Travel credit cards are a great choice as they offer several benefits, including discounted first-class flights, complimentary lounge access, reasonable room rates, and much more. But, just like other credit cards, there are certain caveats to be aware of when using travel credit cards, such as redemption values, point tallies, and fine print. Ignoring these could result in mistakes that could impact the point earnings, ruin vacation plans, and eat into one’s finances.

Spending too much
Lots of travel credit cards have attractive bonus welcome offers. These can be accessed after one achieves a certain spending threshold, which is why some people end up making additional expenses to meet the budget. This can be a costly mistake. So, don’t end up buying something that is not affordable just to meet these card requirements. It is important to spend wisely.

Ignoring the fine print
As with any other card, there is a fine print associated with travel credit cards as well. This includes things such as blackout dates, point redemption on certain days of the week, limitations on types of expenses, and even restrictions regarding the mode of booking. These details can be found in the fine print section, so read it carefully before signing up or using a travel credit card.

Redeeming points at a low value
Every credit card provider has different rules, terms, and conditions when it comes to redeeming points. For instance, some may only offer 0.5x value when points are exchanged for a gift card, which is a low redemption value. One should look for better offers to maximize the value of the points and make the most of their purchase.

Spending points instead of paying a low cash price
The idea of spending points instead of money is always appealing, but it could turn out to be a costly mistake in some cases. This is because many hotels and airlines charge a pre-fixed number of points even when the actual service may be cheaper to pay for with money. Always compare the price of the item/service one is buying, both in cash as well as points, to avoid falling into any trap.

Not using card benefits
Travel credit cards offer way more than just points. They come with benefits such as free room stays, complimentary breakfasts, travel upgrades, and much more. One of the common mistakes people make when using travel credit cards is not utilizing these benefits. So, be sure to make the most of these perks to save big bucks while traveling.