Capital One Rewards Program: Earning and Spending With Capital One

Back in 2018, Capital One added a ton of value to its lines of Capital One Venture and Spark Miles cards by allowing cardholders to take advantage of a list of transfer partners. This move made these already-great credit cards even more desirable.

Since then, Capital One has continued to build on its list of transfer partners, added two exclusive hotel transfer partners (Accor and Wyndham) in 2020, four more airline transfer partners in 2021 and favorably adjusted transfer ratios with nearly all of its partners.

In 2021, Capital one unveiled the Capital One Venture X Rewards Credit Card, the top-tier consumer card with an annual fee of $395. With this card’s impressive earnings rates and outstanding travel perks, such as access to Priority Pass and Capital One lounges, a $300 annual travel credit and a 10,000-mile anniversary bonus, it’s become one of the best premium travel cards on the market.

These moves solidified Capital One’s place in the world of transferrable miles and travel cards and signaled that the bank will continue to improve its customer experience.

But, what are Capital One miles really worth? Is earning Capital One miles right for you? And which Capital One cards are the best for your lifestyle? We’ll cover all of that and more in this full review of the Capital One Rewards program.

How Much Are Capital One Miles Worth?

Depending on whether you use your Capital One miles to book directly through the Capital One Travel portal, redeem them for cash or transfer them to one of Capital One’s partners, the value can vary. There are other ways to spend Capital One miles. However, they typically yield a far lower per-point value than the two aforementioned redemption options.

When Redeeming Through Capital One Travel Portal

You can book hotels, flights or rental cars through the Capital One Travel portal using miles as if they were cash at a rate of 1 cent per mile. There’s no way to squeeze any more value out of your miles when redeeming this way

Although there are other ways to get more value out of your Capital One miles, the advantage of redeeming your miles through the Capital One Travel portal is simplicity.

All you have to do is sign in to the Capital One Travel portal, select the dates and location for the hotel, flight or rental car that you want to book and click the search button to see your options. There’s no reason to hunt for a better redemption value since miles are always worth 1 cent apiece when redeemed this way.

When Redeeming for Cash, Statement Credits or Gift Cards

Capital One also gives you the option to redeem your miles for cash, statement credits or gift cards. When redeeming this way, your miles are worth exactly 1 cent each. So, if you’d rather use your miles to pay off your credit card bill instead of booking travel through the Capital One Travel portal, this might be a good option for you.

When Transferring to Travel Partners

Unlike redeeming through the Capital One Travel portal, the redemption values that you’ll get from transferring your points to Capital One’s partners is highly variable. You can redeem your miles for far more than 1 cent per mile through certain partners. However, if you aren’t careful, you could also get a value of less than that.

Here is the full list of Capital One’s transfer partners:

On the whole, redeeming your points through Capital One’s transfer partners yields a much higher value per mile. If you want to get the most value out of your Capital One miles, you should know which are the best and worst of Capital One’s transfer partners.

Some of the transfer partners that have offer the highest redemption values include:

• Air Canada Aeroplan
• Avianca LifeMiles
• Etihad Guest
• Turkish Airlines Miles&Smiles

With all four of these transfer partners, you should be able to find redemptions with values higher than 1 cent per mile. However, some redemptions with transfer partners, such as EVA, Finnair or TAP Air Portugal, often provide a value of less than 1 cent per point.

When Using Other Redemption Options

Capital One also allows you to redeem your miles through their Capital One Shopping portal, for eligible purchases made with PayPal and on Amazon. However, these probably aren’t the best uses of your miles. If you choose to spend your miles through Capital One Shopping or PayPal, you’ll typically get a value of less than 1 cent per point.

If you redeem your miles for purchases on Amazon, you’ll always get a value of 1 cent per mile. However, when you can get a much higher value per mile by transferring to Capital One’s travel partners, this probably isn’t the best use of your miles, either.

Capital One also allows you to redeem your miles for sporting events, concerts and other experiences through their Capital One Entertainment portal. Redeeming this way may occasionally give you access to some VIP perks (for instance, Capital One cardholders may be able to enter events early and get special discounts at Capital One Arena in Washington, D.C.), but you probably won’t get the best value per mile. Redemptions through Capital One Entertainment usually yield a value of 0.8 cent per point.

Capital One Credit Cards

Knowing the right places to redeem your Capital One miles is only half the battle. You should also be aware of the credit cards that Capital One offers, their miles-earning structures, annual fees and other perks that they offer.

Capital One offers a variety of credit cards, both for business and personal use, at a variety of different price points. Here are all of the credit cards that Capital One issues that earn miles.

Capital One Spark Miles for Business Card

The Capital One Spark Miles for Business Card is geared toward small-business owners who don’t want to worry about spending categories. This card offers a single earnings rate for all purchases alongside some useful administrative benefits and travel perks. All of this comes with an annual fee of $95, which is waived for the first year.

Annual fee: $0 introductory fee for the first 12 months, then $95

Bonus categories:

• 5X miles on hotels and rental cars booked through Capital One Travel
• 2X miles on all other spending

Notable perks:

• $100 reimbursement credit for TSA PreCheck or Global Entry application fee
• No foreign transaction fees
• Free employee cards
• Primary rental car collision coverage when renting for business purposes, secondary coverage when renting for personal reasons

Capital One Spark Miles Select for Business Card

As a $0 annual fee alternative to the Capital One Spark Miles card, the Capital One Spark Miles Select for Business Card gives small business owners the opportunity to earn miles for their business spending without having to pay anything annually. Similar to the regular Spark Miles card, the Spark Miles Select card offers a single earnings rate for all spending.

