Travel Credit Card For Good Credit

Travel credit cards are popular among frequent travelers because they offer rewards, perks, and benefits specifically geared toward travel. From earning miles on every purchase to enjoying airport lounge access and even getting free travel insurance, travel credit cards can make your trips more enjoyable and cost-effective.

But not all travel credit cards are created equal; some are better suited for people with good credit, as these cards often come with higher reward rates and better benefits.

In this article, we’ll explore the advantages of travel credit cards, discuss what it means to have good credit and dive into some of the best travel credit cards available for individuals with good credit scores. By the end, you’ll have a comprehensive understanding of how travel credit cards work and how to choose one that best fits your needs.

Travel Credit Card

A travel credit card is a type of rewards credit card that offers points or miles on your purchases, which can be redeemed for travel-related expenses. These cards often come with additional perks, such as travel insurance, access to airport lounges, no foreign transaction fees, and more. The points or miles you earn can usually be redeemed for flights, hotels, rental cars, and other travel-related purchases.

What Does It Mean to Have Good Credit?

Credit scores generally fall into five categories: poor, fair, good, very good, and excellent. Good credit is typically considered to be a FICO score between 670 and 739. Having good credit means that you’re likely to be approved for a travel credit card with competitive rewards, interest rates, and benefits.

Benefits of Having Good Credit:

Better Interest Rates: With good credit, you’re more likely to qualify for credit cards with lower interest rates.
Access to Premium Cards: Many of the best travel credit cards require good to excellent credit.
Higher Credit Limits: Lenders tend to offer higher credit limits to individuals with good credit.

Types of Travel Credit Cards

There are several types of travel credit cards available, each with its own set of perks. Understanding these types will help you choose the one that suits your travel habits and spending patterns.

General Travel Credit Cards

These cards allow you to earn points or miles on all purchases, which can be redeemed with any travel provider. They offer flexibility and are ideal if you don’t have a preferred airline or hotel chain.

Airline Credit Cards

Airline credit cards are co-branded with specific airlines, meaning you earn miles directly with that airline’s loyalty program. They often come with benefits like priority boarding, free checked bags, and discounts on in-flight purchases.

Hotel Credit Cards

Hotel credit cards are co-branded with specific hotel chains. These cards allow you to earn points in the hotel’s loyalty program and usually come with perks like free room upgrades, complimentary nights, and late checkout.

Premium Travel Credit Cards

Premium travel credit cards offer more luxurious benefits, like airport lounge access, travel credits, and elite status with airlines or hotels. However, they also tend to have higher annual fees.

No-Fee Travel Credit Cards

If you don’t want to pay an annual fee, no-fee travel credit cards are an option. These cards offer fewer benefits, but they still allow you to earn points or miles for your travel spending.

Key Benefits of Travel Credit Cards

Travel credit cards are packed with perks that can make your travels easier, cheaper, and more enjoyable. Here are some of the main benefits:

Reward Points and Miles

Most travel credit cards let you earn points or miles on everyday purchases. These rewards can often be redeemed for flights, hotel stays, and more. Many cards offer bonus points for travel-related purchases, such as flights and hotels, while others allow you to earn extra points at restaurants or gas stations.

Sign-Up Bonuses

Many travel credit cards offer sign-up bonuses if you spend a certain amount within the first few months of opening the account. These bonuses can often be enough for a free flight or hotel stay.

No Foreign Transaction Fees

Foreign transaction fees can add up when you’re traveling abroad. Many travel credit cards waive these fees, which can save you around 1-3% on each international purchase.

Travel Insurance and Protections

Travel credit cards often come with insurance benefits like trip cancellation/interruption insurance, baggage delay insurance, and travel accident insurance. This can give you peace of mind while traveling.

Airport Lounge Access

Premium travel credit cards often include access to airport lounges, which can make waiting for a flight much more comfortable. Lounges usually offer free Wi-Fi, snacks, drinks, and even showers.

Hotel and Rental Car Discounts

Some travel credit cards offer discounts on hotel stays and rental cars, and others provide elite status with hotel chains or car rental companies, which can lead to further perks.

How to Choose the Right Travel Credit Card

Choosing the right travel credit card depends on several factors, including your spending habits, travel preferences, and goals. Here are some questions to consider:

What Are Your Travel Habits?

If you’re loyal to a particular airline or hotel chain, a co-branded airline or hotel credit card might be the best choice. However, if you prefer flexibility, a general travel card could be more beneficial.

How Often Do You Travel?

