I remember the first time I realized my points were losing value faster than I could earn them. I was sitting in front of my laptop, trying to book a flight to San Diego, and the same route that once cost me 25,000 miles was suddenly 35,000. That moment was my wake-up call: points are a currency, and like any currency, they can devalue over time. Over the years, I’ve learned that treating every point like it’s worth at least 1.0 cent per point (CPP) isn’t just smart it’s essential. From hotel redemptions to airline miles and credit card transfers, knowing your CPP helps you protect your rewards from quiet devaluation and make decisions that truly maximize your return.
Below I’ll share what I’ve learned through years of using and tracking credit card points, including practical comparisons, trusted data, and value tips that can save you hundreds or even thousands over time.
Understanding CPP (Cents Per Point)
CPP stands for “cents per point,” a metric used to measure the real-world value of your points. To calculate it:
CPP = (Cash Value of Redemption ÷ Points Used) × 100
Example:
If a $500 flight costs 50,000 points, the value is 1.0 CPP ($500 ÷ 50,000 = $0.01 per point).
The Industry Standard Has Shifted
Just a few years ago, getting 0.7–0.8 CPP was considered decent for general redemptions. Today, with constant devaluations, 1.0 CPP is the new minimum benchmark you should aim for. Anything below that means you’re leaving value on the table.
Table 1 – Average Point Values by Program (2025 Estimates)
| Program / Issuer | Average CPP (2025) | Notes |
|---|---|---|
| Chase Ultimate Rewards | 1.25–2.0 CPP | Best used through transfer partners like Hyatt or United |
| American Express Membership Rewards | 1.0–2.2 CPP | Highest via airline transfer (ANA, Air Canada) |
| Capital One Miles | 1.0–1.8 CPP | Flexible, good for travel portal or partner transfer |
| Citi ThankYou Points | 1.0–1.9 CPP | Strong value with Avianca or Qatar Airways |
| Marriott Bonvoy | 0.6–0.9 CPP | Highly devalued in recent years |
| Hilton Honors | 0.4–0.6 CPP | Useful only with high-category redemptions or promos |
| Delta SkyMiles | 1.0–1.3 CPP | Variable but steady after devaluations |
(Sources: The Points Guy, AwardWallet, Bankrate Travel Rewards Data 2025.)
Why You Should Demand 1.0 CPP or Higher
- Inflation and dynamic pricing: Airlines and hotels are increasingly using “dynamic award pricing,” meaning redemptions fluctuate like cash fares. That directly eats into your CPP.
- Transfer partner devaluations: Major programs quietly increase award prices every 12–18 months. If you’re not tracking, you’ll redeem for less value than you used to.
- Opportunity cost: Every point earned below 1.0 CPP could’ve been a cashback reward worth more.
Example Comparison
| Redemption Option | Cash Price | Points Cost | Real CPP | Worth It? |
|---|---|---|---|---|
| Hyatt Category 4 Hotel | $220 | 15,000 pts | 1.46 CPP | Yes |
| Delta Economy Ticket (Domestic) | $250 | 35,000 pts | 0.71 CPP | No |
| American Express Transfer to ANA | $800 | 55,000 pts | 1.45 CPP | Excellent |
| Marriott Bonvoy Hotel | $250 | 40,000 pts | 0.62 CPP | No |
Valuable Tips to Maximize Point Value
- Always calculate your CPP before redeeming. Even a quick mental check can save you from poor redemptions.
- Use transfer partners strategically. Programs like Chase UR and Amex MR offer 1:1 transfers to high-value airlines and hotels.
- Redeem during airline sweet spots. For example, ANA’s round-trip business class to Japan (via Amex transfer) still offers over 2.0 CPP value.
- Avoid gift cards and merchandise. These often yield only 0.5–0.7 CPP.
- Keep track of program updates. Sites like https://frequentmiler.com/ publish devaluation alerts early.
- Combine points with cash strategically. Sometimes paying part cash preserves high-value redemptions.
- Don’t hoard points for years. Inflation hits rewards too use them regularly for high-value experiences.
Final Thoughts
Over time, I’ve come to see my points like a digital savings account one that can easily lose interest if ignored. When you start valuing them at 1.0 CPP minimum, you shift from being a casual collector to a smart strategist. Every redemption becomes an intentional choice, not a default one.
If you take one thing from my experience, let it be this: every point below 1.0 CPP is a hidden loss, and every point above it is a smart investment.
