Travellers could save with the right credit card

Brits bitten by the tourist bug who don’t hold credit cards that offer travel-related perks could be missing out on considerable discounts on flights and accommodation, according to Gocompare.com.

Travellers could save with the right credit card

The comparison site has analysed 241 credit cards provided by 101 companies to compare what cards offer air miles, or the equivalent, as loyalty rewards.

The research found 40 cards that allow customers to spend and earn air miles – some cards allow holders to buy Virgin Atlantic Flying Club miles while others offer Avios points (the new name for the Airmiles scheme).

These perks mean consumers using their card for everyday purchases could save up enough points to swap for free flights, although taxes and charges will still have to be paid for.

Some of these credit cards have introductory miles bonuses and could allow customers access to executive lounges in airports. However, some cards have an annual fee and some require that applicants must have a household income of £30,000 a year.

Points are earned for every pound spent, with some cards offering one point per £1 spent, while others offer 1.5 points per £1 spent. A cardholder that accumulates 20,000 Avios points with British Airways and pays the taxes, fees and other carrier charges, can fly from Heathrow to New York.

“If you’re going to use one of these cards, you have to ensure you pay off the balance at the end of each month, otherwise the points you earn from your spending will get wiped out by the interest you accrue,” said Matt Sanders, credit card spokesman for Gocompare.com.

“Choose your plastic wisely and make it work for you. There are so many good credit card deals and offers around at the moment that it really is a consumer’s market.

“But you must remember to play the credit card game – don’t miss a payment and, if possible, pay the balance at the end of every month or you’ll end up paying more money in interest payments.

“One slip up could damage your credit score.”

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