Average Monthly Points
Jan 25, 2013 | 3:27 pm
#76
Join Date: Nov 2007
Location: PHX
Posts: 4,815
But, in general, I follow a 2-step/3-step rule. I'm also all about safety. I don't go for stuff that will raise red flags. Slow and steady is good for me. I generally won't go for a scheme that requires more than 2 steps in the physical world or 3 steps on line. This means I generally stay away from going to a store and buying physical cards to buy other cards elsewhere to put on BB and then use for spending. That's 3 steps. Even so, at this point I'm much more focused on status than sheer number of points. I've been accumulating points faster than I can use them recently, and I've burned through a decent number of points. Paying my mortgage at a 1:1 rate on a card that gets me EQM through BB is good enough for me at this point. I wish I had time to fly SQ suites for a 3-day Tokyo jaunt and stay in the Maldives three times a year, but I don't. For the time I get off, slow and steady has been working great. It's already difficult enough to explain to colleagues taking the entire family to New York, Hawaii and Europe in premium cabins in one year.
Jan 25, 2013 | 3:59 pm
#78
Join Date: Dec 2009
Location: Los Angeles
Programs: You Know Me... I Do Everything.
Posts: 1,482
Isnt the max only $100 for CC funding? thats what I recall... so unless you are going to open up dozens of accounts ... HMMM... lol
Jan 25, 2013 | 4:18 pm
#80
Join Date: Oct 2012
Posts: 970
BankDirect is for those who have substantial extra cash. The most popular account is Mileage Checking With Interest. Some of the particulars are:
"...Earn 1000 miles for opening a Mileage Checking Account.
Earn 10,000 miles for signing up for payroll direct deposit into a Mileage Checking Account.
Earn 5,000 miles for using BankDirect's bill pay service for 12 months.
Earn 100 miles per month for every $1000.00 of the collected balance in your Mileage Checking Account up to the first $200,000. Earn an additional 25 miles per $1,000 in balances over $200,000, WITH NO CAP!"
In other words, to earn 20k per month, you need $200,000!
It is somewhat cumbersome to open an account and there is a $12 per month charge which was free until Jan of 2012.
Obviously, not for everyone.
"...Earn 1000 miles for opening a Mileage Checking Account.
Earn 10,000 miles for signing up for payroll direct deposit into a Mileage Checking Account.
Earn 5,000 miles for using BankDirect's bill pay service for 12 months.
Earn 100 miles per month for every $1000.00 of the collected balance in your Mileage Checking Account up to the first $200,000. Earn an additional 25 miles per $1,000 in balances over $200,000, WITH NO CAP!"
In other words, to earn 20k per month, you need $200,000!
It is somewhat cumbersome to open an account and there is a $12 per month charge which was free until Jan of 2012.
Obviously, not for everyone.
Jan 25, 2013 | 4:23 pm
#81
Join Date: Jan 2005
Location: Dallas, TX
Programs: AA, UA, DL, SPG gold, PC Plat, CC gold
Posts: 196
Jan 25, 2013 | 4:24 pm
#82
Join Date: Mar 2012
Posts: 1,001
I'm also curious about this (and I have investigated a little on Google 
). Not counting the initial sign up offer, you get 100 AA miles per $1000 in their checking account.
That means to get 20k AA miles/month someone has to have $200,000 sitting in a checking account. Lets say those are worth 2 cpm, that's a value of $400/month. Now lets say they get redeemed for business class, that's probably closer to 4-5 cpm(? just a guess as I haven't had the luxury of redeeming for biz/1st) so they are getting a value of $800-1000/month. If you were to park 200k in some retirement/investment account that gets 5% return (doesn't seem unreasonable to me), your value would be $10,000/month.
Why is anyone parking 200k in a checking account? I love to travel, but it just doesn't seem like the smartest way to stash your money.
). Not counting the initial sign up offer, you get 100 AA miles per $1000 in their checking account.That means to get 20k AA miles/month someone has to have $200,000 sitting in a checking account. Lets say those are worth 2 cpm, that's a value of $400/month. Now lets say they get redeemed for business class, that's probably closer to 4-5 cpm(? just a guess as I haven't had the luxury of redeeming for biz/1st) so they are getting a value of $800-1000/month. If you were to park 200k in some retirement/investment account that gets 5% return (doesn't seem unreasonable to me), your value would be $10,000/month.
Why is anyone parking 200k in a checking account? I love to travel, but it just doesn't seem like the smartest way to stash your money.
