Updated: March 21, 2024
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Updated: March 21, 2024
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Responsible credit card users can quickly rack up credit card rewards, especially if using a high-reward credit card. For those who find themselves sitting on their points or miles for extended periods, donating your rewards could help you put them to good use. Plus, you can support charities of your choice in just a few clicks!
As you’ll see in this article, donating your travel rewards can be easy. Keep in mind that there are a few drawbacks to consider before you hit the donate button.
Credit Cards & Rewards in the Lives of Americans
Americans’ credit card usage tends to vary greatly by generation, but much of the U.S. does hold at least one credit card in their wallet. However, rewards use is surprisingly low amongst all generations.
6 in 10 Americans say credit card rewards are very important to them. One major reason people get credit cards is to earn credit card rewards.
The most popular travel rewards credit card in the U.S. is the Chase Sapphire Preferred Card. Chase allows you to donate any points and miles you earn with the Preferred card to charity, making them an excellent option for cardholders.
There are now 196 million credit card users. This indicates a clear shift in the way we’re spending. With more users and more companies offering the ability to donate rewards, soon it could be a more common donation method.
Gen Zers are the least likely to have a credit card. Baby boomers have the highest average number of credit cards at 5, but Gen Zers have approximately 1.7 credit cards.
Many credit card companies now allow you to donate any points or miles you’ve racked up straight to charity. It may be the charity of your choosing, or your lender may have selections from which you can choose. Many major credit card companies, including AmEx, Chase and Discover, offer donation programs. Additionally, certain charities will take your points or miles directly.
Charities will accept your donation in various ways, but it’s not always dollar-for-dollar. It’ll depend entirely on the specific loyalty program and the charity of your choice.
Generally, your rewards will go to the charity in two ways: via travel credits or a direct cash donation. When your donations translate into travel rewards, some charities will use them to cover the cost of travel for marginalized groups in need. For example, Miles4Migrants is a nonprofit that accepts frequent flier miles and uses them to book flights for refugees and asylum-seekers.
Some credit card issuers transfer your points or miles as cash. Some of these points will transfer dollar-for-dollar or cent-for-cent, depending on the issuer. For others, however, it’ll be a percentage of your points.
There’s never a bad time to donate your points or miles to charity. Whenever you rack up a nice amount of points, instead of cashing in, consider donating them instead. Often, over time credit card companies will change their redemption structure, which could mean a sudden devaluation of your points. So it may be best to donate points periodically rather than in a giant lump sum to take advantage of the total value of your points.
Additionally, keep an eye on the expiration date on your points, if there is one. If your points are close to expiration, donating them can help ensure they don’t go to waste.
You can donate your rewards in various ways, all of which can be completed in a few simple steps. Some methods, like making a cash donation, will be a better deal, but some charities also accept direct travel credits, which can be an easier way to offload your rewards.
Here are four of the most common ways rewards card holders can donate their rewards:
If your credit card company allows for donation via their portal, there should be an option to donate your miles or points as they are.
Some credit card companies will let you translate your points into cash before sending them to charities. AmEx, for example, works with JustGiving and makes it easy to redeem your points through statement credits you can use to donate. You simply create a free account on JustGiving’s page and enter your eligible card info.
Any major loyalty program, whether a hotel or airline, has a page full of charities that will accept your donation. For example, JetBlue works with charities like Make-A-Wish, the Red Cross and Miles4Migrants, all of which gladly accept donations in the form of points or miles.
If your charity of choice is a well-known, larger organization, you can often find a direct donation option through their website. The American Red Cross, for example, has a whole list of loyalty programs from which they accept donations.
Although donating your rewards has a few downsides, donating to charity is always a good thing. Even if your points or miles don’t add up to thousands of dollars, anything can help charitable organizations support those in need. Here are a few reasons donating your rewards to charities can be beneficial to you and the charity:
Some charities prefer this type of donation
There are certain charities, like Miles4Migrants, that can get a lot of use out of your miles and points. For instance, they can book flights for those seeking asylum or other support.
