Welcome to the world of travel rewards! If you’re curious about how miles and points work—or just want to fly first class, book luxury stays, or travel to see loved ones for cheap—this guide is for you. We’ll walk through how to earn and redeem miles and points smartly.
1. Define Your Travel Goals
Before diving in, take a moment to figure out what kind of travel matters to you. Setting goals makes everything clearer.
- Luxury escapes in first class: Use airline miles for international first-class flights and hotel points for premium stays.
- Visiting family: Use points to book simple economy flights and save money on travel to see your loved ones.
- Cheap or free vacations: Maximize credit card perks like lounge access, free night certificates, and breakfast-inclusive stays.
Once your general goals are in place, consider destinations. For example, if your family is in Atlanta (a Delta hub), focus on earning Delta SkyMiles. Dreaming of Japan? Prioritize flexible points that transfer to airlines like ANA or Japan Airlines. When you know where you’re going and what you want, building your rewards strategy becomes much easier.
2. Understand the Different Types of Points and Miles
Think of miles and points like travel currency. Just like dollars or crypto, they all have unique rules and values. While many are worth about 1 cent each, that value can vary a lot between programs.
There are three main types of travel rewards:
- Airline miles
- Hotel points
- Transferable credit card points
Let’s break each one down.
Airline Miles
Airline miles are tied to specific airlines. You can earn them in two main ways: flying with that airline (or partners) or spending on their co-branded credit cards. For instance, fly United or any Star Alliance airline and you’ll rack up United MileagePlus miles. How many you get depends on the flight distance, seat type, and ticket price.
You can also earn miles using United’s credit cards. The New United℠ Explorer Card, for example, gives you 2 miles per $1 spent at hotels and restaurants, and 1 mile per $1 on everything else. Later, you can redeem those miles for flights.
Every loyalty program has pros and cons. Some airlines don’t charge close-in booking fees (added costs for last-minute awards), while others might offer better availability based on your airport.
Popular Domestic Airline Programs
- Alaska Airlines Mileage Plan – Strong on West Coast routes and awards to Asia (via Cathay Pacific).
- American Airlines AAdvantage – Low award prices to Europe in fall and winter.
- Delta SkyMiles – No close-in booking fees, ideal for last-minute trips.
- Southwest Rapid Rewards – Award pricing tied to ticket cost, simple and reliable.
- United MileagePlus – Huge availability thanks to the Star Alliance.
Popular International Airline Programs
- Air Canada Aeroplan – No last-minute booking fees.
- Flying Blue (Air France/KLM) – Offers discounted monthly Promo Rewards.
- British Airways Executive Club – Great for short-haul flights thanks to distance-based pricing.
- Virgin Atlantic Flying Club – Great premium economy rates, but taxes can be high.
Hotel Points
Hotel points work a lot like airline miles. You earn them by staying at hotels or using the chain’s credit cards. Some cards even offer bonuses in lifestyle categories. For example, the World of Hyatt Credit Card earns 2 points per $1 at gyms and fitness clubs.
Hotel-branded cards often offer boosted earnings for stays. The Marriott Bonvoy Boundless® Credit Card gives up to 17 points per $1 at Marriott hotels. While you can sometimes redeem hotel points for gift cards or airline transfers, they’re generally best used for booking rooms. Some chains offer perks like “stay four nights, get the fifth free.” Marriott does this, which stretches your points even further.
Major Hotel Programs
- Marriott Bonvoy
- Hilton Honors
- World of Hyatt
- IHG Rewards Club
- Wyndham Rewards
- Choice Privileges
- Best Western Rewards
Transferable Credit Card Points
These points are the most versatile. You earn them with general travel credit cards like the Chase Sapphire Reserve® or Capital One Venture X Rewards Credit Card.
Popular transferable points include:
- Chase Ultimate Rewards®
- American Express Membership Rewards
- Capital One Miles
- Citi ThankYou Points
You can redeem these for gift cards, cashback, or transfer them to hotel and airline partners—often for better value. For example, Chase points are worth 1 cent for cashback. But transferring them 1:1 to World of Hyatt (where points are worth ~1.8 cents each) can nearly double their value—if you’re planning a Hyatt stay, that is.
3. Know the Best Airline and Hotel Programs
If you’re not tied to a specific airline or hotel, choose the best program available. Each year, NerdWallet ranks travel rewards programs based on data, perks, and overall value.
- Best Airline Program 2025: Alaska Airlines Mileage Plan took the top spot for its value-packed redemptions and partner network.
