Many people know about some of the major credit card perks such as cash back and credit card points. These are great features but some credit cards come with other perks that are great to have but are lesser known.
When looking at credit cards, it is good to know what the different perks are of the card. You want to get cards that fit your needs the most. Some of the lesser known perks may help you decide between two different cards that offer the same main perks.
In this blog post, I am going to cover some of the lesser known perks and some cards that come with the perk.
What are some of the lesser known perks?
Primary Rental Car Insurance
Many travel cards come with insurance that you can use when booking a rental car. Primary and secondary insurance are two different types of insurance offered with credit cards.
Primary insurance pays for damages or theft of the car even if the person renting the car doesn’t have car insurance. The person doesn’t have to contact their insurance company even if they do have auto insurance. Primary insurance is the main line of defense.
Secondary insurance only supplements the main car insurance that a person has. It will only pay for damages or loss after the person’s main auto insurance has been exhausted.
Secondary insurance is okay, but the type of insurance that you want to have is primary insurance. This one perk can save you hundreds of dollars by not having to pay for rental car insurance.
A Few Cards that Offer Primary Insurance
- Chase Sapphire Preferred: Denying the rental car insurance and charging your rental on the Chase Sapphire Preferred will give you primary coverage against collision and theft, up to the cost of the car.
- Chase Sapphire Business Ink: When you deny the rental car company’s insurance and charge the rental on the Ink card, you will receive primary insurance that covers collision and theft for the value of the car for business related purposes.
- Capital One Venture X: When using this card, if you deny the rental car company’s insurance and charge the rental on this card, you will get primary insurance. The insurance covers collision and theft up to $75,000.
Trip Cancellation/Interruption Insurance
There are times when you plan a trip and something comes up that keeps you from going on the trip. Other times you may be on the trip and something happens to cut your trip short. This is where trip cancellation/interruption insurance can come in handy.
Trip cancellation/interruption insurance will reimburse you for prepaid nonrefundable expenses when you pay for them with your credit card. This includes purchases like as hotels, airlines, rental cars, etc.
Interruption insurance covers you before the start of the trip and the interruption insurance kicks in after you start the trip.
Again, this can save you hundreds of dollars since you won’t have to take out an insurance policy on certain trips.
A Few Cards that Offer Trip Cancellation/Interruption Insurance
- American Express Platinum: For eligible events and situations, you get coverage up to $10,000 per trip or $20,000 for a given year on nonrefundable travel expenses.
- Chase Sapphire Reserve: You get coverage of $10,000 per person or $20,000 per trip for nonrefundable expenses.
- Chase Sapphire Preferred: You get coverage of $10,000 per person or $20,000 per trip for nonrefundable expenses.
Extended Warranty
When purchasing a big ticket item such as a TV or computer, they usually come with some type of warranty. The warranty is going to be for a specific amount of time but ends after that. That’s when it seems something happens.
There are credit cards that offer an extension to the warranty that you have. Usually it is an extra year but there are some that offer a longer extended warranty. This extended warranty will cover the cost of repairs or replacement of the item up to a certain dollar amount.
A Few Cards that Offer Extended Warranties
- American Express Gold Card: This card will extend a warranty an extra year if the original warranty is 5 years or less. The maximum it will cover for an item is $10,000 and up to $50,000 for a given year.
- Citi Premier Card: Warranties that are 5 years or less will be extended an extra two years. It will cover items up to $10,000.
- Capital One Venture X: A warranty that is 3 years or less will be extended by one year. The card will cover an item up to $10,000 or $50,000 for a given year.
Cell Phone Protection
For most people today a cell phone is a must, it keeps us connected to people and for many it is how they connect to the internet. Cell phones aren’t cheap and if you need to get it fixed or replaced it can be expensive to do so.
There are credit cards that can give you some peace of mind when it comes to protection with your cell phone. Some cards will cover your phone if it is lost or stolen. Usually you have to pay your cell phone bill with the specific credit card to get the protection.
There is usually a cap on the amount a claim can be as well as an amount for a given year.
A Few Cards that Offer Cell Phone Protection
- Chase Freedom Flex: This card will cover your cell phone if it is damaged or stolen up to $800 per claim and a total of $1,000 per year. You can have up to two claims per year and there is a $50 deductible.
- Platinum Card from American Express: With the Platinum card, you need to pay your cell phone bill to get the cell phone protection. The phone is covered if it is damaged or stolen. Claims can be up to $800 or $1,600 per year.
- Capital One Venture X Card: Pay your cell phone bill via this card to get protection. They will cover your phone if it is damaged or stolen. The most one claim can be is $800 and you can have two claims maximum per year up to $1,600.
Airport Lounge Access
Waiting in an airport for hours for a flight isn’t really high on anyone’s list, but it can be higher up the charts if you have lounge access. Lounges in airports give people a break from the crowds around the main gate.
