Best Travel Rewards Credit Cards of December 2022

If you like to travel, then you're sure to love the benefits you can get with travel rewards credit cards. This type of card allows you to pay for your biggest travel expenses -- including first-class airfare and luxury hotel stays -- with travel rewards instead of cash. You could also find travel cards that let you access airport lounges, offer complimentary travel insurance, or get you free upgrades on travel bookings. And with almost all of these cards, you won't need to pay a foreign transaction fee on purchases made while traveling abroad.

It's possible to get lots of value from the best travel credit cards. The key is picking a travel card that fits your budget, lifestyle, and travel habits. Our experts reviewed all the current credit card offers and selected only the best. No matter what type of travel card you're looking for, you'll find it here.

Travel credit cards earn travel rewards when you use them. These rewards can be called either points or miles. You can redeem travel rewards to pay for travel purchases. Exactly how you do this depends on the card. There are travel cards with rewards you can redeem through specific loyalty programs; airline and hotel credit cards are notable examples. Other cards let you redeem points at a set rate, such as $0.01 per point. These can be used toward travel purchases made in cash. Some of the best travel credit cards give you multiple redemption options.

There are four types of travel rewards credit cards. You'll find a description of each type below.

Airline credit cards

An airline credit card is tied to an airline loyalty program, also known as a frequent flyer program. When you use an airline card, it earns miles in that program. You can redeem your miles for award airfare. Instead of paying $250 for a ticket, you may be able to buy it for 25,000 miles. Airline credit cards often include additional perks with the airline, such as free checked luggage or airport lounge access.

Hotel credit cards

A hotel credit card is tied to a hotel loyalty program. When you use a hotel credit card, it earns rewards points in that program. You can redeem your points for award hotel stays, such as paying 30,000 points per night instead of $150 per night. Hotel credit cards also frequently offer extra perks with the hotel chain. These could include a complimentary late checkout, elite status in the hotel's loyalty program, or a free night award every year.

Travel credit cards with fixed-rate rewards

A travel credit card with fixed-rate rewards lets you redeem your rewards for cash travel purchases. Rewards are always worth the same amount toward travel this way. For example, if your card offers $0.01 per point, then 10,000 points will always be worth $100 in travel. Depending on the card, you can either use your rewards as a statement credit toward previous travel purchases, use them in the card issuer's travel portal to book travel, or both.

Travel credit cards with transferable rewards

A travel credit card with transferable rewards lets you send your rewards to other loyalty programs. For example, if your travel card has rewards you can transfer to Hyatt Hotels, Southwest Airlines, and United Airlines, then you could send your points to any of those programs. You would then be able to book travel through that loyalty program using your points.

Travel credit cards offer all kinds of perks that make traveling more enjoyable and easier on your wallet. Below are the types of benefits available with travel cards. Once you know which benefits you want, you can look for cards that have those features.

Purchase rewards: Travel credit cards earn rewards on purchases, and you can redeem them for free travel. Many of the most popular travel cards also have bonus categories in which you earn more rewards than the standard rate. If you find a card with bonus categories that match your spending habits, you can maximize your rewards.

Sign-up bonus: Most travel cards include a sign-up bonus offer, which is a big chunk of rewards you can earn as a new cardholder. To get the bonus, you need to complete the terms. This usually requires spending a certain amount on the card within a timeframe, such as $3,000 in the first three months.

Airport lounge access: Airline credit cards and premium travel credit cards often include complimentary access to airport lounge programs. If you spend a lot of time at the airport, this perk can make waiting for your flight more comfortable.

Free checked luggage: Many airline credit cards allow you to check one or more bags for free. Depending on the card, companions traveling on the same itinerary may get to share in this benefit.

Free night certificate: A common feature of hotel credit cards is a yearly free night certificate. Terms apply on when and where you can use these certificates, and they usually don't work at the most expensive properties. However, they can still save you $100 or more.

