pinniped

Many FT'ers - me included - have long considered the SPG Amex the gold standard against which all other rewards cards are compared. In fact, it's so second-nature, that I factor in the value of Starpoints whenever I'm thinking about an opportunity cost (either paying in cash or using some other card).

But as we all know by now, the SPG program underwent a massive devaluation about 24 hours ago. Based on the 4 award stays I did last year and the likely 3 or 4 I'll do this year, my Starpoints are now worth less than half of what they were yesterday. It's the biggest single devaluation I've ever been impacted by in 15 years of travel. (Thankfully, my loss is only about 10,000 total points.)

So that leads me to the obvious question: what card will replace SPG Amex as the new gold standard among FT'ers? Or will there even be one? Are there now simply a wide variety of cards that yield somewhere around 2 cents per dollar in value (except in rare cases)?

Some candidates:

- HH Amex. No fees, comes with HH Gold status as long as you spend $20k/yr., 3 pts/$. I value that around 2 cents.

- Thank You Points. Possible big upside here if you learn the system well and fly a lot. Unsure of valuation - I've seen posts on FT claiming very high valuations, but I suspect my flown routes wouldn't achieve anything zany in terms of ROI. But still, possible to get into a nice ROI range if the point totals are doubled with flights.

- A straight no-bull rebate card. I'm not sure what the best one is these days...1.5% with a Fidelity card? That was the one I recall from a year or two ago.

- Carrying a walletful of category-specific cards. A 5% gas card, a 5% grocery card, a 3% restaurant card, etc. I'm generally not a fan of this approach because (a) I don't want a walletful of cards, and (b) I don't think any of them put airfare, hotel, and rental cars in the higher categories. So even if I work it very well, my blended average is still going to be something like 1.2% cashback. The only purchase-specific cards I carry are Marriott Visa and United Visa. I don't think I want more.

So if you are a current SPG Amex user, what are you switching to? If you aren't an SPG Amex, what are you currently using and why? I'm fairly certain I will make a move - probably to HH Amex in the short term, but possibly to TYP or rebates in a month or so.

mtparadis

SPG Amex is still fine for airline transfers (besides UA & CO). I personally am trying on the PP Elite, but I made this decision before the SPG devaluation. Not sure if it's a long-term switch or not.

Bearbear

If you belong to Costco the true earnings card is worth checking out.

http://www.costco.com/Browse/Product...=C&ec=&topnav=

jaginger

I have the Costco card, and I average about 1.4% cash back. Also have the Fidelity 529, and I got grandfathered in for 2%

CPRich

Same here on the Fidelity 2% card. 2% on everything up to $1500/yr. Near the end of the year, I switch to my 1% Discover card. Bummer they replaced it with a 1.5% card, but it appears that I'm permanently grandfathered at 2%.

biggestbopper

I have a Costco cash rebate Plat Amex card (which I almost never use). Should I trade it in for the True Earnings card?

Presently, I am using the Starwood Amex, a Chase UAL card on which they offered me double miles to the end of March (still don't know how I got lucky) and a Citi Amex AA card where they offered me 5 miles per "everyday" purchases on gas, groceries and drug stores for six months when I called up to cancel.

pinniped

That Costco one looks pretty good - I am a Costco member and have seen it advertised in the stores. I might actually come in at or over 2% on that one. How are the rebates issued? Monthly statement credit?

Bearbear

It's an annual check only good at Costco. You can get cash from the store, you aren't required to spend it at Costco

Bearbear

A recent email from Amex:


Watch your mailbox.

In February, you'll receive a paper version of your American Express monthly billing statement in the mail. Remember to check the last page of that billing statement for your Cash Rebate Coupon. Be sure to redeem your rebate at any U.S. Costco Warehouse before August 31, 2007.

Elite VIP

A promo from HH (targeted?) a couple of months ago enticed me to get the HH AMEX. Here's the deal in a nutshell...

1. First use of card = 10K pts
2. 4 stays at HH properties = 10K pts (2.5K each)
3. Spend $5K by Feb '07 = 30K pts.
4. No annual fee...FREE!

TOTAL = 50K pts!!!!!!!!

Elite VIP

Almost forgot...

Another roughly 25K bonus pts for spending on AMEX card in the past 3 months!

pinniped

Ouch. Knew there had to be a hook...

I'd have no problem spending it at Costco - I'm in there about once a month anyway. But letting Amex invest my money for 6 months (on average) before I get it is pretty lame.

Bearbear

Since the check comes in February the average is even more than 6 months!

But what does that cost? If you assume 2% of spend back, then a reduction of 5% of that for lost interest still yields 1.9% conservatively. Miles or points usually sit in my account even longer.

CLELOSER

British Petroleum will give you 2% when you "travel" AND 2 percent when you dine, and 5% when you use it at their stations. I imagine the rebates can only be used for gas though.

Its similar to Costco's card in terms of travel rebates. The Costco card does give you 3% instead of 2% on dining.

williamfryan

BP Visa rebates can be sent to you in a check that you can deposit or cash as you like.