Beginner’s Guide to Travel Hacking with Credit Card Points

I’ve had my Chase Sapphire Preferred® for about 3 years — I hit my Welcome Bonus while paying for my wedding in 2022. And what did I do with the almost 100,000 points I earned?

I wasted it on cash back so I could pay down a recent purchase — a purchase I could have paid off on my own. 💸

Now that I know better, I realize how much more value I could have gotten from my points, and I’m here to help you do the same!

If you’ve ever wondered how some travelers seem to score free flights, luxury hotel stays, or upgrades without dropping thousands of dollars, the secret is usually this: credit card points.

Travel hacking with credit cards can be a game-changer, especially if you’re on a budget but have big dreams of exploring the world. In this guide, we’ll break down exactly how to start earning and using credit card points for travel, step by step.

This post is designed for beginners, so whether you’re just curious or ready to apply for your first travel card, you’ll walk away with a clear plan.

What Are Credit Card Points (and Why Should You Care)?

Credit card points are a type of rewards currency you earn by using specific types of credit cards. Think of them like frequent flyer miles but much more versatile. You can earn points through your everyday purchases and then redeem them for:

Flights
Hotel stays
Car rentals
Cruises
Travel experiences
And sometimes even cash back or gift cards

But here’s the real life-hack: redeeming for travel typically gives you the most value per point!

There are three main types of credit card rewards programs:

Bank points: Flexible points from issuers like Chase, Amex, Capital One, and Citi (e.g., Chase Ultimate Rewards, Amex Membership Rewards).
Airline miles: Branded loyalty programs like Delta SkyMiles, United MileagePlus, or Southwest Rapid Rewards.
Hotel points: Earned through hotel chains like Marriott Bonvoy, Hilton Honors, and World of Hyatt.

For beginners, flexible bank points are the easiest to manage and offer the most versatility.

Step 1: Choose the Right Travel Credit Card for Beginners

Your journey starts with picking the right travel card. There are dozens out there, but the best ones for beginners combine generous welcome bonuses, low annual fees, and flexible redemption options.

What to Look for:

A big welcome bonus (usually after a minimum spend)
Reasonable or waived annual fees
Points that transfer to multiple airlines and hotels
High earning rates on your regular spending (travel, dining, groceries)

Top Beginner Travel Credit Cards (as of 2025):

Chase Sapphire Preferred®

My personal recommendation! Use my link above to sign up
Welcome Bonus: 60,000 points after spending $4,000 in 3 months
Points transfer to 14+ travel partners
Annual Fee: $95

Amex Gold Card

4x points at restaurants and U.S. supermarkets
Great for foodies and travelers alike
Annual Fee: $250

Capital One Venture Rewards Card

2x miles on every purchase
Redeem directly for travel or transfer to partners
Annual Fee: $95

Citi Premier® Card

Strong international transfer partners
Earns 3x points on airfare, hotels, gas, and dining
Annual Fee: $95

Pro Tip: If you’re just starting out, the Chase Sapphire Preferred is a fan favorite for good reason—it hits the sweet spot between value and simplicity.

Step 2: Earn Points Strategically

Once your card arrives, it’s time to start earning! Your goal is to rack up as many points as possible without overspending.

Maximize Everyday Spending

Use your card for things you’re already buying:

Groceries
Gas
Dining
Streaming services
Monthly subscriptions (Spotify, Netflix, etc.)
Utility bills (if your provider allows it)

But here’s the catch:

You must always make sure you pay your balance in full to avoid interest, which can negate your rewards.

Use Bonus Categories and Portals

Most cards have bonus categories like 2x or 3x points on travel or dining. Pay attention to these and plan your spending accordingly.

Also, check out:

Online shopping portals like Rakuten, Chase Shopping, or Capital One Shopping
Dining rewards programs linked to your cards (e.g., Rewards Network for airline miles)

These programs stack on top of your credit card points and help you earn even more.

Step 3: Hit That Welcome Bonus

The welcome bonus is usually the biggest chunk of points you’ll earn from a card. To qualify, you typically need to spend a certain amount (like $4,000) within the first 3 months.

Ways to Meet the Minimum Spend (Responsibly):

Pay rent through services like Bilt or Plastiq
Pay insurance premiums or medical bills
Prepay your cell phone or utility bills
Grocery shop for the month in one trip
Book an upcoming trip or holiday flights

NEVER buy things just to hit the bonus. Only use the card for purchases you would make anyway.

Step 4: Understand How to Redeem Points

This is where many beginners leave money on the table. Not all redemptions are created equal. You can usually redeem points in a few different ways:

Best Uses:

Transfer points to airlines or hotel programs: Often the highest value (sometimes 2+ cents per point)
Book through travel portals: Easy and flexible

Less Valuable Uses:

Gift cards
Amazon purchases
Statement credits or cash back (unless there’s a special promo)

Real Example:

60,000 Chase points =

$750 when redeemed through Chase Travel
Up to $1,200 when transferred to Hyatt and used for 5-star hotel stays

Step 5: Stay Organized and Avoid Pitfalls

A good points strategy only works if you stay on top of your cards, payments, and rewards.

