What use are Chase UR Points (to me)

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*3!4!/5!
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What use are Chase UR Points (to me)

Post by *3!4!/5! » Sun Apr 02, 2017 6:49 pm

I just want to make sure I understand the options for Chase Ultimate Rewards (UR) Points.

Currently spouse and I each have Chase Freedom Credit Card, but no other URP-earning cards. (We only use them for 5% cashback in some quarters, e.g. maxed in 2016Q$4, unused in 2017Q1.)

We are both waaay over 5/24, and may never drop below (even just opening a few cards per year). So we may or may not ever be eligible for Chase Sapphire Preferred/Reserve (CSP/R), and even if we could/did get them, it would only be for the bonus as these kinds of cards don't work for us long term.

We'd just been cashing out the URP for 1 cent per point (statement credit or direct deposit) and I understand that's about the best you can do with just Chase Freedom. Is that right? But I thought we should start saving them so we have 30k URP = $300 just in case we can find a better use if ever possible. Is 1 cent per point the best possible redemption for Chase Freedom?

In the slim chance we every got CSP or CSR I understand we could use Chase Travel to redeem at 1.25c/URP (CSP) or 1.5c/URP (CSR), if prices were okay (which is debatable). Are there any other options, given that our occasional travel is by family car and budget hotels, so we are absolutely not people for whom CSP/R makes sense long term, and it would be ridiculous for us to transfer points to "travel partners" (airlines/hotel chains).

Do I understand the options for URP or am I missing something?

Should I save these URP (will probably continue to accumulate 30k URP = $300 per year from half using quarterly 5% cashback categories on two cards), on the slim chance we could get a 25% or 50% boost, in some future year, after some hoop jumping? Or should we make life simple and just cash them out?

shanghaista
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Re: What use are Chase UR Points (to me)

Post by shanghaista » Sun Apr 02, 2017 7:25 pm

*3!4!/5! wrote:Are there any other options, given that our occasional travel is by family car and budget hotels, so we are absolutely not people for whom CSP/R makes sense long term, and it would be ridiculous for us to transfer points to "travel partners" (airlines/hotel chains).

Do I understand the options for URP or am I missing something?

Should I save these URP (will probably continue to accumulate 30k URP = $300 per year from half using quarterly 5% cashback categories on two cards), on the slim chance we could get a 25% or 50% boost, in some future year, after some hoop jumping? Or should we make life simple and just cash them out?
I've looked into this as I have Chase Freedom as well and only use it on 5% categories.

Since you already stated you're unlikely to jump to the premium tiers (with the annual fees), I believe 1 point = 1 cent is the best value you're gonna get.

On the other hand, Chase does offer some "exclusive" redemptions (vacations/activities) through their rewards site. It definitely is ICB though, and the points/value is unlikely to be worth the list price.

Derby
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Re: What use are Chase UR Points (to me)

Post by Derby » Sun Apr 02, 2017 9:04 pm

They transfer 1 to 1 to certain frequent flyer miles programs, including United. If you use them to buy international business class saver seats, they can be worth more like 3¢/point. That's how I use them.
Carpe Diem.

*3!4!/5!
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Re: What use are Chase UR Points (to me)

Post by *3!4!/5! » Mon Apr 03, 2017 8:36 am

shanghaista wrote:Since you already stated you're unlikely to jump to the premium tiers (with the annual fees), I believe 1 point = 1 cent is the best value you're gonna get.
Basically the options are cash out now (and keep cashing out as points are earned), or else hold on for the slim chance there could be a 25% or 50% boost in the distant future, as a small investment.

BW1985
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Re: What use are Chase UR Points (to me)

Post by BW1985 » Mon Apr 03, 2017 8:47 am

*3!4!/5! wrote:
shanghaista wrote:Since you already stated you're unlikely to jump to the premium tiers (with the annual fees), I believe 1 point = 1 cent is the best value you're gonna get.
Basically the options are cash out now (and keep cashing out as points are earned), or else hold on for the slim chance there could be a 25% or 50% boost in the distant future, as a small investment.
The real value is when you transfer them out to travel partners at 1:1 but you can't do that with just Freedom. You could work on building up a nice balance until you're eligible again for a new Chase card, but if may not be worth it to you to postpone new cards. Maybe you keep opening cards but your wife stops for awhile, or vice versa. Then in 24 months you get the Chase card. That's what I'm doing since I'm over 5/24 now, they just denied me for a card. Switching to my wife for all new cards and I'll go on a hiatus.
"Squirrels figured out how to save eons ago. They buried acorns. Some, they dug up, for food. Others, they let to sprout, in new oak trees. We could learn from squirrels." -john94549

