Want to travel more and not sure how to afford it? Read this to find out how to use credit cards to get free flights.
One of the largest costs while travelling, especially if you need to fly anywhere is transportation. There are many budget airlines available now, but if you're going far, for a long time or to many places then it will still add up. Thanks to some savvy travel credit cards, we were able to save in this category. The loyalty program we chose to pursue after much research was the Aeroplan one through Air Canada. If you are new to travel credit cards then read this to learn how to play the travel credit card points game. (You should also read my other post, 6 Ways to Maximize Your Aeroplan Points to make the most of these cards.)
It is very important to note that you should only consider travel credit cards if you are responsible with your money.
You do not want to carry a balance on these cards, or spend beyond your needs.
This article is also based on my personal research and experience, your results may not be the same.
How to get Free Flights?
Does free flights sound to good to be true? It's not! With some research, patience and planning you can very easily accumulate enough points for a free trip. The idea behind travel hacking is that you sign up to a credit card specifically to earn the bonus points. Very rarely will one card offer enough points to get you what you need, this is a bit of a game requiring multiple cards over time.
Some things to keep in mind:
It is important to finish with one card before you sign up for another.
Do not carry a balance on your card.
Most bonuses are for NEW clients.
Do not add your partner as an authorized user.
Why Aeroplan?
I choose to pursue the Aeroplan program because it seemed the most straight-forward and hassle free points system that had multiple credit card options. There are a lot of points systems out there to choose from and the majority of them are loyal to one bank (Scene = Scotia, Aventura = CIBC, Air Miles = BMO etc.,). Aeroplan on the other hand, has cards with American Express, TD and CIBC. Not only this, but they have multiple tiers of credit cards available which can give options to people of different financial standings.
How to Choose a Card?
The first step in choosing a credit card for your free flights and points journey will be to figure out what your monthly credit card spend could be. I specifically say could and not is as the best way to maximize points is to put everything you possibly can onto your credit card. In order to get the bonus points, the financial institution will set out some parameters, and you need to meet them. You'll want to know in advance of applying for a card whether or not it will be possible for you to maximize the bonus points offers. For this you'll want to add up your typical spending on every day things from gas and groceries to your cell phone bill and car insurance. If you usually have any of these payments set up as a pre-authorized debit, you will want to consider changing them to go on your credit card instead.
Typically there will be 3 credit card options or levels with a financial institute, the reward can often be better with the higher levels, but they will have more requirements and higher annual fees.
ENTRY LEVEL:Â No fee, low points awarded, a few annual perks.
CORE LEVEL:Â No to low annual fee, moderate points awarded, a few annual perks.
PREMIUM LEVEL:Â High annual fee, high points awarded, lots of added perks, annual income requirement.
The following Aeroplan credit card options are:
Level: Entry
Fee: No
Min. Income: No
Points:Â 10,000 on first purchase.
Value:Â 200$ in points to use on flights.
Perks: Auto Rental Insurance
Cons: No monthly bonuses.
*I recommend starting this card no matter what other cards you choose. You will receive 10,000 Aeroplan points on your first purchase no matter how much you spend. You can start with this card, make one purchase and then move on. As earlier stated, many banks will only offer you the sign up bonus if you are a new client. However, CIBC will let you get the sign up bonus on any card as long as you do a new application - do not transfer cards, you need to reapply!
Level: Entry
Fee: 89$ (first year waivable)
Min. Income: No
Points:Â 10,000 on first purchase, another 10,000 after spending 1000$ in first 3 months.
Value:Â Up to 500$ in points to use on flights.
Perks: Travel Insurance
Cons: Low monthly points.
Level: Entry
Fee: 120$
Min. Income: No
Points:Â 3,000 each month you spend 1000$ in the first 10 months, anniversary bonus of 10,000 after 14 months if card active.
Value:Â Up to 900$ in points to use on flights.
Perks: First checked bag free.
Cons: Long monthly spending requirements for low rewards.Â
*This used to be a lot better, when I did it I was able to get 65,000 points in 6 months.
