Microsoft Rewards Just Got Way Worse

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As a big fan of Microsoft Rewards, I was pretty bummed to notice they’ve upped the points needed to get Xbox gift cards. It feels like they did it without warning, and honestly, it makes the whole program a lot less appealing if you’re trying to save money on games, DLC, or Xbox Game Pass. It just doesn’t stretch as far now!

Microsoft Rewards saw a lot of updates in 2025, with some new features and rewards added, others removed, and a few brought back. However, most users haven’t reacted well to these changes, frequently pointing out that they now earn fewer rewards and need more points to redeem them.

Microsoft Rewards Makes Xbox Gift Cards More Expensive in Multiple Regions

Recently, many social media users have reported that Microsoft made Xbox gift cards more expensive to redeem with loyalty points, starting in mid-February 2026. For instance, some users in the U.S. now need 10,000 points for a $10 gift card. Similar price increases have been seen in countries like the U.K., Canada, and Germany, but the change doesn’t seem to be happening everywhere. Interestingly, some users are still seeing lower prices (between 9,300 and 9,500 points) when using different VPN server locations within the U.S., suggesting the rollout isn’t consistent even within a single country. It’s currently unclear how Microsoft is deciding who gets the higher prices.

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Microsoft hasn’t officially said anything about recent price changes to its Microsoft Rewards program. While the company doesn’t usually announce when redemption rates decrease, many users have expressed frustration on platforms like Reddit and Bluesky. Some were particularly upset because the changes happened right before they were about to earn a gift card, feeling like the rules were unfairly changed mid-game. Microsoft has stated in the past that Rewards redemption options are subject to change as part of ongoing adjustments to the program.

Many Microsoft Rewards users have become increasingly unhappy with the program over the past year, and this frustration is now driving a lot of the current criticism. Many users feel that recent changes aren’t isolated incidents, but part of a pattern of Microsoft trying to increase profits. This is also why, starting October 1, 2025, you won’t be able to directly redeem your Microsoft Rewards points for Xbox Game Pass subscriptions. While you can still earn a Game Pass subscription through the program, you’ll now have to do it indirectly – by first getting an Xbox gift card and then using that to purchase a new membership.

Just to give you some background, Microsoft Rewards still lets you redeem points for more than just Xbox gift cards, although you’ll likely get less for your points than you used to. Currently, you can still use your points to get virtual currency for popular online games like Roblox, League of Legends, Overwatch, and Sea of Thieves.

As a Microsoft Rewards member, I love that there are so many ways to use my points! Of course, I can get gift cards or directly redeem for things, but it’s really cool that I can also enter sweepstakes, especially when they’re tied to new product releases or fun seasonal events. What I really like is the option to donate my points to charity. Microsoft partners with some great organizations, and it feels good to turn my rewards into something that helps others. Right now, you can often donate to groups like Save the Children, Care, and the International Rescue Committee, though the exact charities available depend on where you live.

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2026-02-18 13:04