Credit card rewards are one of the many bonuses associated with credit card usage in the USA that issuers use to attract customers. As for the points, they are convertible into travelling, gifts as well as cash back.
But just as one of the perks that do not receive as much attention is the possibility of moving the points earned between credit cards. The points may be transferred to another person in a bid to accumulate them, get better options andreds, or in cases where there are promotions on offer.
This guide will focus on how travelers in the USA can be able to swap from one credit card to another in ways that will help the traveler get the most out of the points being transferred.
Understanding the basics of point transfer
What is point transfer?
Transferring of points means the act of moving reward points from one credit card account to the other, it may be within the same card issuer, or a different one. This feature enables the cardholders to pool the points to attain higher category redemption levels or use better points redemption values.
Why transfer points?
Sometimes it is desirable to transfer points from one credit card to another and there are several main reasons for this. For example, you may want to:
- Usually, the total amount of points accumulated in different cards can be summed up to achieve a better level of redemption.
- Sharing the specifics of receiving better redemption options through the use of a certain card.
- You should also redeem the value of your points by a transfer bonus or through such other privileges.
- Manage your rewards easily by converting all your points into a single account.
Eligibility and restrictions
Transferring of points comes with certain requirement as it requires that the credit cards both the sender’s and receiver’s credit cards meet several conditions that allows for transfer of points. Usually, this is easier within the same chain, that is, exchanging points between two cards, both of which are affiliated with Chase or American Express.
But, redeeming points between issuers is more complex and generally cannot be done. Moreover, issuers may also put some limitations on the possibility of transfer for some of the cards and the certain fees or caps on point transfers.
Steps to transfer points between credit cards
Step 1: Verify eligibility
The first thing that you should always do is look at the information concerning the kind of credit cards that are acceptable when it comes to point transfers. What type of information should be provided by the details section? – Transfer fees, point conversion rates, and rules of transferring point such as card acceptation.
Step 2: Log into your account
If you are certain about your eligibility, then feast your eyes over the Internet account that belongs to the credit card out of which you wish to transfer points. Go to the rewards or points program area where you should locate an opportunity for points’ transfer. The specifics of this process may differ from issuer to issuer, but all of the big credit card companies have nicely laid out tools for the transfer of points.
Step 3: Initiate the transfer
This will lead to the starting of the point transfer with the help of following on screen instructions. You may be asked to include data on the receiving card, for instance, the respective account number or some transfer code.
It is important also to ensure that all the information you provide generally is accurate to eliminate some misinformation that might complicate the transfer. It also implies that while some issuers may process transfers instantly others may take a few days to process them.
Step 4: Confirm the transfer
Once the transfer has been started check on the details then go ahead and complete the transfer. Also, make sure you have a copy of the transaction confirmation details for your records.
Check your accounts to make certain that the points have been transferred properly. If you encounter any trouble, you should get in touch with the support service of the credit card company.
Tips for maximizing your point transfers
Utilize transfer bonuses
Certain credit card companies sometimes have transfer bonuses where you get more points for transferring your points to a certain partner programme. Some of these bonuses can easily add up to the value of the points you earn in a certain airlines or hotel.
For instance, a transfer bonus of 30 percent implies that, for every 1,000 base points that a traveller transfers, they will receive 1,300 points. Therefore, one should always monitor his/her card issuer’s promotional offers in attempt to make good of such offers.
Leverage partner programs
Most credit card companies will have affiliated travel, airline, hotel, and other kinds of reward programs. You normally obtain a higher redemption rate, or get access to some other perks with those partners, when transferring your points to them. Check the partner programs of your credit cards and compare how much you get if you transfer your points rather than burn them through the program of your credit card.
Plan for high-value redemptions
In other words, transfer points in a way that would allow to maximize the redemption value of your points. For instance, redeeming the points to acquire a seat in a frequent flyer program for an international business class flight is definitely more valuable than redeeming the points for merchandise or cash back.
Hence, for better utilization of your points it is essential to go through your travel calendar and reward targets. This will allow you to strategically plan your transfers and redemptions to maximize the value and benefits you receive from your credit card rewards.
Keep an eye on expiration dates
Rewards and points can be invalidated and it is very important to check and know the expiry dates for actually your credit card rewards as well as the partners’ programs where you transfer your points to.
Do not let your points expire; always remember to transfer these points before the expiry date and also redeem them. Several issuers adjust the card’s expiration from the point when the cardholder earns or transfers points, so it is good to check on such terms.