points vs fees

[glass]

How does everyone feel about points vs merchant fees? I value my points at 1c/pt, so if I'm going to get charged 1% for using amex and get 1.25 points, I'm ahead. Then again it's cash in pocket vs qantas points that I may never live to use, seeing how few seats they have in 'classic' awards. I don't know how to value my points against their 'anyseat' awards.

 

[medhead]

I value my points for anyseat rewards by comparison to the fares available for sale at the same time.

I also don't really worry about the surcharges for things like my phone bill when I have bonus points of offer, because it is just another spend on which I can earn big points. But when the bonus points end it is back to Bpay for bills.

 

[Alanslegal]

I value my points at around 2.5c each. So if I spend $100, I would earn 150 points which I value at $3.75, so a surcharge of say 1% will still give me a net gain of $2.75 in my above example. However, as most here would do, shop at places which do not demand a surcharge and you gain faster.

 

[lovetravellingoz]

I am basically like Alanslegal...except I will assign a nominal value of around 2 cent a point for aquisition purposes.

However I am currently redeeming at about 6 cents per point with J travel. I don't assign that much value though for if I had to pay for J, I would be flying economy instead. On the other hand the "J" experience is certainly worth more than 2 cents a point to me and so I might re-weight things.


On paying a surcharge: It also depends on if there is any surcharge on VISA as my VISA earns at 1.0 point per $ and my Amex at 1.5.


Some places like Qantas also have flate rate fee as well. So for small purchases direct debit, or cash, can make sense. Taxis are example where cash is better in Auastrlia otherwise you get hit witha 10% surcharge.

So basically a quick mental calculation is needed for every purchase when there is a surcharge involved.

 

[lovestotravel]

I value each point at about 8cents each.

I redeem them for J travel, although with the cheap J airfares at the moment I am paying for J instead.

1/2 price J seats to most destinations around the world

3 points per $1 with the CBA at the moment
4.5 points per $1 with Amex issued cards with V Australia at the moment

Lots of FF/Status Credits from the J flights

Once fares go back to "normal" I will revert to burning MR points as I can't justify the full price of J when points as there to be spent

 

[glass]

Hm, what's J travel? You all seem to value your points more than I do. Maybe I'm not using mine in the best way.

 

[zzyss]

Hm, what's J travel? You all seem to value your points more than I do. Maybe I'm not using mine in the best way.

J = business class.

I imagine that a lot of the people around here are truly "frequent flyers". Me, on the other hand, I don't fly so much. I'm here more for the tips and tricks around reward schemes, and credit card information.

Therefore I tend to value my points at 1c or less, since I'd never earn enough points to burn on a J flight in a million years!

 

[JohnK]

I value Amex MR points between 1c-2c each.

None of us like paying surcharges but unfortunately sometimes paying a surcharge is unavoidable. In saying that I find most places I use my Amex do not have a surcharge and the only times I pay a surcharge is for mobile phone, tv and internet bills.

 

[lovestotravel]

Surcharge for TV? Do you mean Foxtel ?

 

[ChrisFlyer]

It's stupid - if you have Foxtel direct from Foxtel, you can pay them with credit card (inc. Amex & Diners) with no surcharge, but if you have "Foxtel from Telstra" with your phone/internet etc, you pay the Telstra surcharge on the lot... haha

 

[JohnK]

Surcharge for TV? Do you mean Foxtel ?

Should have mentioned cable TV. It is Foxtel via Optus. From memory I pay a statement fee and some sort of convenience fee every month.