IHG Rewards Club MasterCard members have a summer offer for 15% off the cash portion of Points & Cash reward stays for reservations booked between July 8-August 7 for stays from July 8 – September 30, 2016. This combines with the 10% points rebate IHG Rewards Club MasterCard members receive on all IHG redemptions, up to 100,000 points maximum rebate in calendar year.
Book July 8 – August 7.
Since I have no interest in selling you a credit card (look, no affiliate links on this page!), I examined this offer with an eye to rebook a 5-night hotel stay this month in Europe that I booked back in April.
The hotel name is irrelevant for the purpose of my discussion. It is in Europe and I booked 5 nights at 15,000 points per night.
- IHG Standard Reward 15,000 Points per night x 5 nights = 75,000 points.
- IHG Points & Cash Reward (10,000 points + $34) x 5 nights = 50,000 points + $170.
- IHG Points & Cash Reward (5,000 points + $59.50) x 5 nights = 25,000 points + $297.50.
My current reservation is 75,000 points. I will get 10% rebate as an IHG Rewards Club Mastercard holder for 7,500 points rebate on my 5-night hotel stay.
My net cost is 67,500 points after I receive 10% rebate as an IHG Rewards Club cardmember.. To book this hotel on an advance purchase rate today is $120 USD per night. My redemption value = 120/67.5 = $8.00 per 1,000 points.
Points & Cash Rate Comparison
IHG Points & Cash Reward (10,000 points + $34) x 5 nights = 50,000 points + $170.
5-night stay net cost = 45,000 points + $170 (after 10% points rebate).
Changing my reservation means paying $170 USD to save 22,500 points.
170/22.5 = $7.56 per 1,000 points.
This improves my total redemption value by $10 if I spend $170 for my hotel and I conserve 22,500 points. However, IHG sells points frequently for $6.00 per 1,000 points, so there is no reason for me to spend $170 to save 22,500 points when I can simply buy 22,500 IHG points for $135.00 USD some time in the future when I need them.
IHG Points & Cash Reward (5,000 points + $59.50) x 5 nights = 25,000 points + $297.50.
This option for spending $297.50 means my points used would decrease from 67,500 to 22,500 points for the 5-night hotel stay and I would conserve 45,000 IHG Rewards Club points.
$297.50/45 = $6.61 per 1,000 points.
Once again, while the redemption value improves, there is no reason to spend $297.50 and save 45,000 points on my 5 night hotel stay when the replacement cost for those 45,000 points is only $270. (45 x $6/1000 points = $270).
IHG Points & Cash 15% cash portion savings for IHG Rewards Club cardmembers is no deal for me.
I checked out this deal for my 5-night IHG Rewards Club points Standard Reward stay this month in Europe and I find the best deal is to stick with my Standard Reward reservation at 15,000 points per night that will receive a 7,500 points rebate.
Total cost is 67,500 points and a redemption value of $8.00 per 1,000 points based on the current hotel rates for my hotel.
I’ll buy IHG Rewards Club points at $6.00 per 1,000 points sometime in the future if I need more points than I earn from my hotel stays and IHG promotion bonuses.