Do Hotel Restaurants Count as Dining or Lodging on Credit Cards?

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If you’re a travel point collector, you always want to maximize the number of points earned with each purchase. This means using the correct credit card for each spending category. While this sounds straightforward, it can sometimes get tricky.

For instance, what category does a bar or restaurant located in a hotel fall into? The answer depends on a few factors, including how the charge is processed and which credit card you use. Here’s a guide to help you make the most of these situations:

General Principles

• Charges at hotel-affiliated restaurants and bars may be categorized as either hotel or dining expenses, depending on how the transaction is processed.
• When in doubt, use a card that offers bonus points for both dining and travel expenses to maximize rewards.
• Review your credit card’s terms and past transactions to understand how similar charges have been categorized.

Scenarios to Consider

1) Charging the Bill to Your Room

If you’re staying at the hotel and charge your meal or drinks to your room, the expense should generally be categorized as hotel spending. For example, during a stay at the Park Hyatt Saigon, a meal charged to our room was coded as a hotel expense.

2) Paying Directly at the Restaurant or Bar

When you pay at the restaurant instead of charging it to your room, coding inconsistencies can arise. Here are two examples:

• Drinks at the lobby bar of the Hyatt Regency Danang, paid with a World of Hyatt card, were coded as a hotel charge.
• Lunch at the Pool House the next afternoon, also paid directly, was categorized as a restaurant charge.

In this case, it didn’t matter because our World of Hyatt card earned 4X points for purchases at Hyatt properties, regardless of coding. However, this isn’t always the case with other cards.

3) The Wild Card

Sometimes, charges might surprise you. For instance, a meal at a stand-alone restaurant in Hanoi showed up on my Sapphire Reserve as a hotel charge, even though there was no hotel attached. These anomalies highlight the importance of checking your statements.

So Which Card Should You Use?

If you’re staying at the hotel, the safest bet is to charge the bill to your room. This usually ensures the expense is coded as hotel spending.

If you’re paying directly at a hotel restaurant or bar, use a card that offers bonus points for both dining and travel expenses. The Sapphire Reserve or AMEX Green Card are great options in such scenarios. This way, even if the coding is inconsistent, you’ll still earn optimal rewards.

Actionable Tips

• Charge to your room when possible: Ensures consistency in categorization.
• Use versatile cards: Choose credit cards that reward both travel and dining expenses.
• Check your past transactions: Understand how similar charges have been categorized by your credit card.

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