- Best Hotel Program 2025: Hyatt remained the winner, thanks to low redemption rates and a strong elite status program.
But remember—what’s best overall might not be best for you. If you live near a Southwest hub or prefer Marriott properties, it makes sense to prioritize those brands even if they don’t top the list.
4. Get Your Financial House in Order
Planning to use credit cards for points? Make sure your finances are solid before applying. Here are some best practices:
Know Your Credit Score: Your score reflects your payment history, credit usage, account age, types of credit, and recent applications. A higher score opens the door to premium travel cards with bigger rewards.
5. How to Start Earning Travel Rewards with Credit Cards
If your credit score isn’t at least 720, most travel rewards credit cards will be out of reach for now. Before applying, work on improving your credit score first.
Pay Bills in Full Every Month
Carrying a balance means you’ll get charged interest — and travel credit cards often have high interest rates. Paying interest just to earn travel points defeats the whole purpose. This should be a rewarding, debt-free way to see the world, not a financial burden.
Use Less Cash, More Credit
More credit card spending means more rewards — as long as you don’t spend more than you can afford. Instead of using cash or your debit card, try to use a travel rewards credit card for as many purchases as possible. Just remember to pay it off in full.
Easy Ways to Start Earning Points: Credit Card Sign-Up Bonuses
One of the quickest ways to build up travel points is through credit card welcome bonuses. Some cards offer over 100,000 points — but usually, you’ll need to meet a minimum spending requirement within a few months.
For example, if a card requires you to spend $4,000 in three months, time your application around a big purchase, like furniture or a vacation. Offers of 50,000 points or more are generally considered solid.
Airline Credit Cards
Alaska Airlines
The Atmos™ Rewards Ascent Visa Signature® card offers:
- 3 points per $1 on Alaska Airlines and Hawaiian Airlines
- 2 points per $1 on gas, EV charging, cable, streaming, and local transit (including ride shares)
- 1 point per $1 on everything else
United Airlines
The New United Club℠ Card comes with a steep $695 annual fee. However, it offers:
- 4 miles per $1 on United purchases
- 2 miles per $1 on restaurants and travel
- A United Club membership
- $120 Global Entry credit
Hotel Credit Cards
Marriott Bonvoy Boundless®
- Welcome bonus: 125,000 points + 1 Free Night Award (up to 50,000 points) after spending $3,000 in 3 months
- Annual fee: $95, not waived the first year
- Includes a Free Night Certificate worth up to 35,000 points every year
Hilton Honors American Express Business Card
- Limited Time Offer: 175,000 bonus points after spending $8,000 in the first 6 months
- Annual fee: $195, not waived
- Earn 12x points on Hilton purchases, 5x on first $100K of other purchases per year (then 3x)
If Hilton is your go-to hotel chain, this card offers strong value.
Transferable Point Credit Cards
Chase Sapphire Preferred® Card
- Bonus: 75,000 points after $5,000 spent in 3 months
- Earning:
- 5x on travel booked through Chase
- 3x on dining, select streaming, and online groceries (excluding big box stores)
- 2x on general travel
- 1x on everything else
- Annual fee: $95 (not waived)
American Express Platinum Card®
- Bonus: Up to 175,000 points after $8,000 spent in 6 months (offer may vary)
- Earning:
- 5x points on flights and prepaid hotels via AmEx Travel (up to $500,000/year)
- Perks:
- $200 airline fee credit (enrollment required)
- $200 in Uber Cash annually (enrollment required)
- Annual fee: $895, but offset by various credits
Citi Strata Premier® Card
- Bonus: 60,000 ThankYou® points after spending $4,000 in 3 months (redeemable for $600 in travel/gift cards)
- Earning:
- 3x points at restaurants, supermarkets, gas stations, flights, and hotels
- Points can be transferred to multiple hotel and airline partners
- No foreign transaction fees
- Annual fee: $95
Capital One Venture Rewards Credit Card
- Bonus: 75,000 miles after spending $4,000 in 3 months (worth $750 in travel)
- Earning: 2x miles on all purchases
- Perks: Credit for Global Entry or TSA PreCheck
- Annual fee: $95
Make the Most of Category Bonuses
Some cards offer extra points in specific spending categories. For instance, if you have the Chase Sapphire Preferred®, it makes sense to use it for all your dining and travel purchases to maximize those category bonuses.
