A travel credit card grants you points after the credit card is used for the payments. It allows you to earn rewards, cashback, and bonuses, in the form of points for every dollar you pay on travel or other expenses. Travel credit cards usually offer high rewards for travel-related spending. Most of these cards also provide additional benefits.
Some perks of having a travel credit card are:
1. Bonus points
Welcome bonus points are offered to the cardholder when they first buy their credit card. Then, later on, according to the payments made by the credit card on different items, bonus points are earned by the credit card holder, which can be redeemed at any point during any purchase made, including flight tickets, any appliances, shopping, etc.
2. Most accepted method of payment
A travel credit card while traveling abroad is a straightforward payment method as it is accepted everywhere. There is no burden of carrying foreign currency or hard money to make payments. A travel credit card during traveling in any part of the world or country is accepted as a medium of payment and can be used by the cardholder to a specific limit.
3. Unlimited Access to airport lounges
During travel, a person spends most of their time at the airport. The travel credit card offers access to the airport lounges, whether an international or a domestic airport. A travel credit card holder can enjoy the privileges provided by the airport lounges. The cardholder can sit, relax and enjoy food in the lounge at no cost during flight delays. And some lounges also offer these privileges to the family and friends accompanying the cardholder during travel.
4. Travel insurance
Some travel credit cards offer insurance coverage during the travel in case of any unforeseen events that cause significant expenses, including any emergency medical expense, loss of baggage or tickets, etc.
5. Discount coupons
Many of these cards offer discounts on various items purchased using the card. You also get discount coupons on specific brands, restaurants, hotels, movie tickets, air tickets, etc., which could be availed during the time of purchase or making the reservation in hotels, booking movie tickets, etc.
6. Cheaper airfare
Many major airline companies partner up with these credit card issuers to provide extra and exclusive benefits to their customers. When a ticket is purchased using a travel credit card, the airfare is usually less, and there are a lot of discounts that are offered while booking the flights, making the flights cheaper. Also, the bonus points collected during each purchase can be redeemed while booking a flight. Sometimes with the benefits received by these travel credit cards, air flight tickets are also purchased for free.
7. Auto upgrades and excess baggage allowance
A travel credit card comes with certain perks that may include auto upgrades to first class or business class and an excess baggage allowance depending upon the card used and the benefits offered by the card. A travel credit card will always offer such benefits to the cardholder for an easy journey.
8. No risk of fraud
These travel credit cards offer fraud alerts to serve as a safety net when a fraudulent transaction is made, and the transaction can be stopped if not done by you during thefts. Etc. Also, when a card is lost during travel in any foreign nation, the trade made during that period would have no liability on the cardholder only if the cardholder informs the card issuing bank. Since these cards are not directly linked with the bank account, there is no risk of the actual funds getting deducted from the bank account, making it risk-free and safe.
An individual who is a frequent traveler must have a travel credit card for various benefits offered, which helps save money without compromising on spending during travel. The amount paid through these credit cards can be paid back to the issuer at the end of the month when the statement is generated.
A travel credit card is a must when a person travels a lot and is loyal to a specific brand, for example, a particular airline used by the person, so that he can benefit during these travels. If a person doesn't travel frequently, he won't be able to make optimum use of the benefits offered by the card.