Are you tired of spending thousands of dollars on travel? Then, there’s a good news! Travel hacking is the answer to all your travel woes. It’s a fun way to convert credit card sign-up bonuses and incentives into miles which can be used to obtain discounted or free flights to your dream destinations. With a little bit of imagination and some knowledge, you can be jet-setting for free within a matter of minutes.
The Basics of Travel Hacking
Travel hacking is about exchanging credit card sign-up bonuses and rewards for airline miles. These miles can then be used to buy discounted or even free flights. Certain credit cards will also let you redeem miles to pay for hotel stays or car rental discounts.
How Does it Work?
The most effective method for successful hacking travel is taking 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 make a booking consider the cost. If the price is under $300, it’s usually better to pay in cash and use your miles to pay to take a more costly flight. When the flights start getting above $500, you’ll want to check those frequent flyer accounts and determine which airline offers you the most value. It all comes down to the amount of points or miles you have in your travel account for each airline.
Begin by Getting Started with Travel Hacking
Are you interested in learning the secrets of travel hacking? Your first task is opening the credit card that comes with a sign-up bonus. There are a lot of fantastic credit cards with many advantages and features. It is all dependent on the airline, spending habits and the features that are most essential to you.
Top Credit Card Picks
Here are some credit card options that can be excellent to hack travel
- Chase Sapphire Reserve
- Chase United Explorer
- JetBlue Mastercard
- Capital One Venture X
Once you’ve been approved for a credit card you’ll need to hit the minimum spend limit in order to get the bonus. Every card has different guidelines, so make sure to look up the details. From there, it’s all about racking up miles, and using them to book your dream vacation!
Ready to jet-set with your ideas?
Once you’ve accumulated your points amount, it’s time to redeem them for some delicious getaway! Different credit card companies have different methods of redeeming your points, but here are a few examples from some of the companies I have experience with:
Escape by using Chase Ultimate Rewards
If you own a Chase card, you can redeem your points through the Ultimate Rewards portal. Through this portal you’ll get access to nearly every airline, and you can make use of a combination of the points as well as cash in order to book your travel. You can book your flight entirely on points if you have enough balance! Sometimes even if you do not possess enough points for the full cost, you still can purchase flights through the Chase Ultimate Rewards portal and pay the balance in cash using any credit card.
United
Are you tired of paying the full cost for your flights? Did you not know that when you book directly through United, you have the option of paying using dollars or points? Be careful, if you don’t have enough points you can’t combine points and dollars for the same flight. No worries though, if you’re only a couple of point short United provides the option to purchase additional miles.
JetBlue
Are you looking for a domestic flight? Look no further than JetBlue! JetBlue provides passengers a relaxing and pleasant flight experience with extra space and complimentary snacks. Plus, their booking process is similar to United’s, allowing you to book with either JetBlue dollar or points, but not both. However, JetBlue is unique in that they offer a feature that lets you pool your points together with your relatives to earn points twice as fast. Just make sure you can prove you’re really family before trying to hack into the system.
Hit that Minimum Spend
If you’re like me or 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 spend for credit card bonuses. But don’t fret, we’ve been through it and are here to share 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 fee, usually at least 3 percent. It may be worth it in the end when the bonus is large enough.
Make a payment on a medical expense
Another way to reach the spending limit is to cover the medical bills. If you do not have any medical expenses in the near future then ask your relatives if you could pay for theirs and they’ll pay you back.
Pay off the loan
If you have any loans take into consideration paying them off with the credit card you have. Make sure to pay off the balance on your credit card in full so you don’t accumulate additional debt.
Ask family for help
Discuss your family with them and look into any large expenses coming up which you could help pay for. Be sure to be sure that you’re able to have confidence in the person you are talking to and they understand why you’re doing it.
Buy gifts
If it’s the holiday season take into consideration buying all your gifts using cards from your credit account. In this way, you’ll hit that minimum spend and be ready for gift giving. Make sure that you’re not spending more than you were already contemplating to.
There are plenty of ways to get the most of the travel credit card. accumulate miles or points that you can spend on flights or other travel-related expenses. Here are a few additional ways to maximize your rewards
Book travel expenses with your credit card
When you’re planning your next trip, make use of the travel credit card to pay for your flight, hotel, rental car, and any other travel-related expenses. Not only will you be able to meet the minimum amount of spending required to earn your credit card as well, however, you’ll also earn points or miles on those expenses.
Use your credit card to pay for your everyday costs
Another method to reach the minimum spending requirement to earn rewards is using your credit card to pay for everyday costs. This can include things like food, gas and even your telephone bill. Make sure you pay the balance off in full every month to ensure you don’t pay interest.
Make the most of bonus categories
Some travel credit cards will offer bonus points or miles for certain types of purchases, like dining or travel. Check out the rewards program of your credit card and avail any bonus categories that match with your spending habits.
Consider the possibility of transferring your balance
If you are currently in debt on a credit card, consider transferring the balance to the travel credit card which has a 0% introductory APR for balance transfer. This will allow you to pay off the debt without accruing interest and simultaneously help you hit the minimum spend for the credit card bonus.
Utilize your miles and points carefully
If you’ve amassed a large amount of points or miles make sure you use them wisely. Check out the rewards program on your credit card and compare the worth of various redemption options. For instance you can use points to purchase a flight directly with the airline might offer better value than using them for the purchase of a gift card.
Another tip is to use an rewards card that permits you to transfer rewards to different loyalty program. This allows you to get a wider selection of choices and more freedom when it comes to you want to redeem your rewards. For instance, you might be able to transfer your reward to an airline’s frequent flyer program or a reward program for hotels. This can give you access to a wider variety of hotels, flights, and other travel perks that may not be available through your credit card’s rewards program.
In addition, you should find out if your credit card offers certain benefits that will save you money on travel-related expenses. Some cards offer travel insurance and rental car insurance, baggage protection and other benefits that could be invaluable when you travel.
Finally, when you’re traveling with a companion each of you will be able to get rewards on your credit card. Just remember that you can’t divide the cost with the same card. Also, make sure to track your rewards separately.
In the end, the most important thing to do to reaping the maximum benefits from your rewards for travel is to be aware of the rewards program on your credit card and make sure you’re making use of your credit card in the most efficient method. By using an array of strategies I’ve listed, you’ll be able to get rewards in a short time, use rewards for valuable travel experiences and benefit from a wide variety of travel benefits.