How to Book Award Travel: Maximizing Your Points and Miles

19.07.2024 - 08:40 / insider.com

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Many people think credit card rewards are convoluted and hard to use.

That's not necessarily true. With minimal effort, you can redeem credit card rewards for nearly free hotel stays, rental cars, airfare and more. The convoluted part is learning to redeem rewards efficiently so you can squeeze every last drop of value from them.

This guide offers a crash course on quickly earning travel rewards from the best credit cards so you can book amazing travel deals for far less than cash value. We'll also share the knowledge you need to find these great rates on your own.

Before collecting credit card rewards, identify your travel goals. Not all credit card rewards accomplish the same outcome. For example:

The fastest way to accumulate rewards is by earning credit card welcome bonuses. Most rewards credit cards come with a chunk of either points, miles, or cash that will deposit into your account after you meet minimum spending requirements.

There are dozens of credit card welcome offers available — quite literally millions of points and miles to be earned — if you're willing to open credit cards and earn their bonuses.

Many rewards credit cards also provide bonus points when you spend money in certain categories. You'll earn points for your everyday purchases far more quicklyif you take the time to identify and acquire the right handful of credit cards for your personal spending habits.

You've probably been conditioned to believe that opening multiple credit cards harms your financial health. It's not — at least, there's nothing intrinsically irresponsible about it. As long as you pay off your balance in full every month and don't spend beyond your means, credit cards can be valuable tools for your finances and travel habits. 

If you use credit responsibly, your credit score may actually increase after opening more credit cards, which we explore in Business Insider's guide on how to get an excellent credit score. And with healthy usage, your cards can provide significantly more value than what you might pay in annual fees.

If you don't have the best track record with credit, or if you simply don't think you're responsible enough to open lots of credit cards, don't do it. Rewards credit cards come with outlandish interest rates. In other words, unless you're able to pay your credit card in full each month, you'll pay out the nose in fees. And accruing debt on a rewards credit card isn't easy to overcome.

It's also a good