| | Beat devaluations by upping your game | | by Brian Kelly | |  | I'm continuing my trip overseas: Last week, I was in Milan for fashion week and am now in Spain with my son. I've been traveling on my World of Hyatt points. I redeemed 45,000 Hyatt points to stay at the Park Hyatt Milan (cash rates were 2,000 euros per night!), and at the Thompson Madrid, I paid a Points + Cash rate for a suite — 9,000 points and 389 euros per night (regular rates were 789 euros).
I think Hyatt points are the most valuable hotel currency out there. This week, Hyatt announced a devaluation, which is not great news, but it is not the end of the world either. I'm getting over 4 cents a point in value from my Hyatt points often, and usually at least 2 cents. The new category changes won't help, but also won't fundamentally change my ranking of Hyatt as the most generous hotel loyalty program — especially for booking suites.
You have until March 26 to book at current category rates, so if you are planning to stay at any of the 137 properties that are affected by the category changes, you better book now.
All Nippon Airways also announced a devaluation, but in my opinion, those redemption rates are still pretty reasonable and ANA has a better product than most U.S. airlines. You have until April 17 to redeem at current levels, so I would still consider transferring Amex points to ANA for awards.
I flew over to Milan on Emirates for 102,000 points and $105, and my advice remains the same — if you are not taking advantage of foreign frequent flyer programs, you are missing out. These programs generally require far fewer miles than U.S. programs, and you should also be leveraging transfer bonuses when available.
Bottom line: Accrue credit card points and miles in the U.S. through cards that provide big sign-up bonuses, and also leverage big category bonuses and transfer bonuses. That's how you can stay ahead of points inflation over time. So use your points! That's my happy advice for the week.
If you want a new travel rewards card that can provide a ton of value — over $1,000 in the first year — I have a few recommendations for you.
These cards have not only good welcome bonuses but also lots of ongoing benefits — if you know how to use them, which I'll help you with.
Pro tip: If what you want is just the biggest welcome bonus in a hurry, here's our list of increased welcome offers (and a lot of them are ending in March!).
Chase
Let's start with the Chase Sapphire Preferred® Card, which has a low annual fee of $95. This is a great first card if you are new to travel rewards, and one I often recommend. The welcome offer of 60,000 bonus points after you spend $4,000 on purchases in the first three months from account opening is worth $1,230, according to TPG's valuations.
This card has solid earning rates and provides up to $50 as an annual credit on hotel stays purchased through Ultimate Rewards and a 10% anniversary points bonus based on your spending.
Other great benefits that provide value are access to a 25% redemption bonus on travel booked through the Chase Ultimate Rewards portal, travel insurance and baggage protections. Add it all up, and you can net over $1,200 in first-year value from this card.
American Express
Next is The Platinum Card® from American Express — it has a higher annual fee of $695 (see rates and fees), but do not let that scare you away too quickly. This card offers many great perks to frequent travelers.
One of my favorite perks is the American Express Fine Hotels + Resorts program. You can earn 5 points per dollar by booking through Amex Travel, and this program offers the following benefits:
- Up to a $200 annual statement credit, breakfast for two daily, 12 p.m. early check-in when available and guaranteed 4 p.m. late checkout.
- You also receive a $100 (or sometimes more, depending on the property's promotions) on-property credit to use during your stay.
Those are already saving you hundreds of dollars. You can also receive additional card benefits for Uber, airline credits and Saks Fifth Avenue, which total hundreds more (enrollment is required for select benefits). And that's not even all of them — you can see the full list here, including lounge access!
Add in the current welcome offer of 80,000 Membership Rewards points after you spend $8,000 on purchases within the first six months of card membership (which TPG values at $1,600), and you are now net positive in perks and benefits value each year.
Pro tip: Check to see if you're targeted for a 150,000-point offer on the Amex Platinum card via CardMatch.
Capital One
Another one of my favorite cards for big value in that first year especially is the Capital One Venture X Rewards Credit Card. I put a lot of my everyday spending on this card or on the similar Capital One Venture X Business because they both earn 2 miles per dollar on everyday purchases. You also earn a hefty 10 miles per dollar on hotels and car rentals booked via Capital One Travel and 5 miles per dollar on flights booked via Capital One Travel.
The current welcome offer on the Venture X is 75,000 bonus miles once you spend $4,000 on purchases within the first three months from account opening, which TPG values at over $1,300.
The card's benefits include:
For a travel card with an annual fee of $395 (see rates and fees), you can net over $1,300 in first-year value.
And if you are interested in the business version of the card, know that right now, the Venture X Business has a best-ever welcome bonus of 300,000 bonus miles, with 150,000 miles awarded after you spend $20,000 on the card in the first three months and an additional 150,000 miles awarded when you spend a total of $100,000 in the first six months.
If you are new to points and miles, you can't go wrong with any of these cards. You can check out our full story on cards that provide over $1,000 in first-year value and find one that works best for you.
I'm continuing my trip overseas — Milan last week and now Spain — with my son. You can follow along on Instagram @briankelly, and as always, stay tuned to TPG for the latest in travel, credit cards and rewards.
Have a great weekend,
BK
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