How to Redeem Credit Card Points for Travel

Travel does not have to be expensive if you plan for it, and credit cards are making this even more accessible than ever!

Let me start with a little *disclaimer* I in no way, endorse using credit cards if it will put you in debt and you cannot pay off your monthly expenses. But if you can…

Credit cards are great for travel for so many reasons. Some of them being:  

• They come with great insurance 
• Trip cancellation coverage
• You can get special discounts 
• Easy to shut off/replace if stolen 
• Gain status with select businesses 
• Redeem for free flights or hotel rooms 

I was overwhelmed when I first started my credit card points journey. I googled travel credit cards and opened a Discover one because it had no annual fee, and I received “cash back” that I could use for travel. 

Looking back, it was a mistake, but things could be worse. 

After a year of that, I started looking into how I could fly first class and redeem my points for flights or luxury hotels. Long story short – the Discover Card is not it.  

Now I will break down some learning curves I have discovered over the years

Myth: Paying annual fees are bad 

This is #1 for me. An annual fee is reasonable because if you use the card’s benefits, you already pay for that and much more. 

Myth: You can only use credit cards for big purchases 

This is entirely false, and I encourage you to use it instead on all your small purchases. Going to the grocery store? Credit Card. Getting Gas? Credit Card. Changing the oil in your car? Credit Card. 

These will add up over time and get you more points. When picking a card, also see how many points per dollar you get for that purchase. For example, I get 5x points for every $1 I spend on airline purchases directly through their website. $300 flight = 1,500 points. Some have higher points for grocery stores or dining out. Once you get to the point where you have multiple cards, looking at this will help you decide which one to use and when. 

Myth: If you have bad/little to no credit. You cannot get a credit card.

While this is important, it is not the end of the world, and it does not mean you will never be able to qualify for a credit card. If there is a particular branch of card you want to get to, I recommend getting their lowest tier credit card and using it responsibly for a year or two to build a good relationship with them. Then ask to upgrade your card to the one you had in mind. 

Now that you have read that, let’s understand how to redeem your points. 

There are two ways to redeem your points with a credit card. You can use your credit card portal or a transfer partner. 

Using your credit cards portal: 

This is the easiest way to redeem your credit card points. The company will have a portal for use with each travel credit card. Log in to your account, and the rest is pretty self-explanatory. 

Using Transfer Partners:

I think using your points this way provides you with a better redemption. First, you need to know what partners your credit card has. I will name some from Chase and Amex, for example-  

Chase: 

• Air Canada Aeroplan 
• Singapore Airlines Krisflyer
• United MileagePlus 
• AirFrance Flying Blue 
• British Airways Executive Club
• Southwest Rapid Rewards 

Amex:  

• Delta Skymiles 
• AirFrance Flying Blue 
• British Airways Executive Club
• Emirates Skywards 
• Aer Lingus Aerclub 
• Hawaiian Airlines Miles

These are only some of each list. I love having my Chase and Amex cards because they have multiple partnerships that overlap. Say you find a fantastic deal through Virgin Atlantic Flying Club but are short 5,000 points with your Chase card. Thankfully you can transfer over that remaining balance through Amex. 

You can transfer points farely quick. You log into your credit card account, and they will have a transfer points button for you to select in your rewards portal. Then you choose the airline you want to transfer to, provide your account number and how many points and submit. That’s easy! 

Usually, the points arrive in your account reasonably quick, but some companies can take a day or two. Once you see your issues in your new account, go through the airline or hotel process to book using points.   

How to find good redemptions: 

This has taken me a lot of trial, error, and research to find. If your dates are flexible, you can find a good redemption closer to your flying date, but if you have something specific in mind, I recommend searching as close to a year out as possible to be safe.

My favorite companies to book award flights through are Virgin Atlantic, Air France, and Qantas. They have the best redemption value and lower taxes. 

If you are at the beginning of your award search, I also recommend using Award Hacker to see who historically has the best award routes for your flight. 

There are some great Facebook groups that I use for travel hacking. I am constantly learning more and more about this topic every day. My most significant piece of advice is to find a card that best fits the type of travel you like to do. Use a credit card responsibly, and do not put yourself into debt. You have to start somewhere. Click HERE to learn more about my favorite travel cards for beginners. 

Let me know below if you have any other great tips to add!