How To Travel More and Spend Less By Opening New Credit Cards

From free flights and upgrades to free checked bags and even complimentary hotel stays, here's how getting a new credit card can help you afford to travel more. 

Sign-up Bonuses

One of the fastest ways to accumulate points and miles is to sign up for a new credit card. Credit card companies offer new customers large sign-up bonuses when they spend a certain amount of money within a specific amount of time. Three months is usually the timeframe.

A few years ago when I applied for the Chase Sapphire Preferred card, I earned 50,000 points (or $500) after spending $4,000 within the first 3 months of opening the card. That meant that I had to spend at least $1,334 a month to get the bonus. Since I was going to spend that money anyway, I signed up for this new credit card to get the points. With this sign up offer, I went on multiple international trips.

Nevertheless, before signing up for a new card, make sure that you have good credit and you’re able to meet the minimum spend. Opening a new credit card affects 10% of your credit score so brace yourself for a small credit score hit.

Limited-Time Offers

Some credit card companies up the ante and offer extra sign-up bonuses from time to time. For example, the Starwood Preferred Guest credit card (now Marriott Bonvoy American Express) at one point offered 35,000 bonus points after spending $3,000 within the first 3 months. The usual sign-up bonus was 25,000 points - that's an extra 10,000 points for signing up for this limited-time offer!

Yet, before signing up for a new credit card, it's important to think through your travel goals. What do you want to spend your points on? How many points will you need for your next flight or hotel stay? Having a goal and knowing how you want to use your points will keep you focused and motivated to meet the minimum spend.

Looking for even more ways to get your finances in order and travel the world? Here are seven steps to becoming a financially savvy traveler.

About Danielle Desir

Danielle Desir is an author, speaker, podcaster and the founder of The Thought Card, an award-winning affordable travel finance blog and podcast empowering people to make informed financial decisions - travel more, pay off debt and build wealth. She has traveled to 26 countries and 3 continents and strongly believes in not letting your financial responsibilities hold you back from pursuing your dreams.