It occurred to me that I have never written general guides on how to redeem points with the major programs.
I wanted to talk about how to redeem points and what the best uses of the currency are. Please let me know if you find this useful and I will do similar guides for other programs.
How much should you expect to pay for free nights, are there times when you can't use your points, and so on are some of the questions we're going to discuss.
I value the points at half a cent per point. I think that is a fair valuation for what the points are worth. I won't redeem points for a hotel stay if I'm getting less than half of a point's worth.
It is important to come up with a points valuation for yourself so that you can make a decision on whether to pay cash or redeem points for a hotel stay.
If a standard room is available for sale with cash, it can also be booked with points, according to the rules of the hotel.
The important thing to remember is that some hotels have a small pool of standard rooms, and a lot of rooms at hotels may be considered premium. If a hotel has 150 rooms, it's possible that only 10 rooms are considered "standard", so that's the major issue you'll run into when redeeming points at some properties
Dynamic award pricing is what Hilton honors has. The cash cost of a stay can affect the cost of a redemption.
There are limits to award pricing. Standard room redemptions cost a minimum of 5,000 points and a maximum of 150,000 points.
Each hotel has a maximum of how much a standard room will cost. Some properties will cost up to 150,000 points, while other properties will cost less than that.
It's important to understand that a hotel can charge the same amount of points on two nights, even if one night costs less than the other.
Some awards are labeled as a "Standard Room Reward" while others are labeled as a "Premium Room Reward." There is a difference. Premium room rewards allow you to redeem points for any type of hotel room, but the value won't be as good.
If you see pricing at a hotel that is above the average for a property, that means there is no standard room available, and you are booking a premium award. The difference between a standard room for 150,000 points and a premium room for 1,125,000 points is huge.
Points and money can be used to book a stay at a hotel. This may be appealing to people who want to reduce the cost of a stay using points or people who don't have enough points for a stay.
If you book a free night award stay with a free night award stay, you will get a better value. There is a free night at the hotel where you can get 150,000 points.
Do you want to book a points and money award? You would have to pay a total of $1,050.12 to reduce the points requirement. The 75,000HiltonHonors points are worth $375 to me if I value them at half a cent each. You are being asked to pay three times that amount.
Staying in a certain number of nights is one way to increase your points. All elite members of the program receive a fifth night free of stay. You have to pay for four of the five nights if you want to get an award. This can be used for back-to-back stays. You have to pay with points from the same account.
You want to have a great experience when you redeem your points for a hotel stay. It is easy to earn status with credit cards in theHiltonHonors program.
You can get everything from room upgrades to complimentary breakfast if you have status. Quickly, the value of that will add up.
The policy of combining points between accounts is one of the perks of the program. You can pool points with other people at no cost, which is great in situations where you don't have enough points for a particular event.
A lot of properties now charge destination fees, which are basically a money grab. When you redeem your points for your stay, you don't have to pay the fees that come with them. Regardless of your status, this applies.
The program sells points with a 100% bonus at a cost of 0.25 cents per point. That is in line with what I value.
There are a lot of situations where you can get outsized value simply by buying points from Hilton and then immediately redeeming them for hotel stays. It is worth having a reserve of points for that situation.
How do you get the most value out of your points? My approach to redemption is below.
I only redeem my points for free awards in standard rooms. I don't use any of the points for points and money awards. When I redeem for a standard room free night awards, I get way more value than most other redemptions.
It doesn't mean that every redemption is equal. When you can find a standard room that is available over a busy time, you will get the most value.
Say you want to stay at The Gabriel Miami Downtown. There is a calendar availability for December. There are redemptions available for over six hundred thousandHiltonHonors points. To me, that is the equivalent of $350 for a night, because I value the points at less than half a penny each.
Do you want to pay with cash? Rates ranged from $298 to $798. You would pay the same regardless of what you paid. The difference between 0.43 cents and 1.14 cents is a huge one.
Points pricing between hotels isn't always logical Two hotels in Turkey are examples. The redemption value of 1.6 cents per point is what you'll get if you stay at the hotel.
You get a redemption value of 0.24 cents per point when you stay at theHilton Garden Inn Erzurum.
Just crunching the numbers and doing some comparison shopping can stretch your point further.
While you can get great value with a bit of effort at your typical four star hotel, the area where you will get the most value for your points is when it comes to luxury hotels, as that's where you'll get the most value for your points.
Some examples of hotels that I have redeemed at, and the maximum you would pay for a standard room free night award.
Those are some potentially amazing values, given that you can get a bunch of points for a small fee. When cash rates are $2,000+ including taxes and fees, it's an awesome opportunity.
Award availability at these top properties can be limited. The pool of rooms bookable with points is limited because each hotel only has a limited number of standard rooms.
Persistence pays off in this case. As more rooms become available closer to arrival, either book right when availability opens or keep an eye on it.
There are a lot of uses for the points in the program. You should redeem for a standard free night award if you want to maximize your points. If you want to get more value out of your points, try to get them at a lower rate.
If you can find award availability, you will almost always get the best value at the top hotels.
What have you done with your points?
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