It’s an easy way for you to use up almost expired points
Miles and points often expire. If you don’t have an immediate use for them, donating to charity is the perfect way to use them up.
You may have a better idea of where your donation will go
Often, a charity’s website will tell you where your points and miles will go. Unlike cash donations that go towards various costs, miles and points have a direct purpose, so it’s easier to know where your money is going.
Donating your miles and travel points looks different across loyalty programs and credit card issues. Here are a few commonly asked questions about donating rewards to charity.
Unfortunately, no. Most donated miles and points are not deductible. In the eyes of the IRS, these donations are viewed as charitable gifts given by the airline or credit card issuer rather than you. Still, it doesn’t hurt to keep a receipt of your donation and show it to your tax preparer if there is an exception for your specific donation.
Most people like to stockpile rewards in preparation for a big purchase (or donation, in this case). Sounds reasonable, right? Unfortunately, if you wait too long, those points you’ve been holding on to could expire. However, if you donate regularly, you reset the clock on your expiration date each time you do so because there has now been some activity.
Generally speaking, these donations are final. Every rewards page or credit card company agreement clearly states that your donation cannot be undone once you hit submit. So make sure you can hit that submit button confidently.
Absolutely! Similar to credit card points and miles, you can donate frequent flier miles to many charities. The pool may be slightly smaller than with other types of rewards, as the charity needs to be able to use the flier miles. Certain charities like Miles4Migrants, which helps asylum-seekers and refugees, accept frequent flier miles.
Many big-name airlines let you donate your loyalty points. You’ll see similar charities like the Red Cross and Make-A-Wish on most of the program lists, but others focus on specific regions. For example, Hawaiian Airlines have charities that focus specifically on the Hawaiian people. The same goes for Alaska Airlines, which focuses on Alaskan charities.
Below, you’ll find a table with various loyalty programs and the charities they support.
Loyalty Programs | Charity Programs | What You Should Know |
|---|---|---|
American Airlines |
| Many of American Airlines’s |
Delta SkyMiles |
| Delta allows you to select |
JetBlue TrueBlue |
| JetBlue makes the donation |
Southwest Rapid Rewards |
| Southwest supports some |
Like many major airlines, most major hotel chains have donation programs. You’ll see similar charities to airline programs, but many chains also choose to focus on specific causes. For example, Accor focuses on environmental and social causes, as does Marriott.
Hotel loyalty programs tend to support fewer charities than airline programs, but they’re still worth contributing to.
Loyalty Programs | Charity Programs | What You Should Know |
|---|---|---|
Hilton Honors |
| You’ll need to create a Point |
Marriott Bonvoy |
| Marriott Bonvoy wants its |
Radisson Rewards |
| You can donate your |
Wyndham Rewards |
| Wyndham offers many charity |
Not every credit card company allows you to donate your points, but many prominent players in the game do. While many of them make it easy to donate, you must read the fine print before donating to ensure your miles are maximized. It may be worth it to cash out on your points if it’s a direct dollar-for-dollar transfer and make a cash donation to the charity of your choosing instead.
That said, the programs below are worth checking out.
Loyalty Programs | Charity Programs | What You Should Know |
|---|---|---|
| AmEx has partnered with | |
| Through Chase Pay Yourself | |
| You’ll need at least 2,500 | |
Discover |
| Discover lets you donate your |
To get some expert insight into the rewards point donation world, we spoke with three individuals who shared a few tips on donating any extra points or miles you may have.
About Christopher Murray
Christopher Murray is a personal finance and sustainability writer covering diverse topics, from budgeting to unique investment options like socially responsible investing (SRI) and cryptocurrency. His works focus on sustainability as the best savings tool. He contributes finance articles to MoneyGeek.
Murray earned both his English literature and gender studies degrees from Smith College.
