Traveling doesn’t have to break the bank, but it does require strategy. The secret sauce? Credit card cashback. It’s not just a perk—it’s how we transform everyday spending into free or discounted trips. Ready to learn how we use credit cards to stretch every dollar? Let’s dive in.
1. The Golden Rule of Cheap(er) Travel
If you’re not using credit cards for every purchase, you’re leaving free money on the table. Debit cards and cash don’t reward you for spending, but credit cards give cashback—turning your everyday expenses into travel opportunities.
First things first: Check your credit card’s cashback rate and start optimizing. If you’re not willing to embrace this system, this guide probably isn’t for you.
2. Our Secret Weapon: The Chase Cashback Family
We’ve perfected our travel savings by sticking to the Chase cashback ecosystem. Here’s how each card works for us:
- Chase Sapphire Reserve
- 3% cashback on travel and dining.
- $300 annual travel credit automatically applied to eligible purchases.
- 10% additional cashback when booking travel through the Chase Travel portal.
- Chase Sapphire Preferred
- 3% cashback on travel and dining (similar to the Reserve).
- 5% cashback on travel booked through the Chase Travel portal.
- Lower annual fee of $95 compared to the Reserve’s $550.
- Chase Freedom Unlimited
- 1.5% cashback on all purchases.
- Our go-to card for “everything else” if the spending category doesn’t align with the other cards.
- Chase Freedom Flex
- 5% cashback on rotating quarterly categories (up to $1,500).
- Categories are emailed by Chase, and you must activate them each quarter to start earning.
Contents
Example: Points to Dollars
After cashback is earned (following the next billing cycle), we combine our points under the Sapphire Reserve. Why? Points are worth 1.5x more when redeemed for travel.
- Example: 50,000 points = $750 in travel rewards.
3. Tag-Teaming the Sapphire Reserve
Here’s the trick: Only one of us holds the Sapphire Reserve at a time. Why?
- We didn’t apply for the card at the same time, so we alternate when it’s time to renew TSA PreCheck or Global Entry (free every 4 years with the Reserve).
- The other person uses the Sapphire Preferred, saving on the higher Reserve annual fee.
Combining Points for Big Savings
Another reason only one of us needs the Reserve? Chase allows you to transfer points to one other person. By combining points under the Reserve, we maximize their value for travel bookings.
Pro Tip: Switch Between Sapphire Cards
You can call Chase to upgrade or downgrade between the Reserve and Preferred as needed. There’s no additional credit check, and this flexibility allows you to keep costs low while keeping the travel perks you need.
4. Mastering Rotating Cashback Categories
The Freedom Flex is a powerhouse for cashback—if you activate it! Chase sends an email reminder before each quarter to opt in. Once activated, you earn 5% cashback on up to $1,500 in purchases for the quarter.
Multiple Categories Per Quarter
It’s not just one category per quarter—there are usually several. For example, during the holidays, you could earn 5% cashback on PayPal purchases and major department stores. Keep an eye on your email to maximize this benefit.
5. Boosting Value Through Chase Travel
Booking through the Chase Travel portal offers even more perks:
- Sapphire Reserve: 10% cashback on travel bookings.
- Sapphire Preferred: 5% cashback on Chase Travel bookings.
Transferring Points for Better Redemption Rates
If you’re into next-level travel planning, you can transfer Chase points to select airline programs. This often leads to better redemption rates, but it requires creating accounts with individual airlines.
Our Approach
We usually skip this step because Chase Travel offers great value and convenience. For most of the places we visit, it works out just fine.
6. Extra Perks: Lyft and Beyond
The Sapphire Reserve comes with a free 1-year membership to Lyft Pink, valued at $199. This includes 15% off rides, priority pickups, and more—perfect for travelers who rely on ride-sharing.
7. Referral Links for Extra Rewards
Ready to try this strategy? Here are referral links to the cards we use. You’ll get a sweet bonus, and we’ll earn a little something too!
- Chase Sapphire Reserve/Preferred: Earn 60,000 bonus points with either card upon approval.
- Freedom Flex/Unlimited: Earn cashback with either card after approval.
Conclusion: Our Best Kept Secret
That’s our travel hack! Credit cards let us turn everyday spending into unforgettable trips. With a little planning and the right cards, you can do it too. Sign up, start earning cashback, and we’ll see you at your next destination!