10 Best Hotel Reward Credit Cards and How Businesses Benefit
Most people forget about hotel reward credit cards when thinking about travel perks. Sure, airline discounts are important. So is a decent place to rest your head during business and pleasure trips. As a business owner, travel and hotel stays may be more frequent. That’s why you need to get the most out of the tools you use in business anyway. We’ve combed through credit card offers to give you information about the best hotel reward credit cards for business owners.
Reward credit cards have evolved over the last few years. According to Forbes, rewards programs have improved with options for every business owner’s budget. Like with airline rewards, you’ll also find two types of credit cards for hotel rewards: cobranded and general travel.
Cobranded cards represent one brand that has collaborated with a credit card merchant. These cards will suit you if you frequent the same hotel brand. For instance, you’re a diehard Marriott lodger. Using their cobranded card will help you earn rewards more often and reach higher levels in their loyalty program. Some cobranded card programs even allow point transfers to airlines. Changing hotel chains often won’t get much value from a cobranded card. Plus, a general travel card may get you more points.
- Marriott Rewards® Premier Business credit card
- Starwood Preferred Guest Business Credit Card
- Hilton Honors Surpass Card from American Express
- The Hyatt Credit Card
- The Ritz-Carlton Rewards Credit Card
General Travel Cards
These cards aren’t attached to just one hotel chain. Different cards have different setups. Some may give you the same value of rewards regardless of the transaction category. Others may increase your reward value for what travel expenses. When it comes time to use your points, you’re not limited to one brand. You can cash in your points with any partnering companies. Some cards even offer gifts and gift cards for point redemption.
- FlexPerks Travel Rewards Visa Signature Card
- Chase Sapphire Preferred Credit Card
- Barclaycard Arrival Plus World Elite MasterCard
- Discover it Miles Travel Credit Card
- Venture from Capital One
Why Not Just Use a Regular Reward Credit Card?
A regular reward card may have flexibility in certain areas. Still, there are stipulations on what earns you the most money. For instance, gas and groceries may give you more cash back than staying at a hotel. As a business owner, your transaction activity is slightly different than your everyday consumer. Most of your purchases in business will be for supplies, services, marketing, and travel. That’s why you need a card that gives you the greatest benefit for where your dollars go.
Some other benefits of using hotel reward credit cards:
- Higher point values on travel purchases
- Free hotel nights
- Exclusive rewards for loyalty members
- Hotel room upgrades
- Free internet
- Free breakfast/cocktails
- Travel merchandise
- Smaller rewards on non-travel purchases
Difference between Business Hotel Reward Credit Cards and a Personal Hotel Reward Credit Card?
Both cards offer travel perks. Business cards may have even more benefits specifically for business purchases. They may also give the cardholders a higher limit. Business hotel rewards credit cards may also have better interest rates. Keep in mind, the greater rewards come with higher expectations. Most business cards approve consumers with excellent credit. Meaning your credit history and score should be in great condition.
Credit card companies will also look at your business revenue and ability to pay. If you’ve had time to build good business history, you should be able to get a business hotel reward credit card. If you’re new in the business or still establishing solid business credit, look into a personal card. That could help you reach your travel goals in the meantime.
Things to Watch Out for with Hotel Reward Credit Cards
Like with most credit cards, hotel reward cards have their disadvantages too. For instance, the way you earn rewards may be more complicated than it seems. The points required to get rooms may change. It could depend on the value of the room, the time of year, or the market. Credit card companies and hotels reserve the right to make changes to their program at any time.
These special types of credit cards also come with higher annual fees. It’s not uncommon to have an annual fee these days. With travel cards though, you won’t be looking at your typical $30-40. While most hotel credit card fees are less than $100, some go up to almost $300. The company adds the fee to your bill, giving you a balance before you’ve even reaped travel benefits.
You may also have to meet high level requirements to get rewards. After meeting approval requirements, some merchants want you to start spending immediately. You may have to spend thousands of dollars within a couple of months. It’s the only way to get your sign-up bonus. Overall though, if you fit the right profile, a hotel reward credit card will still be beneficial. Follow a few tips to make sure your benefits outweigh challenges of the card.
Tips to Get the Most from your Hotel Reward Credit Cards
Use your card for all of your hotel expenses
Once you’re a cardholder, this is your primary means of taking care of travel expenses. You won’t get the benefits you want using this card on groceries. Travel often and pay for hotels. Even if you have the cash, use your credit card and pay the balance. If you won’t be using the card for travel, get another type of card. If you don’t plan to travel, save yourself time and interest.
Don’t carry a monthly balance
Paying off your monthly balance is a good habit with any credit card. It’s especially important with hotel rewards credit cards. Otherwise you defeat the purpose of having this type of card. Outside of the introductory rate, interest can be high. You also have to think about your annual fee. All of that adds more money and reduces the actual value of rewards. Don’t position yourself to pay out more than you’re earning.
Look for what’s not obvious
ules vary by card, partnership, or even time of year. What you got last year may change with little notice. That’s why it’s important to read the fine print when applying. After that time, read any notices your recieve or look for yourself. Go to the credit card company’s website to find updated. You can also ask questions changes in your hotel reward credit cards program.
Apply for your Hotel Reward Credit Cards Now!
You have an idea of the best credit card for hotel rewards. Now it’s time to take action and start earning. You can get started right on our website, Business Financing Hub. We have years of experience helping entrepreneurs make smart credit decisions. Use our portal to search, compare, and apply for hotel reward credit cards.