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As summer draws to a close, it’s back-to-school season. Here in New York City, the school year starts after Labor Day (late, I know!), and very soon, I’ll start to see crossing guards escort gleeful children toting backpacks to the elementary school across the street.

In the spirit of back-to-school season, I thought I’d also take us back to school with points and miles 101. Whether you’re new here (welcome!) or just want a refresher on points and miles, this is for you.

Here’s what you need to know.

Moses had 10. I have just five. 

No, not that end destination. I’m talking about a travel destination. 

Whether you’re just starting or considering opening a new card for its signup bonus, I think you need to have a goal travel destination in mind. 

Want to fly business class to Tokyo or Paris?

Planning a honeymoon in Cancun? 

Or maybe you want to fly cross-country to visit Yosemite?

All of these are great uses for points and miles, but your destination will help determine which cards to open. Without a goal, you’re just chasing points and miles with no purpose. 

If you want to fly internationally, especially if you want to stretch out in a premium cabin like business class, you’ll likely want to start with a card that earns transferable points. Some cards also include credits for hotel stays and cover the application fees for programs like Global Entry.

Airline co-branded credit cards earn miles to fly on that airline or its partners. These cards often come with free checked baggage perks and may be a good option for a domestic flight.

Most new credit cards come with a signup bonus, sometimes called a “welcome offer.” Hands down, this is the easiest way to accumulate a large amount of points in a relatively quick amount of time. 

The bonus points you earn may cover a significant portion of what you’ll need to reach your goal. Sometimes, the bonus points may even cover the entire flight.

Signup bonuses are sexy, but they’re like a one-night stand. Once it’s over, they ghost. 

Most cards have multiplier categories, such as earning 3x on dining or 5x on flights and travel. Your card’s multiplier categories are like a long-term relationship. This is how you continue to earn points long after the signup bonus passes. 

Here are some cards that earn elevated rates on:

So, before you even sign up for a new card, take a hard look at the card’s multiplier categories the card earns bonus points on. Living in New York, I don’t have a car. (You don’t want me driving, trust me.) So for me, a card that earns bonus points on gas isn’t too helpful, but if it earns on public transit, that’s great. It may be the opposite for you.

The points you earn from travel credit cards can be valuable, but credit card interest can quickly cancel that out. If you can, pay off your card bill in full each month. 

I believe that the answer to what is a good redemption depends on you. This is a hill I will die on. 

Some folks say you want to look for redemptions of 2 cents per point or more, and sure, that’s not a bad target, but ultimately, the best redemption is one that helps you reach your travel goals. 

Just don’t redeem your points for gift cards. You deserve better.

Go for extra credit. Here are some more resources for your points-and-miles education. 

Due to the quirks of credit card compliance, we are sometimes not allowed to use the actual names of cards or certain banks in emails. This means we have to resort to using more generic language when talking about some credit cards.

We know this can be confusing or frustrating, but we encourage you to click through to our site, where we can name and talk more candidly about the cards and their benefits. While we are bound by the rules of credit card compliance, our mission will always be to put our readers first and help you travel better for less.