WHAT ARE CHASE ULTIMATE REWARDS POINTS WORTH?

Vault’s Viewpoint on Chase Ultimate Rewards

• Chase Ultimate Rewards worth starts at 0.8 cents per point in value, yet it can climb up to 1.62 cents per point or higher with the right redemption.
• Having a Chase travel credit card unlocks the potential for more lucrative travel redemptions, either through Chase Travel or transfers to airline and hotel partners.
• Chase Ultimate Rewards flexibility is a key benefit of this program since users can redeem their rewards for cash back, statement credits, merchandise, gift cards, travel and more.

Credit Cards That Earn Chase Ultimate Rewards

Before we dive into Chase Ultimate Rewards points value by redemption option, here’s an overview of credit cards that earn rewards in this program.

Redeeming Chase Ultimate Rewards for Cash Back

All credit cards that earn Chase Ultimate Rewards get the standard redemption value of 1 cent per point when redeeming for statement credits or cash back. With this redemption rate, 10,000 points are worth $100, and 60,000 points are worth $600.

Note that you can redeem cash back as a statement credit to your account or have the money directly deposited into most U.S. checking or savings accounts, according to Chase.

Redeeming Chase Ultimate Rewards for Travel

All Chase Ultimate Rewards cardholders can redeem their points for travel through Chase Travel at a minimum value of 1 cent per point. Better yet, the Chase portal lets users redeem their points for airfare with any airline, hotel stays around the world, car rentals, experiences, cruise excursions and more.

However, cardholders with select Chase travel credit cards qualify for better redemption rates. Eligible cards include:

• Chase Sapphire Preferred: 25% more value when you redeem travel through Chase Travel
• Chase Sapphire Reserve: 50% more value when you redeem travel through Chase Travel
• Ink Business Preferred: 25% more value when you redeem travel through Chase Travel

With the elevated redemption options above, this means Chase points can be worth 1.25 to 1.5 cents each when redeeming for travel through Chase Travel with the right credit card.

Redeeming Chase Ultimate Rewards for Point Transfers

Chase Ultimate Rewards points value can be highest when cardholders transfer their rewards to an airline or hotel partner for a premium travel redemption. In this scenario, credit card customers actually transfer their points out of their Chase accounts and into a frequent flyer or hotel loyalty account with a different travel brand.

All Chase transfer partners are available with a 1:1 transfer ratio, but not all Chase credit cards allow this option directly. In fact, you can only transfer points to Chase airline and hotel partners if you have the Chase Sapphire Preferred, the Chase Sapphire Reserve or the Ink Business Preferred.

Once you transfer your points away from Chase and into a partner account, the value of your rewards varies based on how you redeem them. However, many redemptions through transfer partners can be worth up to 1.62 cents per point or more.

According to Newsweek valuations, these cards’ average values when redeeming toward transfer partner travel are as follows:

• Chase Sapphire Preferred: 1.38 cents per point
• Chase Sapphire Reserve: 1.62 cents per point
• Ink Business Preferred: 1.38 cents per point

Take this example with the World of Hyatt program. When we searched for hotels in Miami, Florida, for dates in July of 2024, we found an option to book the Hyatt Regency Miami for 9,000 points or $196 points per night.

When you divide the nightly cash rate by 9,000 points, you can see that this redemption gets you more than 2.1 cents per point.

Important: While not all Chase credit cards let you transfer your rewards to airlines and hotels directly, Chase lets you pool points earned in almost all of their accounts for better redemption options. This means you have the chance to use cash back earned through Chase for point transfers, but only if you have the Chase Sapphire Preferred, the Chase Sapphire Reserve or the Ink Business Preferred to combine points with.

Redeeming Chase Ultimate Rewards for Gift Cards

Redeeming Chase points for gift cards makes it easy to treat yourself or someone else, and you may even get more than one cent per point in value when you do. That’s because Chase frequently features gift card options for 10% off, meaning you can get a $100 gift card for 9,000 points when this promotion applies.

Outside of promotional offers, Chase points are worth 1 cent each for this redemption. Gift card options offered through Chase vary widely but include plenty of fan favorites can include:

• Airbnb
• DoorDash
• Hotels.com
• Lululemon
• Ruth’s Chris Steakhouse
• Uber
• Virgin Experiences

Redeeming Chase Ultimate Rewards for Amazon or PayPal Purchases

Chase also lets you pay with points at checkout with your PayPal account or on Amazon.com. This redemption option probably seems convenient—and it is—but you’ll want to be aware of the fine print before you go this route.

Points redeemed through Amazon or PayPal are only worth 0.8 cents each, which is less than you would get if you used your card for purchases and then redeemed for statement credits instead.

Redeeming Chase Ultimate Rewards for Dining and Experiences

Chase Sapphire cardmembers can also use their points to book dining options and experiences. Values for these redemptions vary widely but normally work out to approximately 1 cent per point.

Experiences we have seen available to Chase Sapphire cardmembers include options like Peloton classes in New York, New York for 3,500 points or $35 per person, or New York Knicks tickets with hospitality club access and a post-game photo for 38,000 points per $38 per person.

You could even use Chase Ultimate Rewards for a Five Iron Golf Weekend Warrior 3-month pass if you want to fork over 100,000 points (versus $1,000 per person). These can change so check the experiences and dining options currently available at any given time.

Redeeming Chase Ultimate Rewards for Pay Yourself Back

Chase also offers a program called Pay Yourself Back through its rewards program, which was born out of the COVID-19 pandemic. While Pay Yourself Back originally came about as a way to help cardholders get more value for their rewards when travel was limited, this program still exists and offers an elevated redemption rate in certain categories.

For example, cardholders with the Chase Sapphire Reserve previously qualified for the following promotions through Pay Yourself Back:

• 50% more value for charitable contribution redemptions (through March 31, 2024)
• 25% more value for redemptions to cover gas station purchases (through March 31, 2024)
• 25% more value for redemptions to cover grocery store purchases (through March 31, 2024)
• 25% more value to cover annual card membership fees (through March 31, 2024)

Note, however, that Pay Yourself Back options are subject to change and vary by card type.

How To Get the Best Chase Ultimate Rewards Points Value

Because transfers to Chase airline and hotel partners can get you up to 1.62 cents per point in value or more, depending on the card you own, this is the most lucrative option for Chase points by far. However, transferring rewards to another program won’t make sense for everyone, and there are situations where booking travel through the Chase Travel portal yields more flexibility than transfer partners can.

At the end of the day, the best way to use your Chase points depends on the redemption you want to make and your current priorities. This may mean using points to plan a much-needed vacation in a far-flung locale, but it could also mean redeeming rewards for gift cards so you can splurge for something you want. When it comes to Chase Ultimate Rewards points, rewards are yours to use as you want.

The post What Are Chase Ultimate Rewards Points Worth? first appeared on Newsweek Vault.

2024-05-07T14:28:37Z dg43tfdfdgfd