Many people dream of traveling. Constant images of social media influencers visiting interesting or exotic locations make this desire even more potent.
While it seems that these online personalities enjoy unlimited funds, the reality is more mundane. many of them depend credit card points to help them fund these adventures.
Anyone can use this strategy. Keep reading and find out how.
Credit card companies often offer different versions of their credit cards that award points based on different lifestyle choices.
Travel-focused cards provide points for travel-related purchases, such as hotel reservations or car rentals. Other cards award points for things like grocery shopping or gas purchases.
Accumulating points that someone can use for a flight means choosing a card that rewards common behaviors in your life.
Applying for cards with a lot of sign-up bonus points is one of the simplest ways for a person to accumulate a lot of points quickly. This approach requires some consideration, however.
Obtaining points typically requires the cardholder to reach a certain spending limit within a fixed period of time. For example, Mary Sue must spend $3,000 in the first three months to score these bonus points.
If the spending limit isn’t realistic for a family, then this card offers little value. If the limit is realistic, the bonus points can put a flight within reach on its own.
Credit card companies routinely provide points-based travel options through their own systems. Savvy consumers get around this by transferring the points to an airline with which the credit card company has a relationship.
It’s a smart move for consumers because airlines often value points higher than the airline. A flight that costs 90,000 points for Visa may only cost 75,000 points for United Airlines.
Ongoing issues with flight cancellations make a backup plan a good idea. For example, someone planning a domestic flight might decide on a closer location they can drive to by renting a car at the airport if the flight is cancelled.
Consumers get free flights with credit cards, but this is no accident. They choose cards that provide points for their daily shopping activities.
They look for cards that offer big bonus points for signing up and spending a certain amount. They transfer their points to an airline rather than using the credit card company’s travel options.
Just as important, they make backup plans in case your flights are cancelled.