Buying 50k miles?

 
Old Aug 31, 11, 8:33 am
  #1  
Original Poster
 
Join Date: Oct 2002
Programs: Marriott Plat Premier/LT Plat; SPG Plat/LT Gold; Hilton Gold; Hyatt Plat
Posts: 2,356
Buying 50k miles?

With the 50k mile offer expiring today, how good a value is it for $1000?

I want to get closer to Lifetime Status but don't want to throw money away.

Is 2 cents a mile a decent deal?

Is there any credit card which I should use to get more pts in buying it (AA?)
welookgood.com is offline  
Old Aug 31, 11, 8:40 am
  #2  
 
Join Date: Sep 2008
Location: CTS
Programs: AA:1MM
Posts: 743
you're forgetting about the taxes when you compute it to 2c/mile.

but I would only do it if
(a) it guaranteed a push to the next MM [in my case that would be 2MM]
AND
(b) I had $1000 lying around idle OR i had a shortage of RDM and intended to use the miles I was paying for.
virmaior is offline  
Old Aug 31, 11, 9:16 am
  #3  
Moderator: American AAdvantage, TAP, Mexico, Technical Support and Feedback, and The Suggestion Box
 
Join Date: May 2000
Location: NorCal - SMF area
Programs: AA LT Plat; HH LT Diamond, Maître-plongeur des Muccis
Posts: 62,781
Yes, if you use SPG and transfer points (soon), or you use an AAdvantage miles earning card, you will earn ~1,000 more miles. You are purchasing the limit of miles allowed in one year, iirc, 40k, and earning a 10k bonus. If you need the RDM for MM or other purposes to fulfill a goal, go for it; if you do not, it's merely the appearance of a vanishing and attractive offer. (And if you need miles consider the 3x-4x miles multiplier when you next fly, though it is mot quite as good a deal.)
JDiver is offline  
Old Aug 31, 11, 9:28 am
  #4  
 
Join Date: Mar 2010
Programs: AA Plat, Marriott Plat
Posts: 731
Originally Posted by JDiver View Post
Yes, if you use SPG and transfer points (soon), or you use an AAdvantage miles earning card, you will earn ~1,000 more miles. You are purchasing the limit of miles allowed in one year, iirc, 40k, and earning a 10k bonus. If you need the RDM for MM or other purposes to fulfill a goal, go for it; if you do not, it's merely the appearance of a vanishing and attractive offer. (And if you need miles consider the 3x-4x miles multiplier when you next fly, though it is mot quite as good a deal.)
Hm.. I hadn't thought about the extra 1K miles from AA because of the Citi card. In fact, if you have the new Executive card, wouldn't this count as 2K miles since its 2 miles for everything you spend on AA.com?
living near shamu is offline  
Old Aug 31, 11, 9:35 am
  #5  
 
Join Date: May 2011
Location: DFW
Programs: AA EXP, LT Gold
Posts: 2,985
I'm going to take "AAdvantage" of this deal today, here's how / why...

I was recently approved for my 2nd CitiBiz card with a 50k miles bonus after $2k in spend. So I buy the 40k +10k bonus for $1030, cover half of my req. spend to get the 50k Citi bonus, and get 1030 miles in the process. TOTAL: 101,030 miles. Since I'm going to be spending another $970 on every day stuff, you could say that this complete transaction nets me a CPM of $0.01 - not bad. This will also put me over 500K LTM, making the march to 1M a little easier.

I can make good use of the 50k miles purchased with an AAward ticket, as well. Since we're entering off-peak season, 50k miles can really stretch your trips!

Just my take on all this. YMMV, of course.

Last edited by econometrics; Aug 31, 11 at 9:38 am Reason: Added note about AAward tickets.
econometrics is offline  
Old Aug 31, 11, 9:36 am
  #6  
 
Join Date: Sep 2006
Programs: AA LT Plat - 2MM;HH Diamond
Posts: 229
Originally Posted by living near shamu View Post
Hm.. I hadn't thought about the extra 1K miles from AA because of the Citi card. In fact, if you have the new Executive card, wouldn't this count as 2K miles since its 2 miles for everything you spend on AA.com?
I don't think this purchase shows up from aa.com. I think mine showed up from points.com, so it might not get you the 2X.

Dan
danorum is offline  
Old Aug 31, 11, 9:38 am
  #7  
 
Join Date: Jul 2011
Programs: AA LTP, Delta Gold
Posts: 66
I suppose this depends on how much you value miles and how much $1,000 is to you.

Personally, I bought the miles. I have no problem using up miles when I have them (among other things, my sister likes to use them for me ) and it helped me get over 2 million prior to the deadline.

It's certainly not a rip off or anything, if that is what you are asking.
modulen is offline  
Old Aug 31, 11, 11:04 am
  #8  
 
Join Date: Dec 2004
Location: LAX/SNA
Programs: AA PLT/1.9MM
Posts: 500
Anybody tried buying miles today? After entering my CC info, I get "unexpected error, please restart session."

