Regardless of whether you travel for pleasure or on work, a Travel Rewards Credit Card is a good companion to take along. And true to its name, the rewards are well worth it – you could get anything from complimentary airport lounge access to miles, depending on the card you choose.
What should I look for in a Travel Rewards Credit Card?
It is good to study how Travel Rewards Credit Cards work. They all come with various useful features, of which some, depending on the need of the user, more attractive/useful than others.
Sign on Bonus - Some Travel Credit Cards carry with them a sign-on bonus. Some are more generous than others. Some offer a one-time bonus when you spend a certain amount of money on the card. For example, if you spend over Rs. 3, 00,000 within six months on the card, you could earn a bonus – which could be free miles or rewards.
Type of Card - There are two types of cards that are available. The first is a co-branded card which is offered by a Bank along with an airline or hotel group. And the other is a card that is airline-agnostic. While a co-branded card is useful to those who use a certain airline frequently, a general card is good for those who use different airlines at different times. So you need to find one that works for you.
Reward Points - All of these cards work on a principle of earning points each time you use the card. These rewards can be redeemed on a variety of things, depending on the service provider, and could be anything from airfare to hotel stays. The key is to look for Cards that offer a higher number of points for the amount of money spent.
Expiry of Reward Points - Just like different cards offer different ways of accumulating points as you use the card, the expiry dates on Reward Points differ as well. Some cards offer “Reward Points never expire” which is really the best deal you can get. What this means is that you can redeem the points you have earned whenever you want – there is no time limit on it. Some cards have expiry dates for their reward points and you should read all the product information carefully so you know exactly what you are getting.
International Acceptance – This is very important. When you get a Travel Rewards Credit Card, make sure that the card is one that would be widely accepted because not all cards are. Several cards are not accepted outside the country they were issued. So before you get a card, ask all the right questions so you are not stuck when you travel.
Charges – Many cards charge an extra fee on purchases outside India. It is a good idea to study the charges and fees of each card before making a decision.
Insurance – Travel Insurance is essential for today’s traveller. And many cards offer insurance that is built in. Look for one that gives you a good cover.
Travel Perks – Some Travel Credit Card perks are good to have! And it varies from one service provider to another. Some give you complementary access to airport lounges. Some offer rental car coverage, lost luggage insurance, travel delay and accident insurance, concierge services and emergency assistance. Other perks can include free checked bags, priority boarding, discounts, upgrades and various travel credits.
Useful Hints
While these are some of the features offered by Travel Rewards Credit Cards, here are a couple of pointers for you, regardless of the card you choose –- If you already have more than one Travel Rewards Card, it might be a good idea to do away with the less-rewarding cards and use the one that gives you the most for your spending. Doing this will give you better rewards in the long run.
- It is a good idea to inform your Bank before you travel. That way they can track your transactions and if there is any fraudulent activity, pick up on it very quickly.
- Always pay your bills on time. And as much as you can, in full. Or you might end up paying high rates of interest.
