Which Travel Credit Card Should I Get First?

Which Travel Credit Card Should You Get First? A Beginner’s Guide

So, you’ve decided to dive into the world of travel credit cards and rewards—great idea! If you play your cards right (pun intended), you could be jet-setting around the world for a fraction of the cost. But with so many travel credit cards out there, how do you choose your very first one? Let’s break it down in simple terms, comparing the best options and what you need to consider before applying.

What to Look for in Your First Travel Credit Card

Before we get into specific recommendations, let’s talk about what makes a great first travel credit card:

• Low or reasonable annual fee: Since you’re just getting started, you don’t want to pay a hefty fee unless the perks outweigh the cost.
• Easy-to-earn rewards: Look for a card with a straightforward earning structure so you can rack up points or miles without much effort.
• Flexible redemption options: A good starter card should allow you to use your points for flights, hotels, and other travel expenses without too many restrictions.
• Valuable sign-up bonus: Many cards offer big bonuses when you meet a minimum spending requirement in the first few months. This is the way to really boost your points and miles balances!
• No foreign transaction fees: If you plan to use your card abroad, you don’t want to get hit with extra charges on every purchase.

Considerations Based On Bank Limitations

Banks can put certain (spoken or unspoken) limitations on how many credit cards a person can be approved for. Here are some limitations to be aware of.

• Chase 5/24 Rule: Chase Bank will NOT approve you for any of their cards (personal or business) if you have opened 5 or more personal cards in the past 24 months. This goes for cards from ANY bank, not just Chase.
• Business Credit Cards: A good way to stay below 5/24 is to open business cards, if you have a business that qualifies. Hint: if you sell items on Facebook Marketplace, you are eligible for business credit cards!
• Capital One: Capital One will not approve you for more than 1 credit card in a 6 month period. This includes both personal and business credit cards.
• American Express: American Express will not approve you a card if you have been approved for that same card less than 90 days prior.

Timing of Credit Card Applications

Some cards will allow you to earn a welcome bonus more than once. This is sometimes called “churning” card applications.

However, some banks have limitations on how often you can earn a welcome offer on the same card. Here are the limitations for several popular banks/cards:

• Chase Sapphire Preferred: You cannot earn a welcome bonus on this card until 48 months after your last welcome bonus was earned.
• Capital One Venture OR Venture X: You cannot earn a welcome bonus on this card until 48 months after your last welcome bonus was earned.
• American Express: One welcome bonus per lifetime per card (unless you can find a card offer without lifetime language).
• Citi Strata Premier: You cannot earn a welcome bonus on this card until 48 months after your last welcome bonus was earned.

In addition to these time limits, banks can also have unspoken limits relating to how many total cards they will issue to one person, or how much total credit they will issue.

As you continue reading, you’ll see how the bank limitations and credit card timing will affect the order in which you apply for travel credit cards.

The Best First Travel Credit Cards (Low Annual Fees)

Now, let’s dive into some of the best choices for your first travel credit card, highlighting their benefits and potential drawbacks. We’ll review cards with low annual fees, higher annual fees, and business cards, so you can determine which card is the right choice for you.

1. Chase Sapphire Preferred® Card

Why it’s great: This card is often considered the best beginner travel card because it offers a strong sign-up bonus, solid earning potential, and flexible redemption options. Points can be transferred to airline and hotel partners or used through the Chase travel portal at a 25% bonus. Chase Ultimate Rewards points will transfer to partners such as Hyatt, IHG, Marriott, United, and Southwest. This is a keeper card because Chase’s no-annual-fee cards do not allow for transferring points to partners.

Pros:

• Generous sign-up bonus (often worth $750+ in travel)
• 2x points on travel and dining
• No foreign transaction fees
• Points transfer to 14+ travel partners
• Easy-to-use app for points redemptions

Cons:

• $95 annual fee (but often worth it)
• No premium travel perks like airport lounge access

2. Capital One Venture Rewards Credit Card

Why it’s great: If you like simplicity, this is a great choice. You earn unlimited 2x miles on every purchase, and redemption is easy—you can erase travel purchases directly with your miles, or transfer to one of Capital One’s travel partners. Their partners include Choice Hotels, Wyndham, and international airlines such as British Airways, Virgin Atlantic, and Air France.

