How to get started with points, miles, and credit cards for travel

Welcome to Dinogo, your ultimate destination for everything related to travel, points, miles, credit cards, and more.

If you're new to the world of award travel, we understand it can feel like a thrilling adventure filled with limitless opportunities, yet a bit overwhelming when you don’t know where to start.

The good news is that you’ve found the perfect place to begin your journey. We’re here to guide you through unlocking amazing travel experiences. Points and miles can save you a substantial amount on travel costs and turn dream trips into reality.

Whether you're fantasizing about staying in an overwater bungalow and flying first class, or hoping to visit your family during the holidays without overspending, TPG is here to guide you on using points and miles to make it a reality.

In this 'getting started' guide, we’ll walk you through the essentials of points, miles, and rewards credit cards. We’ll help you understand the key terms, inspire you with ideas of where your points and miles can take you, and show you how to earn and redeem them.

Get ready for an exciting ride as we reveal how this modern approach to travel can transform your adventures.

What are points and miles?

If you're just starting your journey with points and miles, there are a few important terms and brands you'll need to know. We’ve got a full glossary to help you out, but here’s a preview of the most common terms you’ll encounter.

• Points and miles: Various types of reward currencies that can be exchanged for travel (and sometimes for other goods and services)
• Redemption: The process of using your points and miles to cover travel expenses (like flights or hotels)
• Award flight: A flight purchased using points and miles
• Loyalty program: A program that allows you to earn and redeem points and miles within a specific brand (such as Hyatt or American Airlines)
• Elite status: The level of status you achieve by maintaining loyalty with an airline or hotel chain, which comes with benefits to enhance your travel experience

Now that you're familiar with the key terms, it’s time to dive into the major players in the points and miles world. Let’s explore the leading U.S. airlines, hotel brands, and credit card issuers you should know about.

Leading U.S. airlines

• American Airlines
• Delta Air Lines
• United Airlines
• JetBlue Airways
• Southwest Airlines

Top hotel brands

• Marriott
• Hilton
• Hyatt
• IHG

That’s an overview of the essential terms you’ll need to begin your points and miles adventure, but there’s always more to explore and discover.

If you're eager to dive deeper, here’s a comprehensive A-to-Z guide of travel jargon to help you maximize your points and miles, featuring TPG’s Power Pointers on YouTube.

How much are points and miles worth?

Now that you're familiar with the key terms, you might be wondering about the actual value of points and miles. The truth is, there’s no fixed value for most loyalty program currencies. The benefit here is that you can redeem them for significant value, but the challenge is understanding when you're getting the best deal possible.

Every month, TPG releases our own points and miles valuations to help our readers understand the worth of specific airline, hotel, and credit card points and miles. We also offer a calculator to compare whether using miles or points is a better deal compared to paying cash for your next trip.

Our valuations represent how we assess the value of each loyalty program currency, but the actual worth you get from your points and miles will depend on how you redeem them. For example, in our August 2024 valuations, we value American Express Membership Rewards points at 2 cents per point, which is higher than most other loyalty currencies like American Airlines AAdvantage miles or Marriott Bonvoy points). However, this doesn’t guarantee you’ll always get 2 cents per point when you use them.

You might redeem your Amex points for less than 1 cent per point if you book through the Amex travel portal, but you could also transfer them to an airline for business-class flights and get much higher value in return.

Later in this guide, we’ll explore various ways to redeem your points, and you can stay updated with our latest posts to see how both TPG team members and readers are using their points and miles to fuel their travels.

How can I accumulate points and miles?

Contrary to what many people think, you don't need to be flying every week to gather enough points and miles for a dream getaway. There are plenty of ways to earn travel rewards without ever boarding a plane.

Credit cards

One of the simplest ways to accumulate points and miles is by using a credit card for your purchases.

In fact, for many of us, most of our miles come not from flying but from swiping our credit cards. Not only can you score a big head start with a generous welcome bonus (which could be worth over $1,000 in travel!), but you can also earn rewards by charging everyday expenses like groceries, car insurance, doctor visits, cell phone bills, and gas station purchases to your card.

