Acquiring More Hotel Points When They are On Sale (2021)
Using Your Points for Free Travel, Get a Discounted Room Rate by Buying the Points for an Award Night
It is useful to have points in a variety of hotel programs, so that you can take advantage of good award night opportunities whenever you travel. However, much of your reward point activity may be focused elsewhere and the normal prices for buying hotel points are typically too expensive to be worthwhile.
Over the course of the year, different hotel programs will run promotions where you receive a bonus when you buy points. When the bonus is high enough, it can be worthwhile to stockpile points, so that you can save money on future hotel bookings.
Jump to:
When is a point purchase promotion a good deal?
If you points are available at a rate that is lower than the value that you would expect to receive from the points (in the foreseeable future) and you don't already have a good stockpile, it makes sense to purchase points. How Much are Hotel Points Worth?
The table below shows the typical point value and normal point purchase cost for each hotel program and calculates how high the promotion needs to be to start making sense. For example, Marriott needs to be offering a 70% bonus for the overall purchase price to drop to what the points are likely to be worth. A promotion really gets interesting if it offers a significantly higher bonus than the minimum amount indicated below.
| Program | Point Value | Normal Purchase Price | Min. Bonus Amount |
|---|---|---|---|
| Best Western | .6 | 1.0 | 70% |
| Choice | .75 | 1.0 | 33% |
| Hilton | .45 | 1.0 | 120% |
| Hyatt | 1.7 | 2.4 | 40% |
| IHG | .5 | 1.0 | 100% |
| Marriott | .7 | 1.25 | 80% |
| Radisson | .4 | 0.7 | 75% |
| Wyndham | .8 | 1.3 | 60% |
You can always buy IHG points at .575 cents each (or lower) and Choice points at .75 cents each, rather than at the normal purchase prices shown in the table above. But if they are running a point purchase promotion, the pricing will be based on the normal purchase price, not the price you could acquire them with the Cash & Points trick. As a result, you'll need bonuses of 85% or more, to make it worthwhile. On the other hand, you need a minimum quantity of points in your IHG and Choice accounts before you can start using the Cash & Points trick, and if you need to buy those, you are best off doing so when they are on sale. Get Cheap IHG and Choice Points Using the Cash & Points Trick
If you use an IHG credit card to purchase points, you'll get a 20% discount, reducing the cost of point purchases.
For Wyndham, the amount you can purchase is limited to only 45,000 per year.
Getting discounted room rates via point purchases
- Don’t think of it as a free hotel room, think of it as a special discounted rate. When you are buying points in order to book an award night, you aren't getting a "free" hotel room. However, if the cost to purchase the points multiplied by the required number of points is lower than the normal room rate, you are getting the hotel room for a cheaper-than-normal rate.
- Keep in mind, that paying for a room in this way also includes taxes and fees and award reservations can be typically cancelled or changed until close to your check-in date. You are also still entitled to any status benefits and will usually still earn credits for higher-level status.
