How To Make Travel Credit Cards Work For You

To meet the travel needs of the public credit card issuers have come up with travel credit cards. Travel credit cards are the most rewarding credit cards among the various categories of credit cards. The answer to your question about How to make travel credit cards work lies in the details of the travel credit card. What are travel credit cards and how do they work, what are the benefits and disadvantages of having a travel credit card, and so on. We have done our best to prove to you the details all about the travel credit cards hereunder. Keep reading to kick start your research.

What are travel credit cards?

Travel credit cards are those credit cards that let you earn reward points and miles on your travel expenses. Travel credit cards are bifurcated into two categories namely generic travel credit cards and co-branded travel credit cards.

Both types of travel credit cards let you earn travel points and miles every time you use your travel credit card for travel purchases. Moreover, you earn rewards on other purchases as well. An example of a generic credit card is the HDFC Bank Diners Club Miles credit card.

How to earn points and miles?

Use your card for those transactions that let you earn reward points and miles in return. Generic travel credit cards have a broad spectrum of rewards points & miles but with co-branded credit cards, you only earn the points and miles on making specific purchases from the co-partner airline. For instance, Axis Vistara Infinite Credit Card lets you earn 6 Club Vistara Points on every Rs. 200 spent using this card.

How to redeem points and miles?

On accumulating the points and miles you can redeem them for booking flights/hotels, purchasing products, e-vouchers, gifts, etc. Go to the credit card issuer’s official website and login into your account and click on redeem rewards and proceed further to complete the redemption process.

How to maximize the travel rewards?

  • Take advantage of sign-up bonuses: On successful realization of membership fees, you are offered the welcome benefits which are sometimes conditional. If you are able to afford the sign-up bonuses then you must take the advantage of them.
  • Be aware of all fees: It is very important to know all the fees that are attached to your credit card so that you can use your credit card wisely. There are annual fees, foreign markup fees, etc. that you need to know before you use your card.
  • Choose the right credit card: To make the most out of your travel credit card you need to choose the right card first. Identify your needs and spending habits and then choose from a generic or co-branded travel credit card that matches your requirements.
  • Make the credit card bill payments timely: To build a good standing account, it is important for you to clear the credit card bills on time.
  • Maintain a low credit utilization ratio: You need to keep the credit utilization ratio between 30% – 40% so that you can do not use your credit card beyond the given limit as it can harm your credit score.

Additional Reading – How To Pick The Best Credit Card For You In 4 Easy Steps

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