American Express points are worth 0.67 cents per point, on average. The value of American Express points depends on how you choose to redeem the points. For example, points from American Express are worth up to 0.8 cents each when redeemed for travel through the Membership Rewards program, and they are worth 0.6 cents each when redeemed for cash back.
American Express Points Value by Redemption Method
Tips for Maximizing the Value of American Express Points
Redeem Points for Travel.
American Express points are worth the most when redeemed for travel.
Redeem American Express points regularly.
American Express points do not expire due to account inactivity, but stockpiling points does put you at risk of rewards devaluation. Plus, you won't get to enjoy the fruits of your spending if you don't redeem.
Keep your account in good standing.
If American Express closes your account because of a failure to pay the bill or fraudulent activity, you'll lose any unredeemed points you have saved. And if you pay late, you might have to pay a fee to get back the points from that billing period.
Redeem before closing your account.
Any points you don't redeem before closing your account will be lost, unless you keep another American Express credit card account open.
The American Express Platinum card is worth it if you travel frequently, spend a lot, and can take advantage of the card’s many benefits. American Express Platinum card benefits include Uber and airline fee credits, lounge access and more. But the American Express Platinum card is not worth it if you rarely travel and won’t spend enough ($5,000 in the first 6 months) to qualify for the card’s initial bonus: 75,000 points. That bonus, along with the card’s annual travel credits, goes a long way toward affording the American Express Platinum card’s $550 annual fee.… read full answer
But before you decide, let’s do a little bit of math to see whether the American Express Platinum card is worth the expense, starting the first year.
Here’s more info about the American Express Platinum card:
Annual fee: $550
Initial bonus: 75,000 points for spending $5,000 in the first 6 months
Rewards earned: 1 - 5 points per $1, depending on the type of purchase
Annual Uber credit: Up to $200, annually
Annual airline fee credit: Up to $200, annually
Saks Fifth Avenue Credit: Up to $100, annually
Lounge access: $429
TSA pre-screening or Global Entry application waiver: $85 or $100, respectively
So, for your first year alone, you could wind up with hundreds of dollars in net value. And that doesn’t even factor in the card’s normal, purchase-based rewards. Normal spending could add even more, too, if your purchases qualify for the American Express Platinum card’s ongoing bonus rewards rates: 5 points / $1 spent on airfare and prepaid hotel stays booked through American Express. Similarly, there are other benefits that you could take advantage of, including Gold status in the Marriott Bonvoy and Hilton Honors loyalty programs and complimentary amenities worth with an average of $550 per stay at participating Fine Hotels and Resorts.
Now let’s look at the card’s second year. You’re still paying the $550 annual fee, but you no longer have an initial bonus to help make up for it. Also gone in year two is the value of the pre-screening application waiver, if you use it year one. As a result, if you spend the same amount as the first year, the total value of your benefits wouldn’t be much more than the annual fee. So, you’d be putting in and getting out about the same amount of value. To really make money with this card after the first year, you’d have to spend a lot more.
So, the American Express Platinum card is a good card for big spenders who travel all the time and can wring every drop of value out of its benefits. But it’s too expensive for light spenders and occasional travelers.
No, Amex points do not expire. Cash back and miles earned using American Express credit cards do not expire, either. However, points and other rewards can be forfeited when you close your account or when your account is closed due to inactivity. American Express will also cancel all points, miles or cash back earned during any billing period where a late payment occurs.… read full answer
Read on to learn more about when you could lose your Amex points so you can make sure it doesn’t happen.
Here’s when Amex points expire:
Account Inactivity: Your American Express account can be closed due to inactivity – not making a purchase or bill payment for an extended period of time. When that happens, you have 90 days to redeem points before losing them. Amex doesn’t disclose a timeframe for closing accounts due to inactivity, so try to use your card regularly to keep your account active.
Closing Your Account: Unredeemed American Express rewards will expire when you close your account. Try to redeem a couple weeks in advance so there’s plenty of time for the transaction to be processed. You can even use the rewards to pay for some of your final balance.
Late Payments: Rewards earned during a billing period where a late payment occurs will be forfeited. You can reinstate lost points, though. Visit your account’s Points Summary page to reinstate them after bringing your account current. There’s a $35 fee for each billing period points are reinstated from.
Returned Purchases: Points earned from purchases that are later returned get deducted from your rewards total. When you return an item purchased with points, you may receive a statement credit or a points refund. Statement credits can be converted back into points by calling Membership Rewards at (800) 297-3276.
American Express points, cash back and miles do not expire. Just be sure to use all your rewards prior to closing an American Express credit card account. Use your card regularly to keep your account active, and remember to make payments on time to keep points earned each billing period.
There are 19 American Express airline partners, including U.S. companies like Delta and JetBlue. American Express cards with rewards points (excluding cards co-branded with a business) allow cardholders to transfer their points to these partner companies. Most Amex airline partners allow transfers at a 1:1 ratio. But there are a few exceptions, so be sure to check what you’re actually getting in return before you transfer.… read full answer
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