Whether you’re browsing vacation deals on your laptop or scrolling through flight prices on your phone, you’ve probably wondered if you’re getting the best possible deal. The eternal travel dilemma boils down to two main approaches: earning rewards through travel credit cards or hunting for discounts on free booking sites like Kayak and Booking.com. Both strategies can lead to significant savings, but which one actually puts more money back in your pocket?

The answer isn’t as straightforward as you might think. Your best savings strategy depends on your travel frequency, spending habits, and willingness to juggle multiple approaches. Let’s break down how each method works and when to use them for maximum value.

How Travel Reward Credit Cards Build Savings

Travel credit cards work by turning your everyday spending into future travel discounts. You can use travel credit cards to save money on expenses such as airfare, hotel stays, car rentals and baggage fees. Use credit cards to pay for recurring monthly expenses, and you’ll be amazed how quickly your earnings accumulate.

The most popular cards offer impressive earning rates. The Chase Sapphire Preferred Card earns 5x on travel purchased through Chase Travel, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, while the Capital One Venture Rewards Credit Card provides 5 miles per dollar on hotels and car rentals booked through Capital One Travel and 2 miles per dollar on all other purchases.

Welcome Bonuses Pack Extra Value

Many travel cards sweeten the deal with substantial welcome bonuses. The Chase Sapphire Preferred Card offers 75,000 bonus points after you spend $5,000 on purchases in the first 3 months from account opening, which translates to roughly $750-$950 in travel value depending on how you redeem.

Many people have traveled the world on credit card points. For instance, you might redeem your rewards for a business-class flight to the Maldives or a luxury hotel stay in Miami. The key is maximizing your everyday spending to earn these rewards faster.

Hidden Perks Beyond Points

Premium travel cards offer benefits that can save hundreds annually beyond just earning rewards. The $395 annual fee Capital One Venture X Rewards Credit Card offers each year a $300 annual credit for bookings through Capital One Travel and 10,000 bonus miles (equal to $100 towards travel) on your account anniversary. Already, that’s enough to wipe out the annual cost before considering other perks like airport lounge access and TSA PreCheck credits.

Free Booking Sites: The Comparison Champions

Free booking platforms like Kayak, Expedia, and Booking.com excel at one thing: showing you multiple options quickly. Kayak is a search engine, and it’s a great tool to use to begin your travel planning. The great thing about Kayak is that it compares prices between all the OTAs you’re familiar with (like Expedia and Orbitz), plus airline and hotel websites.

These sites aggregate thousands of options, letting you filter by price, location, amenities, and user ratings. Recent analysis shows HotelsCombined was one of only three sites, along with Kayak and Momondo, that never once returned a price or hotel count that ranked below average in comprehensive testing.

The Price Transparency Advantage

Booking sites shine when it comes to apples-to-apples comparisons. You can instantly see if that $150 hotel room is actually a good deal compared to similar properties nearby. Many websites show you pricing without taxes and fees when you’re searching. While it might appear you’re getting a great deal on a particular site at first, once you add in all of the fees, the price may be the same as all of the other OTAs.

Package Deals Can Multiply Savings

Where booking sites really excel is in bundled packages. Expedia offers up tons of options. You can book a flight, hotel, vacation rental, car, cruise, or local excursion all in one place. These packages often provide discounts of 10-20% compared to booking components separately.

The Real Cost Comparison

Here’s where things get interesting. While booking sites might show lower upfront costs, travel credit cards can often deliver better long-term value when you factor in rewards earning.

Consider a typical scenario: a $1,200 flight and $800 hotel stay for a week-long vacation totaling $2,000.

Booking Site Approach:

• Find deals saving 8-12% ($160-240 off)
• Final cost: $1,760-1,840
• No ongoing benefits

Travel Credit Card Approach:

• Earn 2-5x points on the $2,000 spending
• Gain 4,000-10,000 points worth $40-200 in future travel
• Annual travel credits ($300 on premium cards)
• Potential welcome bonus if timed right

Over time, the credit card approach often wins, especially for travelers who can maximize category bonuses and annual credits.

When Each Strategy Works Best

Choose Free Booking Sites When:

• You travel infrequently (less than twice yearly)
• You prefer paying cash and avoiding credit cards
• You’re booking complex multi-city trips
• You want maximum flexibility in cancellation policies

Choose Travel Credit Cards When:

• You travel 3+ times per year
• You can pay bills in full monthly
• You want to earn while spending on everyday purchases
• You value perks like lounge access and travel insurance

The Hybrid Strategy: Best of Both Worlds

Smart travelers often combine both approaches. Several popular travel credit cards offer significant bonus earnings for bookings made through the issuer’s travel portal using the card. You can research prices on Kayak or Expedia, then book through your card’s travel portal to earn bonus points while still getting competitive rates.

Several cards offer annual travel credits for bookings made through the card’s travel portal. Capital One Venture X Rewards cardholders, for example, receive a $300 annual travel credit to use on the Capital One Travel portal.

The bottom line? If you travel regularly and manage credit responsibly, travel reward cards typically provide superior long-term value. Casual travelers might find booking sites simpler and more immediately rewarding. The savviest approach combines both: use booking sites for research and price comparison, then book through travel portals or directly with providers using your rewards credit card to maximize both upfront savings and future travel benefits.