You don't actually even need to have a points balance right now to take advantage of the arbitrage you can get booking a flight with points. In fact, transferring 63,000 points to LifeMiles when you could otherwise buy them for $825 means you're only getting 1.3 cents of value, which is nothing like the 8 cents you might be thinking when you go through this process.

Let's assume you earned those 63,000 points on a 2X points card after you spent $31,500 to get the $825 you'd need to buy those same number of points with the same $31,500 of spend on a cash back card, you'd need to be earning at least 2.62%, which is really actually a funny number because it is almost the exact percent cash back you can get on all purchases with the Bank of America Premium Rewards card, assuming you have $100,000 at a Bank of America or Merrill Lynch account.