tired of paying thousands of dollars on travel? Well, good news! Travel hacking can be the solution to your travel-related problems. It’s an exciting way to convert sign-up bonuses and incentives into airline miles, which can be used to obtain discounted or free flights to your ideal destinations. With a little imagination and some know-how, you’ll travel for free within a matter of minutes.
The Basics of Travel Hacking
Travel hacking is about swapping credit card sign-up bonus and incentives for airline miles. The miles can be used to buy discount or no-cost flights. Some credit cards also permit you to use miles to pay for hotel stays or car rental deals.
How Does it Work?
The key to successful travel hacking is to take advantage of credit card sign-up bonuses and establishing a frequent flyer mile program for a specific group of airlines. When it’s time to book a flight take a look at the price. If the cost is less than $300, it’s usually better to pay in cash and save your miles to book a higher-priced flight. If the prices start to rise above $500, you’ll want to look into the frequent flyer account and find out which airline will give you the most value. All it boils down to is the amount of miles or points in your travel account for every airline.
Start with Travel Hacking
Are you ready to discover the secrets to travel hacking? Your first task is opening the credit card that comes that comes with a welcome bonus. There are a lot of fantastic credit cards that provide various features and benefits. It is all dependent on the airline, your habits with spending and what features are crucial to you.
Top Credit Card Picks
Here are a few credit card options that can be perfect for travel hacking:
- 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 receive the bonus. Each card has its own rules, so make sure to check for the details. Then you can begin to rack up miles, and using them to plan your dream trip!
Ready to jet-set with your ideas?
Now that you’ve built up your points amount, it’s time to cash them in for some sweet travel! Different credit card companies offer different ways to redeem your rewards, here are some examples from a few of the providers I’ve worked with:
Escape through Chase Ultimate Reward
If you’re a holder of an Chase cards, you are able to redeem your points via the Ultimate Rewards portal. Through the portal, you’ll have access to virtually every airline, and you can combine points and cash to pay for your trip. You can book your flight entirely on points if you have the funds to pay for it! Sometimes even if you do not possess enough points for the full price, you can book flights using the 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 flights? Did you know that when you book directly through United You have the option of paying using either points or dollars? Be careful that if you do not have enough points you cannot combine dollars and points for flights. If you’re a few points short, United also offers the possibility of purchasing additional miles.
JetBlue
Looking for a flight within the United States? You should look no further than JetBlue! JetBlue provides passengers a relaxing and pleasant flight experience with extra legroom and free snacks. Additionally, their booking process is like United’s which allows passengers to book flights using JetBlue points or dollars, however, not both. However, JetBlue has a unique feature where you can combine your points with your family members and earn points twice as quickly. Be sure to verify that you are a family member before trying to hack the system.
Reach that Minimum Spend
If you’re like me or my travel companion Becca, you’re probably pretty economical and it’s difficult to think of spending thousands of dollars in order to meet the required amount to qualify for a credit card bonus. But don’t fret as we’ve done it and are 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 for your rent with credit card, then do it! Make sure you be charged a fee, typically at least 3%. It may be worth it in the end if the bonus is high enough.
Pay for a medical bill
Another excellent way to meet the required spending is to pay for a medical bill. If you do not have any medical expenses in the near future then ask your relatives if you could pay for theirs and they can reimburse you.
Make a payment to pay off a loan
If you have any loans, consider paying them off with the credit card you have. Make sure to pay off the credit card balance in full so you don’t end up with more debt.
Ask family members for assistance
Talk to your family and look into any major expenses in the near future which you could help pay for. Be sure to be sure that you’re able to trust the person and they know why you’re doing this.
Buy gifts
If you’re celebrating the holidays you should consider purchasing all your gifts using cards from your credit account. So you’ll be able to hit that minimum spend and be ready to give gifts. Be sure to avoid paying more than you already planning to.
There are a lot of ways to make the most out of your travel credit card. You can accrue points or miles to be used towards airfares or other travel-related costs. Here are a few additional ways to maximize the rewards you earn:
Book travel expenses with your credit card
If you’re planning a trip, make use of the travel credit card for booking your flight, hotel, rental car, and any other travel expenses. In addition, you’ll be able to hit the minimum spend to earn your credit card reward, but you’ll also be earning points or miles for the expenses.
Make use of your credit card to pay for everyday costs
Another method to reach the minimum spending requirement and earn points is by utilising your credit cards to pay daily expenditures. This could include items like groceries, gas or 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
Some travel credit cards will offer miles or bonus points for specific types of purchases, including eating out or traveling. Make sure you review your rewards program on your credit card and avail the bonus categories that are in line with your spending habits.
Think about a balance transfer
If you are currently in outstanding debt due to a high-interest credit card, you might want to transfer that balance to the travel credit card which has an introductory rate of 0% for balance transfer. This will let you pay off the debt without accruing interest and simultaneously help you hit the minimum amount required to earn the credit card 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 compare the benefits of different redemption options. For instance using your points to book a ticket directly through the airline may provide you with a greater return than using them for the purchase of a gift card.
Another option is to get a rewards card that allows you to transfer your reward points into other loyalty programmes. This will let you have a wider range of choices and more flexibility when redeeming your rewards. For example, you may be eligible to transfer your rewards to the frequent flyer program of an airline or hotel rewards program. This will give you access to a wider variety of hotels, flights and other travel benefits that may not be accessible through the rewards program of your credit card.
Additionally, try to determine whether your credit card has any perks that can help you save money on travel expenses. Many cards offer travel insurance, rental car insurance, baggage protection and other benefits that could be extremely valuable when you’re traveling.
Finally, when you’re traveling with someone else and both of you earn rewards with your credit card. Be aware that you cannot split the cost on the same card. Also, make sure to track your rewards in a separate manner.
Overall, the key to reaping the maximum benefits from your travel rewards is to understand your credit card’s rewards program and make sure you’re using your credit card in the most effective way possible. Utilizing a combination of the strategies I’ve outlined in this article, you’ll be able get rewards in a short time, use them for travel experiences that are worth it, and enjoy a wide assortment of travel-related perks.