We recommend using a rewards-earning credit card for as many of your purchases as possible. These cards do more than earn you rewards—they offer better consumer fraud protection compared to debit cards, and they can help improve your credit score. Just be sure to pay your balance in full each month to avoid interest charges. We'll revisit this in more detail shortly.

If you're new to credit cards and this is your first time exploring them, here are a few helpful guides from TPG experts to get you started:

• Why credit cards are a smarter option than debit cards
• How I treat credit cards like debit cards: The modern envelope system
• What I wish I'd known about credit cards when I was younger
• From credit beginner to pro: A 5-year strategy for rewards cards
• How to choose the best credit card for your needs

Travel

Although traveling isn't the only way to rack up points and miles, it's definitely one of the most reliable methods. Every time you book a flight or hotel stay with a brand you're loyal to, you'll earn points or miles that can be redeemed for future travel opportunities.

The more frequently you travel, the easier it becomes to achieve elite status with various airlines and hotel brands. Once you've earned elite status, you'll be able to accumulate points and miles at a faster rate.

To begin your journey toward elite status, make sure to join the loyalty programs of the airlines, hotels, and other travel-related brands you’ll use while traveling. These programs are key to earning extra rewards along the way.

Here are some helpful guides about popular loyalty programs that will ensure you don't miss out on earning points, miles, and rewards during your next trip:

Top Airline Loyalty Programs:

• American Airlines AAdvantage: How to accumulate miles in the AAdvantage program
• Delta SkyMiles: How to collect miles in the Delta SkyMiles program
• JetBlue TrueBlue: How to earn points in the TrueBlue program
• Southwest Rapid Rewards: How to earn points with Southwest Rapid Rewards
• United MileagePlus: How to gather miles in the MileagePlus program

Popular Hotel Loyalty Programs:

• World of Hyatt: How to accumulate points with the World of Hyatt program
• Hilton Honors: How to earn Hilton Honors points
• IHG One Rewards: How to earn points with IHG One Rewards
• Marriott Bonvoy: How to gather points through Marriott Bonvoy

Shopping Portals

You don't always have to travel to earn travel rewards. A great way to build up points and miles without stepping out of your home is to shop smart online. Even without a rewards credit card, you can accumulate miles and points simply by using a shopping portal.

Many of the top airlines, hotel chains, and credit card issuers offer their own shopping portals, where you can earn extra rewards for your online purchases. Alternatively, if you're looking for immediate cash back, there are also portals designed to give you that type of reward instead.

Here's a bonus: If you have a credit card, you can 'double-dip'—earn points and miles from both your credit card and the shopping portal on the same purchase.

To start earning points and miles while shopping online, here's how to get started:

• How to get the most out of shopping portals when making online purchases
• Boost your rewards by adding this simple step to your online shopping routine
• The ultimate guide to airline shopping portals for beginners
• How to use online shopping portal browser extensions for maximum rewards

Other methods to earn points and miles

Credit cards, travel, and shopping portals are the primary ways to earn points and miles, but other opportunities exist as well. You can rack up rewards by participating in dining programs at restaurants, using ride-hailing services like Uber and Lyft, or even completing surveys from the comfort of your home.

• Complete guide to airline and hotel dining reward programs
• How to earn points, miles, and cashback while doing your taxes
• How to rack up points and miles by completing surveys
• How to credit your miles to a partner airline's program
• The simplest way to earn bonus points with every Lyft ride
• Earn Marriott points by ordering from Uber Eats

What are the best ways to use your points and miles?

It might sound too good to be true, but the rewards from credit cards, hotel loyalty programs, and airline miles can truly transform your life. With a little know-how, points and miles can unlock access to luxurious flights, exclusive suites, and dream vacations you never thought possible.

For some, this means flying internationally in a lie-flat seat, sipping Champagne in the sky on your way to an overwater villa on a remote island. This isn't a fantasy—it's entirely achievable, and we can guide you through making it happen.

But points and miles aren't limited to just extravagant getaways. You can use them to visit Disney World, explore Europe, take a tropical getaway to Hawaii, enjoy the sights of New York City, stay near a national park, or even plan a family vacation with the kids.

