Credit card points should be considered a valuable form of currency. If used properly, they are as valuable as cash to pay for almost anything you can buy with real money. Points can be used for travel by purchasing airline tickets or hotel stays directly from your credit card’s travel portal, transferring points to a travel partner (airline, hotel chain, or rental car agency), buying debit cards for restaurants or department stores, or donating to your favorite charity. This list is not all inclusive either. Over the past few years I have cashed in hundreds of thousands of credit card points for dozens of flights and hotel rooms both domestically and internationally.
Tip: As a general rule of thumb, you get the best value utilizing points for travel, specifically by transferring points to travel partners, although you can benefit greatly from collecting and spending points wisely in any area.
For many people, actually I would say most people, the notion of collecting credit card points strategically and spending them smartly is a daunting task. This is what the credit card companies count on. It takes a lot of effort to learn the system, and there are different nuances to each credit card. Unfortunately, the fact is that most people can’t be bothered and either spend their points unwisely or hold onto them because they have no idea how to use them. Sadly, if most people knew the potential real value of their credit card points, they would make more of an effort in how they acquire and spend points. Valuable currency is being thrown away.
I could write 20 pages on credit card points. They are complicated. And to make matters worse, each company names their points something different–just like the currency in different countries. But, they are valuable nonetheless. Some more than others. So, whether you are accruing American Express Membership Reward Points, Chase Ultimate Rewards Points, Delta SkyMiles or British Airways Avios–we are in this together. This blog is in its infancy stage for sure, but if you stick around there will be much more to come to help you make the most of your points. After all, you’ve earned them.
Hey, so I have an Amex Platinum card and a Citi Prestige. Which one should I use for flights and hotels. They both offer rewards. I don’t have time to figure out the fine details & the comparisons on other sites do not really give a straight answer.
Kenyon. The Amex Platinum card offers far better perks especially for purchases made DIRECTLY with the airline. You’ll get 5x Membership Reward Points plus travel delay/interruption coverage which was just added January 1, 2020. Just be sure to pay for flights on the airlines website or the Amex travel website. If you buy flights on a third party website like Expedia, you won’t get those perks. Also, the Amex Platinum will give you gold status with all Hilton and Marriott brands. Just make sure you enroll with Amex before booking a room.