UP FRONT | ADVICE
Perk Up! The deal on credit card travel rewards BY JOE CORTEZ
— Joe Cortez writes for NerdWallet, a personal finance website and USA TODAY content partner.
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GO ESCAPE | SUMMER 2019
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FREQUENT TRAVELERS AND once-a-year vacationers alike love the idea of earning credit card rewards toward their next big trip. According to a recent NerdWallet study, 68 percent of American adults say they have a card that earns travel rewards. With a travel rewards card, you earn points or miles every time you use the card, but you can often earn more points per dollar in select categories. Some cards, such as the Chase Sapphire Reserve, offer bonus points on any travel spending, while the Marriott Bonvoy Boundless credit card grants bonus points only when you use the card at Marriott and Starwood hotels. Not all points and miles earned on travel credit cards are the same: General-purpose travel credit cards — including the Chase Sapphire Preferred card, the American Express Gold card and the Capital One Venture Rewards credit card — offer rewards that can be used like cash to pay for travel or that can be exchanged for points in airline or hotel loyalty programs. Airline- and hotel-specific cards — such as the United Explorer card and the Hilton Honors American Express card — give points and miles that can be used only with the brand on the card. (It’s possible in some cases to transfer hotel points to airlines, but it’s not recommended because of the decreased value.) Value of points and miles: With general travel cards, it’s simple. They have a fixed value, usually between 1 and 1.5 cents apiece, and you can spend them like cash. With airline miles and hotel points, finding the true value is more difficult. How much value you get depends on how you redeem them. Generally, airline miles go further if you use them for business- and first-class accommodations on international flights.