Da5id
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Re: What use are Chase UR Points (to me)

Post by Da5id » Mon Apr 03, 2017 8:48 am

Derby wrote:They transfer 1 to 1 to certain frequent flyer miles programs, including United. If you use them to buy international business class saver seats, they can be worth more like 3¢/point. That's how I use them.
You need a premium card to enable those transfers, e.g Sapphire Referred/Preferred.

BW1985
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Re: What use are Chase UR Points (to me)

Post by BW1985 » Mon Apr 03, 2017 8:49 am

Derby wrote:They transfer 1 to 1 to certain frequent flyer miles programs, including United. If you use them to buy international business class saver seats, they can be worth more like 3¢/point. That's how I use them.
Just booked a United economy saver international ticket and got 3.75 cents per point. Business class saver was closer to 6 cents/point but I chose to go economy and pay cash upgrade to premium economy.
"Squirrels figured out how to save eons ago. They buried acorns. Some, they dug up, for food. Others, they let to sprout, in new oak trees. We could learn from squirrels." -john94549

*3!4!/5!
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Re: What use are Chase UR Points (to me)

Post by *3!4!/5! » Mon Apr 03, 2017 9:18 am

To simplify the discussion, even if we had CSP/R (can't even get now due to 5/24) we would never transfer UR points to "travel partners" (airlines/hotel chains).

Luke Duke
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Re: What use are Chase UR Points (to me)

Post by Luke Duke » Mon Apr 03, 2017 2:36 pm

*3!4!/5! wrote:We are both waaay over 5/24, and may never drop below (even just opening a few cards per year). So we may or may not ever be eligible for Chase Sapphire Preferred/Reserve (CSP/R), and even if we could/did get them, it would only be for the bonus as these kinds of cards don't work for us long term.
I've heard that the 5/24 rule applies separately to personal and business credit cards.

*3!4!/5!
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Re: What use are Chase UR Points (to me)

Post by *3!4!/5! » Mon Apr 03, 2017 2:51 pm

Luke Duke wrote:
*3!4!/5! wrote:We are both waaay over 5/24, and may never drop below (even just opening a few cards per year). So we may or may not ever be eligible for Chase Sapphire Preferred/Reserve (CSP/R), and even if we could/did get them, it would only be for the bonus as these kinds of cards don't work for us long term.
I've heard that the 5/24 rule applies separately to personal and business credit cards.
Another simplification to the discussion: we'll definitely never have business credit cards.

Da5id
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Re: What use are Chase UR Points (to me)

Post by Da5id » Mon Apr 03, 2017 2:56 pm

*3!4!/5! wrote:To simplify the discussion, even if we had CSP/R (can't even get now due to 5/24) we would never transfer UR points to "travel partners" (airlines/hotel chains).
In that case, they aren't any more useful that cash I think. That said, I've done really well transferring to Southwest and United, certainly much better than 1 cent per point.

Luke Duke
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Re: What use are Chase UR Points (to me)

Post by Luke Duke » Mon Apr 03, 2017 3:11 pm

*3!4!/5! wrote:
Luke Duke wrote:
*3!4!/5! wrote:We are both waaay over 5/24, and may never drop below (even just opening a few cards per year). So we may or may not ever be eligible for Chase Sapphire Preferred/Reserve (CSP/R), and even if we could/did get them, it would only be for the bonus as these kinds of cards don't work for us long term.
I've heard that the 5/24 rule applies separately to personal and business credit cards.
Another simplification to the discussion: we'll definitely never have business credit cards.
I'm guessing that a large number of people with Chase business cards do not have a business either.

deltaneutral83
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Re: What use are Chase UR Points (to me)

Post by deltaneutral83 » Mon Apr 03, 2017 3:46 pm

If you travel to metropolitan areas of the US even once a year the transfer of UR to Hyatt hotels is worth it. I often get a hotel for 12,000 UR that has a cash rate of $360 easily once taxes and fees are tacked on. 3x ratio over cash works for me. Chase is ecstatic when you redeem UR for 1x on statement credit (cash).

