Important things to know about travel credit cards

A travel credit card works on the same principle as other credit cards that offer you the ability to buy any product or service you wish for at any point of sale and pay at a later date as specified by the card issuing bank. Travel credit cards are often offered by a card issuing banks in collaboration with individual airlines or airline alliances. The advantage of using a travel credit card is that an individual designated number of points are allotted per dollar spent on the card. These accumulated points can be redeemed for air travel.

If you want to save up enough airlines miles for you future trip or save up enough bonus points to redeem later, travel credit cards can be of great help as they help with subsidized foreign travel using your bonus point.

It might be financially a prudent option to choose cards that help you to acquire airline miles on every to spend you make using the card. The reason for this is that most cash back cards only give you a maximum of around 1.5% on the amount spent, which may be quite negligible if you factor in the bank charges that are levied on you.

The offers given by banks change very frequently and hence, the list of travel credit cards that are best may also change quite often, at times even every month. Typically offers to abound just before peak holiday seasons with bonuses of over US$500 being offered by many banks or airlines. Among the top rated travel credit cards include the Chase Sapphire Reserve Card, the Platinum Card issued by American Express, the British Airways Visa Signature Card, the Ink business Preferred Card from Chase and the Business Platinum Card from American Express.