Top 20 Credit Cards with the Best Travel Rewards
Travel credit cards are growing increasingly popular, especially now that travel is back in full swing. My friends and I enjoyed a weekend getaway in the San Francisco Bay Area at the Hotel Nia during Easter weekend. We swam at the pool, lounged in the cabanas and enjoyed their annual Easter brunch.
Hotel Nia is part of the Marriott family and you could use your own travel rewards points to splurge on an a similar weekend stay. This fabulous weekend could be courtesy of your strategic spending on travel reward credit cards. Pay your bills and then take advantage of incredible travel deals - it's a win-win!
Travel Rewards Credit Cards are Trending
If a January 2022 report from J.D Power is anything to go by, more than ten percent of new credit cards issued in the US 12 months back were travel cards. The same report also indicated that travel rewards were among the biggest encouraging factors for people to sign up for new credit cards.
In essence, credit card travel rewards can be a great way to save up for a vacation that you would otherwise not have fully afforded, especially if youβre an avid traveler. And if youβre thinking like most people would, not all credit cards that offer travel rewards are equal. Read on to discover some of the best credit cards that offer travel rewards, alongside some tips on choosing one.
Consider the Types of Credit Card Travel Rewards Available
You can earn various kinds of travel rewards from a wide range of purchases, every time you make them using your credit card. However, different credit card issuers usually have a reward system specific to the card. Typically, however, most card rewards come in the form of points, travel miles, or cash back.
The rewards can be redeemed in various ways once you reach a certain threshold. This could be anything from flight miles to hotel stays, access to airport lounges, vacation experiences, and even car rentals.
Credit card issuers usually provide information on how you can redeem your rewards at the point of sign-up, so be sure to seek clarification beforehand. Also, donβt forget to take advantage of sign-up bonuses, which let you earn large amounts of bonus points to get you started.
Top Credit Cards With Great Travel Rewards
This guide was researched and written when my husband and I were in the process of pursuing a new travel rewards credit card for ourselves. I did a deep dive on each card listed below and outlined the highlights (and the shortcomings) of each credit card.
Chase Sapphire Rewards
Specifically designed with avid travelers in mind, the Chase Sapphire Travel Credit Card is among the best of its kind out there. It could suit your lifestyle, or not, considering its seemingly scary $550 annual fee.
Most if not all of its credit card travel rewards and perks are luxurious, from the $300 annual cash back to the 60,000 bonus points you receive once you hit $4000 in spending within the first 3 months after signup.
Besides earning 1 point for each dollar you spend using the card, some of Chase Sapphire Cardβs outstanding perks include:
5X your total points when you spend the first $300 annually on travel purchases.
10X your total points after spending $300 annually on car rentals and hotel stays.
3X your points once you spend $300 annually on global travel purchases.
10X your points for chase sapphire credit card purchases.
Each point is worth 1.5 cents, so you can imagine how much you can save if you spend, say 4,000 on travel using the card.
American Express Platinum Card
Also called the Amex Platinum, the American Express Platinum card is another great credit card to consider when seeking travel rewards. To justify its $695 annual fee, this card offers a range of perks, including the lucrative 100,000 points welcome bonus after you spend the first $6,000 on travel purchases.
This could have a value of as much as $2,000. Other luxurious benefits include:
Access to Centurion Lounges.
Elite status at Hilton and Marriott hotels.
Close to $1,400 worth of annual statement credits.
Premium concierge services.
All in all, the Amex Platinum can be a great pick if youβre an avid traveler who significantly travels a lot throughout the year. It can go a long way in saving airfare as well as hotel purchases.
American Express Gold
It is safe to say that the American Express Gold is specifically designed for travelers who love experiencing different cuisines and food cultures during travel. Rewards include 4 points a dollar at US supermarkets and restaurant dining upon spending the first 25,000 dollars annually, then one point per USD after that.
Also, you get 3 points for every USD spent on booking flights directly from airlines or through amextravel.com. For every other purchase you make using Amex Gold, you get 1 point. Its annual fee of $250 is considered quite favorable.
Other benefits include $120 worth of dining credits for payments done with Amex Gold cards to dining partners like Milk Bar, Cheesecake Factory, Shake Shack, Goldbelly, and more.
There are also Uber Cash credits of up to $120 that you can redeem for Uber Eats or rides as long as you add your card to your Uber account. This makes Amex Gold among the best travel credit cards for dining enthusiasts.