Travel protections: Travel cards often include complimentary protections on eligible purchases such as:

• Car rental loss and damage insurance
• Trip cancellation and interruption insurance
• Trip delay insurance
• Lost luggage reimbursement

Spending credits: Premium travel credit cards with high annual fees typically have spending credits to balance out their fees. These credits automatically apply on eligible purchases. Here are a few examples:

• A membership fee credit for TSA PreCheck, Global Entry, or CLEAR
• An annual credit covering travel purchases
• A monthly credit for Uber, DoorDash, or other popular apps

Elite loyalty program status: Gaining elite status in airline and hotel loyalty programs normally requires that you make quite a few bookings. Some credit cards let you cut the line by offering cardholders complimentary elite status with one or more loyalty programs.

To compare travel credit cards, start by figuring out which types of travel cards you're interested in. This will help you narrow down your options. For example, if you don't stay at hotels that often, then you can cross hotel cards off your list.

Choose some of the best travel credit cards that stand out to you. The simplest way to evaluate them is to use The Ascent's tool to compare credit card offers. You can select multiple cards and view their details side by side. Another method is to pull up the card pages for each of the travel cards you want to compare.

Once you have the best credit cards ready, here are the things to look at:

• Annual fee: Most travel credit cards charge annual fees, but amounts can vary quite a bit. Some cost under $100 per year. A premium credit card, on the other hand, may cost over $500. Make sure the card you choose works for your budget and that its benefits outweigh the annual fee. Or, you can stick to travel cards with no annual fee if you'd prefer.
• Sign-up bonus: An advantage of travel cards is that they offer some of the biggest sign-up bonuses on the market. Compare both the bonuses that your chosen cards offer and the amount you'd need to spend on eligible purchases to receive each bonus.
• Rewards rate: Travel cards often have bonus categories where they earn more rewards, such as 3 points per $1 on dining. Others earn the same rate on purchases, such as 2 points per $1 on all eligible purchases no matter the category. See which card's rewards rate is the best fit for your spending habits.
• Additional benefits: There are all kinds of features available with travel rewards cards, from complimentary elite status with airlines and hotels to travel insurance policies. Review each card's extras to figure out how much value it would offer you.

With so many travel credit cards out there, you may feel like you don't even know where to start. This doesn't need to be a tough decision. Follow these tips to find the best travel rewards credit card for you.

Focus on how you'll use your travel rewards. The first thing you should do is figure out which card's rewards program will work best for your travel habits. Do you always fly with the same airline? An airline credit card that lets you earn miles with that carrier is probably a sound choice. Want to keep your travel booking options open? You should stick to travel cards with fixed-rate rewards or transferable rewards.

When in doubt, get a travel card with transferable rewards. These give you the most ways to book travel, so they're great if you don't have any specific airlines or hotels you like more than the rest. Specifically, look for travel cards in a major credit card rewards program: Chase Ultimate Rewards, American Express Membership Rewards, or Citi ThankYou Rewards. Since these card issuers have large rosters of airline and hotel partners, they offer especially good credit cards for international travel.

Weigh the value of those additional benefits. Many cards have travel perks that can save you money or drastically improve your travel experience. Carefully consider which benefits would add value to your life and which don't matter to you. This will help you cut through those long feature lists and quickly decide whether a card is a good fit.

Pick a card that will earn you lots of travel rewards. If possible, it's great to get a card with a high rewards rate and a large sign-up bonus. Even if you can't get that, any card you're considering should offer at least one of the two. The more rewards points you earn, the more money you'll save on travel.

There are a lot of different loyalty programs, and they all have their own travel rewards. The tricky part is figuring out how these travel rewards compare to each other. For example, are miles with Delta and Southwest worth the same amount, or is one more valuable?

Although airline and hotel rewards don't have a fixed value, we've calculated approximate values based on what they're usually worth. You may get more or less depending on how you redeem them, but these are the usual values with the major airline and hotel loyalty programs.

