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How to Choose the Best Hotel Credit Card for You

6 min read

Published August 21, 2025

Table of contents

Key Takeaways

A hotel credit card may help you earn rewards for travel purchases or redeem your rewards for free hotel stays.
With a co-branded hotel credit card, you can only redeem rewards at the hotel brand that has partnered with your credit card company.
Travel rewards credit cards that aren’t co-branded may offer more flexible redemption options.

Whether you prefer a relaxing beach getaway, a luxurious ski trip, or an exciting adventure abroad, hotels may shape your travel experiences. A hotel credit card may help you earn rewards on your hotel stays, unlock a free stay reward, or access exclusive perks. The best hotel credit card for you depends on your travel preferences, spending habits, credit score, and financial priorities.

Types of credit cards for hotel stays

A hotel credit card is a type of travel credit card that either offers rewards—like miles or cash back—for hotel reservations and related expenses, or allows you to redeem rewards for free stays or other perks.

There are two major categories of hotel credit cards. To find the right fit, consider how each type may fit into your typical travel preferences.

Co-branded hotel credit cards

If you have a preferred hotel chain, you might consider a co-branded hotel credit card. A co-branded credit card is issued by a bank or credit card company in partnership with a specific hotel brand, chain, or hospitality group.

Co-branded cards work a little like a loyalty program. You may earn rewards on every eligible purchase, sometimes with bonuses for hotel spending. But you may only be able to redeem your rewards for benefits at the partner hotel chain. Those benefits may include a free or discounted hotel stay, room upgrades, or elite status within the hotel’s loyalty program.

While co-branded cards may offer premium benefits, they can also be fairly restrictive. For example, if you want to travel to a location without partner hotels or check out a local bed and breakfast, you won’t enjoy the same benefits.

Rewards credit cards for everyday purchases, including hotel stays

You don’t need a co-branded credit card to earn rewards for hotel spending. A travel credit card or even a general rewards credit card may still help you earn rewards at your favorite destinations or save on travel expenses.

A travel credit card may reward travel purchases or allow you to redeem rewards for travel costs. For example, with the Discover it^® Miles travel credit card, you may turn Miles into cash. Or redeem as a statement credit for your travel purchases like airfare, hotels, rideshares, gas stations, restaurants, and more.¹

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While you may not be able to access the same elite hotel rewards with a general rewards credit card, you may have more flexibility when it comes to redeeming rewards.

Factors to consider when picking a hotel credit card

Many credit card issuers and hotel companies offer hotel cards. Comparing fees and features can help you narrow your choices to the best hotel credit cards possible.

Annual fees

Some travel rewards cards with premium rewards charge high annual fees. Before account opening, you may want to break down your typical annual travel expenses and potential credit card rewards.

Hotel cards may require you to hit a certain spending or hotel stay threshold to unlock the most appealing benefits. If you only stay in hotels once or twice a year, you may not always qualify for the best hotel credit card perks, like a free stay reward. In that case, a card with an expensive annual fee may not be worthwhile.

You might instead maximize your rewards by choosing a card with no annual fee. With Discover^®, you get all the rewards with no annual fees. Instead of paying for your rewards with annual fees, keep more money in your pocket. Every Discover Card lets you earn rewards on every purchase, with no annual fee.

But if you stay in hotels frequently, a card with a higher fee may still save you money—especially if you tend to stick with the same hotel chain.

Foreign transaction fees

Some credit card issuers charge a foreign transaction fee when you use your card in another country. That means you incur an additional cost for using your credit card for transactions in countries that use a different currency. Discover^® has no foreign transaction fee.

If you typically stay stateside, foreign transaction fees may not influence your decision. But if you travel abroad, the extra costs may add up.

Using the card for everyday purchases

Some globetrotters and digital nomads may spend most of their time traveling. But if you only travel a few times a year, you may want to use your card at the grocery store or gas station, too.

A hotel credit card that’s widely accepted by most merchants and offers rewards on every eligible purchase—not just each travel purchase—might make a great everyday credit card. With the Discover travel card, for example, you can earn 1.5x Miles on every purchase ¹, at home or away.

Welcome offers or bonuses

Many hotel credit cards come with extensive welcome bonuses to entice new cardmembers. On co-branded cards, welcome offers often include several free nights at a participating hotel. Or you may receive bonus rewards on top of your initial earnings.

You may not automatically receive a welcome bonus, however. Many credit card companies require cardmembers to spend a certain amount on their card within several months of account opening to receive the welcome bonus. If you can’t reach the spending requirement, you may miss out.

Did you know?

With Discover, you don’t have to meet a spending threshold to earn bonus rewards. We’ll automatically double all the Miles you’ve earned on your credit card at the end of your first year. There is no limit to how much we’ll double.²

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Redeeming hotel travel rewards

The best hotel card for you should offer rewards redemption options that align with your priorities and needs.

Many co-branded hotel cards allow you to pay for your hotel stays with hotel rewards. Some credit card issuers may also let you redeem rewards to cover another travel purchase, like national car rental or a resort fee.

But you may want more flexible redemption options too, like cash, a statement credit, or a gift card.

Additional hotel benefits and perks

A hotel card may offer some additional perks that make your trips more luxurious, like:

Late check-out or early check-in.
Complimentary breakfast or a complimentary drink at the hotel bar.
Welcome kits at co-branded hotels.
Room upgrades, when available.
Credits for resort features, like the spa.

The bottom line

A hotel credit card may help you travel in style or save for your perfect vacation. To find the best credit card, consider whether you’d prefer hotel rewards with a specific brand, or a wider range of redemption options that you may enjoy on vacation or in your living room.

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