Go Back  FlyerTalk Forums > Miles&Points > Airlines and Mileage Programs > Air Canada | Aeroplan
Reload this Page >

Starting in April, option to cover taxes and surcharges with Aeroplan miles

Starting in April, option to cover taxes and surcharges with Aeroplan miles

Old Mar 1, 16, 9:24 am
  #1  
Original Poster
 
Join Date: Jan 2011
Location: YVR to SEA
Posts: 2,376
Starting in April, option to cover taxes and surcharges with Aeroplan miles

Cover taxes, fees & surcharges
Starting in April, when you redeem Aeroplan Miles for an Aeroplan Flight Reward, you will have the flexibility to cover the Taxes, Fees and Surcharges associated with your flight reward booking using your Aeroplan Miles6.

From the TD Aeroplan visa page

Any guesses to the exchange rate? Thinking 0.8 cents per mile
crimsona is online now  
Old Mar 1, 16, 9:44 am
  #2  
 
Join Date: Nov 2004
Location: YYZ, HKG, MFM
Programs: AC25K, AS MVP, WS Silver, Marriott Plat, Hyatt-Explorist, DL,BA,KE
Posts: 1,878
Originally Posted by crimsona View Post
Cover taxes, fees & surcharges
Starting in April, when you redeem Aeroplan Miles for an Aeroplan Flight Reward, you will have the flexibility to cover the Taxes, Fees and Surcharges associated with your flight reward booking using your Aeroplan Miles6.

From the TD Aeroplan visa page

Any guesses to the exchange rate? Thinking 0.8 cents per mile
Good option to burn some Aeropeso , but probably not in a favorable rate!
Jma12 is offline  
Old Mar 1, 16, 9:48 am
  #3  
 
Join Date: Mar 2015
Location: YGK
Posts: 18
It worked out to 0.083 c/ mile when they did the pilot last year discussed in this thread:
http://www.flyertalk.com/forum/air-c...-targeted.html

The interesting thing was you could get the phone booking fee waived by using $10 credit from the 1200 aeroplan points. For me booking 4 tickets for my family I would gladly use 1200 points for $10 plus $120 in booking fees.
tfoxx76 is offline  
Old Mar 1, 16, 9:53 am
  #4  
Suspended
 
Join Date: Feb 2008
Location: YKF
Programs: AC Elite 50K, Amex AP Plat, Choice Privileges, National Exec Elite, Via Prefrence
Posts: 2,996
If it works out to be cover more than 2 cpm, I'm all for it. Less than 2cpm, not so much.
kwflyer is offline  
Old Mar 1, 16, 9:55 am
  #5  
 
Join Date: Jan 2016
Location: MTL, QC
Programs: Aeroplan, SPG
Posts: 19
Originally Posted by crimsona View Post
Cover taxes, fees & surcharges
Starting in April, when you redeem Aeroplan Miles for an Aeroplan Flight Reward, you will have the flexibility to cover the Taxes, Fees and Surcharges associated with your flight reward booking using your Aeroplan Miles6.

From the TD Aeroplan visa page

Any guesses to the exchange rate? Thinking 0.8 cents per mile

My guess is not very favorable. I wonder if we'll see an increase in the actual Taxes, Fees and Surcharges to be covered. Too skeptical?
Nathalie.OroLoyalty is offline  
Old Mar 1, 16, 10:36 am
  #6  
 
Join Date: Aug 2009
Location: YOW
Programs: AC- SE100 1MM, HH Diamond, Avis Preferred, Nexus/GE
Posts: 3,580
I guess, and its only a guess on my part, that TD is trying to use its current AP card to compete with CIBC's penguin aspired card that covers the same.
HerpaYvr is offline  
Old Mar 1, 16, 12:31 pm
  #7  
 
Join Date: Mar 2007
Posts: 4,621
Hoping for 1000 for $10 (1 CPM) and I'll probably use it
jerryhung is offline  
Old Mar 1, 16, 12:47 pm
  #8  
 
Join Date: Oct 2009
Location: YUL
Programs: AC*E50 (*A Gold), Accor Platinum, Bonvoy Gold Elite, Hilton Gold, Amex Platinum, NEXUS, Global Entry
Posts: 5,421
Originally Posted by jerryhung View Post
Hoping for 1000 for $10 (1 CPM) and I'll probably use it
I'm on the fence here. It's nice to have the option to avoid spending 'real' cash, however...

Let's assume we're talking about a long-haul North American flight, like YUL-YVR or whatever. We're talking 25,000 AE miles and somewhere in the neighbourhood of $100 in fees. Are people really willing to pay 35,000 AE miles for the "free" flight when a Tango ticket* is about $880? Maybe, it doesn't sound like a horrible deal, but it's still 40% more miles than advertised.

