Card Sharp: New Credit Card Partnership Nets Savings of 76%

February 2010
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Ticketing strategy works—worldwide—in Business or First Class, on 15 airlines.

A new partnership between American Express Membership Rewards and British Airways is going to expand access to Business and First Class awards and upgrades worldwide on BA and 14 partner airlines. Until now, getting those upgrades and awards meant having BA miles or points with Starwood or Diners Club—and buying them was somewhat of a trial.

With the new partnership, anyone can buy up to 500,000 miles per calendar year from Amex at 2.5¢ each and transfer them to BA. Those miles take you farther, too, because BA’s Executive Club charges half the miles that most other upgrade programs do (fewer on some routes), while offering one of the largest route networks of any carrier, reaching Asia and South Pacific destinations with part­ner airlines Qantas and Cathay Pacific. Mileage transfers take 24 hours or less.

Economy to Business: Only two things matter when evaluating a mileage pro­gram: The cost of the miles needed to upgrade and the lowest upgradeable fare. BA’s program is a win­ner on both counts, requiring only 25,000 miles for a Premium Economy to Business Class upgrade and offering upgradeable fares as low as $600 (New York-London). On Delta, the tab would be 50,000 miles with an upgradeable fare of $1,956.

Business to First: British Airways allows upgrades to First Class from its lowest Business Class fares, charging only 50,000 miles round-trip from the U.S. to Europe. Most other Amex Reward partners only allow such upgrades for their elites or through an alliance member, which means paying a high Business Class fare.

Sample Savings with British Airways Awards

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[["<strong>Route<\/strong>","<strong>Airline \/ Class<\/strong>","<strong>Miles Needed<\/strong>","<strong>Cost @ 2.5\u00a2<\/strong>","<strong>Published Fare<\/strong>","<strong>Savings<\/strong>"],["Dallas - Buenos Aires","American \/ Business","80,000","$2,000","$6,139","$4,139 \/ 67%"],["Los Angeles - Sydney","Qantas \/ First","240,000","$6,000","$19,798","$13,798 \/ 70%"],["New York - Hong Kong","Cathay Pacific \/ First","150,000","$3,750","$15,360","$11,610 \/ 76%"]]