This may run counter to what we have been taught (or indoctrinated) about credit cards; that they should be used for only emergencies or when there are no other options available.
We charge every conceivable thing on our Alaska Airlines Visa Credit Card. Not to sound like those annoying television commercials but for each dollar we spend, we get a mile toward our next trip. Why this particular credit card and not those offered by the other airlines? Three words. Annual Companion Fare. Alaska Airlines cardholders have the opportunity each year to purchase a regular ticket and have a companion fly with them for a special reduced fare (as of this post) of $121 ($99 fare plus taxes and fees from $22). The more important reason why we use this card instead of others is that Alaska Airlines is based in our backyard (ok, so 13.2 miles away) and flies to both Hawaii and Wyoming, where our families live. With Bob and I both having the Alaska Airlines VISAs, we get two Annual Companion Fares each year. It seems a no-brainer and win-win all around.
A critical word about credit card usage. Discipline.
Although we charge almost everything on our credit cards, we do not do so willy-nilly. We track what we spend on an Excel spreadsheet (the accountant in me!) and are always aware of how much we can afford. Maybe my logic is flawed here but if you have enough funds to pay your electric bill in cash, why not use your VISA to pay off that bill and then turn around and pay your credit card balance with that same cash. This is made even more easy and painless with online banking. Start small (Big Mac combo?) and then work your way up to more expensive things (Verizon cellphone bill?), keeping in mind that you charge only what you could already pay off. An added benefit is that if you remain disciplined you will (simultaneously) improve your credit score and, not to mention, rack up a bunch of travel miles (with the right credit card, of course). Sheesh. Don’t I sound like a grown up! It just irks me that the younger (and even some of my own) generation often times neglect this beneficial number. Yes, your number of followers and “likes” on Instagram is important but your credit score will also help you further down the road.
Disclaimer: Credit cards with benefits like miles or cash back come with an annual fee. The fee differs based on the type of benefit and the credit card provider. Some cards are challenging to get at first but with steady and consistent charging and paying-off, the offers will come rolling in.
I am not sure why it took us so long to realize that the miles we were earning could be used not only for domestic flights but also international airfare with Alaska Airlines’ partner air carriers. I think it was probably because 60,000 miles (X 2) for a round trip to Europe just seemed unattainable so we pushed it out of our minds.
Nearly five years after our first trip to Europe, the unachievable was achieved; we had saved up enough miles!
TRAVEL TIP: Before departing on your trip, inform your credit card company where you plan on traveling. Purchases made in a foreign country without prior notification may result in the credit card being frozen. Do the same for any debit cards you plan on using overseas.
TRAVEL TIP: Take a leap of faith and avoid using any currency exchange kiosks at the airports before leaving the US or upon landing at the foreign destination. If you are not that daring, exchange just a small amount ($20 dollars?) for peace of mind. ATMs are as ubiquitous in Europe as they are in the States; they also have far better exchange rates than the kiosks.
