Originally Posted by
xienon
Seeing the same thing $1 = 1 point when redeeming for airfare. Has anyone who applied recently seen $1.5 = 1 point?
I just got the Propel World AMEX in the mail today. I also have a Wells Fargo Visa linked to the same rewards program. The rewards site now has both my Visa and AMEX listed. I just checked and I still get 1.5 cents per point + $24 processing for a flight redemption.
From purely a math standpoint, and if I understand the programme correctly, offering 1 cent per point for flights implies that it is always an inferior option to a point redemption for statement credit:
Assume the point balance is 40,000 and the point exchange is 1 cent per point for airfare, then
Option 1: Redeem 40,000 points for a $400 or flight, remaining balance 0
Option 2: purchase a $400 flight using the card, earn 1,200 points for flight purchase, redeem 40,000 points for $400 statement credit, remaining balance 1,200
In both scenarios, the flight is paid for with points (albeit with different methods), but with option 2 one also earns points for the flight purchase.