Frequent travelers might benefit from a premium card with perks like lounge access and travel credits. If you only travel occasionally, a no-fee travel credit card or one with a low annual fee might be sufficient.

What Are the Annual Fees?

While some travel cards come with hefty annual fees, the perks they offer may more than makeup for it. Consider whether the benefits outweigh the fee and if you’ll use them enough to justify the cost.

What Is the Rewards Rate?

Look for a card that offers a high rewards rate on travel purchases, or on categories where you spend the most, like dining or groceries. This way, you can maximize your points.

Are There Any Additional Benefits?

Consider the extra perks, like travel insurance, rental car coverage, and cell phone protection, that come with the card. These benefits can add significant value if you frequently use them.

Top Travel Credit Cards for Good Credit

To help you get started, here are some popular travel credit cards for individuals with good credit, highlighting their rewards, fees, and benefits:

Chase Sapphire Preferred Card

Annual Fee: $95
Rewards: 5x points on travel booked through Chase Ultimate Rewards, 3x on dining, and 2x on other travel purchases.
Sign-Up Bonus: 60,000 points after spending $4,000 in the first 3 months.
Benefits: No foreign transaction fees, primary rental car insurance, and travel insurance.

The Chase Sapphire Preferred® Card is a great option for flexible travel rewards. Points can be transferred to various airline and hotel partners, and there’s a 25% bonus when redeeming for travel through the Chase portal.

Capital One Venture Rewards Credit Card

Annual Fee: $95
Rewards: 2x miles on every purchase.
Sign-Up Bonus: 75,000 miles after spending $4,000 in the first 3 months.
Benefits: No foreign transaction fees, travel accident insurance, and access to Capital One Lounges (two free visits per year).

The Capital One Venture Rewards Credit Card is ideal for travelers who want a simple, flat-rate rewards structure. The miles can be redeemed for travel or transferred to various airline partners.

American Express Gold Card

Annual Fee: $250
Rewards: 4x points on dining and at U.S. supermarkets (up to $25,000 per year), 3x on flights.
Sign-Up Bonus: 60,000 points after spending $4,000 in the first 6 months.
Benefits: $120 dining credit, $100 hotel credit, no foreign transaction fees.

The American Express Gold Card is great for those who spend a lot on dining and groceries and want a high reward rate on these categories. The annual fee is higher, but the benefits can offset it.

Bank of America Travel Rewards Credit Card

Annual Fee: $0
Rewards: 1.5x points on all purchases.
Sign-Up Bonus: 25,000 points after spending $1,000 in the first 3 months.
Benefits: No foreign transaction fees, flexible points redemption.

The Bank of America Travel Rewards Credit Card is a solid option for budget-conscious travelers. With no annual fee, it’s easy to earn rewards on everyday spending, and points can be redeemed for travel expenses.

Citi Premier Card

Annual Fee: $95
Rewards: 3x points on air travel, hotels, gas stations, dining, and supermarkets.
Sign-Up Bonus: 80,000 points after spending $4,000 in the first 3 months.
Benefits: Points can be transferred to various airline partners, with no foreign transaction fees, and travel protection.

The Citi Premier Card offers a strong rewards rate on a variety of categories, making it versatile for different spending habits. It also has great transfer partners for travelers.

How to Make the Most of Your Travel Credit Card

Getting a travel credit card is just the first step. To maximize its value, you need to use it strategically:

Use Your Card for Everyday Purchases

Earn points on daily expenses like groceries, gas, and dining, especially if your card offers bonus rewards in these categories.

Take Advantage of Bonus Categories

Many travel credit cards offer extra points on specific categories like travel, dining, or groceries. Be mindful of these categories and use your card accordingly.

Pay Off Your Balance in Full

Travel credit cards often have higher interest rates, so try to pay off your balance in full each month to avoid interest charges.

Use the Card’s Travel Benefits

From travel insurance to lounge access, make sure to take advantage of all the card’s benefits. These perks can add significant value to your travel experiences.

Redeem Points Wisely

Look for the best redemption options for your points or miles. Often, transferring points to airline or hotel partners yields better value than redeeming through the card’s travel portal.

Conclusion

Travel credit cards for good credit can be a fantastic tool for earning rewards and enhancing your travel experiences. By choosing the right card, using it strategically, and taking advantage of its benefits, you can make the most of your travels while saving money.

Whether you’re looking for flexibility, luxury, or a simple way to earn points on everyday spending, there’s a travel credit card out there that fits your needs. With the right card in hand, you’ll be well on your way to enjoying your travels even more.