While travel typically provides the greatest value for your points, they can also be used in other ways, such as redeeming for gift cards, exchanging them for statement credits or cashback, or even treating yourself to a nice dinner or some merchandise.

The value you get from your points depends on how you choose to use them, and we're here to help you decide when it's better to use points versus cash. However, there's no right or wrong way to use your rewards as long as they're helping you achieve something meaningful to you.

Real stories of success from TPG readers

It's perfectly fine if you're unsure about how you'll use your points and miles in the future. To give you some inspiration, here are a few real-life examples from fellow TPG community members and how they made the most of their rewards:

• Saving $23,000 on a girls' trip to Europe
• Taking the family to Kauai, Hawaii, for just 60,000 miles
• Using points for an unforgettable honeymoon in Paris and Prague

If you'd rather see how this all works in action, check out this video:

In this article, we explore how some TPG readers have used their points and miles to travel to Costa Rica.

Beginner tips from TPG team members

Everyone starts somewhere — even those of us at TPG. Here are some helpful guides from TPG staffers who were once beginners in the world of points and miles:

• Getting started with points and miles
• My personal journey into the world of rewards cards
• My first big redemption: Using points and miles

How do I redeem my points and miles?

We've covered how points and miles work and how to earn them. Now it's time for the fun part: how you can actually use them.

You don’t need to start with a huge, extravagant redemption. In fact, there’s no rush to use your rewards right away, especially if you’re just beginning your earning journey. However, having an idea of how you might redeem them in the future will make you more strategic about earning.

We promise that once you make even a small redemption, the excitement will fuel your motivation to learn more and aim for even bigger rewards in the future — if that's what you’re after.

Using airline miles for flights

While there are other ways to redeem your miles, using airline miles for flights is often the most rewarding option.

When redeeming miles for flights, you can use them to book a flight operated by the airline where you earned your miles, or with one of its partner airlines. For instance, if you collected miles through United MileagePlus, you could use them to book a flight with United itself or with its partners like Lufthansa, Singapore Airlines, or ANA, among others.

At its core, the process is simple: just log into the frequent flyer program where your miles are stored, click on "Redeem miles", and search for flights just like you would when buying a ticket.

In the past, award seats were often hard to find or sold out, but that's not as much of an issue anymore. Airlines now set award seat pricing more in line with the cash price of tickets for their own flights. While prices may fluctuate (and be higher during peak periods), availability is generally much better.

Maximizing the value of your airline miles can differ depending on the program. Here are a few helpful guides to get you started:

• How to use your United MileagePlus miles
• How to make the most of your American Airlines AAdvantage miles
• How to redeem Delta SkyMiles for flights
• How to maximize your Southwest Rapid Rewards points
• How to redeem miles with Alaska Airlines

If you’re eager to dive in, check out some common pitfalls to avoid when redeeming your airline miles and explore a few of our top ways to use your miles effectively.

Using hotel points for free stays

Similar to airline miles, your hotel points are most valuable when redeemed for stays with the brand where you earned them. While hotels generally don’t have as many partners as airlines, you'll still have access to a wide range of properties within the same program's umbrella.

For instance, your Marriott Bonvoy points could cover stays at luxurious properties like St. Regis or The Ritz-Carlton, or more budget-friendly options like SpringHill Suites or Fairfield Inn, thanks to Marriott's extensive brand network.

Some hotel loyalty programs still use fixed award charts that let you know the number of points required for a stay in advance, assuming the hotel has a standard room available. However, many programs are now shifting to dynamic pricing, meaning award rates can change nightly, similar to how cash prices fluctuate. This flexibility makes booking easier but can also make it tricky to predict the exact point cost in advance.

Once you've accumulated enough points for a free night, programs like World of Hyatt and Hilton Honors offer additional perks. When you redeem points for a room, you'll also get resort fees waived, which can save you $50 or more per night at some properties. However, note that Marriott Bonvoy does not waive resort fees, even when booking award stays.

