An often-overlooked hotel credit card with a 120,000-point sign-up bonus can offer a ton of value, even for people who don't travel a lot

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InterContinental Hong Kong

• IHG, the parent brand of hotel chains like Holiday Inn and InterContinental, has a rewards program that's often overlooked, but can provide excellent value.
• Right now, the IHG Rewards Club Premier Credit Card has a sign-up bonus of up to 120,000 points, broken down into two tiers - you get 80,000 points when you spend $2,000 in the first three months, and 40,000 more points when you spend a total of $5,000 in the first six months.
• That's potentially enough for 12 free nights at a budget hotel, or two free nights at a luxury property.

IHG might not be on many people's radars when it comes to hotel choices or loyalty programs. But overlooking the brand, which owns mainstay chains like Holiday Inn, is a mistake.

IHG hotels encompass a wide range of quality - from the utilitarian Holiday Inn Express to luxurious top properties like InterContinental - offering options for all budgets.

Plus, the IHG rewards program, simply named IHG Rewards Club, can offer substantial value - and a tremendous amount of different redemption options.

That range of value and flexibility is what makes a current deal so enticing.

Right now, the IHG Rewards Club Premier card is offering the biggest sign-up bonus ever available on an IHG card. You can earn up to 120,000 bonus points when you open a new card and meet the spending requirements. The bonus is broken up into two parts. First, you'll earn 80,000 points if you spend $2,000 in the first three months. Then, you'll earn the remaining 40,000 points when you spend an additional $3,000 within the first six months for a total of $5,000.

The card was compelling enough with the previous bonus - a total of 80,000 points - but the current 50% increase turns this card into an especially lucrative offer.

120,000 points can be redeemed for everything from 12 nights in a Holiday Inn in Sao Paulo, Brazil (and that's without factoring in the fourth night free - see below), to two nights at the luxurious InterContinental hotels in Sydney, Australia or Los Angeles.

Looking toward Europe, where IHG has centrally located hotels in most major cities, the bonus could cover five nights in the central Holiday Inn Alexanderplatz, Berlin, or three nights in the luxurious InterContinental Budapest.

Putting aside the sign-up bonus, the IHG Premier card offers benefits that can be useful for any traveler, not just IHG loyalists.

Here's what makes the card worthwhile.

Free night certificate

The Premier card offers an annual anniversary free night certificate that can be used at any category 1-7 hotel (hotels that cost 40,000 points per night or less). While that means that some of IHG's most premium locations are excluded, the certificate is still valid at a ton of locations all around the world.

For instance, I had no trouble finding properties in major cities like New York and Chicago during peak travel season, all charging well upward of $200, which accept the free night certificate. That more than makes up for the card's $89 annual fee.

Automatic elite status

The Premier gives cardholders automatic complimentary Platinum status without any spending requirement. Platinum offers a 50% bonus on points earned during a stay, complimentary room upgrades, late checkout when available, and guaranteed room availability with 72 hours' notice - helpful if you have a last-minute trip.

High earning rates

The IHG Premier earns 10x points per dollar spent at IHG hotels, 2x points on gas, groceries, and dining, and 1x point on everything else.

Travel website (and Personal Finance Insider affiliate partner) The Points Guy subjectively values IHG points at 0.5¢ each. Using those valuations, you'd earn means a return of 5% at IHG hotels, 1% on gas, groceries, and dining, and 0.5% on everything else.

That's solid return on IHG hotels, but you might want to pair the IHG Premier with another card for everyday spending.

Keep in mind that those spending rewards are on top of the 5-10 points per dollar you'll earn for being an IHG Rewards Club member, plus the 50% bonus you'll get for holding Platinum status thanks to the card.

Other benefits

The card offers a handful of other useful benefits, as well.

For instance, when you have the card, you'll get a free fourth night whenever you book award nights (nights booked with points, rather than cash).

It also offers a 20% discount if you choose to purchase points from IHG. While spending money usually defeats the whole purpose of earning and using points, there are times when you're this close to having enough for a big redemption and it's worth buying a few extra to carry you over the edge.

You'll also get 10,000 bonus points every year you spend at least $20,000 on the card, as well as a statement credit to cover enrollment or renewal in Global Entry.

Bottom line

The IHG Rewards program is one that's often overlooked; I'm guilty of this, too, usually looking at the Marriott Bonvoy program or Hilton Honors, instead.

There's some significant value to be had from the program, whether you're looking to subsidize a stay at a top InterContinental resort, or you want to cover a few weeks at a budget hotel during an extended vacation.

Before applying, make sure to note that Chase won't usually approve you for the card if you've opened five or more cards in the past 24 months.

Click here to learn more about the IHG Rewards Club Premier from Insider Picks' partner: The Points Guy.

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