Wish To Stay In 5-Star Hotel For Free? Here's How Loyalty Programmes Can Help

For most people, relaxing in a 5-star hotel is among the top points on their bucket lists. But the expenses are a hurdle some cannot overcome. What if we told you that there was a way you could cross this dream off your bucket list, and that too with minimal expenses? Through loyalty programmes and credit card rewards, you may be able to enjoy a short stay at a 5-star hotel with little to no charges.

Let’s take a look at how loyalty programmes work:

If you are enrolled in the loyalty programme of a hotel chain like the Hyatt or the Marriott, you will earn reward points any time you book a room for business travel. These points start in the range of 1 to 4 percent per Rs 100, as reported by Mint, and can go up to 8 percent depending on the membership tier you are on.

As you progress through the membership tiers, you will get perks like discounts on hotel bookings, spa vouchers, late check-out facility and access to executive lounges.

But these programmes only work if you book frequent stays in the same chain, which is not possible for most people.

A more preferred option is credit card rewards. You can use your credit card for transactions like paying your bills, tuition fees, shopping and more.

The points will slowly accumulate in your credit card account. As most banks have partnerships with 5-star hotel chains, you might be able to transfer your points to stay in these luxurious retreats. If you use your credit card frequently, you may be able to transfer the reward points to pay for your flight tickets as well.

A word of caution to everyone who is planning to use this scheme- Make sure your credit card bills are paid on time. Lapses in your credit card payments can lead to debt. It can also lower your credit score, reducing your chances of getting loans at a more favourable interest rate.

Another thing to keep in mind before embarking on a credit card reward programme is to make sure that the bank has an alliance with the hotel chain you want to stay in.

By keeping these factors in mind, you could get a big discount on 5-star hotel bookings and enjoy a stay in the lap of luxury.