Level: Core
Fee: 139$ (first year waivable)
Min. Income: Yes
Points:Â 10,000 on first purchase, 20,000 after spending 6,000$ in first 4 months, anniversary bonus of 20,000 after spending 15,000$ in first 12 months.
Value:Â Up to 1000$ in points to use on flights.
Perks: Free checked bag for you and travel companions.
Cons: The 20,000 bonus points comes at the anniversary - forcing you to keep this card for a year and renew the fee to receive it.
Level: Core
Fee: 139$
Min. Income: Yes
Points:Â 10,000 on first purchase, 20,000 after spending 6000$ in first 6 months, anniversary bonus of 20,000 after spending 10,000$ in first 12 months.
Value:Â Up to 1200$ in points to use on flights.
Perks: Free checked bag for you and travel companions.
Cons: I don't actually know anyone who has been approved for this card - everyone I know even if they hit all the requirements (income & great credit) they are declined.
*It's also important to note that the 20,000 bonus points comes at the anniversary - forcing you to keep this card for a year and renew the fee to receive it.
Level: Premium
Fee: 599$
Min. Income: Yes
Points:Â 20,000 on first purchase, 30,000 after spending 15,000$ in first 6 months, anniversary bonus of 30,000 after spending 15,000$ in first 12 months.
Value:Â Up to 2500$ in points to use on flights.
Perks: Maple Leaf Lounge access for you and a guest.
Cons: High annual income requirement, high annual fee.
*It's also important to note that the 25,000 bonus points comes at the anniversary - forcing you to keep this card for a year and renew the fee to receive it.
Level: Premium
Fee: 599$
Min. Income: Yes
Points:Â 20,000 on first purchase, 40,000 after spending 10,000$ in first 6 months, anniversary bonus of 25,000 after spending 15,000$ in first 12 months.
Value:Â Up to 2900$ in points to use on flights.
Perks: Maple Leaf Lounge access for you and a guest.
Cons: High annual income requirement, high annual fee.
*It's also important to note that the 25,000 bonus points comes after the anniversary - forcing you to keep this card for a year and renew the fee to receive it.
Level: Premium
Fee: 599$
Min. Income: No
Points:Â 60,000 after you spend 7500$ in the first 3 months, anniversary bonus of 25,000 after 13 months if card active.
Value:Â Up to 2600$ in points to use on flights.
Perks: Maple Leaf Lounge access for you and a guest.
Cons: High spend requirements.
*It's also important to note that the 25,000 bonus points comes after the anniversary - forcing you to keep this card for a year and renew the fee to receive it.
As you can see, the cards of the same level tend to be very similar in fees, requirements and points rewarded. It's important to compare the cards and your monthly spending to see which bonuses are attainable for you.
How long will this take?
Depending on how many points you need I would recommend giving yourself 12-18 months of points accumulation. Unless you are focusing only on a premium level card, you will most likely need to do more than one to maximize the points. If you are planning a specific trip, check how much the flights will cost in points - you can do this at any time through Aeroplan. This will help you decide which card(s) are best for you!
Bonus:
You can also consider partner cards that will allow you to transfer your points to Aeroplan. American Express has several that transfer on a 1:1 ratio.
Level: Entry
Fee: 12.99$/month
Min. Income: No
Points:Â 1250 for each month you spend 750$.
Value:Â Up to 150$ in points to use on flights.
Perks: 5x points on eats & drinks.
Cons: Low points rewards.
Level: Premium
Fee: 799$
Min. Income: No
Points:Â 70,000 after spending 10,000$ in first 3 months, anniversary bonus of 30,000 after 14 months if card active.
Value:Â Up to 3000$ in points to use on flights.
Perks: 200$ travel credit, 200$ dining cred, and global lounge access.
Cons: High annual fee.
*It's also important to note that the 30,000 bonus points comes after the anniversary - forcing you to keep this card for a year and renew the fee to receive it.