Update: This offer for the Starwood Preferred Guest® Credit Card from American Express has expired. Learn more about the current offers here.
IHG Rewards Club is offering a 48 hour flash sale on the purchase of points, valid through February 26, 2016. Through this offer, IHG Rewards Club is offering a 100% bonus on purchased points. This is as good as the bonus gets on the purchase of IHG points.
Unlike past promotions, you get the 100% bonus no matter how many points you buy, whether it’s 1,000 or 60,000 (in the past there were often minimum thresholds to get the 100% bonus).
If you max out this promotion and purchase 60,000 points you’d end up paying $690 and would get a total of 120,000 IHG Rewards Club points.
That’s a rate of 0.575 cents per IHG Rewards Club point.
Also keep in mind that if you have the IHG® Rewards Club Select Credit Card you get a 10% refund on award redemptions, up to 100,000 points back each year. That means for the first million points you redeem each year you get a 10% discount.
To do the math slightly differently, the cost per acquired point is really ~0.52 cents, when you factor in the 10% rebate you get when you go to redeem the points, assuming you’re doing so within the above parameters.
Keep in mind that IHG Rewards Club points purchases are processed by points.com, so don’t count as hotel spend for the purposes of your credit card. That means if you buy miles you’ll want to use a card which maximizes your return on everyday, non-bonused spend, like the Amex EveryDay® Preferred Credit Card or Starwood Preferred Guest® Credit Card from American Express.
Here are the full terms of the promotion:
Offer available for purchases made between 12:00 AM EST February 25 and 11:59 PM EST February 26, 2016 inclusive. Bonus points will be awarded upon completion of the transaction. Bonus points will be awarded to the recipient of the points purchase. Offer is subject to change. Offer cannot be combined with any other offer. Only purchases made online are eligible for the bonus.
Is it worth buying IHG points with a 100% bonus?
Go figure this promotion comes just a week after IHG announced an award chart devaluation, where we saw the cost of free night redemptions at ~400 of IHG’s 5,000+ properties changing by 5,000-10,000 points per night. While some properties went down in price, most went up.
Perhaps the worst part is that IHG raised the cost for stays at their top hotels from 50,000 points per night, to a maximum of 60,000 points per night. So that’s pretty unfortunate for those targeting aspirational redemptions.
Still, with a specific use in mind there’s a lot of value to be had. For example, if you’re staying at one of the hotels that costs 60,000 points per night, that’s like paying $345 for a free night, and if you have IHG’s co-branded credit card, it’s more like paying ~$310. Given the revenue costs of some of those hotels, that can still be a great value.
I wouldn’t speculatively buy points at this rate just for giggles, but there’s value to be had under the correct circumstances.
It can be an especially good value if you’re able to redeem points at a PointBreaks hotel, where you pay only 5,000 points per night. At a rate of 0.575 cents per point, that’s like paying ~$29 per free night, which is an incredible value.
We’ve seen 100% bonuses on purchased IHG points a few times before, and naturally this was a slightly better deal before the devaluation. That being said, there’s still value to be had, given how much some of IHG’s top properties retail for. This is the absolute best price we’ve seen for the purchase of IHG points, so with a specific use in mind I’d consider buying points.
The deal gets even better if you have IHG’s co-branded credit card, since you get a further 10% refund on redemptions.
Do you plan on buying IHG Rewards Club points with a 100% bonus?
(Tip of the hat to Deals We Like)
Non-Affiliate Product Disclaimer: The information for the AmEx Everyday Preferred has been collected independently by One Mile At A Time. The card details on this page have not been reviewed or provided by the card issuer.