TOTAL NOOB question about using CC points
Sep 7, 2019, 3:32 pm
#1
Original Poster
Join Date: Nov 2013
Posts: 54
TOTAL NOOB question about using CC points
I am finally doing the smart thing and getting some credit cards that earn good travel rewards. I've not done this before.
If I use a non-airline-branded rewards card (like a Chase card, not an American Airlines card) and I redeem am award through Chase, from AA's perspective, is it converted to AAdvantqge miles and considered an award redemption, or do they consider it a cash purchase? Basically, would I earn EQMs/EQDs through a non-AA award redemption?
Thanks
If I use a non-airline-branded rewards card (like a Chase card, not an American Airlines card) and I redeem am award through Chase, from AA's perspective, is it converted to AAdvantqge miles and considered an award redemption, or do they consider it a cash purchase? Basically, would I earn EQMs/EQDs through a non-AA award redemption?
Thanks
Sep 7, 2019, 6:54 pm
#2
FlyerTalk Evangelist
Join Date: Apr 2009
Location: Bye Delta
Programs: AA EXP, HH Diamond, IHG Plat, Hyatt Plat, Marriott Plat, Nat'l Exec Elite, Avis Presidents Club
Posts: 16,273
There are usually two ways to redeem points for the non-cobranded cards.
1) Transfer the points into the airline’s program. Each issuer only partners with certain airlines though... for example, you may be able to transfer Chase points to United but not AA. Once the points have been transferred, they become miles in that airline’s program and you’d redeem them for award travel just like you would any other miles you earned with that airline. Award availability may be capacity-controlled and you’re almost not certainly going to earn miles or elite credit.
2) Redeem through the issuer’s travel portal. This is almost like buying a cash ticket at whatever the going cash price is, and then paying for it using your points, usually at a fixed rate (such as $0.01/point). You can redeem your points on pretty much any airline and don’t need to worry about award availability, because your bank basically just buys a cash ticket from their travel agent - no special partnerships are required between your bank and the airline. You can probably earn miles and elite credit for the flights, though in some cases these can be treated as special/exception fares and you earn differently than if you booked direct. The biggest downside here is the redemption rate. When you’re pegged to such a low value per point, it makes zero sense if you want to redeem for premium cabin travel... and if coach travel is what you want, you might as well just use a cash back card.
1) Transfer the points into the airline’s program. Each issuer only partners with certain airlines though... for example, you may be able to transfer Chase points to United but not AA. Once the points have been transferred, they become miles in that airline’s program and you’d redeem them for award travel just like you would any other miles you earned with that airline. Award availability may be capacity-controlled and you’re almost not certainly going to earn miles or elite credit.
2) Redeem through the issuer’s travel portal. This is almost like buying a cash ticket at whatever the going cash price is, and then paying for it using your points, usually at a fixed rate (such as $0.01/point). You can redeem your points on pretty much any airline and don’t need to worry about award availability, because your bank basically just buys a cash ticket from their travel agent - no special partnerships are required between your bank and the airline. You can probably earn miles and elite credit for the flights, though in some cases these can be treated as special/exception fares and you earn differently than if you booked direct. The biggest downside here is the redemption rate. When you’re pegged to such a low value per point, it makes zero sense if you want to redeem for premium cabin travel... and if coach travel is what you want, you might as well just use a cash back card.