Capital One Venture X
If youβre looking for a general-purpose credit card to add continuity and savings to your travels, the Capital One Venture card could be your best bet. Every time you book a car rental or hotel stay using Capital One Travel, you earn 5 miles for each dollar spent.
You are also entitled to 75,000 bonus miles upon spending your first $4,000 on purchases through the card within 3 months after signing up. Thereβs also a 10,000-point bonus annually, which is approximately equivalent to $100 in travel since miles are redeemable at 1 cent a point.
With all that being said, itβs important to note that the Capital One Venture X card has an annual fee of $395.
Capital One Venture One
While the Capital One Venture X card that offers these benefits comes at an annual fee of $395, the Capital One VentureOne Credit Card has zero annual fees.
It allows you to earn 1.25 miles for each dollar spent on travel purchases while sparing you the need to keep track of multiple bonus categories. It also offers a decent welcome bonus of 20,000 miles.
Plus all rewards can be redeemed to book travel through Capital Oneβs loyalty partners.
Airline Branded Credit Cards
Thereβs also a wide range of airline-branded credit cards that offer some pretty generous rewards. These are typically cards provided by banks, credit card service companies, and other card issuers but some are designed to offer more perks to holders when they use certain airlines or flights.
Pro Tip: When youβre just starting your search for an airline credit card, make sure to take into account where the airlineβs main hub is located. You want to make sure you have plenty of flight options out from where you live, including options for direct flights to your popular destinations.
JetBlue Rewards Credit Cards
Primarily issued by the Barclays Bank, their JetBlue World Mastercard and World Elite MasterCard offer some great perks and rewards to travelers. Rewards include 10,000 points welcome bonus upon spending USD 1,000 in 3 months, 3 points on purchases, 2 points on restaurants, and 1 point on other purchases.
Southwest Rewards Credit Card
Issued by Chase Bank, Southwest Rapid Rewards Credit Card offers rewards like anniversary points (3,000-7,500), 2 points for every USD on car rentals and hotels, 2 points per USD on local commute and transit, and more. They do have smaller annual fees associated with their two options of rewards cards.
Itβs worth noting that if youβre diligently searching for Southwest flight deals, you can book flights for as low as 2,000 points.
Delta SkyMiles Rewards Credit Card
Issued by American Express, Delta Skyline provides bonuses and rewards on flights as well as restaurants for everyone who flies with Delta airlines. Delta Airlineβs hub is out of Atlanta in Georgia. If you are frequently flying around this area of the country, then this could be a good card to consider.
United Rewards Credit Cards
There are several credit cards that United airlines flyers can earn rewards for. These include The United Quest Card, United Explorer, United Club Infinite, United Gateway, and United Business Card. They range from zero dollar annual fee to $525 annual fee. United Airlines has main hubs in Chicago and San Francisco.
Hotel Branded Reward Credit Cards
If youβre the type of traveler who likes the indulge in the finer things while staying at a hotel, well then this may the right choice for you. From the World of Hyatt Credit Card to the Marriott Bonvoy Brilliant, and the Hilton Honors Aspire card, many world-class hotels partner with credit card issues to curate rewards and travel points for their esteemed guests.
Each is different, but rewards may include travel miles or points that can be redeemed for hotel stays, treats, diners, concierge services, and more. Nonetheless, each card may have different perks from the rest. For instance, the Hilton Honors is praised for having zero annual fees, free hotel stays, and generous airline benefits.
Easiest Travel Rewards Credit Card to Get Approved For
When you apply for any credit card, the issuer is looking at your financials including income, expenses, debt, credit score and credit history. When I was in my early twenties, I applied for a Discover travel rewards credit card but I was denied due to βlack of credit history.β
Not long after I was denied by Discover, I was approved by Bank of America for a rewards Visa credit card. This was because of my positive history of banking with their financial institution. For years I had been making regular deposits and never over-drafting my account.
After I was approved by Bank of America for a rewards Visa, I regularly paid off my card in full and built-up my credit history. I was later approved for an American Express travel rewards card because of my positive credit history.
The point of this story is donβt get discouraged if youβre denied the first time you attempt to get a travel rewards card. Try with your local bank or credit union where youβve built a financial relationship. Banks do offer cards with travel rewards, plus shopping gift cards and more.
Bank Specific Travel Reward Credit Cards
Banks also have their own specific travel reward credit cards, and as I mentioned above, you may have an easier time getting approved if you already have a checking and savings account with the bank.
Bank of America Travel Rewards Credit Card
The card doesnβt require an annual fee, plus you earn 1.5 points for every dollar spent on travel purchases. Thereβs also a welcome bonus of 25,000 once your purchases total USD 1,000 within 90 days of sign-up. This bonus could translate to about $250 in purchases once redeemed.
