Large travel rewards balance?

[Fermion]

We have put a lot of stuff on a credit card with 2% travel bonus rewards while building our house. No time to travel so it just keeps piling up.

Is there a point where you would get concerned? This is Capital One Venture.

I think we can get Amazon gift cards or cash at some reduced amount but I was always holding out for the 100% reimbursement of hotels and airfare.

But we are talking many thousands now in there.

 

[Sunset]

When it gets really high, I do get concerned.

But the frugal person in me still trys really hard to maximize the value.

Doesn't Capital One sell gift cards for 100% ? or even have them on sale of 10% off or more so the reimbursement is better than 100%

What about statement credit value ?

 

[Dtail]

I convert all my rewards points each month to my emergency cash account.

 

[Retired Expat]

When Pan Am went under I lost 450,000 miles. At one point was sitting on 4 million AA miles but have been spending them down! Now at just about a million which seems high but we are traveling more in Business on long haul flights where we can.

With Retirement discovered that I had to pay for all those business class seats! That is was hard!

 

[Montecfo]

I accumulated several million miles while working.

I have some with most of the domestic carriers. I use them when it makes sense.

Recently booked some points travel on AA using BA Avios. Those can still be very cheap for US domestic travel.

 

[brett]

We have always used our travel points for travel. Before and after retirement.

We only have Marriott points left now.

So thankful that we used our airline points. We had two plans. Both have been watered down so much in the last 10 years that we cancelled on of the premium airline cards.

They were good while they lasted. Multiple business class reward trips to Europe, South America, and some NA.

We switched to cash back some time ago.

 

[COcheesehead]

We use hotel points for free stays, but take all credit card points (2%+) as cash. We feel it gives us more flexibility.

 

[Chuckanut]

I take all benefits as cash whenever I can. Too many places devalue points these days, some on almost a yearly basis. I do get hotel points and use them, but only for one hotel chain. Since that chain has recently had huge price increases, I probably won't do much more business with them. And I will get rid of their CC and its fee.

 

[Z3Dreamer]

Is there any benefit to using points for travel? Made up example: 10,000 points can be redeemed for $100 off a hotel stay or $100 off my next credit card payment. What is the advantage to using them for the hotel stay?

 

[COcheesehead]

Is there any benefit to using points for travel? Made up example: 10,000 points can be redeemed for $100 off a hotel stay or $100 off my next credit card payment. What is the advantage to using them for the hotel stay?

Hotel points for us can’t be redeemed for cash.

 

[f35phixer]

Just got back from Oia, Santorini used 700,000 Marriott Points for 7 days, SPECTACULAR !!!!!!!!!!!

 

[Z3Dreamer]

Hotel points for us can’t be redeemed for cash.

OK. I have some hotel loyalty programs, not cards. I can only use those points for future stays. My regular credit cards (Chase Visa, Discover, Amazon Visa) have a program where I can use the points for travel or I can redeem for statement cash. I don't see the benefit of using for travel.

 

[Fermion]

I think the cash option is only 80% of the value of the travel option.

So $3000 is worth $3000 of hotel bills or $2400 in cash.

 

[OldShooter]

IMO points from the credit card companies are relatively secure when convertible to cash. Points in airline accounts, though, are wasting assets -- every program change/every airline for years has been designed to reduce the airlines' liability by making the points less valuable. IIRC there was a Delta change where the points now have no stated value. To find out what a particular flight would cost in points you have to call them and ask. IOW the cost in points will be low only if the flight is not expected to be nearly full. On nearly full flights the points will be worthless --- "no seats available."

 

[Aerides]

I have a lot of points with Marriott, which I like, especially these days. I was looking for a nice weekend coming up and rates were crazy as FL is entering our high season. But then I remembered points. Earn them at Courtyard, spend them at St. Regis!

 

[Fermion]

I just checked and it is more of a ripoff than I thought if you go with cash.

50%

Amazon and other gift cards are 75%, so better.

Travel reimbursement is the only thing that is 100% (hotels and airfare)

 

[disneysteve]

Same problem here. We have well over 800,000 Marriott points. Between COVID and my wife's illness, we've done very little travel the past 4 years, 2020-23, so the points just kept accumulating. Now that she's better, we really need to start using them.

 

[LateToFIRE]

Just got back from Oia, Santorini used 700,000 Marriott Points for 7 days, SPECTACULAR !!!!!!!!!!!

One of my favorite places in the universe! Kitikies was last resort we stayed in (pre-pandemic). Any recommendations?

 

[LateToFIRE]

Have got miles on a variety of carriers from road warrior days. Also Amex points have ballooned to a very large balance I hope to transfer to airline programs (for upgrades) when we start traveling internationally again.

 

[Drake3287]

Not sure why so many people still rely on travel reward credit cards anymore. With so many great cash reward credit cards out there why go anywhere else? Cash is king for most people.

For years I used my United Milage Plus card for everything and I was lucky enough to earn one free flight a year. Even then it was a pain to find an available free flight. Since switching to a cash reward card I easily earn $2,000 or more each year. The value of cash is much greater than even a couple of free flights or a handful of hotel nights.

And yes, I'd be nervous having too many available travel points. Reward programs change nearly everyday and companies go out of business routinely.

 

[Montecfo]

Not sure why so many people still rely on travel reward credit cards anymore. With so many great cash reward credit cards out there why go anywhere else? Cash is king for most people.

For years I used my United Milage Plus card for everything and I was lucky enough to earn one free flight a year. Even then it was a pain to find an available free flight. Since switching to a cash reward card I easily earn $2,000 or more each year. The value of cash is much greater than even a couple of free flights or a handful of hotel nights.

And yes, I'd be nervous having too many available travel points. Reward programs change nearly everyday and companies go out of business routinely.

It depends.

These days I'm living on points earned long ago PLUS things like. 50k bonus miles offered from time to time. We rotate cards to take advantage and then stop using.

Then most of our shopping is cash bonus format.

Best of both worlds.

 

[SecondCor521]

If you have too many points and can't find a way to use them, you can sell them to a points broker. You won't get a great redemption value, but you will get cash that you might not be able to get otherwise.

Selling to a points broker may very well be against your CC terms of service.

I know one who I trust. I haven't used him much lately because I can find good redemption values, but can PM anyone interested.

 

[jollystomper]

We have put a lot of stuff on a credit card with 2% travel bonus rewards while building our house. No time to travel so it just keeps piling up.

Is there a point where you would get concerned? This is Capital One Venture.

I think we can get Amazon gift cards or cash at some reduced amount but I was always holding out for the 100% reimbursement of hotels and airfare.

But we are talking many thousands now in there.

We have the same credit card. since these are card points, you should not have a problem with them piling up, as they are tied to the credit card and not a particular travel program. They only risk is if, for some reason, Capital One decides to close your account, then you would lose them.

We redeem them often for cash back as we usually end up with travel charges every few months. Their rule is that one gets the full cash back amount when redeemed against travel charges made within the last 90 days.

Their are other ways to use the points. I have not looked at them too closely but most do not give you as much back as redeeming them against travel purchases. But if you do not travel these are options. Here is what my account shows I can do with the points:

 

[Sunset]

We have the same credit card. ..

We redeem them often for cash back as we usually end up with travel charges every few months. Their rule is that one gets the full cash back amount when redeemed against travel charges made within the last 90 days.

...

I had a CC like that, got good value against travel expenses.

Sounds like OP needs to travel.

Could be some things are treated as travel, even though they are not normally what some would think of as travel, like toll road account payments, etc.

 

[DrRoy]

The points are worth the most for travel. Use them.