*3!4!/5!
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Re: What use are Chase UR Points (to me)

Post by *3!4!/5! » Mon Apr 03, 2017 3:49 pm

deltaneutral83 wrote:If you travel to metropolitan areas of the US even once a year the transfer of UR to Hyatt hotels is worth it. I often get a hotel for 12,000 UR that has a cash rate of $360 easily once taxes and fees are tacked on. 3x ratio over cash works for me. Chase is ecstatic when you redeem UR for 1x on statement credit (cash).
I would never pay $120 for a hotel.

deltaneutral83
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Re: What use are Chase UR Points (to me)

Post by deltaneutral83 » Mon Apr 03, 2017 4:09 pm

*3!4!/5! wrote:I would never pay $120 for a hotel.
Understood, my post wasn't directed at any one user, was just for reference for those that do travel and may be unaware of the awesome transfer partners (Hyatt,United/British Airways/Southwest etc etc).

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Doom&Gloom
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Re: What use are Chase UR Points (to me)

Post by Doom&Gloom » Mon Apr 03, 2017 5:57 pm

So just take the 1c/pt cash-back as a statement credit, call it a day, and move on.

Jags4186
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Re: What use are Chase UR Points (to me)

Post by Jags4186 » Mon Apr 03, 2017 6:28 pm

Sounds like you should get a Discover IT card for its 5% cashback categories since you can redeem your cashback for a 25% bonus when cashing out for gift cards. Supplement with a citi double cash and you're golden.

You have no use for ultimate rewards points. Cash what you have out and move to a better cashback ecosystem.

*3!4!/5!
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Re: What use are Chase UR Points (to me)

Post by *3!4!/5! » Mon Apr 03, 2017 6:28 pm

Doom&Gloom wrote:So just take the 1c/pt cash-back as a statement credit, call it a day, and move on.
...or...
*3!4!/5! wrote:
shanghaista wrote:Since you already stated you're unlikely to jump to the premium tiers (with the annual fees), I believe 1 point = 1 cent is the best value you're gonna get.
Basically the options are cash out now (and keep cashing out as points are earned), or else hold on for the slim chance there could be a 25% or 50% boost in the distant future, as a small investment.
Just making sure I wasn't missing anything else.

TravelforFun
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Re: What use are Chase UR Points (to me)

Post by TravelforFun » Mon Apr 03, 2017 6:56 pm

I transfer my Chase points to Southwest and use them with my Companion Pass to buy buy-one-get-one-free tickets.

traveltoomuch
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Re: What use are Chase UR Points (to me)

Post by traveltoomuch » Mon Apr 03, 2017 7:13 pm

From what you're saying, just cash them out.

Even with your preference for budget hotels, I think you could get some value from transfers to Hyatt - category 1 and 2 redemptions cost 5k and 8k points, respectively, which is only $50 or $80 at $.01/point. Many Hyatt Place properties are category 1 and 2. The real value comes when cash rates are unusually high - peak seasons, days when there's a ballgame in town, etc. The points price remains the same 5k, 8k, or whatever. But there aren't Hyatts everywhere. And you say you would never transfer to partners, so you've already ruled this option out. So take the money and run.

BW1985
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Re: What use are Chase UR Points (to me)

Post by BW1985 » Mon Apr 03, 2017 7:43 pm

TravelforFun wrote:I transfer my Chase points to Southwest and use them with my Companion Pass to buy buy-one-get-one-free tickets.
The southwest cards have been really valuable for me. Companion pass + 100K points, my wife and I are all over the US for just the $11 fee per ticket. Plus I can book southwest for work then just add her on as my companion. That is such a great program.
"Squirrels figured out how to save eons ago. They buried acorns. Some, they dug up, for food. Others, they let to sprout, in new oak trees. We could learn from squirrels." -john94549

*3!4!/5!
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Re: What use are Chase UR Points (to me)

Post by *3!4!/5! » Sun Jul 16, 2017 2:12 am


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