Pros:

• 2x points on ALL purchases make it a great card for spending that wouldn’t otherwise earn a multiplier
• Up to $120 credit for Global Entry or TSA PreCheck
• No foreign transaction fees
• Erase travel purchases using points if you don’t want to transfer to partners
• Good card to choose early on as Capital One can be inquiry sensitive

Cons:

• $95 annual fee
• Transfer partners aren’t as valuable as Chase’s for most beginner points travelers

The Best Travel Credit Cards (Higher Annual Fees)

If you aren’t afraid of paying a higher annual fee, you may be interested in one of these premium travel cards that offer more perks such as lounge access and travel credits.

1. Chase Sapphire Reserve® Card

Why it’s great: This card is a souped-up version of the Preferred card, with the same transfer partners, and increased points-earning capability. Points can be transferred to airline and hotel partners or used through the Chase travel portal at a 50% bonus. Chase Ultimate Rewards points will transfer to partners such as Hyatt, IHG, Marriott, United, and Southwest.

Pros:

• 3x points on travel and dining purchases
• $300 travel credit
• Priority Pass lounge access and Sapphire lounge access
• Up to $120 credit for Global Entry or TSA PreCheck
• Points transfer to hotel and airline partners

Cons:

• $550 annual fee (partially offset by travel credit)
• Typically earns a smaller welcome bonus compared to the Venture X

2. Capital One Venture X Credit Card

Why it’s great: This card offers the same high-powered earning as the Venture card, with additional travel perks. Capital One’s travel partners include Choice Hotels, Wyndham, and international airlines such as British Airways, Virgin Atlantic, and Air France.

Pros:

• 2x points on all purchases
• $300 travel credit
• 10,000 anniversary miles
• Priority Pass lounge access and Capital one lounge access
• Up to $120 credit for Global Entry or TSA PreCheck
• Points transfer to hotel and airline partners

Cons:

• $395 annual fee (offset by travel credit and anniversary miles)
• Transfer partners can be harder to use

The Best Business Credit Cards For Travel

If you have a business (and chances are, you do!), then business cards will be a critical part of your travel credit card strategy. Depending on factors such as your 5/24 status, and elevated welcome offers, you may choose to start your points and miles journey with a business credit card.

Here are a couple of my favorites.

1. Chase Ink Preferred Card

Why it’s great: This is a great first business card, because it has the highest welcome offer of the Chase Ink business cards. Points can be transferred to airline and hotel partners (for the best value!) or used through the Chase travel portal. Chase Ultimate Rewards points will transfer to partners such as Hyatt, IHG, Marriott, United, and Southwest.

Pros:

• Generous signup bonus (often worth over $900 in travel!)
• 3x points on travel, shipping, internet, phone, cable, and advertising
• No foreign transaction fees
• Points transfer to hotel and airline partners

Cons:

• $95 annual fee (worth it for the first year at least)
• No travel credits or high-end perks

2. Chase Ink Business Cash Card

Why it’s great: This card offers 5x points in several easy-to-use categories, to really help you stack up the points quickly. It has no annual fee, so if you’re looking to keep costs down, this could be the card for you. Note: points on this card do NOT transfer to partners, so you’ll need a Sapphire Preferred, Sapphire Reserve, or Ink Preferred in order to transfer your points.

Pros:

• No annual fee
• Generous signup bonus (often worth over $750 in travel!)
• 5x points on office supply stores, cable, internet, and phone
• 2x points on gas stations and restaurants

Cons:

• Points do not transfer to partners
• 3% foreign transaction fees

Which Card Should You Choose First?

If I were a beginner, just starting to earn credit card points, I would start with the following cards in this order:

1. Chase Sapphire Preferred® for its flexible rewards points and great options for transfer partners.
2. Capital One Venture X for airport lounge access, travel credit, and unlimited 2x points earning capability.
3. Chase Ink Business (Preferred or Cash) to earn more transferable rewards points while keeping the 5/24 count low.

If you’re already at 5/24, you’ll obviously need to modify these recommendations. If you’re at 4/24, I’d still choose the same cards, but in reverse order so you don’t lock yourself out of Chase cards at the beginning.

Final Thoughts

Picking your first travel credit card is a big decision, but it doesn’t have to be overwhelming. The best choice depends on your spending habits, travel goals, and 5/24 status, among other factors. Once you get comfortable with your first card, you can start adding more to your wallet and stacking benefits like a pro. Happy travels!