Understanding the Basics of Travel Credit Cards
When it comes to credit cards for travel, there are numerous options available, each offering unique features and benefits. However, for beginners, choosing the right starter travel card can be daunting. With so many cards to consider, it’s essential to understand the basics and what to look for in a travel rewards card.
Defining the Perfect Starter Travel Card
A starter travel card is ideal for those just starting to explore the world of travel rewards. These cards often offer simpler earning structures and lower annual fees, making them perfect for beginners. The perfect starter travel card should meet the following criteria:
- The card has a simple earning structure that’s easy to understand.
- The card has a lower annual fee that won’t break the bank.
- The card offers attractive rewards rates for travel-related expenses.
- The card provides travel-related benefits, such as travel insurance, trip cancellation, and trip delay reimbursement.
Our Top Picks for Starter Travel Cards
We’ve curated a list of the best starter travel cards that meet our criteria. Here are our top picks:
Chase Sapphire Preferred Card
The Chase Sapphire Preferred is a popular choice among travel enthusiasts. This card offers a 5x points bonus on travel booked through Chase Travel, along with 2x points on dining and 3x points on select streaming services.
| Annual Fee | Welcome Bonus |
|---|---|
| $95 | Earn 100,000 bonus points after spending $5,000 in the first three months |
Capital One Venture Rewards Credit Card
The Capital One Venture Rewards Card offers a flexible earning structure with 2x miles on everything, plus 5x miles on hotels, vacation rentals, and car rentals booked through Capital One Travel.
| Annual Fee | Welcome Bonus |
|---|---|
| $95 | Earn 75,000 bonus miles after spending $4,000 within the first three months |
Citi Strata Premier Card
The Citi Strata Premier Card offers a 3x points bonus on air travel, hotels, restaurants, and other purchases, making it an excellent choice for those who want to earn points in multiple categories.
| Annual Fee | Welcome Bonus |
|---|---|
| $95 | Earn 60,000 bonus points after spending $4,000 within the first three months |
American Express Gold Card
The American Express Gold Card offers a 4x points bonus on dining and 3x points on flights, making it a great choice for those who spend a lot on food and travel.
| Annual Fee | Welcome Bonus |
|---|---|
| $325 | Earn 60,000 bonus points after spending $6,000 within the first six months |
Bilt Mastercard
The Bilt Mastercard offers a 1-3x points bonus on rent, travel, and dining, making it a great choice for those who pay rent and want to earn rewards.
| Annual Fee | Welcome Bonus |
|---|---|
| No annual fee | Earn up to 100,000 points on rent each calendar year |
Bank of America Travel Rewards Credit Card
The Bank of America Travel Rewards Credit Card offers a 3x points bonus on travel purchases, making it a great choice for those who want to earn points on travel-related expenses.
| Annual Fee | Welcome Bonus |
|---|---|
| No annual fee | Earn 25,000 bonus points after spending $1,000 within 90 days |
What Credit Score Do You Need for a Travel Credit Card?
Most travel credit cards require good-to-excellent credit, meaning a credit score over 650. However, some cards may consider applicants with lower credit scores. If you don’t currently have a good credit score or lack credit history, you may want to build credit with a beginner or secured card or by becoming an authorized user on someone else’s card.
Don’t Forget About Chase’s 5/24 Rule
Chase has a 5/24 rule that may affect your application. This rule states that Chase will likely reject your application if you’ve opened five or more personal cards across all issuers in the last 24 months. Conventional wisdom is to start by using up your five slots with Chase before moving on to other issuers. However, it’s essential to consider your individual circumstances and weigh the pros and cons before making a decision.
Conclusion
Choosing the right starter travel card can be overwhelming, but by understanding the basics and what to look for in a travel rewards card, you can make an informed decision. Our top picks for starter travel cards offer great rewards rates, attractive earning structures, and travel-related benefits. Remember to consider your individual circumstances and weigh the pros and cons before making a decision.
