Best Credit Card For Travel?

[artnbarb]

In another thread someone touched on credit card benefits in regards to frequent flier miles. Coincidentally we'd just had lunch with a group and we had the same discussion.

We've had Capital One for many years. We pay off our balance every month, so the interest rate is unimportant. No foreign transaction fees have always been one reason we've kept this card, but instead of collecting FF miles we take the cash back option and have our account set to credit us when our reward balance reaches $100. On average I'd say we earn $700 per year in rewards, or, $700 credited back to my card. This year with our moved and remodel we've earned quite a bit more! The card we have also has NO annual fee.

Recently we both signed up for the CitiBank American Airlines card, because we could (each) get 60,000 miles by spending $3000 in 3 months. I know it's getting more and more difficult to use FF miles, but we're using them to fly one way to and from Europe this year in conjunction with our transatlantic cruises. We'd love to use more miles to upgrade, but so far it's not possible. So, for a few months we're forgoing earning rewards with Capital One. This card has NO foreign transaction fee, and the annual fee of $95 is waived for the first year. We're probably cancel the card when it comes up for renewal.

One woman in our group swears by the Chase Sapphire card, and when I Google for comparisons most reviews seem to favor the Chase Sapphire over the Capital One card. I'm seriously considering applying for one and making it my main card, while keeping the CapOne as my back-up.

What about you all? Have you found that one perfect credit card that serves all your needs?

 

[Andrew]

I've been juggling a few cards, and I think the Chase Sapphire Preferred card comes out ahead. There's a good opening bonus, and double points for travel and dining; when I've transferred points it's been to Southwest, adding to points I had for flights at points costs that correlate with the paid fares. They can also transfer 1-1 to other airlines including United, and British Airways, which can be used well for short-haul American Airlines trips. Or to hotel programs, Hyatt generally considered the best deal. Or, I think 1.25 (40,000 points gets you $500 in travel) for any travel booking through their site. Also their benefits include primary car rental coverage, and $500 per person in costs for a missed connection: that could mean a $1000 hotel stay if you miss a connection and it forces an overnight stay.

Cash rebate cards can be nice, but this card giving points that can mix with those earned from flights or stays can do a lot towards travel expenses. Note that it seems to be a requirement for the CSP that you not have opened more than five cards from any issuer in the last 24 months.

 

[Anubis]

I will not use any credit card that insists I have to call them. Capital ! is in that category. I use the CITI Traveler. You know you have a problem if CITI provides better service.

 

[artnbarb]

I will not use any credit card that insists I have to call them. Capital ! is in that category.

what do you mean when you say they insist you call them?

 

[carolync]

I have always used my Capital One card for travel, I was able to switch to their Venture card a year or so ago, and with that I can book travel with my rewards, or "erase" previous travel plans. That is what I have been doing, and you don't have to have the full amount either (which is the way purchasing travel works). I had a $28 in travel rewards and I put it towards a $100 hotel bill. My card has a 1.25 points per $1 for use with travel, but 1 point if I use the rewards for cash back.

I also have a Chase Southwest card which is great - I played the system and got one for me, and one for my business and got enough points to get the companion pass. The SW card is $99 a year, but you do get 6000 points.

Now, I went to cancel my business card, and they didn't want to lose me. I couldn't justify paying for 2 credits cards. Woman politely asked if they gave me a $100 statement credit would I keep it. Ummm, that wasn't a hard decision.

Doesn't the Chase Sapphire Card have a yearly fee?

 

[Chris]

I use my Citi AAdvantage Platinum Select card. I have others, but I've found for my purposes it makes most sense to concentrate all my spending in one place to maximize miles instead of having a dribble here and a dribble there. There's no foreign transaction fee, they cover car rental insurance, reimburse 10% of miles used to buy tickets, etc. I've also been satisfied with their customer service the few times I've needed it. Since I use the card for everything I do that will accept a credit card, the miles pile up surprisingly fast.

 

[Andrew]

Yes, the Chase Sapphire Preferred has a $95 fee, waived the first year. I use it in combination with a Chase Freedom Unlimited, with no fee, which gives 1.5 points per dollar on all charges (but a foreign exchange fee, so don't use it outside the U.S.), so it's better than the CSP on non-travel charges. The Ultimate Reward points from the CFU can be transferred to the CSP, then in turn converted to miles or points in several programs, or used for money-denominated travel bookings, in which case it amounts to 2.5% back for travel charges and 1.875% for other charges.

 

[George Mathew]

Do the cards mentioned on the thread work all over the world?

 

[Andrew]

I think all cards mentioned are Visa or MasterCard, so there's wide acceptance all over the world wherever credit cards are taken. There are countries where credit cards in general aren't so widely accepted.

 

[Joe Baumann]

I use the Chase Sapphire Reserve. Similar to the Chase Sapphire Preferred with a few more benefits, as well as a higher annual fee.

At the time I received the card, Chase was giving 100,000 points for initial sign up. Now it is 50,000 for signing up on line. They were still offering the 100,000 points if you visited a Chase branch to sign up. I don't know if that is still the case.

Earn 3 points on dining and all travel related expenses. The travel related expenses include airline, hotel, parking, EZ Pass, train, and Uber/Lyft. You get up to $100 credit towards TSA precheck/Global Entry application fee and free priority Pass lounge access at select airports.

The annual fee of $450 is not cheap. However, you do get $300 (per calendar year) of that back as credit towards travel related expenses.

I think the card is well worth it if you travel quite a bit. I have had the card for less than a year and so far I am reaping the benefits.

Like the Chase Sapphire Reserve you can transfer points to miles 1:1 with partner airlines or book through the Chase portal. Points are of less value if you opt to do cash back as a statement credit.

 

[Mac1947]

what do you mean when you say they insist you call them?

Capital one use to require a call if you were leaving the country, no longer needed with the "smart card".(card with chip)

Karen and Mac

 

[carolync]

Capital one use to require a call if you were leaving the country, no longer needed with the "smart card".(card with chip)

Karen and Mac

I noticed that. I went in to set up an alert and was surprised when it said I didn't need to set up one.