Not all lounges are created equal. Some offer buffets, dressing rooms, showers and outdoor spaces to relax. For many people who travel often having lounge access is high on their list of perks to have in a card.
A Few Cards with Lounge Access
- Delta SkyMiles Reserve American Express Card: The card gives you access to Delta SkyMile Lounges as well as Centurion Lounges when you fly Delta. You also get two one time guest passes to the Delta Lounge.
- Capital One Venture X: The Venture X gives you access to Priority Pass lounges, Plaza Premium lounges and Capital One airport lounges. You can have two unpaid guests with the Plaza Premium and Capital One lounges each visit.
- Chase Sapphire Reserve: There is worldwide access to all Priority Pass lounges with the card. The primary cardholder along with all authorized users can also have two unpaid guests with them every visit.
Luggage Protection
Luggage being lost or delayed is not a new phenomenon. Bob Hope years ago said, “I love flying. I’ve been to almost as many places as my luggage.” The more things change the more they stay the same.
Having luggage protection can help you if your luggage is delayed or lost. If the airline loses your luggage, the protection will reimburse you up to a certain amount.
A Few Cards that have Luggage Protection
- Chase Sapphire Preferred: They will reimburse you up to $100 a day with a maximum of 5 days if your luggage is delayed more than 6 hours. If your bags are permanently lost, they will reimburse you up to $3,000 per person.
- Capital One Venture X: You will be reimbursed up to $3,000 per covered person if your bags are lost or damaged by the carrier.
- Platinum Card from American Express: The card won’t cover delayed luggage, but it will cover up to $3,000 per covered person on a trip.
Free Checked Bags
I don’t know of anyone that likes to pay fees for checked bags. One way around this problem is to get a credit card that will give you free checked bags.
If you tend to fly one airline more than others, this can be easy to work around. Most airlines have a number of cards that offer free checked bags. This can especially be helpful even if you fly just a few times a year.
A Few Cards that Offer Free Checked Bags
- United Explorer Card: The card gives you and a companion that are on the same reservation a free checked bag. You need to fly United and pay for the flight with the card.
- Delta SkyMiles Gold American Express Card: If you have a large family, this may be the card for you. You get a free checked bag when flying Delta. You also get 8 other people in your party that get a free checked bag.
- Citi / AA Platinum Select World Elite Mastercard: If you book a reservation with American Airlines and use the card, you and up to 4 companions get a free checked bag.
No Foreign Transaction Fees
One of the last things you want to do when traveling overseas is paying for an item and being charged extra for it. Cards that have a foreign transaction fee will charge you from 1%-3% on every purchase. That can add up over time.
Fortunately, there are many cards that offer no transaction fees when you are in a foreign country.
A Few Cards with No Foreign Transaction Fees
Capital One Quicksilver Cash Rewards Card: This is a no annual fee card, and it has no foreign transaction fees.
Bank of America Travel Rewards Card: The card has no annual fee and no foreign transaction fees.
Capital One VentureOne Rewards Card: This is another no annual fee card that has no foreign transaction fees.
TSA PreCheck/Global Entry/Nexus Credit
Have you ever been at the airport during a busy time and you look at the TSA PreCheck line and wish you had it? Well, there are numerous credit cards that offer TSA PreCheck Global Entry or Nexus.
TSA PreCheck has an expedited screening process so you can go through TSA much quicker. The cost of membership is $78 which is good for 5 years.
Global Entry includes TSA PreCheck, plus faster U.S. customs screenings as you enter the U.S. The cost of Global Entry is $100 which is good for a five year membership.
Nexus is designed to speed up processing when entering Canada or the U.S. for low risk pre approved travelers. The cost of a five year membership is $50.
A Few Cards that Offer TSA PreCheck/Global Entry/Nexus
- IHG Rewards Credit Card: The card offers up to $100 reimbursement every 4 years for membership to TSA Precheck, Global Entry and Nexus.
- Bank of America Premium Rewards Card: You can receive a $100 reimbursement every 4 years for TSA Precheck or Global Entry.
- United Explorer Card: The card offers a $100 reimbursement every 4 years on TSA Precheck, Global Entry, or Nexus membership.
Other Travel Perks
There are many other travel perks that some credit cards have besides the ones I have listed.
There are cards that have Uber/UberEats credits, shopping portals, free breakfast at hotels, flight upgrades, price matching, return protection, special access to concerts and events and identity theft protection to name just a few more.
Final Thoughts
As you can see, credit cards offer many lesser known perks, such as cell phone protection, airport lounge access, free checked bags, and primary rental car insurance along with others.
These lesser known perks can save you hundreds or even thousands of dollars each year.
When you are looking for a card to have, you will want to take a few minutes to look at all of the perks and see which card offers the most perks that you will use. That way you will maximize the value of the card.
If you aren’t sure how to pick the best credit card, you can read my blog post “Picking the Best Travel Card” to help you out.