How often do you need to fly/travel to make credit card worth it? (1 Viewer)

[belljr]

Reading the SW thread got me wondering....

We don't fly very often maybe once or twice every 2 to 3 years. I have a pretty decent cash back credit card we use for everything. It's the only card I have.

How often do you need to travel to really have a credit card worth it?

 

[KGB]

We use the costco credit card.

Put everything we can on it, get $600+ spending spree every year.

simple, happy

 

[glvsav37]

I cant speak for all cards, but I think some of the comments in that thread were based on the benefits of flights/hotel purchased on that card—like built-in insurance, rebooking options, etc.

IDK if you need one for everyday purchases, but if you have say card for a specific airline and book the flights on that card, you get other benefits beyond the points like priority boarding, discounts on inflight service, waived bag fees, etc. Yes, the points are nice, but there may be other benefits when you book that trip specifically on that card.

So as long as there is no fee, and you don't mind having credit out there, it may be worth having a few hotel/flight cards on hand for specific trips.

 

[Judge Smails]

Haven’t found many with no fee. Entry level cards are $95, quickly goes to $495 for next tier, $795, etc. I use Marriott Chase card for just about everything. I can always use hotel points. Use AmEx for most business stuff and get points there.

 

[NutterButter]

I have the $95 per year chase sapphire. The point system is a little complicated. I just use it for airline purchases b/c its like 5 points when you purchase through their portal and then for hotels through airbnb (not through portal) since that's 2 points. Then if you use the points through the portal (rather than transfer them out or just cash out) you get an additional 25% (so each point becomes 1.25 points). In additional on your 1 year anniversary you get an additional 10% for points earned. So it adds up especially if you travel a lot which is the goal. It did save me about $300 recently for my car rental in costa rica since that card covers the additional insurance they make you have so that alone was worth it. I initially just signed up last year to get the 100k miles which came out to about $1200 in flight purchases.

 

[Captain Cranks]

I churn about 3-5 cards a year for the sign up bonuses. Usually net about $3k a year for hotels and flights. Easy, free money.

 

[Brunell4MVP]

The United Mileage Card has worked out well for us. It's not our primary card, but by the end of the year I'll usually have enough points for 3-4 free domestic tickets. And they never expire so I can hold onto them until retirement when I can travel at times that costs less points. I also like that I get a free checked bag for me and another person, early boarding, and seat upgrades like 2 days in advance since using 1 card for travel got us to silver status, They also don't mind if I check in in the premier lanes though it's not advertised that way. United is not considered one of the better cards and I know that. I've simply found that while they are bare bones they do treat cardholders with basic premier status well.

 

[worrierking]

The United Mileage Card has worked out well for us. It's not our primary card, but by the end of the year I'll usually have enough points for 3-4 free domestic tickets. And they never expire so I can hold onto them until retirement when I can travel at times that costs less points. I also like that I get a free checked bag for me and another person, early boarding, and seat upgrades like 2 days in advance since using 1 card for travel got us to silver status, They also don't mind if I check in in the premier lanes though it's not advertised that way. United is not considered one of the better cards and I know that. I've simply found that while they are bare bones they do treat cardholders with basic premier status well.

This is my situation. I live in a small city with only two airline carriers. I chose United several years back and am happy with the result. We spend 2-3 thousand in regular expenses each month that we put on the card and then pay off each month. We do a trip about once a year that's entirely paid for by points.

 

[houston]

Don’t most cash back cards get you a similar amount of value? And you can then use the money you get back on whatever you want, without restrictions of certain hotels or airlines?

 

[Zigg]

I churn about 3-5 cards a year for the sign up bonuses. Usually net about $3k a year for hotels and flights. Easy, free money.

I just started doing this. Very jealous of all the options you Americans have, but Canada is ok.

 

[culdeus]

Don’t most cash back cards get you a similar amount of value? And you can then use the money you get back on whatever you want, without restrictions of certain hotels or airlines?

Earn rate is usually a little less. If you value the travel items at book cost.

 

[culdeus]

There's a giant thread on credit card points. Buckna and I both do this as more or less a second job/hobby. Earn rate last year was about 35k/player.

 

[NutterButter]

I churn about 3-5 cards a year for the sign up bonuses. Usually net about $3k a year for hotels and flights. Easy, free money.

Which one's did you open this year? I did my 1st last year with the chase sapphire preferred and netted about $1100 after the annual fee and I'd love to get that again.

 

[Captain Cranks]

I churn about 3-5 cards a year for the sign up bonuses. Usually net about $3k a year for hotels and flights. Easy, free money.

Which one's did you open this year? I did my 1st last year with the chase sapphire preferred and netted about $1100 after the annual fee and I'd love to get that again.

Chase Sapphire Reserve
Capitol One Venture
Citi Premier
US Bank Altitude Connect.

