We’ve all heard it: “I flew to Europe for free using my credit card points!” It sounds like a dream come true—but is it really free? Let’s unpack the hidden costs behind those “free” flights and why they might be more expensive than you think.

Points Have Real Cash Value

Credit card points and airline miles aren’t just magical freebies—they’re a form of currency. If you use 50,000 points for a flight, that’s often equivalent to $500–$750 in value. That same value could have gone toward groceries, gas, or other essentials. So when you redeem points, you're spending money—just in a different form.

Free Flights Lead to Expensive Trips

In many cases you wouldn't take the trip because of the expensive airfare. But now that you have free flights, you're suddenly spending on accommodations, food, car rentals, and attractions.
The free airfare was just the gateway to a trip that costs hundreds or thousands more. In reality, the “free” flight triggered a cascade of expenses.

“Free” Encourages Splurging

When airfare feels free, many people will loosen their wallets elsewhere like hotel upgrades, expensive restaurants, and luxury experiences.
The mindset of “I saved on flights, so I can treat myself” often leads to spending more than you would on a regular trip. The flight might be free, but the vacation becomes pricier.

You Pay For Those Points

Remember that you earn the points through spending! Credit card offers dangling free points can cause you to spend more on your credit card than you normally would, choose cards with high annual fees, and make purchases you would otherwise avoid.
In essence, you’re paying for those points throughout the year. Whether it’s through higher spending, fees, or missed cashback opportunities, the cost is real.

Final Thoughts

Credit card points and airline miles can be a great tool, but they’re not free money.
They’re a reward system that encourages spending and often leads to more expenses than you planned.
So next time someone brags about their “free” flight, remember that it probably cost more than they think!