You Can Get Elite Mileage Status without Flying around the World
I worked for a large investment bank in the late 1990s. In the high times of the internet bubble we flew all over the world on first class. Believe me, it is far too easy to get used to! Short of working for an investment bank during a market bubble, by far the best way to travel in style and comfort in first class is to achieve elite status on your airline of choice. Better yet, why not obtain elite status on several airlines of your choice? Best yet; obtain elite status on airlines of your choice without dedicating your life to traveling.
Tricks of the Trade
1. Have an account with every major program
It doesn't cost you a dime and while it may seem like overkill to some, you never know when you will find a great deal through an airline that you wouldn’t normally choose. More importantly, many of these programs will allow you to exchange points between them. Just because you had to fly on an obscure airline doesn’t mean you won’t be able to use those points eventually.
2. Know your status on every mileage program
You never want to miss out on achieving a status level because you chose to save $5 and ended up flying on the wrong airline. I keep track of my miles on a simple spreadsheet and by paying attention to email notifications from the various programs. There are also several online services that will automate the process for you. Mint.com and awardwallet.com are a couple of websites that will do most of the work for you. By knowing where you stand on every award program it is much easier to plan your travel and make decision to maximize your points.
3. Check for mistakes
Awards programs make mistakes all the time. There have been several times I’ve had to contact an airline to get credit for a flight that was not awarded. In each case a friendly reminder was all it took to get my full points. Make sure you're getting all the points you've earned.
4. Maximize your routes
You should always ask for the miles you would have earned if you are re routed through a shorter route. For example, if you are flying from Seattle to Washington DC through Chicago, and you are re routed directly to DC, call the airline and ask for the points that you would have received by flying through Chicago. Airlines will almost always grant this request.
Conversely, you should also maximize your points by extending the legs of your trip when convenient using same day confirmed changes. With only a matter of a couple of hours difference you can often triple the amount of points you receive for a trip. I once had to fly from LAX to SLC. By changing my flight route through PHX I was able to triple the points I earned.
5. Keep in touch with the latest rewards credit card offers
There's no way around it. If you're going to rack up the miles without being a road warrior at work, credit card signup bonuses can't be beat. Never forget that the banks want you to sign up and then rack up a credit card balance, and the only way you come out ahead is by exercising self dicipline. Apply for the offers, use the cards for the minimum spend required to qualify for the offer, and then keep your card for as long as makes sense (I'd recommend at least a year per card).
Here are the latest signup offers relating to major airlines:
Delta Airlines
Delta is one of the friendliest of airlines for frequent flyers and points junkies like us. You can buy up to 10,000 Medallion Qualifying Miles (MQM) for 8.9 - 10 cents each.
- $295 for 2,000 MQMs
- $495 for 5,000 MQMs
- $695 for 7,500 MQMs
- $895 for 10,000 MQMs
Additionally, Delta will allow you to roll over excess points into the next year. For example, if you have 10,000 miles more than you need to make the Gold Medallion level; you will start the following year with 10,000 MQM miles. I've found Delta does a great job of trying to make it easy to stay in the program once you're in. They also allow you to earn miles faster once you have achieved any level of status:
There are several great credit card offers sponsored by Delta Airlines. Let’s count them down:
Delta Reserve American Express
· 10,000 Medallion Miles (MQMs) with your first purchase
· 15,000 MQMs if you spend $30,000 in a calendar year
· 30,000 MQMs if you spend $60,000 in a calendar year
· Automatic member of Delta Sky Club
· One free Delta domestic First Class Companion Ticket
· Check First bag for free on every Delta flight
· Access to Concierge services
· Receive 20% in-flight savings on food and entertainment
· $450 annual fee
Delta Business Reserve American Express
· 15,000 MQMs if you spend $30,000 in a calendar year
· 30,000 MQMs if you spend $60,000 in a calendar year
· Automatic member of Delta Sky Club
· One free Delta domestic First Class Companion Ticket
· Check First bag for free on every Delta flight
· Access to Concierge services
· Receive 20% in-flight savings on food and entertainment
· $450 annual fee
Delta Skymiles Platinum American Express
· 20,000 bonus miles upon first purchase
o 5,000 of these miles are MQM
· 5,000 bonus miles when you sign up for two additional cards
· One free Delta domestic Coach Companion Ticket
· Check First bag for free on every Delta flight
· Receive Zone 2 priority boarding on every Delta flight
· Receive 20% in-flight savings on food and entertainment
· Covers eligible purchases from theft, damage, and loss, up to $1,000 per occurrence, for up to 90 days
· Receive double miles on Delta purchases and 1 mile for all other eligible dollars spent
· $150 annual fee
Platinum Delta Skymiles Business Credit Card
· 10,000 bonus miles and 10,000 MQM when you reach $25,000 in eligible purchases during a calendar year
· get another 10K MQMs + 10K bonus miles when you reach $50K the same year
· One free Delta domestic Coach Companion Ticket every year you renew your card
· Check First bag for free on every Delta flight
· Receive Zone 2 priority boarding on every Delta flight
· Receive 20% in-flight savings on food and entertainment
· Covers eligible purchases from theft, damage, and loss, up to $1,000 per occurrence, for up to 90 days
· Receive double miles on Delta purchases and 1 mile for all other eligible dollars spent
· $150 annual fee
Keep in mind that Silver Medallion status starts at 25,000 MQMs. If you're personal or business spending is high enough, you'll be ready for first-class upgrades with some of these bonus offers without setting foot on a plane.