Jan 25, 2013 | 4:37 pm
#83
Join Date: Jan 2005
Location: Dallas, TX
Programs: AA, UA, DL, SPG gold, PC Plat, CC gold
Posts: 196
If you can guarantee a 5 percent yearly return after taxes on a $200,000 investment that has zero risk whatsoever to principal and is completely liquid, please share.
I am not aware of anything close. Yes, you can possibly get better than 5 percent if you put your principal at risk. And maybe you can start to get upwards of 3 or 4 percent if you lock up your money.
But if I had $200k and did not want to put it at risk, and also potentially needed it somewhere other than in a maturing-nonliquid investment, 360,000 miles a year is pretty good.
I am not aware of anything close. Yes, you can possibly get better than 5 percent if you put your principal at risk. And maybe you can start to get upwards of 3 or 4 percent if you lock up your money.
But if I had $200k and did not want to put it at risk, and also potentially needed it somewhere other than in a maturing-nonliquid investment, 360,000 miles a year is pretty good.
I agree it is way better return than most (if not all) investments where you want the principal to be liquid and not at risk.
Jan 25, 2013 | 4:47 pm
#84
Join Date: Dec 2011
Location: Honolulu, HI
Programs: UA, HA, UR, BA
Posts: 35
Earn about 20k UR points a month.
About 15k through mfg spend. Not a huge amount of points but enough to get the family to Japan and another mainland (we're in Hawaii) trip once year.
Also since it's not a huge amount of points I think the risk factor is somewhat low. As many pointed out it's not a 100% risk free game we're engaging in so I only take as much risk as my stomache will allow.
About 15k through mfg spend. Not a huge amount of points but enough to get the family to Japan and another mainland (we're in Hawaii) trip once year.
Also since it's not a huge amount of points I think the risk factor is somewhat low. As many pointed out it's not a 100% risk free game we're engaging in so I only take as much risk as my stomache will allow.
Jan 25, 2013 | 5:04 pm
#85
Join Date: Oct 2009
Location: Land of the parrots and parrotheads
Programs: Several dozen
Posts: 4,820
Try being a cardinal who gets to explain visits to 114 countries, dozens of Hawaiian trips, round the world trips every other year, and a monthly commute to Florida and a monthly trip abroad. None of my brethren fly off to Monaco for the weekend or pick up Valentines Day gifts in Paris.
Jan 25, 2013 | 5:15 pm
#86
Join Date: Oct 2009
Location: Land of the parrots and parrotheads
Programs: Several dozen
Posts: 4,820
Wanna bet - the RoR is way higher. 29% a day in paper recycling (20/.69), infinite a month in electron recycling (20/0). Tax free, of course. Assumes 1k in miles equates to $20 so adjust as desired (some may argue a $5 value). Still over 5% return a day. Welcome to The New Economy aka Looking Glass World.
Jan 25, 2013 | 7:04 pm
#87
Join Date: Nov 2007
Location: PHX
Posts: 4,815
Jan 25, 2013 | 8:07 pm
#90
FlyerTalk Evangelist
Join Date: Jul 2003
Location: Florida
Posts: 30,343
I'm also curious about this (and I have investigated a little on Google ). Not counting the initial sign up offer, you get 100 AA miles per $1000 in their checking account.
That means to get 20k AA miles/month someone has to have $200,000 sitting in a checking account. Lets say those are worth 2 cpm, that's a value of $400/month. Now lets say they get redeemed for business class, that's probably closer to 4-5 cpm(? just a guess as I haven't had the luxury of redeeming for biz/1st) so they are getting a value of $800-1000/month. If you were to park 200k in some retirement/investment account that gets 5% return (doesn't seem unreasonable to me), your value would be $10,000/month.
Why is anyone parking 200k in a checking account? I love to travel, but it just doesn't seem like the smartest way to stash your money.
). Not counting the initial sign up offer, you get 100 AA miles per $1000 in their checking account.That means to get 20k AA miles/month someone has to have $200,000 sitting in a checking account. Lets say those are worth 2 cpm, that's a value of $400/month. Now lets say they get redeemed for business class, that's probably closer to 4-5 cpm(? just a guess as I haven't had the luxury of redeeming for biz/1st) so they are getting a value of $800-1000/month. If you were to park 200k in some retirement/investment account that gets 5% return (doesn't seem unreasonable to me), your value would be $10,000/month.
Why is anyone parking 200k in a checking account? I love to travel, but it just doesn't seem like the smartest way to stash your money.
On top of that 5% return is quite difficult to achieve in today's 0% interest rate environment - assuming it is almost a guarantee as you think it is not unreasonable ... does that include the risk factor?