Shopping With Points at Checkout Is a Trap

By Bryce Casson, Founder · Cardocrat · Updated August 2026
The short answer: Buttons like Amazon Shop with Points, PayPal pay with points, and use your points at checkout let you spend rewards directly at a merchant, almost always at about a cent per point or less. For flexible or transferable points worth far more elsewhere, it is one of the easiest ways to quietly waste them. Earn the rewards, pay with the card, and redeem the points for real value instead.

How checkout redemptions work

Many merchants and wallets now offer to apply your credit card points at checkout: Amazon Shop with Points, PayPal pay with points, and similar buttons at other retailers. It is frictionless by design, one tap and your points cover the purchase. The catch is the rate. These checkout redemptions value your points at roughly a cent each, and sometimes less, the same poor rate as a gift card or merchandise. See what points are worth.

Why it wastes transferable points

If your points are flexible, from Chase, Amex, Citi, or Capital One, they can be worth two cents or more transferred to an airline or hotel for premium travel. Spending them at an Amazon or PayPal checkout for about a cent throws away more than half their potential value, and you would have earned rewards on the purchase anyway by paying with your card. You are converting valuable, flexible points into the lowest-value use for convenience you do not need. See redeeming points for merchandise.

The better habit

The clean rule is to keep earning and spending separate. Pay for the purchase with a rewards card so you earn points on it, and never spend your points at a merchant checkout. Save them for the redemptions that return real value: transfers to travel partners, or at minimum a full cash-back redemption at a cent each. The checkout button is built for the issuer and the merchant, not for you. See worst redemptions.

See exactly what an award costs

Stop guessing at point values. Look up the real award price and live availability for a specific trip before you transfer.

Search award flights on seats.aero →

Frequently asked questions

Is Amazon Shop with Points a good deal?
Usually not. It values your credit card points at about a cent each or less, the same poor rate as a gift card, while transferable points can be worth far more for travel. Pay with your card to earn points, and do not spend them at the Amazon checkout.
How much are points worth at checkout?
Typically about one cent each, sometimes less, whether at Amazon, PayPal, or another merchant. That is the floor for transferable points, which can be worth two cents or more redeemed for airline or hotel travel.
Why is paying with points at checkout a trap?
Because it spends valuable, flexible points at the lowest possible rate for mere convenience, when paying with your card earns rewards and keeps the points for a redemption worth several times as much.
What should I do instead of paying with points?
Pay with a rewards credit card so you earn points on the purchase, and save your points for high-value redemptions like transfers to travel partners. If you must cash out, a full statement credit or cash-back redemption at a cent each beats a checkout button.

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Bryce Casson

Written by Bryce Casson, Founder of Cardocrat. About the author and how we rank cards.