Using a travel rewards card for regular household spending is a terrific way to help reduce the cost of an annual family vacation or earn a quiet weekend away to recharge. While branded airline miles cards and hotel rewards cards are good options, they do not offer much flexibility in how rewards are used. The Venture Rewards card, on the other hand, is designed for flexibility. Cardholders are free to use rewards to offset airfare, hotel costs, car rentals and many other travel-related expenses. Issued by Capital One Financial Corp (COF), the Venture Rewards card is a worthy option in a very competitive market for travel credit cards.

As of July 2015, the Capital One Venture Rewards card delivers two rewards miles for every dollar spent on the card. Accumulated rewards can be used to offset travel expenses at a rate of 100 miles per dollar. At this rate, Venture Rewards cardholders enjoy a return of 2% on every dollar spent. New cardholders who spend at least $3,000 on the Venture Rewards card in the first three months of ownership get a special bonus of 40,000 miles, equivalent to $400 of travel expenses. New cardholders also receive a one-year waiver on the $59 annual fee.

The Venture Rewards card does not charge any foreign transaction fees. In comparison, many credit cards charge a fee of up to 3% on transactions executed outside the United States. The card also comes with a variety of consumer protection benefits, including coverage for fraudulent use of a lost or stolen card, free access to the Capital One Credit Tracker tool and automatic extended warranty coverage for items purchased in full with the card.

Venture Rewards cardholders pay a variable annual percentage rate (APR) between 12.9 and 22.9% on purchases and balance transfers, depending on creditworthiness. There is no transaction fee for balance transfers. The APR on cash advances is 24.9%, while the associated transaction fee is equal to the greater of $10 or 3% of the transaction amount.

There are a couple ways to redeem Venture Rewards miles. First, the Capital One Purchase Eraser tool allows cardholders to offset the cost of a specific travel purchase with a credit on the billing statement paid for with rewards miles. For example, a $75 purchase for a hotel room can be offset with 7,500 rewards miles. To offset a specific transaction, the Purchase Eraser must be used within 90 days of the transaction date. Cardholders can access the Purchase Eraser tool online or by calling the Capital One Rewards Center. Cardholders can also redeem rewards miles by booking travel directly through the Capital One Rewards Center.

The Capital One Venture Rewards card competes most directly with travel credit cards such as the Discover Miles card, the BankAmericard Travel Rewards card and the Chase Sapphire Preferred card. Like the Venture Rewards card, all these cards provide the flexibility to use accumulated rewards to offset all types of travel expenses, not just a narrow category or brand of travel services.

The Venture Rewards card is a standout in this card category primarily for combining a high-value rewards program with a moderate annual fee. Some competing cards charge no annual fee, while delivering a lower rewards rate than the Venture Rewards card. Other competing cards charge a higher annual fee than the Venture Rewards card without delivering a higher-value rewards program.

The Capital One Venture Rewards card is a terrific option for families and other big spenders who want more flexibility than airline miles or hotel rewards cards can provide. Although this card has an annual fee after the first year, the unlimited 2% reward rate is an exceptional value. By spending regularly with the card and paying off the balance each month, cardholders can realize rewards much greater than the annual fee.