Travelcards are valid on the follow:
London Underground (Tube)
Docklands Light Railway (DLR)
All London Buses (regardless of the zone on your ticket)
London Overground
National Rail (within the zones only)
Zone 3 Travelcards also include the use of Trams.
Once you've got the Travelcard, you can use it as many times as you want throughout the day, on as many forms of transport as you can get your hands on. When traveling on any of the above (appart from buses), you must make sure you travel only within the zones printed on your ticket. Buses on the other hand; once you've got it, you can use any bus service within Greater London regardless of the zone. This basically means even if you had a Z1&2 Travelcard, you could board a bus in Z6 and travel to Z5 without any problem and you ticket would still be valid.
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