The value of a point
The one thing the banks don't want you to know
The Point is a smart, thoughtful dispatch on elevated travel with points and miles.
Today, I am so honored to be on the list of top Substack bestsellers in travel — #40ish among bazillions of Substack writers who cover the beloved theme of travel.
A 100,000 point welcome bonus on the #1 starter card for points travel?
Yes, please!
This is the card I recommend pretty much everyone get if they don’t have it.
Period!
The biggest mistake people make when they are new to points is assuming all points are worth the same amount. Once you understand how to calculate the value of your points, you will no longer feel confused every time you think about using your points.
Have points ever felt to you like Monopoly money? Or a foreign currency? Perhaps you know they are valuable but are struggling to figure out exactly how much they are worth. If you’re reading this and nodding along, know you are in good company. It’s not your fault that points are confusing — they are confusing by design.
You can have credit card points, airline miles, hotel points and they all can have very different values — and those values are not always fixed.
The values can shift based on how you use the points. Use them wisely? You’re flying business class in a lie flat seat with champagne. Use them poorly and you’re cramped in economy for more than the price you would have paid to sit in luxury.
Points changed my life when I realized that, just like money, they are their own currency. We have dollars and we have points. And the points have the highest value when used for travel.
I am no longer saying no to trips because they’d be too expensive! We earmark the points for travel and redeem them by taking multiple trips abroad year after year.
We have dollars and we have points.
So, how much are points worth?
There are a lot of things working against you as you try to learn how points work.
There is the marketing from the banks that can feel confusing. There are blogs, websites, point calculators and literally everyone with an opinion of the best card and best points — best airline and best hotel brand.
It can feel easier to give up or close your eyes, take a statement credit and not look back.
But it’s not as hard as you think. Even if you aren’t points obsessed like me (🤓) you can learn tips and tricks that will help you understand how points work without the overwhelm.
Below the fold you will find:
The easy calculation that will reveal how much your points are truly worth
The value of different points
A rule of thumb to help you decide when to save your points and when to use them