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Citi remains to offer a large range of ways that consumers can utilize to redeem their ThankYou Benefits points. Today, Citi presented a choice for Citibank inspecting account consumers to make online costs payments with ThankYou points. The new redemption option may be of much better or worse value depending on the biller.

“We desire our members to have the choice of using their points when and how they desire,” stated Mary Hines Droesch, head of ThankYou Rewards at Citi, in a press statement. “Whether you wish to pay this month’s cellular phone or utility expense due next week, ThankYou Benefits lets you decide exactly how you use your points.”

When Citibank examining consumers willings to make an online costs payment, they can now choose a ThankYou Benefits account and get in the dollar quantity that they ‘d like to have covered by ThankYou points – payments made through a mix of points and cash are allowed.

According to Citi, a $50 payment would require 7,692 ThankYou points, which suggests a redemption rate of 1.54 points per $0.01.

The redemption value of the Online Bill Payments with Points choice is much better when compared to cash rewards and statement credits, however even worse when as compared to purchase-based redemption options.

Option Disbursement method Denominations Points-to-cash ratio
Cash rewards A check payable to you $50, $100 2 points per $0.01
Statement credit Credited to card account $10, $15, $25, $50, $100, $175, $250 2 points per $0.01
Online Bill Pay with Points Redeemed as cash into consumer checking account Any 1.54 points per $0.01
Rewards Account Number Account number generated for online shopping Any 1.33 points per $0.01
Select and Credit Credit in the exact amount of a past purchase Any 1.33 points per $0.01

To maximize the value of one’s ThankYou points, it would actually be smarter to make use of a Citi charge card to settle an expense, then make use of the “Select and Credit” redemption to negate the bill payment. In addition, you can make ThankYou points on the expense payment if the Citi card takes part in the program.

If the biller doesn’t accept card payments, then the Online Bill Pay with Points alternative would be better than redeeming the points for money and using it pay a costs.

The utmost value from ThankYou points, however, need to be extracted with a little effort. Since the points typically redeem at a 1-point-per-cent rate on branded gift cards, it’s possible to re-sell them for a money value that beats the other choices provided through Citi. Then, make use of the money to do as you please, including paying costs.