When is the Best Time to Redeem Credit Card Points?

One of the primary benefits of a reward credit card is knowing you will one day be able to redeem them for something of your choosing.

But this leads to a very important question: when is the best time to redeem credit card points?

While there is no hard and fast rule, here are three strategies you can follow:

1. Hold onto your points until they are ready to expire. This is particularly helpful if you don’t know how you want to use your points, as it gives you the opportunity to put off redeeming for as long as possible.

However, once some of your points are set to expire, it’s time to make a decision. The last thing you want to do is lose points for no reason.

2. When you reach the minimum threshold. Take for example a reward program with a minimum threshold of 2,500 points. Once you reach this amount, it’s time to start shopping.

Answer this question: what can you get for 2,500 points? Once you know the answer, you are ready to make a decision.

3. Save for something special. As you review your rewards point catalog, it’s safe to assume that you will come across something that catches your eye. Maybe it’s a hotel stay. Maybe it’s something for your home. Or maybe it’s as simple as a gift card.

If you know what you want and how many points it will take to get it, you can continue to save until you reach your goal.

You have the option to redeem credit card points whenever you see fit, as long as you do so within the limits of the program. If you need any guidance, implement one of the three strategies above.

What is the nicest item you have ever received through your credit card rewards program?