Well Fargo Rewards Credit Card
Although the Wells Fargo Rewards Card is not specifically catered to travel, you can still use your rewards for flights, hotel stays and car rentals. If you like to shop on your vacation, redeem points for gift cards to your favorite retailer.
U.S. Bank Altitude Card
For every dollar spent using the U.S. Bank Altitude Card, you could earn 4 points on select purchases. It also has zero annual fees for the first year, but youβll need to pay $95 in consecutive years annually as a cardholder. Travel rewards include TSA Precheck and 5X points on hotel and car rentals.
Cruise Ship Specific Credit Cards
Have you always dreamed of going on a cruise to an exotic destination? If you play your cards right and strategically save up your points, your next vacation could be sailing away into the sunset.
Some of the well-known cruise-specific credit cards with nice travel rewards include:
Apple Card
My husband has the Apple Card and heβs convinced itβs the best thing since sliced bread. While Apple Card is not specifically tailored to travel rewards, there is some crossover that is helpful when on vacation. The main benefit of the Apple Card is instant cash back, but you do earn extra rewards for using Uber, getting gas, grabbing coffee at specific chains, etc.
Disney Rewards Visa Card
Is your family frequent visitors to Disney World or Disney Parks? If so, you might want to consider going for the Disney Rewards Visa Credit Card. Besides having 0 annual fees, the card provides 1% cash back rewards on all purchases.
Moreover, spending you receive a $150 bonus credit on your card statement as soon as you hit the $500 mark in your spending within the first three months. The card may also earn you other exclusive benefits in Walt Disney World and Parks.
SoFi Credit Card
This is another credit card that travelers and pretty much anyone would appreciate for the many perks it offers. If you get a SoFi credit card, you are automatically entitled to a 3% cashback, which basically goes toward your financial goals.
Apparently, this also comes with a $300 bonus, not to mention Zero annual fees. Each dollar you spend from your card earns 2 SoFi reward points, which can be redeemed in a diverse range of ways.
Considerations For Picking the Right Credit Card for Travel Rewards
At this point, itβs clear that credit cards with travel rewards provide a variety of perks and benefits, each of which might be different from the other. This is why it pays to consider several important factors before choosing a travel credit card. Some things to consider when picking one include the below point.
Annual Fees
Be aware of annual fees associated with reward credit cards. It may not benefit you much to pay high annual fees for a card you rarely use, even if you can afford it. You have to do the math and make sure youβre actually coming out ahead.
Will Vendors and Retailers Accept Your Rewards Credit Card?
It also pays to understand that not all vendors accept all types of credit cards, especially American Express and Discover. Before you commit to a card, analyze your recurring expenses and make sure you apply for a credit card that will be (widely) accepted.
Know How Your Point Accumulate
Pay attention to how your points accumulate, for example, the dollars spent and the conversion rate to points. It also pays to know which shopping categories earn you more points (and if any shopping categories are excluded from earning points).
Beware of Very High Interest Rates
Credit cards can sometimes present overwhelming financial repercussions, especially if used irresponsibly or without understanding your credit card billing cycle and how it works. It is also paramount to pay attention to the interest rates, keeping in mind that rewards cards generally have much higher interest rates.
Unnecessarily accumulating credit card debt just to earn points could have a catastrophic impact on your financial well-being. With this in mind, using credit card rewards to facilitate your travel needs only works best if you can pay off the entire balance every month and avoid paying interest.
Beware of Reward Redemption Blackout Dates and Restrictions
Before signing up for a new credit card, carefully read the fine print and make sure there are no restrictions or blackout dates. Also, check to see which airlines and hotel companies they are partnered with. Your rewards may be limited to only certain companies. In line with this, also pay attention to any expiration dates and policies on your points.
Be on Alert for Overseas Transaction Fees
If you plan on traveling to international destinations, make sure you're aware of any foreign transaction fees associated with your card. When we went to London and Greece, I was using my Amex rewards card for all of our purchases. When we got back to the United States, I received a giant statement filled with foreign transaction fees that I was completely unaware of.
To Sum It All Up
A credit card can be an amazing instrument to provide convenience and solve your immediate financial concerns. It can also help you save money in many ways, including reducing your traveling expenses. But all this works best if you only choose the right credit card and use it wisely.
Hopefully, the above points will serve as your guide in choosing a good credit card for travel rewards that you will make the most out of.
