Tomorrow, Monday 20th, is the last day for American Express Platinum cardholders to take advantage of a very attractive offer.
(Sorry, this is for Platinum cardholders only. It does not apply to Business Platinum, Preferred Rewards Gold or any other American Express card.)
If you use your points for statement credit (ie reducing what you owe next month by redeeming points) you would usually receive a pitiful £4.50 per 1,000 points.
This new offer is worth £9 per 1,000 Membership Rewards points when you redeem them for statement credit. This is surprisingly good.
Statement credit, remember, is as good as cash.
What are Membership Rewards points worth?
Here is my core article on the best uses of American Express Membership Rewards points.
Here is a summary of my valuations:
0.75p – 1.5p per point (estimate, 1:1 ratio) – airline miles
1p per point (estimate, 1:3 ratio) – Radisson Rewards hotel transfers
0.75p per point (estimate, 2:3 ratio) – Marriott Bonvoy hotel transfers
0.66p per point (estimate, 1:2 ratio) – Hilton Honors hotel transfers
0.66p per point (estimate, 15:1 ratio) – Club Eurostar points transfers
0.5p per point (guaranteed, pseudo-cash) – retailer gift cards
0.5p per point (guaranteed, pseudo-cash with potential for upside) – Nectar points
0.45p per point (guaranteed, pseudo-cash) – taking Amazon credit
Read my article on the best Membership Rewards transfers to see how I justify these numbers.
How do I get 0.9p per point for statement credit?
Go to your American Express account and select ‘Use Points for Purchases’ on your Platinum Card home page.
You are taken to a page like this. Select an individual transaction (click to enlarge):
As you can see, you will be offered a rate of £9 per 1,000 points. Remember that this is ONLY for personal Platinum cardholders. Everyone else will see the usual rate of 0.45p per point.
Should I redeem my Membership Rewards points for 0.9p each?
That’s not for me to say, of course.
However, as you can see from my numbers above, the bulk of transfers are worth LESS than 0.9p per point.
I would definitely take 0.9p in cash instead of turning my American Express points into Eurostar, Marriott Bonvoy, Radisson Rewards or Hilton Honors points.
This is NOT because these schemes are bad, but because the transfer rate is not generous enough.
The decision is more marginal for airline miles. Here are the American Express airline transfer partners, all of which are 1:1. If used sensibly, you should get more than 0.9p per airline mile. However, you won’t get SUBSTANTIALLY more than 0.9p per mile and cash in the bank may be more useful to you at the moment.
You should also remember that there are many opportunities throughout the year to buy Avios at around 1p to 1.1p per point. Transferring from Amex at 1:1 into Avios is still a better deal than cashing out for 0.9p, but it is clearly more marginal at this level and the benefit of getting cash in your hand may be high.
The offers ends tomorrow, 20th July
You can only redeem credit against actual purchases, so your maximum redemption is limited to how much money is outstanding on your statement tomorrow morning.
PS. Tomorrow is also the last date to earn double points (2 per £1 spent) on purchases made on The Platinum Card. It is too late to take advantage now, since any purchases you make today won’t clear by tomorrow, but I wanted to flag it to remind you to start shifting your spend back to more rewarding cards!
(Want to earn more miles and points from credit cards? Click here to visit our dedicated airline and hotel travel credit cards page or use the ‘Credit Cards Update’ link in the menu bar at the top of the page.)