5 Surprising Ways Good Credit Protects You While Traveling

Key Takeaways

When we think about the benefits of having good credit, things like lower interest rates and loan approvals come to mind. However, your credit score impacts areas of your life that you may not even realize – including the experiences you have while traveling. Whether your suitcase is packed for a business trip, a fun vacation, or a not-so-voluntary trip to visit the in-laws, good credit can make your adventure safer and less stressful.  Here are the 5 ways a good credit score can become the ultimate travel buddy:

1. Financial security in emergency situations

With good credit comes access to credit cards with higher spending limits. For travelers, this safety net can keep a minor problem from becoming a major emergency. Imagine exploring an exciting new country–when, suddenly, your wallet gets stolen or severe weather leaves you sheltering in place. Now, you’re stuck somewhere unfamiliar with a pile of surprise expenses. With an emergency credit card set aside, you can easily cover the cost of extending your accommodation or replacing essential documents.  Good credit also protects against medical incidents away from home. Whether it’s a minor injury or a serious accident, out-of-network care can decimate your travel budget. With a high credit limit, you can get the care you need and handle the financial details when you’re safe at home.

2. Greater flexibility and peace of mind

Good credit also provides flexibility and peace of mind for folks traveling on a budget. Cars break down. Luggage gets lost. Cell phones get left in airport bathrooms. With extra room on your credit card, you’ll be prepared for financial hassles you can’t predict.  Certain credit cards even offer travel insurance for things like lost baggage, flight cancelations, or medical emergencies. While coverage varies, good credit greatly increases the likelihood you’ll qualify for a card with comprehensive benefits.  Some last-minute expenses, however, are a welcome surprise. If you come across a great flight deal or get invited to a fun event, good credit makes it easier to go with the flow. Since folks with strong credit scores generally get the best interest rates, you’ll pay less to say yes to whatever adventures come your way.

3. Hassle-free holds and booking

Some of the biggest travel expenses–like hotels and rental cars–also require temporary deposits. Paying out of pocket can put financial limitations on your trip until you get your money back. In contrast, by putting holds on a card with a high credit limit, you can access these amenities without impacting your travel budget.  In fact, many hotels and rental agencies require a credit card to secure a reservation, even if you plan to pay with debit or cash later. With good credit, you can get a higher credit limit, which will help you book easily and get back to enjoying your vacation. You’ll also reduce your chances of being limited to low-quality businesses that take advantage of folks with fewer options.

4. Travel perks and privileges

Good credit gets you access to the best credit offers, including cards with special travel perks. By using a card with a travel rewards program, you can earn points towards discounted–or even free–flights, hotels, or car rentals. These cards often award extra points for travel-related purchases, so you’ll save on your next trip by enjoying your current one.  Good credit also opens doors to exclusive travel privileges. Some cards offer premium benefits like airport member lounges, priority boarding, room upgrades and more. These perks allow you to tap into unexpected luxuries that make your trip even more unforgettable.

5. Convenient international travel 

Heading abroad? In most cases, you’ll pay conversion and foreign transaction fees every time you swipe your debit card or withdraw local currency. Fortunately, some credit cards are designed specifically to entice international travelers. These cards offer favorable exchange rates, and often waive conversion fees altogether.  Good credit also increases the chances you’ll obtain a widely-accepted credit card. This means you won’t have to waste time hunting down a currency exchange or risk carrying large amounts of cash. These companies usually have robust fraud protection and detection measures, so you can travel without constantly worrying if your account is secure.  If you’re looking for a ticket to adventure, look no further than your credit score. From handling emergency situations to enjoying travel rewards, a positive credit history provides financial security and peace of mind when you’re away from home.

Prepare for liftoff with StellarFi

By prioritizing your credit today, you’ll unlock a future filled with hassle-free travel. With StellarFi, you can build credit fast–using the household bills you already pay. StellarFi reports these payments as credit directly to all major credit bureaus, improving the most important factors that make up your credit score. The best part? There’s no deposit, and no minimum score required. Come see how it works!



StellarFi (StellarFinance, Inc.) and its affiliates do not provide financial, tax, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. You should consult your own financial, tax, legal, and accounting advisors before engaging in any transaction. StellarFi receives a referral fee from the partners mentioned in this article.