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Point Valuations (lemmy.world)

submitted 1 year ago* (last edited 1 year ago) by Cstrrider@lemmy.world to c/creditcards@lemmy.world

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So I am always curious to hear how folks value points in different reward systems. I think many of the card reviewers greatly overvalue points based on booking ridiculously overpriced international first class tickets at a fraction of the cost, but still 2x-3x or more what you would pay for an economy ticket. Here is how I would value the point systems I have had cards for:

Amex MR: 1.2 ¢/pt
- I generally will transfer points to domestic or international economy flights or to hotels when I can get at least 1 ¢/pt. The CS platinum sets a good minimum redemption rate.
Chase UR: 1.6 ¢/pt
- Assuming CSR. May get better rates for Hyatt and occasionally economy flights, but portal bonus/PYB set the minimum
Marriott Bonvoy: 0.67 ¢/pt
- Based on what I typically see scrolling through the site.
Hilton Honors: 0.5 ¢/pt
- Based on what I typically see scrolling through the site.
Hyatt: 1.67 ¢/pt
- Can be higher but the options are more limited.
Delta Miles: 1.2 ¢/pt
- Based on what I typically see scrolling through the site. Sometimes there are good deals on partner flights internationally.

That all said I mainly use the Amex trifecta because I can earn MR at a fast enough rate to make up for the lower valuation and I can use the credits effectively.

How do you value points?

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[–] thrawn@lemmy.world 1 points 1 year ago* (last edited 1 year ago)

I only redeem for high CPP, and find that I usually get around what the sites I’ve seen suggest. I don’t read card reviews, but while searching for good redemptions, I do see their estimates.

There are places and things I’ll do every year, some of which are good redemptions, others I pay normally instead and store the points for later. Then there are things I’ll do simply because they are good redemptions, and allows me to try things I might not think about otherwise. This is a good balance and leaves me with a ton of points in cases of emergencies.

There’s some level of inefficiency because points are devalued and sitting on hundreds of thousands of them can lead to value lost. At some level though, it’s too much to think about, so I just accept that.