But what about a TATL in Y? YUL-CDG is like 60,000 AE miles and $590-ish, so we're talking a total of 119,000 AE miles when the Tango ticket* is also about $880. That's insanely crazy, HORRIBLE value.

Full disclosure: I've used MR at the same ratio (1000 MR -> $1) on occasion. Additional disclosure: I didn't feel good about it

*Used random dates of 7/19 - 7/26 for the pricing exercises.
ffsim is offline  
Old Mar 1, 16, 1:44 pm
  #9  
 
Join Date: Mar 2007
Posts: 4,621
From RewardsCanada = It depends on destinations
http://blog.rewardscanada.ca/2016/03...-miles-to.html

UPDATE:
Alright, just finished an interview with John Boyton of Aeroplan and have a few more details:
- The launch of this feature is just one more of the many changes we have seen from Aeroplan to make the user experience better (ie one way flights at 50% etc.) and was based upon the many tests they ran last year just like the one we had mentioned.
- An exact launch date in April has not been set but they will pass along the date to us to pass along to you as soon as it is set
- and the one item everyone is curious about, what about the redemption rate? Aeroplan wouldn't let me know exactly what the rate will be because it will actually be dependent on the location you are flying to. For example the redemption rate for an award ticket to the U.S. will be different than Europe, Australia and Asia. My guess at this time is that higher priced locations (think International) with large carrier surcharges will see a better ratio than flights within Canada or to the U.S. where charges are lower. This should hopefully alleviate some of the sting of those dreaded surcharges for those who choose to redeem miles for them but to what amount it will alleviate we'll have to wait and see. John did say it will only be a slight variation for all destinations.
jerryhung is offline  
Old Mar 1, 16, 3:23 pm
  #10  
Original Poster
 
Join Date: Jan 2011
Location: YVR to SEA
Posts: 2,376
Perhaps one cent for yq and 0.8 cents for all other taxes then?
crimsona is online now  
Old Mar 1, 16, 7:22 pm
  #11  
 
Join Date: Feb 2005
Location: Toronto (YYZ)
Posts: 6,118
I wonder if there will be a different redemption rate for Black & Diamond members.
imverge is offline  
Old Mar 1, 16, 7:31 pm
  #12  
 
Join Date: May 2012
Location: In the air
Programs: Tinder
Posts: 2,597
It's another devaluation of the "loyalty" program. The fees were a revenue grab by the airlines with AP a willing enabler by promoting the flights with the higher fees. This just seals the deal. This option works wonders for the small group who have hundreds of thousands of Aero miles. However, for the vast majority of customers, who don't, it's not interesting.
Aeroplan makes it very difficult to compare options by refusing to show the fees and taxes in the results. One only gets the fees and taxes by clicking through to a purchase. Then, if one wants to compare, it's another waste of time to backtrack.

Anyway, it is what it is. To those who benefit, congrats.
Transpacificflyer is offline  
Old Mar 1, 16, 7:39 pm
  #13  
FlyerTalk Evangelist
 
Join Date: Sep 2012
Location: SFO
Programs: AC S100K, Accor Plat, Bonvoy Gold, HH Diamond
Posts: 31,808
Originally Posted by Transpacificflyer View Post
It's another devaluation of the "loyalty" program. The fees were a revenue grab by the airlines with AP a willing enabler by promoting the flights with the higher fees. This just seals the deal. This option works wonders for the small group who have hundreds of thousands of Aero miles. However, for the vast majority of customers, who don't, it's not interesting.
Aeroplan makes it very difficult to compare options by refusing to show the fees and taxes in the results. One only gets the fees and taxes by clicking through to a purchase. Then, if one wants to compare, it's another waste of time to backtrack.

Anyway, it is what it is. To those who benefit, congrats.
I have hundreds of thousands of miles and there's no way I'm redeeming at such a low valuation.

Unless you can find me a way to buy F with cash for 0.8cpm, don't expect me to redeem miles at that rate.
canadiancow is online now  
Old Mar 1, 16, 7:42 pm
  #14  
FlyerTalk Evangelist
 
Join Date: Mar 2005
Location: YYZ
Programs: AC*SE MM, SD Gold, SPG Gold
Posts: 13,157
I'd rather see the YQ reflect the current cost of fuel.

I know, I know - silly me.
The Lev is offline  
Old Mar 1, 16, 9:49 pm
  #15  
Suspended
 
Join Date: Feb 2008
Location: YKF
Programs: AC Elite 50K, Amex AP Plat, Choice Privileges, National Exec Elite, Via Prefrence
Posts: 2,996
Originally Posted by The Lev View Post
I'd rather see the YQ reflect the current cost of fuel.

I know, I know - silly me.
That is silly considering it's no longer YQ but YR!
kwflyer is offline  

Thread Tools
Search this Thread
Search Engine: