Did you know that credit card companies spend billions of dollars each year? What if you could get a piece of that marketing budget, and use it to see a new destination? You can.
Several credit card companies now offer free hotel rooms just for signing up. As part of an agreement with major American hotel chains, credit card companies reward customers with free stays as soon as they are approved. Some of these hotels include Hyatt, Best Western, Hilton, and others. Currently, the best cards offer more than $500 in hotel spending for new credit card customers.
Hotel rewards cards work similarly to frequent flier cards. Those who use them often will accumulate points and miles which can be exchanged for free time in a hotel, or a reward that compensates the traveler for expenses incurred while traveling. In most cases, the points offer a better reward, as they can be used at any hotel chain, not just a single chain that is co-branded on the credit card with the issuing bank.
Frequent travelers will enjoy other benefits from a hotel rewards card. As the credit cards are most popular with frequent travelers, the cards have other benefits that include no or low-cost foreign exchange transactions, concierge services, and higher rewards on purchases related to travel. As always, the more you spend, the more you stand to gain. While rewards cards for travelers do yield enormous benefits just for signing up, the rewards are just as good for on-going users.