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The Points Guy believes that credit cards can transform lives, helping you leverage everyday spending for cash back or travel experiences that might otherwise be out of reach. That's why we publish a variety of editorial content and card comparisons: to help you find a great card to turn your goals into reality.
Our site may earn compensation when a customer clicks on a link, when an application is approved, or when an account is opened with our partners, and this may impact how or where these products appear. While we don't cover all available credit cards, our editorial team creates and maintains all of the analysis of these cards, and our content is not influenced nor subject to review by any credit card company, bank or partner prior to (or after) publication. Please view our advertising policy and product review methodology for more information.
Katie Genter is a digital nomad who has traveled full time since June 2017. She writes and edits stories about points and miles, and loyalty programs, often letting her personal experiences color these stories.
August 31, 2020 • 7 min read
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Quick summary
Southwest's More Rewards program allows eligible cardholders to redeem points for merchandise, gift cards, hotels, international flights, car rentals, cruises and more.
Redemption values through More Rewards are generally lower than booking Southwest flights, with merchandise and travel options often yielding less than one cent per point.
Gift cards may offer up to one cent per point, but this still falls short of the value typically obtained from booking Southwest flights.
Some options, such as cruises and experiences, require calling a partner agency rather than booking online.
What to consider
Only those with an eligible Southwest Rapid Rewards credit card can access the More Rewards program.
Redemption rates for merchandise, hotels and car rentals are typically below TPG's valuation of 1.5 cents per point as of June 2024.
Some offers mentioned in the article are no longer available.
What you'll miss from the article
A detailed breakdown of redemption values for various More Rewards options and tips on maximizing the value of your Southwest points.
Generated by AI with support from our editorial team.
Update: Some offers mentioned below are no longer available. View the current offers here.
Not surprisingly, the best way to use Southwest points is to book Southwest flights. But, perhaps you aren't comfortable booking travel now. Or, you've found yourself with a wealth of travel rewards but limited cash. In either case, you might be looking at other redemption options through Southwest's More Rewards program. So, today let's take a closer look at this program and whether it's a good way to use your Southwest points.
An example of what the Southwest More Rewards program offers. (Image courtesy of Southwest Airlines)
Of these options, cruises, experiences and packages aren't bookable online. Instead, you must call the partner travel agency to price out these options using your points. And, the travel insurance option repeatedly timed out for me. So, it may not be possible to buy travel insurance using your points right now.
Finally, don't get too excited about these redemption options just yet. As I'll discuss later in this guide, some options provide relatively little value for your points. As such, it's worth considering the value you'll get from these redemptions before using your points.
To use Southwest's More Rewards program, you must have a Southwest Airlines Rapid Rewards credit card. Consumer and business credit cards are eligible, though. So, if you have a Southwest credit card tied to your Rapid Rewards account, you should be good to go.
However, if you don't have a Southwest credit card that earns points for your Rapid Rewards account, you may want to apply for a new card. Specifically, you may want to consider adding one of the following to your wallet:
Southwest Rapid Rewards Plus Credit Card: Best for Southwest flyers who need a low annual fee ($69 annual fee)
Southwest Rapid Rewards Premier Credit Card: Best for causal Southwest flyers ($99 annual fee)
Southwest Rapid Rewards Priority Credit Card: Best for frequent Southwest flyers ($149 annual fee)
Southwest Rapid Rewards Premier Business Credit Card: Best for Southwest business travelers ($199 annual fee)
Southwest Rapid Rewards Performance Business Credit Card: Best for Southwest business travelers that need a lower annual fee ($99 annual fee)
I have the Southwest Rapid Rewards Premier Credit Card and although it has a $99 annual fee, I get 6,000 Southwest points each year on my cardholder anniversary. And, based on TPG's valuations, these points alone are worth $90. So, since I easily get $9 of value each year from the card's other perks, it's an easy choice for me to keep it long term.
You'll get the most value from your Southwest points when you redeem for Southwest flights. (Photo by Katie Genter/The Points Guy)
TPG's valuations peg the value of Southwest points at 1.5 cents each. But, this assumes you'll use your points to book Southwest flights. So, let's consider the value you'd get when using your Southwest points through the More Rewards program.
Merchandise and gift cards
First off, I considered three different merchandise items. For each item, I compared the points cost through More Rewards to the cost I'd pay on the brand's website. Here's what I found:
The North Face Ladies Resolve 2 Jacket: 14,157 points or $90 (0.64 cents per point)
YETI Rambler® 20 oz. Tumbler: 5,849 points or $30 (0.51 cents per point)
So, using Southwest points to buy merchandise through More Rewards doesn't provide even close to TPG's valuation of 1.5 cents per point. Likewise, if you use Southwest points to buy gift cards through More Rewards, you'll only get a redemption value of 0.83 to one cent per point.
As such, I recommend saving your Southwest points until you book your next Southwest flight. But, if cash is tight and you need to redeem your points now, look for a gift card that provides a redemption value of at least one cent per point.
Next, I considered the travel options available through More Rewards. When you search through More Rewards, you won't see any cash prices. So, I compared the points costs listed to publically available rates found on the travel provider's website. In doing so, I found you can book flights on routes that aren't covered by Southwest at a rate of one cent per point.
You can also book hotels for about one cent per point. However, this assumes you'd book the standard publicly available rate directly with the hotel. But, most hotels also offer less expensive packages or member rates. So, I'd generally expect to get less than one cent per point when using points for hotel stays.
As you can see, none of the travel options available through More Rewards provide great value. As such, I wouldn't recommend using your Southwest points to book travel through the More Rewards program.
You'll get the best value from your Southwest Rapid Rewards points when you use them to book Southwest flights. So, I'd generally recommend saving your Southwest points to book flights once you're ready to travel again.
But, if you're short on cash and need to liquidate your Southwest points, you can do so using the More Rewards program. If you take this option, you'll want to purchase gift cards at a rate of one cent per point. Buying gift cards with your Southwest points won't yield TPG's valuation of 1.5 cents per point. That said, one cent per point is the best redemption rate you'll find through More Rewards.
Comments
By commenting, you agree to our Community Guidelines to help create a positive space for conversation. The responses below are not provided or commissioned by the bank advertiser, our partners, or The Points Guy (“TPG”). They have not been reviewed, approved, or otherwise endorsed by any of these parties. All responses are submitted by individual contributors, and neither the bank advertiser, our partners, nor TPG are responsible for ensuring that all posts and/or questions are answered.
