topic Re: JPM Ritz Carlton: Where to put minimum spend? in Credit Cards

JPM Ritz Carlton: Where to put minimum spend?

CreditScholar — Fri, 12 Oct 2012 03:32:10 GMT

After a few months of internal debate, I finally decided to pull the trigger on the J.P. Morgan Ritz Carlton card. Instant approval for $23,500.

One of the drawbacks of the card though is that I need to push through 10k annually to maintain Marriott/Ritz gold status, which is the main reason I wanted this card. I stay about 20-30 nights a year, which is enough for silver but nowhere near enough for gold. The question now is: where do I pull that 10k spending from?

Up until now my strategy had been this:

* All dining, travel and UR mall spending on my CSP = 2 UR points per dollar

* All general spending on my United card = 1.5 United miles per dollar

I usually transfer my UR points to United anyways, so this allowed me to get 1.5-2 UA miles regardless of category.

Option 1: Redirect 10k from the CSP bonus categories to the JPM RC.

* Gain 20,000 Marriott points

* Lose 20,000 UR points

Option 2: Redirect 10k in general spendng from the United card

* Gain 10,000 Marriott points

* Lose 15,000 United miles

Either way there is a price to be paid. In option 1 Marriott points are worth less than UR points, so I'm losing transferrability. Option 2 makes me give up 15k United miles and receive only 10k Marriott points in return.

Any ideas on which is the better option?

Re: JPM Ritz Carlton: Where to put minimum spend?

jsucool76 — Fri, 12 Oct 2012 03:36:38 GMT

@CreditScholar wrote:
After a few months of internal debate, I finally decided to pull the trigger on the J.P. Morgan Ritz Carlton card. Instant approval for $23,500.

One of the drawbacks of the card though is that I need to push through 10k annually to maintain Marriott/Ritz gold status, which is the main reason I wanted this card. I stay about 20-30 nights a year, which is enough for silver but nowhere near enough for gold. The question now is: where do I pull that 10k spending from?

Up until now my strategy had been this:

* All dining, travel and UR mall spending on my CSP = 2 UR points per dollar
* All general spending on my United card = 1.5 United miles per dollar

I usually transfer my UR points to United anyways, so this allowed me to get 1.5-2 UA miles regardless of category.

Option 1: Redirect 10k from the CSP bonus categories to the JPM RC.
     * Gain 20,000 Marriott points
     * Lose 20,000 UR points

Option 2: Redirect 10k in general spendng from the United card
     * Gain 10,000 Marriott points
     * Lose 15,000 United miles

Either way there is a price to be paid. In option 1 Marriott points are worth less than UR points, so I'm losing transferrability. Option 2 makes me give up 15k United miles and receive only 10k Marriott points in return.

Any ideas on which is the better option?

Couldn't you do half and half? spend 5k less on CSP and 5k less on united, and then you get your 10k on marriot?

Re: JPM Ritz Carlton: Where to put minimum spend?

Anonymous — Fri, 12 Oct 2012 04:03:53 GMT

Tough call, but since you normally transfer your UR points to United, it depends on your value of a United mile to a Marriot point. If 1 United mile is worth less than 2 Marriott points, go with option 1; if 1 United Mile is worth more than 2 Marriott points, go with option 2; because essentially the question is, should you trade 5,000 United miles for 10,000 Marriott points.

Re: JPM Ritz Carlton: Where to put minimum spend?

CreditScholar — Sat, 13 Oct 2012 01:37:25 GMT

@Anonymous wrote:
Tough call, but since you normally transfer your UR points to United, it depends on your value of a United mile to a Marriot point. If 1 United mile is worth less than 2 Marriott points, go with option 1; if 1 United Mile is worth more than 2 Marriott points, go with option 2; because essentially the question is, should you trade 5,000 United miles for 10,000 Marriott points.

I think option 1 is looking better at this point then. I value UA miles higher than Marriott points, but not at a 2:1 ratio. At this point it might be best to just earn the extra Marriott points, redeem them for a travel package, and then I'll be recouping some of the lost miles anyways.