What’s in my wallet

Travel hacking relies on credit cards. And while I certainly consider us somewhat advanced in the travel hacking realm, I know that there’s no one way to use credit cards for travel.

In an effort to demystify the points and miles game, here’s a breakdown of the credit cards I hold and how they help me travel more.

The first card

My first credit personal credit card was an original Chase Freedom. This card offers 1x cash back on all categories and 5x on quarterly categories like groceries, Amazon, gas stations, etc. The Freedom has no annual fee. As my oldest card, the Freedom is important to my credit score. Whenever possible, I try to max out my usage of the quarterly categories because 5x is the highest I’ll ever see on my credit cards.

By itself, the Freedom is a cash back card, but if you hold a Chase Sapphire, this cash back can be transferred to be used for travel as Ultimate Rewards points.

While this is a complementary card in my wallet because of the ability to transfer the 5x points earned on quarterly categories, this isn’t usually one I’d recommend for obtaining a sign-up bonus.

The card I rarely use

In 2015, I was looking for a new credit card. I’d previously been an authorized user on my parents’ cards and held the original Chase Freedom mentioned in the Chase section. I decided to open the Capital One Quicksilver card because I liked the idea of 1.5% cash back on all purchases and there was no annual fee. Clearly, this was before I’d thought about using credit cards for travel.

I don’t remember the exact terms of my sign-up bonus, but the current offer is earn $200 when you spend $500 in the first three months of opening the card. I hit my sign-up bonus and continued using it because of the 1.5x cash back.

Once I discovered travel hacking, I used this card less and less. The 1.5x cash back was not as valuable to me as the points I earn for travel, and I have other cards that get 1.5x minimum on purchases. I do use this card for small charges every few months to ensure my card remains open. This card is one of the oldest ones in my wallet, so maintaining the age of the credit line is important as I continue opening credit cards for travel.

The best travel hacking starter card

When P2 and I got engaged, he started looking into travel hacking. We didn’t have a large budget, but we did want to be able to enjoy our honeymoon. After some research, he landed on the Chase Sapphire Preferred, which is, in our opinion, the best travel hacking starter card.

With only a $95 annual fee, the Chase Sapphire Preferred opens the door to all the benefits of Chase’s travel partners. The current sign-up bonus offer is 60,000 points when you spend $4,000 in the first three months of opening the card. If you’re thinking of dipping your toes into travel hacking, we suggest starting with opening this card.

Some benefits of the card:

• Earn 3x on dining
• 3 points per dollar on select streaming services
• 3 points per dollar on online grocery purchases
• 2x points on travel
• 5x points on travel purchased through the Chase Travel portal
• 5x points on Lyft rides
• 10% Anniversary Points Boost
• 1x on all other purchases
• The Sapphire Preferred or Reserve earns Ultimate Rewards points, which can be redeemed for travel through transfers or through the Chase Travel Portal
• You can combine your other Chase Cash Back points with this card to maximize Ultimate Rewards points
• Chase has travel partners, like Hyatt, that no other credit card provider has
• The card has travel protections in the event of things like a cancelled flight, rental car damage, lost luggage, and more
• No foreign transaction fees

P2 and I have each held a Chase Sapphire card since opening them in 2016 / 2017.

The co-branded cards

Co-branded cards sometimes get a bad rap in travel hacking. And while we recommend starting with the Chase Sapphire to have the ability to transfer to a variety of travel providers, co-branded cards have made sense for us with the way we travel.

Many travel hackers are airline-agnostic. We, however, are fairly loyal to United. We each have a United Explorer card because O’Hare is a United hub. The options are far better through United, especially for domestic travel, so we figured the $95 annual fee was worth it. With the benefits the card offers, we have kept the card open the last few years.

P2 also has a Marriott Bonvoy Boundless for similar reasons. While we will occasionally stay at other hotels based on cost / redemption, we are primarily loyal to Marriott. The benefits of this card make the annual fee worth it and help us maintain our status, which comes with further benefits.

Chase Freedom Flex and Unlimited

The Chase Freedom Unlimited is my everyday credit card when I’m not working on a sign-up bonus. The 1.5x cash back is a better rate than most cards at 1x cash back, and because I hold a Chase Sapphire, my cash back becomes Ultimate Rewards points. This card also earns 3x on dining and 3x on drug store purchases. There is no annual fee.

The Chase Freedom Flex functions like the original Chase Freedom, but it’s a MasterCard, not a Visa. It earns 5x on the same quarterly categories that the Freedom does with 1x on all other purchases. Holding the original Freedom and the Freedom Flex means I can earn double the maximum (7,500 Ultimate Rewards points per card) on those elevated categories if it matches my spending.

Ink Cards

One of the fastest ways to accrue points is through business cards. If you couldn’t tell, we’re Chase devotees, so we’re churning through the Chase Ink Business credit cards. You do not need an LLC or a full-time business to qualify. Dog-sitting, food delivery, selling items online, and many more can qualify you for a business card. In simple terms, you need to have a way of making money outside of a W2 to be eligible.

We both have businesses that qualify, so we’ve referred each other back and forth in order to receive the referral bonus on top of the sign-up bonuses the cards offer.

As with the other Chase cards, the points earned can all be combined into your Ultimate Rewards if you have a Chase Sapphire. I don’t use my business cards much after hitting the sign-up bonus, but I do keep them open for a minimum of a year before looking at closing them.

The outlier

Here’s where I’ll break with the Chase trend. P2 and I each have an American Express Gold card. This card comes with a $250 annual fee, but it does earn 4x on groceries and 4x on restaurants. There are also several monthly credits (like $10 on Uber/Uber Eats) that help eat away at that annual fee.

Conclusion

Are these all the best credit cards for travel hacking? Yes and no! We are big proponents of the idea that there isn’t one right way to travel hack. So for us, these are the right cards. They’ve helped us save more than $35,000 on travel the last few years and continue to accrue points at a fairly rapid rate to travel even more. But are these the only way to do that? No! When opening a card, look at your personal finances, planned expenses, ideal travel providers, and desired travel.

If you have any questions, drop us a note!