A month ago, I wrote about the transformation of the SPG AMEX from a card that offers an excellent return on everyday spending to a card that offers valuable perks but less valuable points for spending.
The value of Starpoints/Marriott points won’t go down, but the card will offer fewer points per dollar spent.
Currently you earn an effective 3 Marriott points (1 Starpoint) per dollar spent on the card, but effective for purchases made on or after 8/1 that will drop to just 2 Marriott points (0.67 Starpoints) per dollar. If you enjoy the versatility of Starpoints for transferring points to dozens of airlines, this change will kill that. Instead of a minimum of 1.25 airline miles per dollar spent, you’ll earn just 0.84 airline miles per dollar spent.
There will be a 6 month period with amazing incredible hotel bargains, which will mean in the short term the value of Starpoints/Marriott points should actually go up. Alas, next February those bargains will vanish.
Additionally, new airlines will be added for point transfers, like El Al, JetBlue, Qantas, and Southwest. That could make the value of points go up as well. But it won’t go up enough enough to make up for the 33% loss in earning power on the SPG AMEX in August.
Personally, I’ve shifted all of my everyday spending from my Freedom Unlimited/Quadfecta strategy to my Starwood card. I’ll switch back on 8/1, but until that point I think it’s worth racking up the Starpoints while the getting is good.
After 8/1 I may use my Starwood card at Marriott/Starwood hotels for 6 Marriott points per dollar and at gas stations for 4 Marriott points per dollar, but other than that I’ll just enjoy the annual free night and other benefits it comes with while the card gets downgraded from the front of my wallet to the back of my sock drawer. The annual free night will be worth more than the annual fee, but the card will no longer hold a compelling value for everyday spend as it has for more than the past decade.
Have you shifted spending towards the SPG AMEX since last month’s announcement about the changes coming in August?
Related Marriott-SPG merger posts:
- Get A 100,000 Point Signup Bonus On The Chase Marriott Rewards Premier Plus Credit Card!
- Live Blog: Follow The Marriott-Starwood Program Merger Announcement!
- 3 Starwood AMEX Cards In The New Marriott Program: A Comparison Chart Of The Good, The Bad, And The Horrific
- Comparison Chart: How Marriott’s August 2018 And February 2019 Award Chart Compares With The Current SPG And Marriott Award Charts
- Marriott Got Almost Everything Perfect, But The Starwood AMEX Cuts Are Just Too Painful
- Rack Up The Starpoints While You Still Can: There Will Be 6 Months Of Amazing Starwood Hotel Bargains!
- No Marriott, The Starwood AMEX Card Will Not Be Richer Than Ever. You Are Just Changing What I’ll Use It For
- Starwood-Marriott Merger FAQs: Answers To Your Questions About Anniversary Nights, Status From Existing Cards, And More
- The Starwood Consumer AMEX And Multiple Chase Marriott Cards Are Being Discontinued! Here’s What You Need To Know About 9 Starwood And Marriott Cards
- Will The Starwood Cards Disappear Or Lose Their Starpoints Signup Bonuses Today? Now Is The Time To Signup If You Don’t Have These Cards Yet!
- AMEX: 3 Starwood Cards Will Be Available For New Applications After The SPG-Marriott Program Merger In August
- Guesstimating Where Marriott Travel Packages Will Work In August; Take Advantage Of Marriott’s Lucrative Miles+Nights Packages Now!
- A Week Later, But No Solid Answers To 3 Contradictory Marriott-Starwood Merger Details That Everyone Wants To Know
- Marriott Clarifies Contradictory SPG Gold Information
- Roundup Of The SPG/Marriott Lifetime Status Rules; Will You Be Able To Hit Lifetime Status This Year Before The Lifetime Program Is Devalued?
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55 Comments On "2 Months Until The Starwood AMEX Is Devalued, Are You Racking Up The Starpoints?"
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Is it worth getting the new Marriott card with 100K bonus now or continuing spending on SPG card and getting the Marriott card down the road?
