The Booking.com Card: A Closer Look at the Increased Bonus

Booking.com has officially launched its credit card, and the initial offering has been sweetened with an increased welcome bonus. New cardholders can now earn a $250 statement credit after spending $1,500 within the first 90 days of account opening. While a no-annual-fee card with a bonus sounds appealing, let's dive deeper to see if it truly delivers.

Earning Structure: 6x on Booking.com – But What Else?

The card boasts 6x points on all purchases made through Booking.com. This is the headline earning rate, and where the card’s primary value lies. However, earning rates outside of Booking.com are less impressive, likely 2x on dining and grocery with 1x on everything else. This means that maximizing this card requires a significant amount of spending directly through Booking.com.

Redeeming Points: What's Your Booking.com Point Worth?

Before you get too excited about those 6x points, it's crucial to understand their redemption value. Booking.com points are typically worth around 1 cent per point when redeemed for Booking.com purchases. Therefore, the 6x earning rate effectively translates to a 6% return on Booking.com spending. This is a solid return, but only if you consistently use Booking.com for your travel accommodations.

Who Should Consider This Card?

This card is best suited for individuals who:

  • Are frequent Booking.com users: If you consistently book hotels or other accommodations through Booking.com, the 6x points can quickly add up.
  • Are looking for a no-annual-fee travel card: For those averse to annual fees, this card provides a way to earn rewards on travel without incurring extra costs.
  • Want a simple rewards program: The redemption process is straightforward, with points easily applied to Booking.com purchases.

Alternatives and Considerations

Before applying, consider these alternatives:

  • General Travel Rewards Cards: Cards like the Chase Sapphire Preferred or Capital One Venture Rewards offer more flexibility in redemption options (travel partners, statement credits, etc.) and often provide broader bonus categories.
  • Hotel-Specific Cards: If you're loyal to a particular hotel chain (e.g., Marriott, Hilton), their branded credit cards may offer better perks and redemption value within their ecosystem.
  • Cash-Back Cards: Depending on your spending habits, a high-earning cash-back card might provide a better overall return, especially if you don't frequently use Booking.com.

RewardSmart's Recommendation

The Booking.com credit card is a niche product. If you're a dedicated Booking.com user, the 6x points are valuable. However, for most travelers, a general travel rewards card or a hotel-specific card will provide more flexibility and potentially better overall value. Before applying, carefully evaluate your travel spending habits and compare the rewards structure with other cards to make an informed decision. Don't be swayed by the bonus alone; consider the long-term earning potential and redemption options.