There might be affiliate links in this post. If you click on a link and make a purchase, I receive a small commission. Read my disclosure policy here.
So what’s the best card for travel? Personal Finance Writer and Credit Card Extraordinaire, Lee Huffman fills us in on travel credit cards to fit your budget, preferences, lifestyle, and habits.
Prefer to listen elsewhere? Here’s the same episode on: Apple, Spotify or check other platforms here!!
Are travel credit cards a good idea?
Travel credit cards that earn you rewards and other perks can be a great idea for frequent travelers. They often offer points or miles that you can redeem for flights, hotels, or other travel expenses.
However, you should also consider the annual fees and interest rates. See if it’s worthwhile for the type of traveler you are. Consequently, comparing different cards and their benefits will help you make the best choice.
It is also important to be aware of potential foreign transaction fees. Therefore, checking with your credit card company before you go can ensure you avoid unexpected costs.
Unlocking Travel Rewards with Lee Huffman: How to Use Credit Cards to Transform Your Adventures
Many of us see people on social media traveling and question whether we’re missing out or if utilizing travel credit cards is too complex. Personal Finance Writer Lee Huffman, a frequent traveler before the pandemic, also felt envious of others’ travel experiences. He initially used credit cards recommended by a travel agent client, including Southwest and SPG (now Marriott), which allowed him to accumulate points and travel often domestically.
However, when his wife expressed a desire to visit Paris, Lee realized he needed to delve deeper into travel rewards. This discovery represented having more options and being able to fly internationally and explore more luxurious travel options.
Currently, Lee possesses over 40 credit cards and incurs significant annual fees, though he advises against having so many. Instead, he recommends acquiring one or two new cards each year to achieve substantial rewards.
Even a modest signup bonus can greatly benefit an average family, potentially saving hundreds or even thousands on vacations and enhancing travel plans. Lee highlights the value of creating memorable experiences while children are still interested in traveling.
Travel not only provides valuable bonding time but also offers an escape from daily responsibilities. Short getaways can create meaningful family moments that staycations might lack.
Regarding annual fees, Lee argues that they are not always detrimental. Paying a modest fee for a card can sometimes offer substantial value, such as free hotel nights or status upgrades.
For instance, some hotel cards with fees around $100 offer benefits like free nights and elite status, which surpass their cost.
Ultimately, if one is passionate about travel, investing in credit card annual fees can be worthwhile due to the extensive rewards and upgrades they provide.
Maximizing Travel Rewards: Investing in Credit Cards, Dining Rewards and Cashback Portals for the Savvy Traveler
Travel enthusiasts often benefit from paying an annual fee for travel perks. For instance, being among the first to board a plane and avoiding baggage fees makes these benefits valuable. Although some may question the cost of such benefits, the investment is worthwhile for frequent travelers who see it as a good deal, similar to purchasing a discounted Groupon.
For those new to managing travel rewards, starting with credit cards like the Chase Sapphire Preferred or American Express Gold Card is advisable. Check with a professional and read the fine print. These cards offer flexible rewards and reasonable annual fees, allowing points to be transferred to airlines or hotels, redeemed for gift cards, or used for bookings.
Also, earning rewards through everyday online shopping using portals like Cashback Monitor and dining rewards programs, such as DOSH, can also be effective. Managing these rewards requires planning and research but can be highly beneficial with the right strategies.
Best travel credit cards for beginners
For beginners looking to travel, the best credit cards often offer rewards and perks. Firstly, many cards provide sign-up bonuses that can quickly add up to free flights or hotel stays. Check the annual fees are to see if it’s worthwhile for the amount of travel you can realistically do. Consider something like the Chase Sapphire Preferred Card.
Additionally, many of these cards offer points or miles for everyday purchases, making it easy to earn rewards. Finally, look for cards with no foreign transaction fees to save money while abroad.
Lee Huffman wants you to travel more, spend less and live better. Get more great tips and tricks over at BaldThoughts.com.
Related Podcast Episode: Nashville, Tennessee: Things to Do & Hotel Recommendations with Lee Huffman
Conclusion
Travel credit cards offer rewards that can cut travel costs but come with annual fees, interest rates, and possible foreign transaction fees. Compare different options to find the best fit, and for beginners, start slowly. Used wisely, these cards can greatly enhance your travel experience and take you places you never thought you’d get to see.