To travel the world as you may be dreaming, you only need to apply organizational skills, determination and common sense, because traveling is not just for the rich. Most importantly, you need to learn some travel hacking skills. The term does not represent any crime; it is just a form of traveling free. It is doable, fun and legal to go with. Travel hacking can be defined as the art of finding and collecting miles and flier points so as to get free flights, tours or hotels. We have many levels of travel hacking. This can be an effective method of bringing the whole family to a free travel without racking up your debts. When you first read about travel hacking, you can easily get overwhelmed by the details, which could easily lead you to making bad decisions. It is therefore important some things before you start travel hacking.
To begin with, you need to determine whether travel hacking is a sensible adventure for you. Not everyone should get into it, seeing that some may get financial problems while attempting it. You need to ask yourself whether you responsibly use your credit. If you do not, travel hacking may be a bad idea for you. You should avoid using credit cards to hack and instead concentrate on finding hotel rooms and flights that are on sale. The chance of experiencing financial damage in the case where you do not use your credit card well is too high. You also need to know your credit score. You may be in a good position if it is above 740. Companies will always want to make sure that their clients are able to pay any debts they run into and hence the best credit cards. Which have high limits and are high end, require one to have a good credit score.
Next, you need to evaluate whether you will be able to meet the minimum spending requirements with your normal spending level. You can have a bonus only when you can spend a certain amount of money within a specified period. You cannot get the free travel based on the extra amount you spend on things you do not need, in the case where you do not normally spend the amount on credit.
The other consideration you need to make is whether you are planning to get a loan in the next 1 year. This is because getting new cards can drop your credit score by some points in the short run. If you are planning to take a loan, it would be better for you to wait for it to be secured first. Failure to do this may mean that your free flights may become expensive for you.
Lastly, you need to evaluate whether travel hacking will affect your credit score negatively. In a normal situation, the credit score will only drop for a few months. You may even see it improving. The credit amount you use compared to the current total limit is supposed to increase upon opening a new card. This is why the score will increase for most people.