Traveling can be quite expensive, but that doesn’t mean you have to blow your entire savings to visit one of your dream destinations. Indeed, with a little planning and strategic use of your credit card’s perks, you can make the most of your spending while staying within your budget. This article will show you how to maximize your credit card’s rewards structure so that you can fulfill your travel goals without financial regret.
Familiarize Yourself with Your Card’s Perks
Each credit card has a unique set of benefits—some may provide cashback, while others might offer points that can be redeemed for miles or gift cards—and knowing what yours are will help you make the most of your spending. For example, the Landers Cashback Everywhere Credit Card is a cashback credit card that gives you up to 5% cashback for Landers purchases, 2% on dining spends, and 1% on all other qualified transactions.
This Maya credit card also serves as a Landers Superstore membership card, so if you’re a frequent Landers shopper, having this card grants you exclusive member benefits like special discounts and access to limited-time promotions. With this knowledge, you can optimize your spending by using the card at places that align with its rewards structure, allowing you to save more.
Simply put, take time to review your card’s rewards structure to understand its full range of benefits. Doing so will help you use it to its fullest potential, making each purchase work harder for you.
Use Points or Rewards to Buy Essentials
One of the best ways to stretch your travel budget is by using your credit card rewards to purchase travel essentials. If you’ve accumulated points or cashback throughout the year, now is the perfect time to redeem them. Many credit cards offer the option to redeem points for gift cards to popular retailers, which can be an ideal way to shop for clothing and accessories without derailing your budget.
In some cases, you can even find special promotions or higher redemption rates for certain gift cards during peak travel periods, which can help you get more value out of your rewards points. Just make sure to check the redemption options and any fees associated with them to ensure you’re getting the best deal possible.
Maximize Your Card’s Travel-Related Perks
As mentioned, traveling can get quite expensive—if you don’t know how to strategize. With the right plan, however, you can make it more affordable while earning valuable rewards. If your credit card’s rewards structure revolves around travel, you can use it to reduce your travel costs.
Many travel-focused credit cards offer points or miles for travel-related purchases, such as flights and hotel stays. Some also come with additional travel-specific perks, such as travel insurance, trip cancellation protection, or access to airport lounges, which can provide significant value and peace of mind when traveling during busy seasons.
When you’re able to maximize your travel credit card’s perks, you can lower your overall expenses, enjoy a more comfortable journey, and even earn rewards that can be used for future travel.
Be Mindful of Your Card Utilization
When using your credit card for traveling, it’s important to be mindful of your credit utilization. This refers to the percentage of your available credit that you’re using. High credit utilization can negatively impact your credit score, especially if you’re making large purchases. To avoid this, try to keep your utilization rate below 30% of your total credit limit; financial experts say that this helps maintain a healthy credit score and minimizes the negative impact on your creditworthiness.
To help keep your credit card utilization low, consider spreading your travel purchases across multiple cards or making payments throughout the month to reduce your outstanding balance. You can also plan your purchases accordingly, so that you only charge specific expenses to your credit card. For instance, you can use your card only for dining and then use cash for getting some souvenirs or tickets for tourist attractions.
Pay Off Purchases Quickly
One of the best ways to maximize your credit card benefits without accumulating unnecessary costs is by settling your balances promptly. This helps you avoid interest charges—which can quickly add up—and ensures that you’re not paying more than necessary for the rewards or perks you’ve earned.
Many credit cards come with an interest-free grace period, so you can save on interest payments if you pay off your balance in full. This is a great way to enjoy the rewards of your purchases, whether it’s cashback, points, or travel perks, without the added cost.
Whether you’re traveling solo or with your loved ones, you can make the most of your spending and keep your budget in good shape by using your credit card strategically and responsibly. With the right approach, you can use your credit card as a tool that helps you save on travel expenses and enjoy your trip without the financial strain.
