What is a travel-alt credit card?

Travel credit card alternatives, or travel-alt credit cards, are cards that offer rewards on travel spending and on other things, too. Traditional travel credit cards (with earning capabilities and rewards toward flights, hotels, cruises, car rentals and experiences like tours) are very popular in Canada. But, after 18 months of prohibited or intermittent travel, the utility of these cards is obviously diminishing.

Enter travel-alt credit cards. With these cards, you can collect rewards by spending on travel or non-travel items and enjoy flexible redemptions. You’re not locked into how you use or redeem your card. Travel-alt credit cards are a solid option for those who want to be able to redeem for gifts cards, merchandise or experiences, while keeping the option of travel rewards open, too. 

Features to look for in a travel-alt credit card

A good travel-alt card will allow you to earn points on purchases for travel and other categories. Additionally, it will belong to a points program that offers solid travel rewards but also allows you to redeem for other things like gift cards, merchandise, events or experiences—or even cash! Beyond these basics, there are other features and variables to watch for, too.

Travel insurance 

Worthwhile travel insurance can be costly, often adding hundreds of dollars to the price of every trip. It might be tempting to go without, but the potential cost of an uninsured injury or accident can make this a very risky choice. Credit cards with the benefit of travel insurance are an economical solution. 

When shopping for a card with travel insurance, look for protection that fits your travel style. For example, while the backpacker travelling light likely doesn’t need lost baggage coverage, the professional on a business trip with expensive computer equipment probably does. 

If your credit card doesn’t have travel insurance included as a perk, comprehensive coverage is worth looking into, even if you’re only travelling locally. The HSBC World Elite Mastercard, for example, carries wide-reaching travel, medical and car rental policies. 

Rewards program and travel boosts

The best kind of rewards program for a travel-alt card is one that lets you earn points redeemable toward travel and non-travel rewards. With the HSBC Rewards program, for example, you can redeem your points towards eligible travel expenses including flights, hotels, cruise or train tickets or tours. And a big plus: No blackout dates for redeeming. And you can use any travel agent or website to book. 

If travel is currently on hold for you, you can still take advantage of your HSBC Rewards points. Turn your earnings into merchandise like electronics or sports equipment or experiences, like helicopter rides or kayaking. You can also redeem for gift cards, to give as a present or just to treat yourself. And you can put your rewards into a Charitable Impact account to make donations. Of course, if you’re looking for cold, hard cash, you can apply your points to your HSBC mortgage, Mastercard or savings account.

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