The latest hobby for DH and I is what we affectionately call travel hacking. We use credit card sign up bonuses and the points they earn on category spending for airline miles or hotel points so that we can cut costs on our vacations. The first year we started we wound up earning nearly 2 million miles between the two of us.
We got to fly class on miles round trip from Miami to Edinburgh when we went on our first Adventures by Disney trip last August. This year we also managed to get first class on miles to Vancouver for our Disney Wonder Alaska cruise. I got my parents to begin travel hacking and the 4 of us are flying first class on miles to London/Paris with Adventures by Disney.
Some cards we get for the sign up bonus only and then they might sit in a drawer. Some we keep on us and use exclusively. If you don't plan to make travel hacking a hobby and just want some basic bang for your buck all around cards for miles then I will narrow it down to 3 of my go to keeper cards and why.
Starwood Preferred Guest American Express card.
Initial sign up bonus is 25K miles for $5K spend in the first 6 months. The points on the SPG card can be transferred to over 20 airlines. For every 20K in miles your transfer SPG gives you 5K in miles. So, essentially you are earning 1.25 miles for every dollar. The card carries an annual $65 fee but it is worth it for my purposes.
Chase Sapphire Preferred (best used in combo with Freedom card)
Initial sign up bonus is 40K in Ultimate Reward points with $3K spend in 3 months. Add an authorized user and get an additional 5K point bonus with first spend in 3 months. This card earns 2 points per dollar on dining and travel. Each year you also get a 7% bonus on all points earned that year. Chase UR points can be redeemed into your frequent flyer account 1:1 in miles on United Airways, British Airways, Korean Airways, Southwest Air and
Virgin Atlantic. In addition, you can transfer to Hyatt, Marriott, IHG and Ritz Carlton.The card carries a $95 annual fee, no foreign transaction fees and you can now request a chip and signature card to use when traveling in Europe.
Chase Freedom card (best used in combo with Sapphire Preffered card)
10K in Ultimate Reward points for $500 spend in first 3 months. These points one their own cannot be used for miles but if you transfer the Freedom card points into you Sapphire Preferred account then they can be used for points. Every quarter you can earn 5 points per dollar on whatever the category bonus is for that quarter up to $1500 in spend which is 7500 potential points/miles per quarter. Right now it is gas, movie theaters and Starbucks.
Sometimes it takes a little thinking outside the box to maximize bonuses though. For instance last year Freedom had a category bonus of 5x per dollar for spending at Lowes. We had no home improvement projects planned but did need to pay down our Adventures by Disney vacation. Lowes sells Disney gift cards. DH and I each purchased $1500 in Disney gift cards at Lowes with our Freedom cards to pay down our trip and earned 15K in miles instead of the 6K we would have earned if we used the Sapphire card.
I hope this helps. Happy travels