A few cards also offer rotating quarterly categories. These can be a bit tricky to track, but the rewards can really add up if the categories match your lifestyle. Take the Chase Freedom Flex®, for example. In late 2024, cardholders could earn 5% cash back (up to $1,500) on spending at select charities, pet stores, vet clinics, McDonald’s, and PayPal. The bonus options aren’t always useful for everyone, but they’re worth checking out.
And honestly, you’d need to buy quite a few McFlurries to make McDonald’s rewards feel worth it. But with all the holiday shopping running through PayPal or those end-of-year donations to charity, hitting $1,500 in spending to earn that 5% back might be easier than it sounds.
Chase Freedom Flex
NerdWallet gives the Chase Freedom Flex® a high rating. Want to take your points even further? If you’re using this card or others that earn Chase Ultimate Rewards® (like Chase Freedom Unlimited®), you should look into the “Chase trifecta.” If you also have a premium Chase travel card, like the Chase Sapphire Preferred® Card, you can combine your points. This lets you redeem them for greater value, especially when booking travel through Chase’s travel portal.
Book Flights and Hotels
Anytime you’re booking flights or hotels, always join the airline or hotel’s loyalty program. Add your loyalty number to your reservation — it’s a simple way to rack up extra travel points.
Shop Through Online Portals
Want an easy way to collect points or miles? Use online shopping portals. Sites like CashbackMonitor track which portals offer cash back, airline miles, hotel points, or credit card rewards. Say you’re browsing Nike.com. Head over to CashbackMonitor and check what current deals are available across portals. For instance, you might see offers like 6 British Airways Avios per $1 spent, 2 United miles per $1, or even 3 Chase Ultimate Rewards points per $1. You just need to click through the portal you want to earn with. These rewards are stacked on top of what your credit card already earns.
Dine Out and Earn Points (U.S. Only)
Dining programs are another solid way to score points. You just need to register with a dining rewards program and link a credit card. Next time you eat at a participating restaurant and pay with your linked card, your miles post automatically to your account. Airlines like Alaska, American, Delta, JetBlue, Southwest, Spirit, and United all offer these programs — so do hotel brands like Hilton and IHG. Most of these programs are run by Rewards Network, and you can only earn with one program at a time. For now, only U.S. restaurants are included.
6. Redeem Points Like a Pro
There are smart ways to redeem rewards — and then there are great ones. Here’s how to get the most value.
Flights
Most people use their airline miles to book award flights. But alliances between airlines unlock even more flexibility. For example, United and Lufthansa are both in Star Alliance. If you fly with Lufthansa, you can still enter your United MileagePlus number and earn United miles.
You can also redeem United miles on United.com for a Lufthansa ticket — this kind of flexibility can sometimes give you a better deal. Here are the three major airline alliances:
- Oneworld
- SkyTeam
- Star Alliance
Star Alliance is the biggest, which means more ways to earn and spend miles. When choosing an airline card, think about more than your usual airline. Look at their partners, too.
Hotels
Hotel reward programs don’t use alliances, so they’re a bit simpler. Major programs include:
- Best Western
- Choice Hotels
- Hilton
- Hyatt
- IHG
- Marriott
- Wyndham
Just search on the brand’s website or app. Make sure you’re logged in and select “use points” when looking up rooms. Search results typically show how many points are needed per stay. Unlike flights, hotels often offer points bookings as long as a room is available, making last-minute redemptions much easier.
Rental Cars
Rental car points are a bit more chaotic. Each rental company has its own setup. But the concept stays the same: the more you rent from one brand, the more points you’ll build. The smartest move? Stick to one rental program long enough to actually benefit from the rewards.
7. Maximize Credit Card Points Value
If you’re earning flexible points like Chase Ultimate Rewards®, AmEx Membership Rewards, Citi ThankYou, or Capital One Miles, there’s a big advantage: transfers. You can move your points to airline or hotel programs when you’re ready to book. Until then, keeping them in your card account gives you flexibility. But remember — once you transfer, there’s no going back.
Chase Transfer Partners
Chase has 12+ partners, and some of the best ones include World of Hyatt, Virgin Atlantic Flying Club, and JetBlue TrueBlue.
AmEx Transfer Partners
American Express offers even more transfer options. Most convert at a 1:1 ratio, though a few programs give you 2 points per 1 AmEx point — doubling your rewards.
Citi ThankYou Transfer Partners
Depending on which Citi card you have, you can transfer points to 12+ airlines and five hotel programs.
Capital One Transfer Partners
Capital One has rapidly grown its partner list and improved how points are redeemed. It’s becoming a real contender in the travel rewards space.