Airline rewards values

Hotel rewards values

A travel credit card is right for you if you travel multiple times per year and you have good credit.

As you'd expect, the more that you travel, the better a travel card will work for you. If you go on two or three trips per year, you should be able to make the most of the benefits that a travel card offers. If you're traveling even more frequently than that, then a travel rewards card will likely be extremely valuable to you. Those who don't travel that much should look for other rewards credit cards.

Most of the best travel credit cards require a good credit score. To get approved, you'll generally need a FICO® Score of 670 or higher.

Love Rewards? If you do, you should check out The Ascent's guide to the best rewards checking accounts.

Not sure if a travel credit card is what you need? Here are the most popular alternatives.

Cash back credit cards

A cash back credit card earns rewards on purchases. The difference is that instead of rewards you can use for travel, it earns cash rewards. You can typically redeem your cash back as a statement credit on your credit card bill, a deposit to your bank account, or a check. Cash back cards are great for consumers who want to earn credit card rewards but aren't big travelers. The reward can also be much easier to use, and many cash back credit cards don't have annual fees.

Credit cards for bad credit

A credit card for bad credit is one that you can get even if you have a low credit score or no credit history. In that situation, it's unlikely you'll qualify for a travel card. The better route is to get one of these credit cards for bad credit, use it to build your credit, and apply for a travel card once you have a higher credit score.

Airport lounge access: A credit card feature that allows the cardholder to visit certain airport lounges free of charge or at a discounted rate.

Annual fee: A fee charged once per year for a credit card. Annual fees for travel credit cards range from $0 to over $500.

Bonus category: A spending category in which a credit card earns bonus rewards. For example, a travel credit card may earn 5 points per $1 on air travel, compared to 1 point per $1 on regular purchases.

Credit card rewards program: A loyalty program offered by a credit card company. The most popular credit card rewards programs are:

• Chase Ultimate Rewards
• American Express Membership Rewards
• Capital One Venture Rewards
• Citi ThankYou Rewards

Elite status: Any status above the basic, introductory tier in a travel provider's loyalty program. Airlines and hotels usually have multiple tiers in their loyalty programs, and elite status tiers offer more benefits. Each tier has its own entry requirements, such as spending a minimum amount or making a minimum number of bookings. Some travel cards include elite status in a loyalty program as a complimentary perk.

Foreign transaction fee: A credit card fee charged on transactions made in foreign currencies or transactions that go through international banks. Most travel credit cards don't charge foreign transaction fees.

Loyalty program: A program offered by a business to encourage customer loyalty. Loyalty programs offer special rewards for members. These programs are common with travel providers such as airlines and hotels, and allow travelers to earn rewards to use for free bookings. They're also referred to as rewards programs, and airline loyalty programs are also referred to as frequent flyer programs.

Redemption options: The ways that travel rewards can be used. These options depend on the type of travel rewards and the loyalty program.

Rewards rate: The amount of rewards a credit card earns per $1 spent. Some credit cards offer the same amount on every purchase, such as 2 points per $1 on all eligible purchases. Other cards offer more in bonus categories.

Sign-up bonus: A credit card bonus offer available to new cardholders. Most sign-up bonuses include a requirement to earn the bonus amount, such as spending a certain amount within a set time period. Another common term for a sign-up bonus is a welcome bonus.

Spending credit: A statement credit towards one or more purchases on your credit card bill. Some travel credit cards offer spending credits, and they generally apply to specific types of purchases over a certain time. For example, a travel card could offer a $300 annual credit towards travel purchases.

Transferable rewards/points/miles: Rewards that can be transferred to the loyalty programs of multiple travel providers. Transferable rewards are widely considered the most valuable, because they can be used for travel bookings with different airlines and/or hotels.

Travel portal: An online platform for booking travel. Many major credit card issuers have travel portals cardholders can use to book trips.

Travel rewards: A loyalty program currency that can be redeemed for travel. Travel rewards are usually referred to as points or miles, depending on the loyalty program.