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Old Mar 18, 2001 | 9:33 pm
  #1  
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Buying Airline Miles

I am looking for good places to buy airline miles on major carriers. I recently purchased 80,000 AA miles at a charity auction for $950.00 which I think is a great price. I would probably be willing to pay up to 1.5 cents per mile. I know sometimes have promotions for employees,etc. and was hoping someone here can show me new places.
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Old Mar 19, 2001 | 8:25 am
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Kellogs has many different breakfast items that have mile coupons on the backs side of their boxes. Shop around and you might find the cost of these miles to be less than 1.5 cents per mile.
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Old Mar 19, 2001 | 8:52 am
  #3  
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On this topic..
Anybody seen what people are paying for miles on Ebay. I was shocked. I'm sure that some of these will end up being voided for that sale prohibition.

BSL
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Old Mar 19, 2001 | 3:30 pm
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AA sells miles in bulk @ .02.
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Old Mar 19, 2001 | 7:22 pm
  #5  
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0524,

check your source again. American sells bulk miles (minimum of 500,000) for 3.05 cents each through their Incentive Miles program.

They will, however, buy them back for 0.5 cents each (the difference between miles and cash in their combination miles/cash fares). What a rAAcket.
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Old Mar 20, 2001 | 7:10 am
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Thanks, Tino. AA has been offering us miles for .02 for corporate incentive awards. I'll rationalize the discrepancy with my AA rep when she comes in this week.
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Old Mar 20, 2001 | 8:13 am
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The last time I disccussed this with AA, the rate was .02/mile, and the minimum purchase volume was very low, I think as few as 5,000 miles?
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Old Mar 20, 2001 | 8:59 am
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The current rate for purchasing Aadvantage Incentive Miles is 2.2 cents per mile. We just bought some last week for a corporate program. I confirmed the existing rate by phone this morning. And AA will sell relatively small quantities. You can get details at 800-771-5000.
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Old Mar 20, 2001 | 11:27 am
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Originally posted by BSL:
On this topic..
Anybody seen what people are paying for miles on Ebay. I was shocked. I'm sure that some of these will end up being voided for that sale prohibition.
Indeed, BSL.

I had noticed, recently that people routinely were paying $20 for 500 Delta Skymile certificates (there seems to be a glut of them currently, with items selling more in the three-cent-per-mile range.

American is a different story: buy and sell at your own extreme risk!

Here is an example for the following Ebay item: http://cgi.ebay.com/aw-cgi/eBayISAPI...tem=1219960092

The seller had a follow-up message posted on their item, for which the auction had been terminated early:

Regrettably, I have pulled this ad due to a request from American Airlines. Under no circumstances do I want my bidders to be unduly harassed or intimidated by such email as the following. Again, please accept my sincere apology. Attached is a copy of the correspondence that prompted this action so you can judge for yourselves:

It has come to our attention that you have listed Kellogg's American Airlines AAdvantage Miles Certificates for auction. Your attempt to auction this offer on eBay or through any other forum, violates the terms of the offer and the AAdvantage program.

Please cease your attempt to sell the certificates and end your auction immediately. If you continue with the sale, we will contact the bidders and/or buyer and inform them that the certificate is void as well as terminate their AAdvantage account. We will also give this information to eBay.

Thank you for your cooperation.

Lisa C. Lowe
Sr. Investigator
AAdvantage Marketing Programs
Don't worry, I won't sell any; I hoard them for myself!

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Old Mar 20, 2001 | 11:31 am
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If the charity is something you would support anyway, then the actual value might not be as important. With c2it, where you can pay someone by e-mail charging it to your aadvantage card, you can "pay" someone up to $500 per day, $1000 every 4 days. The first 90 days are free. After that they charge $2.00 per transaction for up to a $500 transfer. So, basically it would cost $4.00 per 1000 miles or $320 for 80,000 miles. Of course it would take much longer to collect this depending on how many credit cards you have. Anyone with a citibank aadvantage card can get a click card for free, so eveyone can have at least two cards. You can this with any visa or mc, it doesn't have to be AA. Don't abuse it or list it under its own heading as I don't want what happened with Chase Currency to Go to happen with this. So, check it out www.C2it.com

------------------
DtG
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Old Mar 20, 2001 | 12:37 pm
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Having not participated in the Kellogg's promo myself, I'm curious as to what exact merchandise was being sold in that Ebay auction. Were the certificates being sold something that was printed by AA and inserted by Kellogg's into the snack boxes? Or is the "coupon" part of the actual snack box itself? If you're selling coupons, the airline has every legal right to bust you if they can - voiding your AAdvantage account as punishment. If you are buying/selling the actual Kellogg's product or Kellogg's packaging, then AA probably would have less grounds to punish you. Having said that, the airlines usually win these battles, and it's not worth the hassle anyway.

As a side topic: who in their right mind would pay $65 for 2000 miles anyway? There are dozens of other (unquestionably legal) sources of AAdvantage miles at a far better rate than 3+ cents/mile.
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Old Mar 20, 2001 | 1:13 pm
  #12  
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There are no State or Federal laws that make it illegal to sell/buy frequent flyer miles. It may not be allowed by airline policy but you won't be breaking any laws.

If the person on E-bay is selling the cardboard cutouts that allow you to exchange them for miles how could Amercian object? The sale is for the backs of ceral boxes, not miles themselves. Since the coupons do not have an advantage number attached to them and are not yet miles, how could anyone object?

The airlines do not want anyone selling miles unless they are the one's doing it.

Shame.
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Old Mar 20, 2001 | 4:03 pm
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True, most states don't have laws against selling FF miles. But - the airlines have a LOT of precedent in their favor that allows them to regulate the handling of certificates issued by them - and allows them to close your FF account without any warning or compensation. It's not a question of criminal law - it's simply a question of whether the airline can do whatever they please with your miles for (almost) any reason. And they can.

As for selling Kellogg's products, this seems to me to be a different animal altogether. I'm surprised that AA tried to stop this auction. Perhaps had the seller phrased the auction differently (the title proclaims you are purchasing miles), AA might not have objected.
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Old Mar 20, 2001 | 6:11 pm
  #14  
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As posted previously in another thread, California has a law against using any ticket for transportation in violation of its conditions. That being the case, while buying FF miles might only violate program rules and not be illegal, using a ticket obtained with those miles could be illegal - at least in that state.
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Old Mar 20, 2001 | 9:49 pm
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Originally posted by Dave M:
The current rate for purchasing Aadvantage Incentive Miles is 2.2 cents per mile. We just bought some last week for a corporate program. I confirmed the existing rate by phone this morning. And AA will sell relatively small quantities. You can get details at 800-771-5000.
Do they have a policy which limits the number of miles you buy? It would seem that a company could buy miles in book and use them for travel. at $0.022/mile, a 40,000 AAnytime domestic coach ticket would cost $880 which is less than many full fare tickets.
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