Tools to Keep You Organized:

AwardWallet: Track all your rewards programs in one place
TravelFreely: Helps you manage sign-up bonuses and 5/24 status
Google Sheets or Excel: Customizable tracking for cards, spending, and renewals

Watch Out For:

Carrying a balance and paying interest
Forgetting annual fees
Letting points expire (set calendar reminders!)

Step 6: Build a Long-Term Strategy

Once you’ve mastered one card, you can start layering your strategy with others to multiply rewards.

Consider:

Pairing cards within the same ecosystem (e.g., Chase Freedom Unlimited + Chase Sapphire)
Applying for hotel or airline co-branded cards for specific perks (free nights, upgrades, priority boarding)
Rotating quarterly bonus cards

But pace yourself: apply for new cards every 3–6 months, and never bite off more than you can chew.

Know Your 5/24 Status:

The Chase 5/24 Rule is an unofficial policy from Chase Bank that says if you’ve opened 5 or more credit cards (from any bank, not just Chase) in the past 24 months, Chase will almost always deny you for most of their credit cards.
That means even if your credit score is excellent, your income is solid, and you have no debt, you’ll likely be rejected solely because of the number of recent accounts on your credit report.

What Counts Toward the 5/24 Limit

Personal credit cards (from any bank)

Small business credit cards that appear on your personal credit report

Store credit cards (if they’re Visa/Mastercard/Amex-branded and report to your credit file)

Authorized user accounts (these sometimes count, but you can ask Chase to reconsider if they were added without you being the primary spender)

What Doesn’t Count

Many true business credit cards (e.g., Amex Business Gold, Chase Ink Business Preferred) — these don’t usually appear on your personal credit report if approved under your business name
Loans (auto loans, mortgages, student loans) — they don’t affect 5/24 directly, though they may impact your credit score

Why It Matters for Travel Rewards

Chase has some of the most valuable travel cards and point systems — like:

If you’ve already opened 5+ new cards in the past 2 years, you might be locked out of these offers until you drop back under 5/24. Since Chase points (Ultimate Rewards) are among the most flexible in the travel hacking world, many people prioritize getting Chase cards first before branching out to other issuers.

Step 7: Redeem Points for Big Wins

Now the fun part: using your points to actually travel.

Tips for Smart Redemptions:

Be flexible with your travel dates and destinations
Book early for best award availability
Learn airline sweet spots (e.g., 15k points for Caribbean flights, 60k for U.S. to Europe roundtrip in economy)
Consider off-peak seasons for lower rates

High-Value Redemptions:

Hyatt hotel stays (often 2-3 cents per point value)
Business class flights via Amex or Chase transfer partners
Southwest flights for families (combine with Companion Pass)

Example Starter Strategy

Start with the Chase Sapphire Preferred
Spend $4,000 in 3 months to earn 60,000 points
Use points for:
- $750 in travel through Chase
- Or transfer to Hyatt for 5 nights in a 4-star hotel
Later, add Chase Freedom Unlimited to earn more on everyday spending
Build a trip to Mexico, Jamaica, or Portugal using combined points

My Most Recent Travel Hack Win – New Orleans

Here’s how I ended up on a long weekend in New Orleans with most of my big costs covered by points:

Flights: Transferred ~40,000 points from my Chase Sapphire Preferred card to Delta Airlines and JetBlue to cover roundtrip flights from New York for my daughter and me. (Two one-way flights for the lowest price, to maximize the points benefits!)

Hotel: Booked two nights at the Waldorf Astoria New Orleans for around ~65,000 AMEX points—a hotel that normally runs $400+ per night. I booked through the Amex Fine Hotels & Resorts program via my AMEX Platinum Card , which added perks like free breakfast, a $100 property credit, and late checkout. I also have Hilton Gold Status through AMEX, and they stacked the benefits for things like a free room upgrade and extra property credit!

With flights and hotel covered, my out-of-pocket costs were minimal—just $11 in taxes for my JetBlue ticket and $20 for Delta (which Amex reimbursed since Delta is set up as my preferred airline!!). That left my budget wide open for the good stuff: beignets at Café du Monde, grilled oysters at Acme, and a decadent crab boil. We wandered through Jackson Square, admired the St. Louis Cathedral, visited the National WWII Museum, and even hopped a streetcar to the Hurricane Katrina Memorial. Afternoons were spent lounging at the Waldorf’s pool, and one of my favorite memories was ending the trip with takeout from Voodoo Chicken and Daiquiris—surprisingly one of the best meals of the weekend!

Total retail value of the trip: over $1,000 saved, plus luxury perks I could never afford in cash. And all of the restaurants I did pay for earned me 3x points on dining, so I was basically already earning my next trip! It proved to me that travel hacking isn’t just for social media Finance Bros—it’s a realistic way to make amazing trips possible.

Final Thoughts: You Don’t Need to Be Rich to Travel Well

Earning and using credit card points for travel isn’t reserved for frequent flyers or influencers. With a little planning and discipline, you can earn thousands of dollars in free travel each year by simply optimizing your everyday spending.

Start slow. Pick one great card. Track your spending. Redeem wisely. And when you post that poolside pic from a hotel you didn’t even pay for, remember: you hacked the system.

recent posts

about