It’s a limited time offer now, no reason not to get it now before that goes away.
I’d like to do the same, but my window just opened for one more card. Marriott or Chase Everyday? (Or will 2BM/3BM work around the 5/24 rule?)
Yes, MBM can work if you’re currently 4/24.
Doing the same. But after 8/1 my spend will be between Chase cards and a 2% cash back card. For hotel stays Chase points (UR) are good only for hyatt
Quadfecta gets 2.25% back for any hotel:
https://www.dansdeals.com/credit-cards/chase-quadfecta-least-23-arent-rightbut/
Plus of course you can transfer to Hyatt for an ever higher value. That beats a 2% card, no?
True. If you have the CSR. Not my case.
Which premium Chase card do you use for transfers?
Not necessarily. Quadfecta will get you 2.25% for any hotel that Chase has available in Chase travel. There are however instances where Chase does not have available a certain hotel, or even if they do their rate can be higher by a few dollars than booking direct or other travel sites/discounts.
With a 2% card, u r guaranteed 2% off the best rate from any hotel.
Sure, but 2% doesn’t give you any of the massive upside if you want to redeem Hyatt or United with a 5 cents per point redemption (which is effectively 7.5% with Freedom Unlimited or 25% with Freedom/Ink Cash).
How often is a hotel not in the Chase portal? Have you tried calling about it?
Had quite often hotels not being in portal or not getting the cheapest rate. I tried calling. They said if it’s not in portal it’s not available.
Which Amex card will you use instead for return protection benefits?
Good question. Everyday Preferred perhaps? Or maybe I’d use the SPG card for final sale items?
Will need to evaluate that in August.
How do you feel about buying up spg points at 35%-off in order to quickly build up a stash in anticipation of potentially great values come Aug-1?
As I wrote here, that can definitely make sense:
https://www.dansdeals.com/points-travel/starwood/last-chance-get-35-off-purchase-starwood-starpoints-buy-points-need-take-advantage-awesome-redemptions/
Yep, this is my strategy too, all SPG (except for CF/CSR/CIC bonus categories) until 7/31 then back to Chase
Makes the most sense to me.
Is the 1 SPG point better than 2 Amex points? That’s what I get with the Blue preferred no-fee card
That depends on how you value AMEX and SPG, but the AMEX Blue Business will still offer that in the future.
SPG will be very valuable for a 6 months period and the earnings are being devalued in August, so I’d concentrate on SPG until August and then switch back to the AMEX Blue Business.
Thanks!
So any 5-6x CC (Freedom/Ink/Blue Cash) you would still use first for those categories? What about 3x like Amex golds? Is CSR on your list for 3x restaurants only?
I thought that once the point system changes transfers to travel partners of 60k would be eligible for a 15k bonus. Isn’t that effectively 5k for every 20k that they have now?
Yes, the value of the points will be the same, but the SPG AMEX will earn 33% fewer points than before on everyday purchases.
In other words if you spend $20K now you’ll earn 20K Starpoints, which becomes 25K miles.
In August you’ll need to spend $30K, which will earn 60K Marriott points, which becomes 25K miles.
Dan,
You’d honestly use the SPG Biz for gas at 4 Marriott points/$? There are so many 5% cash back cards for gas. 4 Marriott points at a value of 0.8 cents/$ is only 3.2% cash in a more restrictive currency that devalues.
I said I may.
I don’t spend much on gas thanks to fuelperks from my local grocery store and gift cards that they sell. And if I don’t have free gas then I buy at Costco and they don’t even take AMEX.
But if I need Starpoints, then buying gift cards from gas stations doesn’t seem like a bad route.
Who has fuel perks? Safeway stopped giving points on visa/mc
Trying to decide if I should go for the signup bonus on only one of the following (can’t meet minimum spend on both at once):
1. Marriott Rewards – 100K
2. Ink Business Preferred – 80K
OR start building Chase Quadfecta arsenal? I only have Freedom… and which one to get first/next CSR,CIC?