Edit: Works now.

Last edited by Jumpcut; Aug 31, 11 at 12:19 pm Reason: Update
Jumpcut is offline  
Old Aug 31, 11, 11:18 am
  #9  
Moderator: American AAdvantage, TAP, Mexico, Technical Support and Feedback, and The Suggestion Box
 
Join Date: May 2000
Location: NorCal - SMF area
Programs: AA LT Plat; HH LT Diamond, Maître-plongeur des Muccis
Posts: 62,781
No, and it's not 2 miles : $1 for everything you spend on aa.com.

Originally Posted by Citi ExecutiveSM / AAdvantageŽ World EliteTM MasterCardŽ T&Cs

Earn 2 American Airlines AAdvantageŽ miles per $1 spent on eligible American Airlines purchases

You will earn two American Airlines AAdvantageŽ miles per $1 spent on eligible purchases made with your Citi ExecutiveSM / AAdvantageŽ World EliteTM MasterCardŽ credit card for items billed by American Airlines as merchant of record. Products or services that do not qualify are car rentals, hotel reservations, American Airlines VacationSM packages, purchases of American Airlines AAdvantageŽ miles, duty-free purchases and AA CargoSMproducts and services. AAdvantageŽ bonus miles will be posted to your AAdvantageŽ account 8-10 weeks after a qualifying purchase.


Originally Posted by living near shamu View Post
Hm.. I hadn't thought about the extra 1K miles from AA because of the Citi card. In fact, if you have the new Executive card, wouldn't this count as 2K miles since its 2 miles for everything you spend on AA.com?
JDiver is offline  
Old Aug 31, 11, 5:03 pm
  #10  
 
Join Date: Jan 2010
Programs: AA EXP/LT PLT
Posts: 1,467
I just bought 40K+10K for $1,105 detailed as follows.

Miles Purchased: 40,000
Total Cost: $1,000.00 USD
Federal Excise Tax: $75.00 USD
Processing Fee: $30.00 USD
Total (billed to your credit card):$1,105.00 USD

Am I only one who was charged $75 Federal Excise Tax
supergrandslam is offline  
Old Aug 31, 11, 10:36 pm
  #11  
 
Join Date: Nov 2004
Posts: 47
i was going to buy as well, but i see it is charging me a $75 excise tax fee as well. Whats the deal? Can i get that removed?
hiijacker is offline  
Old Aug 31, 11, 10:42 pm
  #12  
 
Join Date: Oct 2003
Location: PDX/AUS
Programs: AA-UA-AS IHG-SPG-Carlson
Posts: 4,562
Originally Posted by hiijacker View Post
i was going to buy as well, but i see it is charging me a $75 excise tax fee as well.
Whats the deal? Can i get that removed?
I don't see how.
Unless you can get congress to "remove" (expire) it again.
That is the standard 7.5%

Last edited by MrHalliday; Sep 3, 11 at 10:29 pm
MrHalliday is offline  
Old Aug 31, 11, 10:53 pm
  #13  
FlyerTalk Evangelist
 
Join Date: Jul 2003
Location: Florida
Posts: 28,443
Originally Posted by MrHalliday View Post
I don't see how.
Unless you can get congress to remove it again.

That is the standard 7.5%
Congress did not remove it - They let it expired when they were squabbling ... Then they re-instated it.

I transferred boatload of AMEX MR pts to CO during that "Tax Holiday".
Happy is offline  
Old Aug 31, 11, 11:06 pm
  #14  
 
Join Date: Oct 2009
Location: DFW
Programs: AA EXP, Marriott Plat
Posts: 699
Can you buy miles with VDB vouchers?
sica4 is offline  
Old Aug 31, 11, 11:15 pm
  #15  
 
Join Date: Mar 2011
Location: yyz Ontario
Programs: BA Gold, AA Life Gold 1 MM, Krisflyer Silver, Marriott Life Gld, Marriot Plt,
Posts: 40
Originally Posted by supergrandslam View Post
I just bought 40K+10K for $1,105 detailed as follows.

Miles Purchased: 40,000
Total Cost: $1,000.00 USD
Federal Excise Tax: $75.00 USD
Processing Fee: $30.00 USD
Total (billed to your credit card):$1,105.00 USD

Am I only one who was charged $75 Federal Excise Tax
Again we up across the border aren't so lucky!

Miles Purchased: 40,000
Total Cost: $1,000.00 USD
Federal Excise Tax: $75.00 USD
Processing Fee: $30.00 USD
HST (Canadian Residents Only):
GST Registration No. 86696 5676 RT0001
$133.90 USD

Total (billed to your credit card):* $1,238.90 USD
yyz_traveller is offline  

Thread Tools
Search this Thread
Search Engine: