Cashing out Amex points for statement credit
If you convert your MR points into statement credit on the Amex home page, you’ll notice that the conversion rate is not 1 point to 1 cent. It’s less. You’ll get a much better value by spending your points on flights booked via Amex’s travel portal. But if you insist on converting your points into statement credit, do this instead:
Book a fully refundable flight using MR points from AmexTravel.com
Cancel the booking and you will receive a statement credit within 48 hours.
This method will have converted your points used into statement credit at a rate of 1 point to 1 cent.
This begs the question, why is this method “officially” available of.
Amex is not that dumb. By retaining the points and issuing statement credit instead, you’re now left with less points than before. You now have less points to spend in the travel portal (which is supposed to have better deals), less points to transfer to airline partners, and less points to spend on discounted gift cards. You have less points to do things that typically would value your points at more than 1 point per cent. With Amex, it’s all about squeezing the most out of the points and what you choose to do with it is up to you.
From a business standpoint, it’s amazing for Amex if they get people to directly convert their points into statement credit using the lesser rate. The value of a MR point is up to the discretion of Amex, not the consumer. Some may value 1 MR point to be more than 1 cent, while others might value it at only 1 cent. But ultimately, Amex has the final say. So, there is no regulation that mandates Amex to value 1 point as 1 cent (though they should make that a minimum at the least).