Should I book in a travel portal?

Your credit card’s travel portal is like Expedia or any other online travel agency. You can use it to book flights, hotels, rental cars, and more. It’s convenient and easy, which is exactly why credit card companies promote it so much.  

But is it worth it? Let’s break it down. 

What are your points worth in the travel portal?

Most cards value points at 1 cent in a travel portal. So, a $600 flight costs 60,000 points. 

But some cards’ points are worth more. 

What does “25% more” even mean? 

This means each point is worth 1.25 cents in the travel portal instead of a standard 1-cent per point redemption.

When your points are worth 1.25 cents, a $1,000 roundtrip ticket will cost you 80,000 points. 

Is booking in the travel portal worth it?

It depends. Booking through a travel portal is simpler and includes all taxes and fees. But you might get more value out of your points by transferring them to an airline partner. 

Here are examples when points are worth 1.25 cents:

Example: Business class flight

Redemption: Business class roundtrip flight to Madrid

• Cash price: $3,200
• Portal: 256K points = ($3,200 /.0125 cents per point)
• Airline transfer partner: 68K points + ~$300 tax roundtrip

You’ll save nearly 188K points by transferring points from your card rather than booking through the portal.

Example: Economy class flight

Redemption: Economy class roundtrip flight to Paris

• Cash price: $700
• Portal: 56K points = ($700 /.0125 cents per point)
• Transfer partner: 39K-50K points + ~$200 taxes roundtrip

In this example, the value difference is smaller. Transferring to an airline partner may still help you maximize points value, but it's not quite as impactful.  

If you book this ticket during a Flying Blue promo when certain tickets are 25% off, you can get this flight for as low as 39K points, but you'll still have to pay taxes.

Transferring the points to the partner isn't a clear winner. Especially if you're trying to save the most cash, the travel portal may be the better option.

Here’s another, simpler way to look at it: The lower the cash price of the ticket, the less value you get out of redeeming points, regardless of whether that’s through the portal or transferring to a partner. 

When to redeem points in a travel portal

• You want to keep costs as low as possible. Taxes are included in the points price in a portal, keeping your overall costs lower.
• You want to fly economy. As the above example shows, there may be less of a disparity between the portal and partners in economy class redemptions. Of course, this varies on every single redemption. 
• Your travel itinerary is fixed. If you cannot budge on travel days, this method is a way to redeem points for a specific flight. 
• You want to fly an airline (or stay in a hotel) that is not a transfer partner. Not every airline is a member of your credit card’s transfer partners. For example, if you want to use points to stay at a Four Seasons, the travel portal is your only option. The Four Seasons has no loyalty program, so you cannot transfer credit card points to book this option.   

When to transfer points to partners

• You want to fly in a premium cabin. 
• You don’t mind paying taxes on an award ticket. The cost varies from as low as $5.60 one way on US flights to several hundred dollars on international flights.
• You’re a little more flexible on times or routes. This method works if you want to go to Greece in business class, but you see a deal to Italy. Or if you see that flight to Greece, but it’s on a Tuesday instead of Monday. 

Tip: Transferring your points and paying the ticket’s taxes with your card—even if it is only $5.60–is enough to count as a purchase that allows you to use your card’s travel insurance protections in the event of a delay or cancellation.