As a $0 annual fee alternative to the Capital One Spark Miles card, the Capital One Spark Miles Select for Business Card gives small business owners the opportunity to earn miles for their business spending without having to pay anything annually. Similar to the regular Spark Miles card, the Spark Miles Select card offers a single earnings rate for all spending.

Annual fee: $0

Bonus categories:

• 5X miles on hotels and rental cars booked through Capital One Travel
• 1.5X miles on all other spending

Notable perks:

• No foreign transaction fees
• Free employee cards
• Extended warranty

Capital One VentureOne Rewards Credit Card

The Capital One VentureOne Rewards Credit Card is Capital One’s entry-level card with no annual fee. This card can help you rack up Capital One miles, particularly when spending through the Capital One Travel portal, without having to pay an annual fee.

Annual fee: $0

Bonus categories:

• 5X miles on hotels and rental cars booked through Capital One Travel
• 1.25X miles on all other spending

Notable perks:

• No foreign transaction fees
• Primary rental car collision coverage when renting outside your country of residence, secondary coverage when renting inside your country of residence
• Extended warranty

Capital One Venture Rewards Credit Card

The Capital One Venture Rewards Credit Card is Capital One’s mid-tier offering. It comes with some valuable travel benefits that can instantly offset the annual fee. Plus, this card can get you into Capital One’s fabled airport lounges twice per year.

Annual fee: $95

Bonus categories:

• 5X miles on hotels and rental cars booked through Capital One Travel
• 2X miles on all other spending

Notable perks:

• $100 reimbursement credit for TSA PreCheck or Global Entry application fee
• Two complimentary visits per year to Capital One Lounges or to more than 100 locations in their Partner Lounge Network
• No foreign transaction fees
• Primary rental car collision coverage when renting outside your country of residence, secondary coverage when renting inside your country of residence
• Travel accident insurance
• Extended warranty

Capital One Venture X Rewards Credit Card

The Capital One Venture X Rewards Credit Card is the premium offering from Capital One with an annual fee of $395. However, it comes with an anniversary bonus worth $100 or more (depending on how you redeem those points). This card also has several premium travel perks and some great spending bonuses in certain categories, particularly booking travel through the Capital one Travel Portal.

Annual fee: $395

Bonus categories:

• 10X miles on hotels and rental cars booked through Capital One Travel
• 5X miles on flights booked through Capital One Travel
• 2X miles on all other spending

Notable perks:

• Up to $100 reimbursement credit for TSA PreCheck or Global Entry application fee
• Unlimited access to more than 1,300 airport lounges worldwide, including Capital One lounges and Priority Pass lounges
• $300 toward travel booked through Capital One Travel
• 10,000 bonus miles every cardmember anniversary
• Ability to add up to four authorized users for no additional cost
• Complimentary Hertz President’s Circle status for primary cardholder and authorized users
• Trip cancellation and interruption insurance, trip delay reimbursement and lost luggage reimbursement
• Primary rental car insurance
• Purchase, extended warranty and return protection

Refer a Friend

On top of earning Capital One miles through spending on one of the aforementioned credit cards, current Capital One cardholders can also earn bonus miles by referring a friend or family member. All you have to do is send your personal referral link to a friend or family member and, if they apply through your link and are approved, you’ll receive bonus miles.

It’s worth noting that you can refer a friend only to the credit card that you currently hold. For instance, if you have the Capital One VentureOne card, you can’t refer a friend to the Capital One Venture X card. You can refer them to the VentureOne Card only.

You should also make sure that your friend or family member has an up-to-date link. If they use one of your old links and you have since been generated a new link, you will not receive the referral bonus.

It’s also worth noting that referral bonuses are taxable, and if you get one, Capital One may send you a 1099-MISC form that you’ll have to include on your tax return. Capital One miles are typically valued at 1 cent per mile for tax calculations.

Promotions and Bonuses

Occasionally, Capital One offers promotions that can be a great way to earn some bonus miles. These promotions may either be available to anyone or only targeted to certain demographics.

Most often, Capital One offers sign-up bonuses that require you to open a new credit card and spend a certain amount of money on it in a fixed period of time to earn a certain number of miles.

On top of that, Capital One also sometimes offers transfer bonuses to certain partner programs. For example, they might offer a 20% transfer bonus to the British Airways Executive Club. That means that if you transfer 100,000 Capital One miles to British Airways, you’ll receive 120,000 British Airways Avios.

Are Capital One Miles Worth It?

Capital One miles are one of the best transferable rewards currencies on the market, especially for people who travel often. Capital One miles aren’t quite as flexible in terms of redemption options as some other currencies, such as Chase Ultimate Rewards points or Citi ThankYou Points. However, if you plan to use your reward miles for travel, transferring your miles to Capital One’s list of the hotel or airline partners is a great way to get a ton of value.

Capital One also has a solid lineup of credit cards that make it easy to rack up miles quickly. The Capital One Venture card is a great option for those who want to earn valuable travel miles while paying a small annual fee of $95, and the Capital One Venture X card is one of the best premium cards in the travel industry with great perks, such as lounge access and a $300 annual travel credit.

The Bottom Line

The Capital One rewards program has great offerings that allow people to earn miles quickly and use them for high-value redemptions.

If you want to earn Capital One miles, the best way to do so is by signing up for a miles-earning Capital One credit card, earning the sign-up bonus and booking travel through the Capital One Travel portal. If you want to redeem your Capital One miles, the best way to do so is by transferring them to one of Capital One’s partnered programs. Air Canada, Avianca, Etihad and Turkish Airlines offer the best value out of all of Capital One’s transfer partners.

As you can tell, Capital One’s rewards program is geared toward those who want to earn and spend miles on travel. If you aren’t into traveling, then you’re probably better off going with a different credit card rewards program.