Tips from the Pros
If you’re just getting started with points and miles, here’s a quick list of tips to help you out — and a few common mistakes to steer clear of:
- Always compare point redemption values before transferring.
- Track loyalty programs so you don’t miss rewards.
- Combine credit card strategies with travel habits for maximum gain.
- Watch for promotions — they can supercharge your points.
- Don’t let points expire by neglecting your account activity.
The world of rewards can be big, but with a few smart habits, you’ll be booking flights, stays, and more without breaking the bank.
Earn Points Even if You Don’t Travel Often
Many people think travel rewards are just for frequent flyers. It makes sense — the original name was “frequent flyer” programs, after all. But if you don’t travel often, you can still make the most of rewards. The key is focusing your efforts smartly.
Go After Big Welcome Bonuses
Credit cards often give new users big bonuses after spending a certain amount. These bonuses change from time to time, and issuers occasionally add extra perks too. If you sign up at the right time, you can score a lot of points without traveling at all.
Skip Travel-Based Promos
Airlines and hotels run deals where you earn bonus points for taking a certain number of flights or staying a certain number of nights. That’s great for people who travel constantly, but it’s not worth your attention if you don’t.
Keep Card Use Simple
Different credit cards earn different points depending on where you use them—gas stations, restaurants, grocery stores, and so on. Rather than doing mental math at every checkout, set clear reminders. You could even tape notes to your cards so you know which one to use for each category.
Redeem Your Points Without Overthinking It
We talk a lot about “maximizing value,” and sure, that sounds ideal. After all, you want the most out of every point or mile you earn. But chasing perfection can lead to stress, not savings. When you’re starting out, good enough is actually great. Focus on these strategies:
- Apply the 80/20 Rule. Find redemptions that meet most of your needs, even if they’re not perfect.
- Use a Value Calculator. Make sure you’re getting at least average value for your points or miles. If a deal gives you more than that, go for it.
- Don’t Burn Out. If you’re spending too much time on reward searches and it stops being fun, back off and try a simpler approach.
Watch Out for These Beginner Mistakes
Travel rewards can be a little overwhelming at first. Companies love to throw giant bonuses and shiny promos your way, but using those points well can be the tricky part. Here’s how to avoid common traps:
Don’t Try to Learn Everything at Once
There’s a lot of jargon—fare classes, stopover rules, elite status levels. It can be intimidating. Don’t feel like you need to master everything before you start. Focus only on what helps you meet your goals. You’ll learn more as you go.
Don’t Hoard Points
Unlike money, travel points lose value over time. Airlines and hotels often change how much their points are worth. That means if you sit on your stash for too long, you might get less out of it. Earn points—and spend them.
Don’t Let Value Trick You
Just because something offers great value doesn’t mean it’s right for you. A business-class flight to Norway in the middle of winter might be a great use of miles—but do you actually want to go to Norway in January?
FAQs: Common Questions About Travel Rewards
How Many Miles Do I Need for a Flight?
It depends. The number of miles needed varies based on the airline, route, time of year, and whether you’re flying economy or first class. To find out, log into your frequent flyer account, head to the booking section, and choose “book with miles.” Enter your trip details, and you’ll see the mileage cost.
How Can I Earn Frequent Flyer Miles?
Start by getting an airline-branded credit card. Use it for everyday purchases. When you fly with that airline or a partner in the same alliance, enter your frequent flyer number during booking to earn miles. You can also earn miles by shopping through their online mall, renting cars, joining dining programs, or spending with partner brands.
How Can I Use My Credit Card Points?
Points from cards like Chase Ultimate Rewards® or AmEx Membership Rewards are super flexible. You can often transfer them to travel partners or use them directly through the card’s travel portal. You can also redeem for gift cards or cash, but those options usually give you less value.
What’s the Best Way to Use Airline Miles?
Use them to book flights. You can book all classes—economy, business, first—on the airline’s website. You’ll generally get the most value by booking premium seats since those cost a lot in cash.
Will I Earn Miles on Flights I Book Online?
Yes, as long as you input your frequent flyer number. Whether you book on the airline’s website, Expedia, or anywhere else, add your number during booking. If you forget, you can do it at the airport or afterward. Just don’t wait too long—each airline has its own time limits for crediting past flights.
The Bottom Line
Travel rewards don’t have to be complicated. Start with one solid travel credit card that fits your needs. Use it to earn points. Then, learn how to redeem those points for trips you actually want to take.
Redemptions don’t have to be perfect—just useful. Treat travel points like any other currency, and you’ll be well on your way to getting real value from them.
