quote:
When you redeem the 40000 points for cash you get 400 dollar credit. If you redeem it on travel you get 500 statement credit. Not a huge difference but I see what you mean

That's really over simplifying it. Chase points have way more value than that.

That's if you redeem through Chase. If you transfer the points to airline partners, they are worth far more.

When you redeem through Chase for travel, you get 1.25 cents per point, hence the difference between $400 cash back credit and $500 travel credit. .25 X $400 = $100 + $400 = $500.

If you transfer to an airline, the value shoots up to at least 2 cents per point, and if you redeem for first class international tickets, the points could be worth even more, touching 4, or 5 cents per point. It all depends on the monetary value of the ticket you are redeeming points for.

I'm just looking out for you. People should really research their credit card rewards options or you might waste a lot of value.

This post was edited on 8/23/13 at 9:07 am

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Posted by Teddy Ruxpin

Member since Oct 2006

39649 posts

Posted on 8/23/13 at 9:16 am to Teddy Ruxpin

I found a decent example.

If you can find one, a round trip saver award to northern South America is 40,000 points through United/Star Alliance.

Now, do you think you will find that ticket for $500 or less?

I will say, doubtful. And that's my point. It gets worse from there depending on location and the type of seat you want. Hence why fixed value cards are great for cheap tickets, but if you want to go far and wide or travel in luxury, you want cards like Chase's or Amex where you can transfer into participating airline partners, and NOT use the 1.25 transfer.

This post was edited on 8/23/13 at 9:18 am

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