Advice Sought: Cash or Points?
Apr 11, 2017, 7:46 pm
#1
Original Poster
Join Date: Sep 2012
Location: NYC
Programs: DL DM; Marriott Ambasador Elite
Posts: 626
Advice Sought: Cash or Points?
I'm curious to get your opinions on booking some upcoming stays with cash or points.
I have a nice SPG point balance, and have no foreseeable use for them until early/mid-2018 except for an upcoming trip to Scandinavia. I have existing non-consecutive 3-day and 2-day reservations in standard rooms at the Sheraton Stockholm for $250/night, and a one night reservation in a deluxe room at Klaus K in Helsinki for $340. I can convert the Stockholm nights to points stays for 16,000 points/night and the Klaus K reservation to ponts in a basic room for 10,000 points (cash rate on a basic room is only $165).
These seem like pretty crummy redemption rates, but again I'll have no need for the points for probably another year or so, and there is no telling what will happen to the SPG rewards program between now and then. Moreover, I will probably earn another 100,000 or so points before I need to use them.
What would you do? Convert the stays to points at these crummy rates, or horde the points to early/mid-2018?
I have a nice SPG point balance, and have no foreseeable use for them until early/mid-2018 except for an upcoming trip to Scandinavia. I have existing non-consecutive 3-day and 2-day reservations in standard rooms at the Sheraton Stockholm for $250/night, and a one night reservation in a deluxe room at Klaus K in Helsinki for $340. I can convert the Stockholm nights to points stays for 16,000 points/night and the Klaus K reservation to ponts in a basic room for 10,000 points (cash rate on a basic room is only $165).
These seem like pretty crummy redemption rates, but again I'll have no need for the points for probably another year or so, and there is no telling what will happen to the SPG rewards program between now and then. Moreover, I will probably earn another 100,000 or so points before I need to use them.
What would you do? Convert the stays to points at these crummy rates, or horde the points to early/mid-2018?
Apr 11, 2017, 8:51 pm
#2
Join Date: Feb 2012
Location: GVA
Programs: BA Silver (OW Sapphire), A3 Gold (*G), Bonvoy LTTE, HHonors Diamond, LeClubAccor Silver, UA Silver
Posts: 1,777
Hoarding loyalty points with no foreseeable goal is the surest way to lose big in the usual devaluations those programs are regularly subjected to.
Apr 11, 2017, 9:11 pm
#3
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Join Date: Dec 2003
Location: Benicia, California, USA
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Posts: 10,820
If you didn't have a healthy number of points already and weren't going to accumulate 100K more, my advice might be to hold onto them. But on balance, I think you're better off using them.
Two caveats, though:
1. Is there any chance you'd instead use those points to convert to airline miles (such as on Singapore) something like 11 months in advance of your flights, so as to have a decent chance of bagging an F or J seat(s)? If so, you could go that route.
2. If you go ahead and burn the points on these hotels, you could call SPG to see if suites or at least larger rooms are available for point redemptions. Sometimes those better rooms are available for relatively smaller increases in points, but you have to enquire by phone.
Two caveats, though:
1. Is there any chance you'd instead use those points to convert to airline miles (such as on Singapore) something like 11 months in advance of your flights, so as to have a decent chance of bagging an F or J seat(s)? If so, you could go that route.
2. If you go ahead and burn the points on these hotels, you could call SPG to see if suites or at least larger rooms are available for point redemptions. Sometimes those better rooms are available for relatively smaller increases in points, but you have to enquire by phone.
Apr 11, 2017, 9:17 pm
#4
Original Poster
Join Date: Sep 2012
Location: NYC
Programs: DL DM; Marriott Ambasador Elite
Posts: 626
If you didn't have a healthy number of points already and weren't going to accumulate 100K more, my advice might be to hold onto them. But on balance, I think you're better off using them.
Two caveats, though:
1. Is there any chance you'd instead use those points to convert to airline miles (such as on Singapore) something like 11 months in advance of your flights, so as to have a decent chance of bagging an F or J seat(s)? If so, you could go that route.
2. If you go ahead and burn the points on these hotels, you could call SPG to see if suites or at least larger rooms are available for point redemptions. Sometimes those better rooms are available for relatively smaller increases in points, but you have to enquire by phone.
Two caveats, though:
1. Is there any chance you'd instead use those points to convert to airline miles (such as on Singapore) something like 11 months in advance of your flights, so as to have a decent chance of bagging an F or J seat(s)? If so, you could go that route.
2. If you go ahead and burn the points on these hotels, you could call SPG to see if suites or at least larger rooms are available for point redemptions. Sometimes those better rooms are available for relatively smaller increases in points, but you have to enquire by phone.
Apr 11, 2017, 9:53 pm
#5
Join Date: Jun 2000
Location: Tucson, AZ
Programs: UA 1K, Marriott LT Titanium, AA LT Gold, Radisson Gold, Hertz PC, HP Masters emeritus (sigh)
Posts: 445
Those are poor redemption rates for both. You should get at least .02 per point including taxes IMO. I'd save the points and pay attention to the new program; if you don't like it, there will probably be a grace period where you can offload SPG points to airline miles before the program dies or shift them over to Marriott and get a flight/hotel package with those points.
SPG points actually hold their value pretty well; the key will be to make sure you don't get burned by the new program.
Also, is the Klaus K really worth the differential from basic to deluxe? That's crazy. I'd switch to basic room in cash, too.
SPG points actually hold their value pretty well; the key will be to make sure you don't get burned by the new program.
Also, is the Klaus K really worth the differential from basic to deluxe? That's crazy. I'd switch to basic room in cash, too.
Jun 22, 2019, 9:54 am
#6
Join Date: Jun 2005
Programs: Marriott Lifetime Platinum
Posts: 374
Using points or dollars
with the different changes this year I am not sure which method to pay for a 3 night stay in Barcelona. A category seven hotel is 50,000 points the hotel with ,fees is about $420.00.
is it better to save the points for a more expensive hotel?
Also, can I use SNA if I pay with points?
thanks
is it better to save the points for a more expensive hotel?
Also, can I use SNA if I pay with points?
thanks
Jun 22, 2019, 10:19 am
#7
Join Date: Apr 2015
Location: BDL, BOS
Programs: Marriott Lifetime Titanium, AA EXP, IHG Diamond Ambassador, Hyatt Explorist
Posts: 625
It’s pretty much a wash if you value Marriott points at 8 cents as that comes out to $400. Certainly not an amazing redemption.
Yes, you can use SNAs on a points redemption.
Yes, you can use SNAs on a points redemption.
Jun 22, 2019, 10:41 am
#8
A FlyerTalk Posting Legend
Join Date: Apr 2004
Location: GVA (Greater Vancouver Area)
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It all depends on the sizes of your bank account(s) and Bonvoy account.
Jun 22, 2019, 11:25 am
#9
Join Date: Aug 2007
Programs: DL DM
Posts: 1,079
Now, achieving 0.8 cents per point, I would call borderline and thus a toss for the OP’s current circumstances.
Jun 22, 2019, 11:28 am
#10
Join Date: Aug 2004
Location: DCA, EGE, IAD
Programs: MR LTT, BA Gold, AA LTP, UA Silver
Posts: 6,077
FWIW, I use 1˘/point or better as a rule, BUT that is for my travel paradigm. All of my travel is personal so I need to maximize the use of points. Many folks who travel on business earn a plethora of points on OPM are fortunate that they do not need to be so discerning.