Credit cards today offer good perks on sign up and through loyalty programs that are so good that 9 out of 10 Australians are signed up to one. However, not knowing the power of your swipe can make you lose out on major savings such as a free flight to your dream destination. If you are a frequent swiper who has raked up frequent flyer points, but not too sure how to use them these tips are for you.
The international globe trotter
Aussies have a global mind set when it comes to travel destinations. We are so big on exploring the world through travel that 79% of Australians prefer frequent flyer points as their preferred reward. This is based on recent findings by the Achieving Advocacy and Influence in a changing Loyalty Landscape report. The best way to put your points to great use is to not use them immediately for a cheap local flight, but rake them up to save towards an international flight that has been reduced. Thailand here we come!
Stop in two destinations for the price of one
The beauty of having a credit card that works in your favour is priceless. You might have always wanted to stop in London, but you always wanted to know what Dubai looks like. Once you have raked in the appropriate frequent flyer points and booked a flight in advance for a discount, you can ask if your airline offers a free stop over reward. This perk allows you to see two places for the price of one. Depending on the airline that you use, you can get a 24hr stop or a few days in a locale before you journeying on to your final destination.
Get the right card that works for you
Having the right card that matches the type of swiper you are can play a role in terms of making the most of your frequent flyer points. The mistake you can make is to buy a card purely for the rewards. You will have to look at the overall value of the card in terms of its fees and interest rates.
It is also helpful to understand the amount of time it takes to gather enough points to make use of. If you use the card for family needs and swipe at a frequent rate it will benefit your goal of raking frequent flyer points. To make the most of your credit card you will have to shop around and compare credit cards to get a card that suits the type of shopper you are.
The gift of giving
Credit card with reward programmes usually have a point shop where you can trade in your points for various items. It is advisable not to spend your points at a point shop. If you see no need for your points you can use them towards funding another family members dream of travelling. Your swipe can be beneficial to someone else who will put the to good use.
Swipe your way into first class
Delayed gratification can make anyone sweat, but the rewards are worth it. You can delay using your points until you have managed to gather enough to get you into business class. Economy class can sometimes not be economical when it comes to redeeming your points which can wipe out a sizeable amount of the value of using points for your ticket. Redeeming points for business class by using your points can usually be cheaper when compared with economy class.