For a more advanced approach to redeeming your points, take a look at these guides on common mistakes to avoid when redeeming hotel points and how to maximize the value of your hotel points.

Using credit card points and miles for travel bookings

While airline miles and hotel points are valuable, there are significant benefits to concentrating your efforts on earning flexible credit card points and miles instead.

Credit card reward programs include the following options:

• Chase Ultimate Rewards
• American Express Membership Rewards
• Capital One Travel
• Bilt Rewards
• Citi ThankYou Rewards

These types of points can often be more valuable than those tied to specific airlines or hotel brands like United or American Airlines, as they offer greater flexibility when it comes to redemption. Credit card points are typically used for travel in one of three primary ways:

• The most straightforward option is using your points to book travel through the credit card's dedicated travel portal, which functions similarly to a travel agency like Expedia. The points' value when redeemed this way is generally fixed, but it may not offer the highest value compared to other redemption options.
• Some programs, such as Capital One, allow you to pay for travel directly with the provider (like a hotel) and then later use your rewards to offset that charge. For instance, you could pay for a $150 hotel stay upfront and, a few weeks later, use 15,000 Capital One miles to reduce the cost on your statement.
• For the most advanced option, you can transfer your credit card points to one of the partner programs, such as United MileagePlus or World of Hyatt, to unlock even more value from your rewards.

Booking travel through platforms like Chase Travel℠ is one of the easiest ways to redeem your credit card points or miles. However, you may find that transferring them to a hotel or airline program for specific rewards can sometimes yield more value per point than using a fixed redemption rate.

To help you figure out the best way to redeem your points and miles, try using the TPG awards versus cash calculator, which breaks down the math for you.

If you're in the mood for a break from reading, check out this TPG video that walks you through the value of transferable points.

While you're there, don't forget to subscribe to our YouTube channel so you never miss out on valuable insights.

Which credit card should I begin with?

As mentioned earlier, rewards-earning credit cards aren't the only way to accumulate points and miles, but they are certainly one of the quickest ways to boost your earning potential. This is especially true when that first big welcome bonus hits your account, instantly transforming your balance from zero to tens (or even hundreds) of thousands of points available for travel.

What you need to know before applying for your first card

Before you add a rewards credit card to your collection, there are a few key things to consider.

First, be aware that these credit cards aren't suitable for those who plan on carrying a balance. If you anticipate needing to defer a large purchase for a while, consider choosing a card with a low or 0% interest rate.

Credit card points can end up costing you real money if you're paying interest or making unnecessary purchases just to earn them. To maximize your benefits, make sure to pay off your balance every month so you can enjoy the points and purchase protections that come with using your new card. Start by moving some of your regular expenses or recurring bills to the card, ensuring that you can pay it off easily each month.

Keep in mind that a solid credit history is often necessary to be approved for some of the more elite rewards credit cards. If you're just starting to build or rebuild your credit, take a look at these great "starter" credit card options.

How to pick your first credit card

While everyone’s financial situation is unique, we generally suggest that those new to points and miles begin with a credit card that offers a solid welcome bonus, carries an annual fee of $100 or less, and provides a range of options for redeeming your points.

If you’re looking for specific recommendations, the Chase Sapphire Preferred® Card is one of our top picks as a starter rewards credit card.

This card is one of our top picks for beginners, offering an annual fee under $100 and earning 3 points per dollar spent on dining, select streaming services, and online grocery orders (excluding Walmart, Target, and wholesale clubs). It also earns 2 points per dollar on travel purchases and 1 point on everything else. These points can be redeemed at a rate of 1.25 cents each toward travel or transferred to several travel partners, including Hyatt, United Airlines, Southwest Airlines, British Airways, and Marriott.

The Capital One Venture Rewards Credit Card is another solid option for your first rewards card, offering a low annual fee and a straightforward earning structure of 2 miles per dollar on all purchases.

With this card, the miles you earn are worth 1 cent each toward travel or can be transferred to Capital One's hotel and airline partners, including British Airways, Air Canada, and Singapore Airlines.