Credit Score Perspective
I never recommend a miles strategy without suggesting you evaluate all decisions from a credit perspective. You have to consider the credit score consequences to signing up for multiple credit cards. This has to be weighed against the relative value of the Medallion Miles. If you have specific questions on this be sure to contact us on facebook or directly.
The simple analysis is that each credit card will cause your credit score to drop initially by 2 to 10 points. First, each credit card will require a credit inquiry. Each credit inquiry will cost you 2 points immediately. Second each one of these credit cards will show up as a new account on your credit profile, this can significantly lower the overall average age of your accounts—an important component of your credit score. Drop me a comment or ping us on facebook if you have specific questions, but a good measure is that if you have a score approaching 800 you can probably handle the hit to your credit.
American Airlines
American Airlines has recently launched a cobranded card offer with Citi that comes with some nice travel benefits.
Citi Gold AAdvantage World Mastercard
· Earn 30,000 American Airlines AAdvantage bonus miles after $750 in purchases within the first 4 months of card membership -- more than enough for a round-trip domestic travel award
· Earn 1 AAdvantage mile for every $1 spent on purchases
· $50 annual fee waived for the first 12 months
· Reduced Mileage Awards let you travel to select destinations for fewer AAdvantage miles round trip
· Annual fee is $0 the first year and then $50 annually after the first year
United/Continental Airlines
United and Continental have been in this game for a long time. You probably know that they have merged and will soon be branded only as United Airlines. The best part about the merger is that you can now link your United and Continental points.
Continental also offers a unique program called the Elite Maximizer. This program allows you to purchase double or triple points with each airline ticket you purchase. The Elite Maximizer can be a great way to maximize points especially because you do not have to use the tickets. (HOT TIP ALERT). The beauty of the Elite Maximizer is that you receive the points when you purchase them.
This means that you can buy a ticket, then buy the bonus points, then cancel the ticket and keep the points. There is a cost to cancelling the ticket. Hence, you must weigh the cancellation cost against the value of the points you are purchasing. Continental knows that many customers will do this so they often price tickets and cancellation fees accordingly.
Also, there are few great credit card offers sponsored by both Continental and United.
· Earn 25,000 points after the first use
· 5,000 points for adding an authorized user
· 10,000 points awarded annually
· Priority boarding
· Two annual Presidents Club Day Passes
· First Checked Bag Free
· Special guest privileges through the luxury hotel & guest collection
· Double miles on Continental and United flights
· 1 point for every dollar spent
· Redeem points on all 27 Star Alliance airlines
United MileagePlus Explorer Card
· Up to 40,000 bonus points
o 25,000 points after first use
o 5,000 points for adding an additional user
o 10,000 points when you spend $25,000 or more in a calendar year
· $95 annual fee waived for the first year
· Check your first bag free
· Enjoy priority boarding privileges
· Two United Club passes every year
· Double miles on United and Continental purchases
· Miles don’t expire
CONCLUSION
Precious elite status qualification miles can be yours without buying a single airline ticket. Just to recap you can:
1. Buy points (if the price is right)
2. Use the same day confirmed change tactic. (change your route the day of your flight without cost to maximize miles)
3. Maximize routes when you book.
4. Use membership bonuses like the Elite Maximizer
5. Use the right credit card
6. Check in with CreditSense for unique offers
I hope this helps get you to elite status faster. Remember to chime in if you know of any other great ways to get points!