Unlocking the secrets of Credit Cards with Annual Fees! Young professionals & college students tend to be more sensitive to annual fees, might miss out on long-term benefits. Join Brady Yu, the co-founder of TripPlus Travel, and Ava, the college student, as they revealed the secrets of Credit Cards with annual fees. They explored immediate expenses and discover hidden value, showing how these cards could be the perfect fit for your lifestyle!
We also spice up Thanksgiving by turning these secrets into a Scavenger Hunt! Let’s see how many points you can score by the end!
Secret 1: The issuer cares about (literally watch) your credit score
Ava: Hey Brady, I’ve been uncovering the perks of reward points and credit cards – it’s mind-blowing🤯! I regret missing out on those free flights with cash. Any ideas on what I should chase after next?
Brady: Ava, remember when I talked about those five credit cards for beginners?
Whether you applied for them or not, it’s smart to look at your credit score often.
Having a good credit record is super important for everything.
Your credit record depends on:
- Inquiries: How many credit cards you’ve applied for (even if you didn’t get them)
- Payment: If you’ve paid on time
- Credit usage: How much credit you’ve used
Building a habit of regularly checking your credit score on any bank’s website is the first step to set yourself up for success in long-term award travel.
Does it make sense?
Secret 2: Annual fees rule out the possibility of receiving positive benefits
Ava: I eat out a lot. I can get 4X points dining out and grocery shopping 🌮🛒🥑🥕🧀with the American Express® Gold Card. But there’s a $250 annual fee (Ouch!). Is it worth it, Brady?
Brady: Let’s simplify it – When picking a credit card, don’t stress about the annual fee.
Think about what you get, not just what you pay.
Like the American Express® Gold Card. It costs $250 each year but gives you a huge AMEX MR 60,000 bonus points. Take a conservative approach to look at it: 60,000 Amex MR points can offset a $360 bill. So, paying the $250 fee is absolutely worth it; you’re practically earning $110 effortlessly. Don’t forget you can the points for flights or hotels. Go for American Express® Gold Card at $250. It’s a total win!
Hey Ava, remember the 👇Credit Card Strategy Golden Rule👇? It helps you win cool travel rewards later on.
Secret 3: Perks and benefits distract you from what really fits your lifestyle
Ava: Hey Brady, do you mean we should just go for a credit card if the sign-up bonus is better than the annual fee? But didn’t you say earlier that it’s important to choose a card that fits us? 🤔
Brady:🌟 Great question! Getting a credit card is like a business deal – it’s great if you get more than what you put in! But watch out, applying for tons of cards might lower your credit score and make snagging those sign-up bonuses tough. So, choosing a card that’s your perfect match.
Let’s say you’re eyeing three cards with awesome sign-up perks. Now, the one you go for should match how you spend and the benefits you want.
Take the American Express® Gold Card, for example. It gives you 4X points at restaurants and supermarkets. If those are your hotspots, this card’s a winner! Don’t just stop at the sign-up bonuses. Peek if the card gives you annual credits for the things you love. Imagine eating out often – American Express® Gold Card offers a $10 dining credit monthly and another $10 for Uber eats. Even if you pay the fee next year, it’s just $10!
Spending that tiny amount for mega 4X points at your favorite spots? This’s a game-changer! LOL 🚀💳
Secret 4: Credit card companies lock in your spending habit for the perks and benefits
Ava: Wow! Cards with fees might give better perks. Should I get one later?
Brady: It’s a temptation to get credit cards with annual fees for awesome rewards!
But remember, just having a fee doesn’t mean it’s the best.
Look at The Bilt Mastercard® – it’s fee-free, offers triple dining rewards, a $5 monthly DoorDash credit, and hassle-free points-to-airline-miles conversion. It’s also amazing, isn’t it?
While cards like The Amex® Platinum Card® boast hefty perks, their $700 annual fee 😱 might be a hefty commitment. That’s a lot!
Choosing a card means finding what suits your lifestyle, not just chasing the most rewards. Make your choice wisely 🙌, Ava!
Find it difficult to keep yourselves and friends into the annual-fee credit card logic during the holiday seasons🍷, why not play a game out of it? This customizable “Virtual Thanksgiving Award Travel Scavenger Hunt” will allow you to rack up points for every item found on your phone. Have fun!
Time to put all you’ve learned into practice is finally here! Get ready for an exciting revelation… Join Brady and Ava next week as they unveil the secrets to “Achieving the First Free Trip to Hawaii (or Europe). Stay tuned!
It’s also our final episode of Award Travel for Young Professionals and College Students. Don’t miss out!
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About Maria
Hi, I’m Maria, the founder of Maria Points The Way. I help families simplify award travel and turn points into extraordinary, luxury journeys to Asia Pacific. When I started out in Fall 2023, I created a special travel boxset—a curated 8-episode series designed to introduce my own kids (now in middle and high school) to the incredible world of miles and points.
To me, points are more than just travel perks—they’re part of financial awareness and literacy. Points are money. And that’s exactly how I teach families to think about their points: as assets to manage strategically through a personalized portfolio. I’ve woven real-life stories and practical tips into each episode to make it approachable and inspiring for families, newcomers, and curious travelers alike. Every graphic in this series was thoughtfully designed and created by me—with love—to make learning both beautiful and practical.
This guide is perfect for:
- Even high schoolers—it’s never too early to build strong financial habits and travel-savvy awareness (my kids started in elementary school!)
- Beginners exploring points and credit cards
- Recent arrivals to the U.S.
- Young professionals and college students