Either option, I’d try for CFU and one other with 2BM.
At most I’m 2/24.
TIA
Freedom Unlimited+Sapphire Reserve+Ink Cash would complete the Quadfecta.
Lots of options though.
Thanks, Dan.
Do you see the Ink Business Preferred offer going away anytime soon?
Hi, my statement closes on the 1st of the month, the spg points don’t hit my account till the 4th,5th. What will be with my spending the last month? How many points will I get?
Spending through 7/31 will be 1 Starpoint per dollar, spending on 8/1 and after will be 2 Marriott points per dollar.
Statement close date won’t matter.
The amount of general spend they are going to lose here is crazy. One would think they will take notice pretty quickly
AMEX probably didn’t have a choice.
If I plan on selling my points. When do you think is best?
I honestly think it depends what the redemtion rate at hotels will be. I have stayed at spg hotels for 60k which would have costme $3000 thats a hell of a redemtion value..we wont be able to accumulate as many points but the conversion i think might still be better than AMEX premier or chase reserve
on amex ascend cards do you receive the free night for 15k annual spend right away or by the card anniversary? i would like to spend 15k at the beginning of the annual year and close it to get a refund on the annual fee and still get the certificate without having to keep the card open for more then 2 months since the start of the annual fee is that possible?
Anniversary.
Any info about amex mr points transfers to spg starting august 1 , what will happen ?Currently 1000 = 333 SPG . Whill that mean 1000 amex = 1000 marriott ?
No info.
I get my points credited on the 4th or 5th of every month. will the points on the 4th of Aug. be considered on a value of 2 Marriot or will it be considered as July spending? (and be worth 3)
It will go based on the date of purchase, not the billing statement.
Dan
thanks for everything, but to get the most when transferring to airline programs we would need to have a post with all airlines award charts or a link to each airline award charts such a post will be very helpful and appreciated.
thanks
After the merge will Marriott points transfer to airlines at 1:1? Meaning 1 dollar now will get u 1 spg point but 3 Marriott by the merge so 3 points per dollar to airlines??
I have the 7 day certificate category 1-5, I intend on upgrading to category 9, and I most likely will use after August, do I upgrade before August? Or when I book?
Dan: the quadfecta gets you 2.25% equivalent. It isnt the best straight cash offer if youre into that specifically. Why not a review for a card like BofA premium rewards where you can get up to %1.9 – 2.7% if you have BofA elite stats.
2.25 is the lowest possible value. In bonus categories it’s significantly more and you know how to redeem miles it’s significantly more.
I just signed up for the marriot premier card about 2 months ago. (busy finishing spending on new spg card now) Can I upgrade to the marriot premier plus card for now and get the upgrade offer and then in about a few months close this one and apply again for the premier plus card? would i get the signup bonus then?
SPG allows spouses to move points from one account to the other. To the best of my knowledge, Marriott doesn’t. Would it make sense before August 1 to move Marriott points to SPG, and combine them all into 1 SPG account that will then be merged into Marriott in August?
Thanks
Marriott lets you combine to make a reservation.
thanks
Dan, If I’m getting an offer to sell my SPG point for 1.4 should I do it?
They claim after August I wont be able to get anything better.
I was thinking of waiting for a deal of 1.8.
Sounds low to me.
You think after August I won’t be able to get a better deal cuz of the devalue?
I knew when the merger was announced that I would be screwed badly. I wish I made it to lifetime Plat with SPG though. It has been a wild ride for me over the past 14 yrs. VIP events, multi millions in point redemptions, hundreds of free room rights for me and family. Tons of suite upgrades. Its painful. But I have to move on. I used to generate a ton of points from business charges which have changed somewhat. Now I have to be more selective among the programs. Hyatt/Chase has value as Dan explained as well.
I am putting $2 million or more (all of the biz expenses I can) on the card before the 8/1 deadline.