What is the best use of American Express points?
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What are American Express Membership Rewards points worth?
I have written numerous articles before about using American Express Membership Rewards points and a few pieces on how I value airline miles and hotel points.
I have pulled together both of these strands in this article on how to make the best use of your Amex Membership Rewards points. It does NOT cover every Membership Rewards redemption but it does cover the bulk of the pseudo-cash, cash and travel options.
Membership Rewards sensibly chose to discontinue ‘physical’ redemptions a couple of years ago. You can no longer redeem your points for a toaster. This is good news because the toaster was, unsurprisingly, poor value for your points. If you still want a free toaster, redeem your points for an Amazon gift card.
The Amex Membership Rewards website is here if you want to look for yourself at what is available.
How can you earn Membership Rewards points?
The three main ways to earn Membership Rewards points in the UK from a personal American Express card are:
American Express Preferred Rewards Gold
Your best beginner’s card – 20,000 points, FREE for a year & two airport lounge passes Read our full review
The Platinum Card from American Express
30,000 points and an unbeatable set of travel benefits – for a fee Read our full review
American Express Rewards
The only ‘free for life’ Amex card which earns Membership Rewards Read our full review
The two most common business payment cards are:
American Express Business Gold
20,000 points sign-up bonus and free for a year Read our full review
American Express Business Platinum
40,000 points sign-up bonus and a long list of travel benefits Read our full review
The complex rules on whether you qualify for an American Express sign-up bonus are explained in my article here.
Fundamentally, it is fairly easy to qualify for the bonus on Business Gold and Business Platinum (you cannot have held any Membership Rewards card for six months) and personal Platinum (you cannot have held a personal Green, Gold or Platinum card for 24 months).
It is harder to qualify for the bonus on personal Preferred Rewards Gold or the American Express Rewards Credit Card (you cannot have held ANY personal Amex card for 24 months).
How I value Amex Membership Rewards points:
0.75p – 1.5p per point (my target)
Airline miles. My last piece on valuing Avios points is here and Amex points transfer into Avios at 1:1. This is why the sign-up bonuses, such as 20,000 points for taking out the free (in Year 1) Amex Gold, are so valuable.
It is impossible to tie down a tighter range because of the number of different airline partners and the various ways (upgrade, long-haul, short-haul, economy, premium) you can redeem. Membership Rewards points convert at 1:1 to Avios, Virgin Atlantic, Emirates, Etihad, Alitalia, Cathay Pacific, Delta, Finnair, Flying Blue, Qantas and SAS. The transfer rate to Singapore Airlines is 3:2.
My personal spreadsheet of the last 8.5m Avios I have redeemed shows that I got an average value of 1.2p. This is based on what I would personally have been prepared to pay for the flights I took, however, which may be far different from what you would have been prepared to pay. My best redemptions far exceeded this.
1p per point (my target)
Radisson Rewards hotel transfers. Radisson Rewards is probably the least understood of the American Express hotel partners, but their points can have real value.
Radisson Rewards in the UK covers Radisson Blu, Radisson RED, Radisson Edwardian, Park Inn and Park Plaza.
I value a Radisson Rewards points at 0.33p as I explain here and the conversion rate is a generous 1 Amex point to 3 Radisson Rewards points. You need (75,000 / 3) 25,000 Amex points for the most expensive hotels and if you assume a £250 per night cash cost then 1p per point is realistic.
Radisson points are poorer value at the bottom end, with most UK Park Inn hotels now requiring 30,000 points, but a cash rate of £100+ would still get you 0.33p per point.
0.8p per point (guaranteed)
In early 2021, the supermarket loyalty scheme Nectar become a partner with British Airways Avios points. You can convert 50,000 Avios per month to Nectar, at a rate of 250 : 400.
Because a Nectar point has a fixed value of 0.5p when spent at Sainsbury’s, eBay or Argos, it means that 1 Avios can be turned into 1.6 Nectar points worth 0.8p.
As long as you shop at Sainsbury’s, eBay or Argos, you can get 0.8p per Membership Rewards point, guaranteed.
To do this, you convert your American Express points to Avios and then transfer them to Nectar.
Before I go on ….
You are guaranteed 0.8p per Membership Rewards point if you convert American Express points to Avios to Nectar.
All of the options below earn you less than 0.8p per point. You need to have a good reason to use any of the options below instead of Nectar.
0.75p per point (my target)
Marriott Bonvoy hotel transfers. Amex points convert at 2:3 into the Marriott Bonvoy programme. It is currently fairly easy to get 0.5p per Marriott Bonvoy point although this may change in 2022 as redemption pricing moves to a revenue-based model.
