The answer is, “It depends.

When most people think of a travel credit card, they consider
one that offers frequent flier miles with purchases, points in
hotel points programs, or retail partners that offer discounts
to cardholders. Perhaps the most popular travel card is the type
that accrues frequent flier miles. These are the cards that throw in
a certain number of frequent flier miles with each purchase,

and if you use it to buy a lot of stuff, then pay the balance off each month,

it’s a great way to pile up those airline miles.

Another way to think of a travel credit card is as a source of
currency wherever you happen to be. You can often (but not
always) get a good currency exchange rate with your credit card,
and they are widely accepted throughout North America and
Europe. You may also have the option to get cash from an ATM
using your credit card. Again, the exchange rates are usually a
little more generous than going to a currency exchange
office.

Another type of travel card isn’t a credit card at all, but a
prepaid spending card. These are perfect for teens going on
group tours of other countries with their French club or their
school choir. These cards are topped up by mum or dad prior to
the trip, and give a student an easy, safe way to pay for
incidentals and meals. And they can be topped up online usually,
in case funds run low. Visa Buxx is one such prepaid card.

Three examples of travel rewards credit cards are the Citi
Forward Card; Starwood Preferred Guest American Express Card;
and Miles by Discover. Each has its own advantages and
disadvantages.

The Citi Forward Card gives you 100 bonus points for each
billing period when you pay on time, and interest rates go down
as you manage your card responsibly. Starwood Preferred gives
you 10,000 points when you make your first purchase. The Miles
by Discover Card gives you 1,000 miles for each month you make a
purchase, double miles for the first $3,000 you spend, and you
have access to all the major airlines.

There are many other choices, too, and you can easily compare
travel rewards cards by going to askmrcreditcard.com or
creditcards.com. Keep in mind that if you tend to carry balances
from month to month you will probably be better off choosing the
card with the lowest interest rates and not accumulating travel
miles or points due to the offsetting nature of high interest
payments.