Travel Rewards Credit Cards

May 01

American Offers Hotel Point Conversion Bonus

American Airlines is offering you bonus points to convert your hotel points into miles. But is it worth it?

25% Bonus to Convert to American

american aadvantage

That could be you. You’re sleeping outside because you exchanged all your hotel points for miles.

Converting hotel points to airline miles is rarely a great deal, but it can be a fast way to pick up some miles that you need for a trip.* Every once in a while, somebody will throw a bonus at you to do so, but it’s rare that you can get a bonus from every hotel program at the same time. American, however, will occasionally allow you to do so, giving you extra miles when you convert from any hotel loyalty plan.

The question becomes about what kind of deal you are getting. Even with the extra 25% bonus on the amount that you receive, such a transfer is still of questionable value, except in the case where you need the miles right away, in which case, you are paying for expediency. There are always exceptions, of course. Starwood will already give you an extra 5,000 miles for every 20,000 points you convert. Club Carlson is also a pretty good bet, and even better with the recent promotion.

I don’t normally recommend converting hotel points to miles but, if you need American miles, now’s as good a time as any.

 


Beginner’s Hint: Loyalty programs make it easy for you to convert from one type of currency to another (e.g., hotel points to miles), but you’ll always get the most value per dollar with a company’s proprietary plan. For instance, if you have hotel points, the value of the room that you get is far greater than the value of the miles that you would receive for exchanging them. It doesn’t cost the hotel anything to give you a room but, if you convert those points to miles, they may be out hard cash to pay for them.

 

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