This article explains why we value Marriott Bonvoy points at 0.5p.
0.5p per Marriott Bonvoy point means, at a 2:3 exchange rate from Membership Rewards, you should be getting 0.75p per Membership Rewards point. You now have a whopping 30 hotel brands inside the new combined Marriott / Starwood business to redeem at, including Le Meridien, Sheraton, Westin, W, Marriott, Autograph, Design Hotels, The Luxury Collection, The Ritz-Carlton, St Regis etc etc.
I have had some exceptionally good redemptions in recent years which have got me far more than 0.5p per Bonvoy point. These include St Regis New York for 60,000 Bonvoy points (40,000 Amex points) when cash rates were $1,100 + tax, and the new The Langley country house hotel for just 35,000 points (23,300 Amex points). Both of these hotels now cost more in points, unfortunately.
0.66p per point (my target)
Hilton Honors hotel transfers. Hilton has moved closer to a revenue-based redemption model in recent years, although you can get still outsized value at times. Over time I have come to believe that 0.33p per point is a fair valuation for a Hilton Honors point. The conversion rate is 1:2 to Hilton which is how I get to 0.66p per Amex point. Hilton brands include Conrad, Waldorf Astoria and Hampton.
Club Eurostar points. I value a Club Eurostar point at 10p as the linked article explains. The 15:1 transfer rate into Club Eurostar means you are getting 0.66p per point. Remember that Club Eurostar offers guaranteed availability – if there is a seat for cash, you can book it for points – which means that you are more likely to be redeeming onto peak trains which are peak priced for cash.
0.5p per point (guaranteed)
Retailer gift cards – Amazon, Currys, Harrods, iTunes, Marks & Spencer, Selfridges, Waterstones etc. 20,000 Amex points will get you a £100 shopping voucher, for example.
0.5p per point (guaranteed)
The value of a Nectar point, given that you can redeem Amex points for Nectar points at a 1:1 ratio. It is pointless to do this, however, given that you get 60% more value by transferring American Express to Avios to Nectar as I explained above.
0.45p per point (guaranteed)
Linking your Amex account to amazon.co.uk and paying for your purchases directly with points (more in this article). This is a slightly silly option, however, as you can also redeem for Amazon gift cards and get 0.5p per point.
0.45p per point (guaranteed)
Redeeming for American Express statement credit.
I hope this gives you some ideas for using your points for maximum value.
Learn more about the credit cards mentioned above
Here is the legally required interest rate information on the credit cards mentioned above, together with links to our detailed reviews:
Sign-up bonus and earnings rate:
- Get 20,000 Membership Rewards points when you spend £3,000 within 90 days
- Earn 1 Membership Rewards point per £1 spent
- Get a 10,000 points bonus if you spend £15,000 in a card year
- Earn double points on all airline and overseas spend
- Points transfer at 1:1 into Avios, Virgin and other airline schemes
Other information:
- Amex Gold is our recommended ‘first card’ for a miles and points beginner
- Get two free airport lounge passes when you sign up, and a further two each year
- After your two free passes, you can visit further lounges for a small fee
- You receive £120 of Deliveroo credit each year (24 x £5 credits)
- Annual fee: Free for the first year, £140 from Year 2
Representative 59.9% APR variable. Annual fee applies after the first year.
You will receive 20,000 American Express Membership Rewards points as a sign-up bonus on the American Express Preferred Rewards Gold card if you spend £3,000 within 90 days of signing up.
Membership Rewards points are hugely flexible, which is why we recommend this as the best choice for your first miles and points card. You can transfer them into Avios, Virgin Flying Club or other airlines (at 1:1) or into various hotels schemes, into Club Eurostar or use them for shopping vouchers.
To qualify for the bonus, you must NOT, currently or in the previous 24 months, have held any other personal American Express card.
You are OK if you had a supplementary card on someone else’s American Express account.
You are OK if, currently or in the previous 24 months, you have held a Business American Express card.
For clarity, you can still apply for the American Express Preferred Rewards Gold card even if you do not qualify for the bonus. You would still benefit from the two free airport lounge passes and the ‘no fee in Year 1’ offer.
American Express Preferred Rewards Gold comes with two free airport lounge passes. These allow either you and a friend, or yourself twice, to visit any lounge in the Priority Pass network. You make additional lounge visits for £20 per person. You receive an additional two free passes each year.
You earn double Membership Rewards points on all airline spend (made directly on an airline website) and all spend made outside the UK.
If you spend over £15,000 in a card year, you will receive an additional 10,000 Membership Rewards points when you renew.
