Does the Upcoming Devaluation go both ways?
Mar 20, 2014, 6:42 pm
#1
Original Poster
Join Date: Jan 2014
Location: SFO
Programs: OZ Diamond/*G, IHG Diamond Amb, Hilton Gold
Posts: 2,239
Does the Upcoming Devaluation go both ways?
Sorry if I'm repeating something that's already been asked, but, in short, does the devaluation go both ways?
Since right now, it is
WGA = 6 points per $ spent, 60 points per $ redeemed
Anytime = 10 points per $ spent, 100 points per $ redeemed
Business Select = 12 points per $ spent, 120 points per $ redeemed
Post devaluation, will it be
A)
WGA = 7 points per $ spent, 70 points per $ redeemed
Anytime = 10 points per $ spent, 100 points per $ redeemed
Business Select = 12 points per $ spent, 120 points per $ redeemed
or B)
WGA = 6 points per $ spent, 70 points per $ redeemed
Anytime = 10 points per $ spent, 100 points per $ redeemed
Business Select = 12 points per $ spent, 120 points per $ redeemed
Since right now, it is
WGA = 6 points per $ spent, 60 points per $ redeemed
Anytime = 10 points per $ spent, 100 points per $ redeemed
Business Select = 12 points per $ spent, 120 points per $ redeemed
Post devaluation, will it be
A)
WGA = 7 points per $ spent, 70 points per $ redeemed
Anytime = 10 points per $ spent, 100 points per $ redeemed
Business Select = 12 points per $ spent, 120 points per $ redeemed
or B)
WGA = 6 points per $ spent, 70 points per $ redeemed
Anytime = 10 points per $ spent, 100 points per $ redeemed
Business Select = 12 points per $ spent, 120 points per $ redeemed
Mar 20, 2014, 6:50 pm
#2
Join Date: May 2012
Location: DCA, lived MCI, SEA/PDX,BUF (born/raised)
Programs: Marriott (Silver/Gold), IHG, Carlson, Best Western, Choice( Gold), AS (MVP), WN, UA
Posts: 8,730
My understanding is you will still earn at the same rate of 6 pts per $1.... So $100 fare = 600pts.
In purchasing using points it is to be 70 pts = $1 in fare or 7,000 pts for $100 airfare.
I have not heard if there would be a 1 time points adjustment on already accrued points where the current pts * 7/6= new points after change.
If you had 60,000 pts it would then covert to 70,000 pts by multiplying by 7/6.
In purchasing using points it is to be 70 pts = $1 in fare or 7,000 pts for $100 airfare.
I have not heard if there would be a 1 time points adjustment on already accrued points where the current pts * 7/6= new points after change.
If you had 60,000 pts it would then covert to 70,000 pts by multiplying by 7/6.
Mar 20, 2014, 7:09 pm
#4
Original Poster
Join Date: Jan 2014
Location: SFO
Programs: OZ Diamond/*G, IHG Diamond Amb, Hilton Gold
Posts: 2,239
Well, A with no 1-time points adjustment would still be a devaluation on all the points earned so far, but B is more in line with the travel industry these days.
Mar 20, 2014, 7:21 pm
#5
Join Date: Mar 2011
Posts: 6,286
Sorry, you're correct -- to be specific, I meant a devaluation of the program redemption value going forward (on WGA) vs a one-time devaluation of existing points.
Mar 21, 2014, 12:33 am
#7
Join Date: Mar 2011
Posts: 6,286
Mar 21, 2014, 12:38 am
#8
Join Date: Feb 2012
Posts: 751
Mar 21, 2014, 12:49 am
#9
Join Date: Mar 2011
Posts: 6,286
But… maybe? I've posited the question in the other thread.
Mar 21, 2014, 8:28 am
#11
Join Date: Jul 2013
Posts: 5,813
There was the recent change in calculating points which had the effect of increasing the value of existing points, partially "adjusting" for the devaluation.
Last edited by ftnoob; Apr 2, 2014 at 6:54 pm Reason: fix markup
Mar 21, 2014, 10:04 am
#12
Join Date: Mar 2011
Posts: 6,286
I have not heard if there would be a 1 time points adjustment on already accrued points where the current pts * 7/6= new points after change.
Mar 21, 2014, 11:20 am
#13
Join Date: Jul 2013
Posts: 5,813
I don't believe those two things were related, as the reason for the excise tax change was thought to be operational. Saving 7.5% on points bookings does partially offset the 14% devaluation, so I agree that the end result is a bump in existing points value… but I believe that djp98374 was speaking about a specific upcoming one-time credit based on your current points total.
Mar 22, 2014, 12:44 am
#14
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Programs: OZ Diamond/*G, IHG Diamond Amb, Hilton Gold
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A bit unrelated but does Chase get 7K points now for the price they used to pay WN for 6K points since the points aren't worth as much?
Mar 22, 2014, 12:30 pm
#15
Join Date: Mar 2011
Posts: 6,286
No one knows the internal agreement between Chase and WN… but the current consumer cc offers are still 3,000 / 6,000. That may change after March 31 -- guess we'll have to wait and see.