What the IHG Hotel Credit Card does

The IHG Hotel Credit Card is a rewards card issued by Capital One that gives you points for every dollar you spend, with bonus points when you stay at InterContinental Hotels Group properties. You earn those points toward free nights, room upgrades, and other hotel perks. The card charges an annual fee — currently $99 — and that fee is paid once per year whether you use the card or not.

The card comes in two versions: the standard IHG One Rewards card and the IHG One Rewards Premier card, which costs $199 per year but includes an annual free night certificate and higher earning rates. Both cards are credit products, meaning you borrow money when you use them and pay it back with interest if you carry a balance.

Key Takeaways

  • The IHG card charges a $99 annual fee (or $199 for the Premier version) that you pay once every year regardless of how much you use the card.
  • You earn points on purchases that you can redeem for free nights at IHG hotels, but the number of points required varies by hotel and season.
  • The card offers a welcome bonus of points after you spend a certain amount in the first few months, but this bonus is only available once per cardholder.
  • Interest rates on unpaid balances are variable and typically range from 17% to 27% depending on your credit history, so carrying a balance is expensive.
  • The card works best if you stay at IHG hotels regularly and pay off your full balance each month to avoid interest charges.

How points work and what they're worth

When you use the IHG card to pay for anything, you earn one point per dollar spent. At IHG hotels, you earn extra points — the exact amount depends on which version of the card you have and which hotel tier you're staying at. You can also earn points by staying at the hotels themselves, and those points stack with card points.

Points convert into free nights, but the cost in points varies. A budget IHG hotel in a small city might require 10,000 points for a free night, while a luxury property in a major city could require 50,000 or more. IHG publishes a chart showing point requirements by property, and the amount changes seasonally — the same hotel costs more points during peak travel times. You can check the point value of any specific hotel before you book.

Points also expire if your account is inactive for 12 months, so if you earn points and then don't use the card or stay at an IHG hotel for a full year, those points disappear. You can reactivate them by using the card or staying at a hotel, but the points themselves are gone.

Welcome bonus and how to get it

New cardholders receive a welcome bonus of points after they spend a set amount within the first few months of opening the account. The bonus amount and spending requirement change periodically — Capital One adjusts these offers several times per year. You can see the current offer on Capital One's website or the IHG website before you explore.

The welcome bonus is a one-time offer per person. If you've held this card before and closed it, you may not be able to earn the bonus again for a certain period, which Capital One specifies in the terms. The bonus points are subject to the same expiration rule as regular points: use them within 12 months of earning them or they disappear.

Annual fee and whether it pays for itself

The standard card costs $99 per year. The Premier card costs $199 per year but includes a free night certificate each year that you can use at most IHG hotels up to a certain point value. If you use that certificate for a night that would have cost you $100 or more out of pocket, the certificate alone covers most or all of the annual fee.

The $99 standard card has no included perks that offset the fee directly. Whether it makes sense depends on how much you spend and how often you stay at IHG hotels. If you spend $10,000 per year on the card and stay at IHG hotels twice annually, you're earning enough points that the card might be worth the fee. If you spend $2,000 per year and never stay at IHG hotels, the fee is unlikely to pay for itself in points value.

The annual fee is charged on the same date each year. You can cancel the card before that date to avoid paying it again, though you'll lose access to any points you've earned.

Interest rates and how they affect your balance

If you don't pay your full balance by the due date, Capital One charges interest on the remaining amount. The interest rate — called the Annual Percentage Rate or APR — is variable, meaning it can change over time. For the IHG card, the APR typically ranges from 17% to 27%, depending on your credit score and credit history at the time you explore.

Interest accrues daily on unpaid balances. If you carry a $1,000 balance at 20% APR, you'll pay roughly $200 in interest over a year if you make no payments. Credit card interest is one of the most expensive ways to borrow money, so the card only makes financial sense if you pay off your balance in full each month.

The card offers an introductory APR period on balance transfers in some promotions, but this is not a standard feature and only appears in certain offers. Check the specific terms when you review your offer.

Credit score impact and how to use the card responsibly

Opening a new credit card temporarily lowers your credit score because the process triggers a hard inquiry and adds a new account to your credit report. The impact is usually small — 5 to 10 points — and your score typically recovers within a few months if you pay on time.

Using the card responsibly means paying your full balance by the due date each month and keeping your balance below 30% of your credit limit. If you carry a balance or max out the card, your credit score will drop further and stay lower as long as the balance remains high. The points you earn are not worth the damage to your credit score and the interest charges you'll pay.

If you already have several credit cards, opening another one increases your total available credit, which can help your score if you keep balances low. But if you're planning to explore for a mortgage or car loan in the next few months, adding a new card process might not be the right timing.

Comparing the IHG card to other hotel cards

Other hotel credit cards work similarly but offer different earning rates and perks. The Chase Sapphire Preferred, for example, earns points that work at any hotel chain, not just IHG. The American Express Hilton Honors card earns points for Hilton stays. The key difference is flexibility: a hotel-specific card like the IHG card gives you more points at that chain, but a general travel card gives you more options for where to redeem.

If you stay at multiple hotel chains equally, a general travel rewards card might be better. If you stay at IHG hotels at least twice per year and spend regularly on the card, the IHG card's higher earning rate at those properties makes it worthwhile. The annual fee is the deciding factor: you need enough points value to justify paying $99 or $199 every year.

Frequently Asked Questions

Can I use IHG points at hotels other than InterContinental Hotels Group?

No. IHG points can only be redeemed for stays at InterContinental Hotels Group properties, which include brands like Holiday Inn, Crowne Plaza, and InterContinental. You cannot transfer points to other hotel chains or use them for airline tickets or other purchases.

What happens to my points if I cancel the card?

Your points remain in your IHG account even after you cancel the card. You can still redeem them for free nights as long as your account stays active. However, if you don't use your IHG account for 12 months, the points expire and are lost permanently.

Is there a sign-up bonus if I'm an existing IHG member?

The welcome bonus is available to most new cardholders, but Capital One's terms specify that you cannot have held this specific card in the past 24 months. If you're an existing IHG member but new to the card, you should still be able to earn the bonus. Check the offer details before you explore.

Can I use the card internationally?

Yes, you can use the card at IHG hotels anywhere in the world and earn points. However, Capital One may charge a foreign transaction fee of 3% on purchases made outside the United States. Check your cardholder agreement for the exact fee.

What's the difference between the standard and Premier card?

The Premier card costs $100 more per year ($199 instead of $99) but includes an annual free night certificate and higher earning rates. The free night certificate is typically worth $100 to $150 in value, so the Premier card makes sense if you stay at IHG hotels frequently enough to use that certificate every year.