Starting in May 2021, you receive £120 of Deliveroo credit each year. Amex will repay you £5 for the first two Deliveroo orders charged to your Gold card each month.
Other benefits include a 10% discount on Hertz car rentals and special deals at 350 selected hotels worldwide, where Preferred Rewards Gold cardholders receive a $75 in-hotel credit per stay.
Sign-up bonus and earnings rate:
- Get 30,000 Membership Rewards points when you spend £4,000 within three months
- Earn 1 Membership Rewards point per £1 spent
- Points transfer at 1:1 into Avios, Virgin and other airline and hotel schemes
Other information:
- Two Priority Pass cards, each allowing two people into 1,300 airport lounges
- Elite status in four major hotel loyalty programmes
- Comprehensive travel insurance
- Annual fee: £575
This is a charge card, not a credit card. You must clear your balance in full each month. Annual fee £575.
You will receive 30,000 American Express Membership Rewards points as a sign-up bonus on The Platinum Card if you spend £4,000 within three months of signing up.
Membership Rewards points are hugely flexible. You can transfer them into Avios, Virgin Flying Club or other airlines (at 1:1) or into various hotels schemes, into Club Eurostar or use them for shopping vouchers.
This is the ONLY personal American Express card where you still qualify for the bonus if you already hold a British Airways American Express card.
To qualify for the bonus, you must NOT, currently or in the previous 24 months, have held any other personal American Express card which earns Membership Rewards points. This includes The Platinum Card and Preferred Rewards Gold.
You are OK if you had a supplementary card on someone else’s American Express account.
You are OK if, currently or in the previous 24 months, you have held any other American Express card, including the British Airways, Marriott and Nectar cards.
If you cancel The Platinum Card at any point, you will receive a pro-rata refund of your membership fee. You will not lose your sign-up bonus.
For clarity, you can still apply for The Platinum Card even if you do not qualify for the bonus. You would still benefit from the long list of other benefits.
The Platinum Card from American Express comes with an unrivalled list of benefits for the keen traveller.
Your personal travel patterns will determine which of these is the most valuable. The key benefits are:
Full comprehensive travel insurance for you, your family and the family of up to five supplementary cardholders, subject to enrolment
Two Priority Pass cards, each of which allows the holder and a guest unlimited free access to 1,300 airport lounges
Elite status in four major hotel loyalty schemes: Marriott Bonvoy (Gold), Hilton Honors (Gold), Radisson Rewards (Gold), MeliaRewards (Gold)
Access to Eurostar lounges, irrespective of travel class
£10 per month of Addison Lee taxi credit
Sign-up bonus and earnings rate:
- Get 5,000 Membership Rewards points when you spend £2,000 within 90 days
- Earn 1 Membership Rewards point per £1 spent
- Points transfer at 1:1 into Avios, Virgin and other airline schemes
Other information:
- Your best choice if you want a ‘free for life’ card which earns Membership Rewards points
- A good choice if you want to close a Gold or Platinum card but keep your points intact
- Annual fee: Free
Representative 24.5% APR variable
You will receive 5,000 American Express Membership Rewards points as a sign-up bonus on the American Express Rewards card if you spend £2,000 within 90 days of signing up.
Membership Rewards points are hugely flexible. You can transfer them into Avios, Virgin Flying Club or other airlines (at 1:1) or into various hotels schemes, into Club Eurostar or use them for shopping vouchers.
To qualify for the bonus, you must NOT, currently or in the previous 24 months, have held any other personal American Express card.
You are OK if you had a supplementary card on someone else’s American Express account.
You are OK if, currently or in the previous 24 months, you have held a Business American Express card.
For clarity, you can still apply for the American Express Rewards card even if you do not qualify for the bonus. You may want to do this if you are thinking of swapping your Preferred Rewards Gold or Platinum card for a free alternative, and would prefer to keep your existing Membership Rewards points balance alive.
American Express Rewards is the only ‘free for life’ American Express card which lets you collect Membership Rewards points.
We do NOT recommend this card if you would also qualify for the sign-up bonus on American Express Preferred Rewards Gold. The Gold card is free for the first year, comes with two free airport lounge passes and has a higher sign-up bonus of 10,000 points.
The best reason to get American Express Rewards is if you are coming to the end of your free first year with American Express Preferred Rewards Gold, or no longer want to pay the fee on The Platinum Card, but want to keep your Membership Rewards points intact.
