Status: checked against official sources; automated independent review
FREQUENT FLYER GLOSSARY
What are fixed-value points?
Fixed-value points are rewards points that the issuer prices at a stated rate for named redemption options, so the value of a balance is worked out from the issuer's own arithmetic rather than from the award levels and capacity controls that airline and hotel programmes set for their own currencies. [2] [3] Chase, for example, values a point at one cent when it is used for cash, gift cards or travel, and American Express publishes set point-to-deposit rates for redemptions into its checking accounts. [2] [3]
Facts checked: 18 October 2026
Key takeaways
- A fixed value is specific to a redemption option, not to the whole currency: Chase states one cent per point for cash, gift cards and travel, and says other options may be worth more or less. [2]
- American Express says the value of points varies with how they are used, and sets out separate conversion rates for deposits into its checking accounts depending on which card is linked. [3]
- A published rate does not make points cash: Chase says points have no value until redeemed, and American Express says points do not belong to the member. [2] [3]
The published rate
Chase states the arithmetic directly: when points are used for cash, gift cards or travel, each point is worth one cent, so 100 points equal $1 of redemption value. [2] The same agreement says redemption values for other reward options may be worth more or less than that figure. [2] Travel under this agreement is booked through Chase Travel. [2]
American Express approaches the same idea from the other direction, saying that the value of Membership Rewards points varies according to how the member chooses to use them. [3] For deposits into an American Express checking account it publishes a set conversion: 1,000 points buys an $8 deposit at the standard rate, while a Business Checking account with a linked Business Platinum Card receives a deposit per 1,000 points on the first 1,000,000 points each calendar year and $8 per 1,000 points after that. [3] There is no minimum number of points for a deposit redemption, although a statement credit requires points worth at least $1. [3]
Pay with Points shows how a rate turns a price into a points cost: the card is charged for the purchase, the points are deducted and a statement credit is applied for the points used, with any shortfall left on the card. [3] The number that fixes the value is the issuer's rate, which is why two members holding the same balance can end up with different amounts of value from it. [2] [3]
Where the fixed rate stops
Moving points out of a fixed-value currency hands the balance to the partner's rules. [2] [3] Chase transfers in 1,000-point increments to participating frequent travel programmes, only to accounts belonging to the member or to an owner of the company who is listed as an authorised user, and a point transfer fee may be charged. [2] Once the points are transferred they cannot be refunded, the transfer cannot be cancelled, and the points become subject to the partner programme's terms. [2]
American Express says the transfer rate varies by partner, that transfers generally require a minimum of 1,000 points in multiples of 1,000, and that they typically process in 48 hours. [3] It applies an excise tax offset fee of $0.0006 per point, capped at $99, to points transferred to a US airline frequent flyer programme. [3] Its customer-service guidance adds that the name on the card and on the loyalty account must match, that transfers cannot be reversed, and that a member should confirm award availability and the points required before transferring. [5] The same terms warn that partner programmes may change award levels, blackout dates and capacity controls at any time, and that American Express is not responsible for telling members about those changes. [3]
Even inside the issuer's own programme, the rate is not uniform: American Express states that using points with third-party merchants may be worth less than reward options offered directly through the programme. [3]
Conditions, products and markets
The Chase figures above come from one document, the Ink Business Preferred version of the Ultimate Rewards programme agreement dated 09/25/2025, which requires points to be used for the company's business purposes only and to benefit only the company rather than any individual. [2] Cash redemption takes the form of a statement credit or an electronic deposit into an eligible Chase account located in the United States. [2] Minimum and maximum amounts may apply to a redemption, a completed redemption is final, and applicable sales taxes, fees, surcharges and shipping charges are the member's responsibility. [2]
On the American Express side, which options a member can use depends on the products linked to the Rewards Account, and a member whose only linked product is a checking account can use points only for deposits or for transfers to a limited selection of partner programmes. [3] [4] Both issuers reserve the right to change what points buy: Chase says it may change the selection within a particular redemption option without prior notice, and American Express may change the number of points required to redeem for rewards. [2] [3]
Exceptions and limits
- Other options. The one-cent Chase rate covers cash, gift cards and travel; the agreement says other reward options may be worth more or less. [2]
- Promotions. Chase may offer special promotions with a redemption value higher than the one-cent cash rate, each on its own terms and for its own period. [2]
- Product caps. The deposit rate applies only to the first 1,000,000 points per calendar year on a Business Checking account linked to a Business Platinum Card; the $8 rate applies thereafter and to other checking accounts. [3]
- No cash value. Chase says points are not the member's property unless required by law and have no value until redeemed, and American Express says points do not belong to the member and cannot be sold or passed on through a legal action such as divorce, inheritance or bankruptcy. [2] [3]
- Losing the balance. Chase removes all points immediately if account status changes or the account is closed for misuse, fraud or other listed reasons, and American Express removes all points when the last linked product is cancelled, giving 90 days to use points if a card account is cancelled for inactivity, while New York Card Members can continue using points for 90 days in some of those situations by calling the number on the card. [2] [3]
- Partner exits. If an airline loyalty programme stops participating, American Express may limit transfers to it before participation ends, and says the limit will be at least 100,000 points. [3]
Sources
Sources checked on 18 October 2026. It covers two United States programmes only: Chase Ultimate Rewards as described in one Ink Business Preferred programme agreement, and American Express Membership Rewards as described in its US terms and a US customer-service page. Airline and hotel currencies, and other card issuers, are not covered here.
- Chase Ink Business Preferred with Ultimate Rewards program agreement, checked 18 October 2026
- American Express Membership Rewards Program Terms and Conditions (US), checked 18 October 2026
- American Express Membership Rewards Program Terms and Conditions (US), points transfer and checking account sections, checked 18 October 2026
- American Express customer service: how do I transfer Membership Rewards points?, checked 18 October 2026