How Much Are Reward Points Worth?

Reward points are worth around 1 cent each in most cases, but the exact value varies depending on the program and how you choose to redeem. Your redemption options will often include things like travel, cash back, gift cards, merchandise and charitable donations. The company in charge of the rewards program chooses how much a point is worth when used with each redemption option. Below, you can learn more about how much points are worth with some of the most popular airline, hotel and credit card rewards programs.

Best Points Credit Cards

Credit Card Points Values by Rewards Program

Credit cards may give out points for making purchases, meeting the spending requirements for an initial bonus, having an account anniversary or referring a friend.

Based on WalletHub’s latest data, the credit card rewards program with the highest points value is U.S. Bank FlexPerks Rewards Program, whose points have an average value of 1.18 cents each. The program with the lowest points value is American Express Membership Rewards (Blue from AmEx), with an average value of 0.5 cents each.

Credit Cards With the Most Valuable Points

• Chase Sapphire Reserve® – 1 cent per point
• Chase Sapphire Preferred® Card – 1 cent per point
• Citi Strata Premier® Card – 1 cent per point
• Ink Business Preferred® Credit Card – 1 cent per point

You can learn more about the best credit card rewards programs and the best points credit cards on WalletHub.

Hotel Points Values by Rewards Program

Hotels give out points for booking stays, spending money with certain partnered merchants or using a co-branded hotel credit card. Based on WalletHub’s latest data, the hotel rewards program with the highest points value is World of Hyatt, whose points have an average value of 2.1 cents each. The program with the lowest points value is Radisson Rewards, with an average value of 0.61 cents each.

You can learn more about the best hotel rewards programs and the best hotel credit cards on WalletHub.

Airline Points Values by Rewards Program

Airlines typically give out miles rather than points, but some airlines do call their rewards “points.” That said, there’s virtually no difference between the two types of currencies. Both have their values set by the airline, and both are given out for spending money with the airline      or making purchases on a co-branded airline credit card.

Based on WalletHub’s latest data, the airline rewards program with the highest points value is Southwest Rapid Rewards, whose points have an average value of 1.49 cents each. The program with the lowest points value is Free Spirit, with an average value of 1.13 cents each.

You can learn more about the best frequent flyer programs and the best airline credit cards on WalletHub.

Points Value vs. Miles Value

Reward points and miles function pretty much the same way     . Both can be affiliated with specific travel providers or serve as general-purpose rewards.

You can learn more about miles values, as well as the difference between points and miles, on WalletHub.

How to Maximize the Value of Rewards Points

1. Understand Your Program: Read the fine print of your rewards program. Understanding point values for various redemption options along with expiration dates and potential fees can help you make informed decisions.
2. Redeem for the Highest Value: Aim for redemptions that offer the best value per point. For example, airline or hotel reward points are often worth more when for toward travel than they are when used for cash back or gift cards.
3. Be Flexible With Travel Dates & Book in Advance: If you redeem points for travel, being flexible with your dates can help you get better value. This is especially true for airlines, where point requirements can vary significantly depending on travel dates and seasons. If you’re not flexible with your dates, then booking well in advance can help you reduce your point costs.
4. Transfer Points When Beneficial: Some rewards programs allow you to transfer points to their partners. This can be advantageous when partners offer higher redemption values or better availability. Make sure you keep the transfer ratio in mind, too. For example, with a 1:1 transfer ratio, you get the same number of points in the partner program that you had with the original program. But with a 2:1 ratio, you end up with only half as many points after transferring to the partner program.
5. Track and Manage Your Points: Use tools or apps to track your points, their expiration dates, and any changes to the rewards program.
6. Avoid Point Expiration: Many programs’ loyalty points have an expiration date if there's no account activity. Simple actions, like making a small purchase or redeeming a small number of points, can reset the clock. Some programs may also let points expire after a certain period of time even if your account is active, so make sure you’re aware if that’s the case.
7. Reconsider Annual Fees: If you're paying an annual fee for a rewards credit card, ensure that the value you're getting from the rewards and benefits exceeds the fee.
8. Achieve Elite Status: Higher tiers in loyalty programs often come with bonuses on earned points, among other benefits. If you're close to reaching a higher tier, it might be worth making additional purchases or stays.
9. Stay Updated: Rewards programs can change their terms, partners and redemption values at any time. Regularly check for updates and adjust your strategy accordingly.

Remember, the best strategy for maximizing point values can vary based on the specific rewards program and your personal preferences. Regularly reassessing your approach and staying informed will help ensure you get the most out of your points.