Sign-up bonus and earnings rate:
- Get 20,000 Membership Rewards points when you spend £3,000 within 90 days
- Earn 10,000 additional bonus points whenever you spend £20,000 in a quarter
- Earn 1 Membership Rewards point per £1 spent
Other information:
- Annual fee: Free for the first year, £175 from Year 2
- Points transfer at 1:1 into Avios, Virgin Points and other airline schemes
This is a charge card, not a credit card. You must clear your balance in full each month. Annual fee £175 from Year 2, free in Year 1.
You will receive 20,000 American Express Membership Rewards points as a sign-up bonus on the American Express Business Gold card if you spend £3,000 within 90 days.
Membership Rewards points are hugely flexible. You can transfer them into Avios, Virgin Flying Club or other airlines (at 1:1) or into various hotels schemes, into Club Eurostar or use them for shopping vouchers.
To qualify for the bonus, you must NOT, currently or in the previous six months, have held any other American Express card which earns Membership Rewards points. This includes Business or personal Gold, Business or personal Platinum and the personal American Express Rewards credit card.
You are OK if you had a supplementary card on someone else’s American Express account.
You are OK if the only American Express card you have had in the previous six months was a British Airways, Marriott Bonvoy, Nectar, Platinum Cashback or Harrods American Express card.
For clarity, you can still apply for the American Express Business Gold card even if you do not qualify for the bonus. You would still benefit from the ‘no fee in Year 1’ offer.
You receive £100 of Dell statement credit per calendar year. This is made available in two parts. You receive a £50 credit on Dell purchases made between January and June and a £50 credit on Dell purchases made between July and December. There is no minimum spend requirement.
You can apply for supplementary Amex business cards for your employees at no extra cost.
You will receive one consolidated statement showing the spend on your card and all of the supplementary cards. All of the Membership Rewards points earned on the supplementary cards will flow into your personal account.
Depending on when in your monthly cycle you make a payment, you will effectively receive up to 54 days free credit on your spending.
American Express statements provide more underlying transaction detail for flights and certain other transactions than Visa or Mastercard statements, making it easier to reconcile transactions.
Sign-up bonus and earnings rate:
- Get 40,000 Membership Rewards points when you spend £6,000 within 90 days
- Earn 1 Membership Rewards point per £1 spent
- Points transfer at 1:1 into Avios, Virgin Points and other airline schemes
Other information:
- Two Priority Pass cards, each allowing two people into 1,300 airport lounges
- Elite status in four major hotel loyalty programmes
- Comprehensive travel insurance
- Annual fee: £595
This is a charge card, not a credit card. You must clear your balance in full each month. Annual fee £595.
You will receive 40,000 American Express Membership Rewards points as a sign-up bonus on the American Express Business Platinum card if you spend £6,000 within 90 days.
Membership Rewards points are hugely flexible. You can transfer them into Avios, Virgin Flying Club or other airlines (at 1:1) or into various hotels schemes, into Club Eurostar or use them for shopping vouchers.
To qualify for the bonus, you must NOT, currently or in the previous six months, have held any other American Express card which earns Membership Rewards points. This includes Business or personal Gold, Business or personal Platinum and the personal American Express Rewards credit card.
You are OK if you had a supplementary card on someone else’s American Express account.
You are OK if the only American Express card you have had in the previous six months was a British Airways, Marriott Bonvoy, Nectar, Platinum Cashback or Harrods American Express card.
For clarity, you can still apply for the American Express Business Platinum card even if you do not qualify for the bonus. You would still benefit from all of the other card features.
American Express Business Platinum comes with an unrivalled list of benefits for the keen traveller.
Your personal travel patterns will determine which of these is the most valuable. The key benefits are:
Full comprehensive travel insurance for you, your family and the family of up to five supplementary cardholders, subject to enrolment
Two Priority Pass cards, each of which allows the holder and a guest unlimited free access to 1,300 airport lounges
Elite status in four major hotel loyalty schemes: Marriott Bonvoy (Gold), Hilton Honors (Gold), Radisson Rewards (Gold), MeliaRewards (Gold)
£150 of Dell statement credit per year – you receive £75 credit on Dell purchases betweeen January and June and £75 credit on purchases between July and December
Digital subscription to The Times and The Sunday Times, worth over £300
Disclaimer: Head for Points is a journalistic website. Nothing here should be construed as financial advice, and it is your own responsibility to ensure that any product is right for your circumstances. Recommendations are based primarily on the ability to earn miles and points and do not consider interest rates, service levels or any impact on your credit history. By recommending credit cards on this site, I am – technically – acting as a credit broker. Robert Burgess, trading as Head for Points, is regulated and authorised by the Financial Conduct Authority to act as a credit broker.
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