If you're not ready to sign up for a rewards credit card just yet, don’t worry—it’s not a necessity to start earning points and miles, although it definitely helps. When you're prepared to take that step, here’s more guidance on how to choose the best card for your needs:

• How to pick the best credit card
• Top travel credit cards right now
• Best credit cards for college students
• Credit cards for achieving elite status
• Top credit cards for dining enthusiasts
• Should you choose a card with an annual fee?
• Check if you're targeted for a better credit card offer with CardMatch

What's next? Check out TPG's 'getting started' checklist

Once you've mastered the basics of points and miles, the world is yours to explore.

You can visit incredible destinations, save on your annual holiday trips home, upgrade from economy to business class for long-haul flights, and so much more.

If you prefer to start simple with just one rewards card and use points at roughly 1 cent each for travel, you're on the right track, and there's absolutely nothing wrong with that. But remember, the learning doesn’t stop here. The more you understand about points and miles, the better equipped you'll be to stretch your travels and save even more.

To help you get started, we've put together a handy checklist to guide you on your points and miles journey.

Before you dive in, we highly recommend you sign up for our free Points 101 email series.

This is a 10-email series designed to take you from a complete beginner to making your very first award booking in no time.

Step 2: Choose your first redemption target

The most effective way to master the points and miles game is by actually earning and redeeming points. Now that you're familiar with the basics, it's time to set a goal for your first redemption.

Perhaps your goal is to earn enough points to cover your in-laws' hotel stay over the holidays. Or maybe you're aiming to rack up enough miles for a trip to Disney World. You might even dream of visiting Paris or saving up for a once-in-a-lifetime vacation to the Maldives. Whatever your goal, the key is to choose a realistic target that motivates you to keep learning about points and miles.

The next step is to enroll in all the loyalty programs linked to the airlines and hotels you frequently use. These programs are free to join and will allow you to earn rewards with every trip you take.

To register for the major U.S. airline frequent flyer programs, head to the following websites:

• American AAdvantage
• Delta SkyMiles
• JetBlue TrueBlue
• Southwest Rapid Rewards
• United MileagePlus

For the major hotel loyalty programs, you can sign up here:

• Hilton Honors
• IHG One Rewards
• Marriott Bonvoy
• World of Hyatt

Step 4: Apply for your first rewards credit card

Once you're ready, applying for your first rewards credit card is an excellent way to boost your points and miles collection. When you hit the sign-up bonus, use the card for your regular spending and remember to pay off your balance in full each month. Even with just one card, you'll see a noticeable increase in your rewards.

Take a look at this guide to learn everything you need to know about how to apply for a credit card.

Step 5: Become a part of the TPG community

At TPG, our core mission is to make travel more accessible for everyone through points and miles. As you begin earning and redeeming rewards for your trips, be sure to stay connected with TPG for the latest updates to enhance your travel experiences, expand your knowledge, and achieve your travel goals.

Stay connected with TPG on social media and join a community of passionate travelers.

• Instagram
• TikTok
• X (formerly Twitter)
• TPG Lounge Facebook Group
• TPG Women Facebook Group
• Facebook

Don't miss out on the latest news and expert advice from TPG—sign up for our free newsletters.

• Subscribe to our free daily newsletter for the latest travel and credit card tips
• For aviation enthusiasts, get insights from our biweekly aviation newsletter
• Cruise fans can stay up to date with our biweekly newsletter from Gene Sloan
• Discover the latest travel trends with TPG founder Brian Kelly in our weekly newsletter

Step 7: Install the TPG app

Explore TPG's range of tools designed to guide you in maximizing your points and miles, tailored to your unique travel goals and preferences.

Download the free TPG App to personalize your news feed, make smarter spending decisions on daily purchases, and track your journey toward your ultimate travel redemption.

Key Takeaway

Achieving your first travel redemption, whether big or small, is a huge milestone. We’re here to help you celebrate as you take your first steps into the rewarding world of points and miles.

Share your redemption experiences with us by tagging us in your photos, emailing your success stories to [email protected], or connecting on any of our platforms. We love seeing how TPG is helping you earn and redeem points and miles, and we’re here to support you every step of the way.