I follow this site for the best deals. Doctor of Credit

 

[Captain Cranks]

There's a giant thread on credit card points. Buckna and I both do this as more or less a second job/hobby. Earn rate last year was about 35k/player.

How much manufactured spending you have to do for that number?

 

[FreeBaGeL]

Don’t most cash back cards get you a similar amount of value? And you can then use the money you get back on whatever you want, without restrictions of certain hotels or airlines?

Generally, not really.

Valuations change all the time, but generally Amex Membership Rewards Points and Chase Ultimate Rewards points are valued at about 2 cents per point. So roughly double what you'd get in cash, Of course it depends on how you redeem them (IE if you travel internationally you can do even better than that), but that's the average.

So if you're looking at something like the Amex Blue Business Preferred card that pays 2x membership rewards points that's really like getting 4% back on spend. Because you get 2 points per dollar on the front end, and then 2 cents per point on the back end. Compare that to, say, the Wells Fargo Active Cash card where you get 2% back in cash and it's just the flat 2%, so half the value back. But you get it in cash which is a lot more flexible, and a lot less time consuming to redeem properly.

This scales with the other Amex/Chase cards as well. So for instance the Amex gold which gives 4x pts on Grocery/Restaurants is really like getting 8% back on Grocery/Restaurant spend, assuming you redeem it right (which, again, can take a bit of time and a bit of luck), whereas the cash stuff is just set it and forget it.

 

[pollardsvision]

Reading the SW thread got me wondering....

We don't fly very often maybe once or twice every 2 to 3 years. I have a pretty decent cash back credit card we use for everything. It's the only card I have.

How often do you need to travel to really have a credit card worth it?

I'm no expert in travel cards (don't have one), but I can't imagine it's worth it for a flight every couple of years. I've generally heard you need to be flying a half a dozen times a year for most to make sense.

I just do cash back cards, like you. I don't travel much, prefer the simplicity/flexibility and don't want to fool with points, which can be devalued.

Speaking of SW, can you imagine building up points on a SW branded card the last 2 years to pay for your Christmas 2022 travel plans?

 

[DA RAIDERS]

if you travel twice a year, yes.

 

[culdeus]

There's a giant thread on credit card points. Buckna and I both do this as more or less a second job/hobby. Earn rate last year was about 35k/player.

How much manufactured spending you have to do for that number?

Yes

 

[massraider]

I'm no expert in travel cards (don't have one), but I can't imagine it's worth it for a flight every couple of years. I've generally heard you need to be flying a half a dozen times a year for most to make sense

There's a misconception here, I think.

Getting a card with travel benefits isn't a bunch of work, or expensive. You could open a Sapphire, and three Ink business cards, and be paying $95 a year total. And have somewhere in the neighborhood of 2 grand in points. You don't need to go pro like @culdeus or @Buckna to see value.

Someone who travels once a year or two would still enjoy a free flight, and free hotel rooms.

 

[Orange&Blue]

I'm no expert in travel cards (don't have one), but I can't imagine it's worth it for a flight every couple of years. I've generally heard you need to be flying a half a dozen times a year for most to make sense

There's a misconception here, I think.

Getting a card with travel benefits isn't a bunch of work, or expensive. You could open a Sapphire, and three Ink business cards, and be paying $95 a year total. And have somewhere in the neighborhood of 2 grand in points. You don't need to go pro like @culdeus or @Buckna to see value.

Someone who travels once a year or two would still enjoy a free flight, and free hotel rooms.

Ink business cards?

 

[culdeus]

I'm no expert in travel cards (don't have one), but I can't imagine it's worth it for a flight every couple of years. I've generally heard you need to be flying a half a dozen times a year for most to make sense

There's a misconception here, I think.

Getting a card with travel benefits isn't a bunch of work, or expensive. You could open a Sapphire, and three Ink business cards, and be paying $95 a year total. And have somewhere in the neighborhood of 2 grand in points. You don't need to go pro like @culdeus or @Buckna to see value.

Someone who travels once a year or two would still enjoy a free flight, and free hotel rooms.

Ink business cards?

Inks are great, but the real money is the nll Amex cards.

 

[DA RAIDERS]

I'm no expert in travel cards (don't have one), but I can't imagine it's worth it for a flight every couple of years. I've generally heard you need to be flying a half a dozen times a year for most to make sense

There's a misconception here, I think.

Getting a card with travel benefits isn't a bunch of work, or expensive. You could open a Sapphire, and three Ink business cards, and be paying $95 a year total. And have somewhere in the neighborhood of 2 grand in points. You don't need to go pro like @culdeus or @Buckna to see value.

Someone who travels once a year or two would still enjoy a free flight, and free hotel rooms.

Ink business cards?

Inks are great, but the real money is the nll Amex cards.

Nll?