American Airlines has launched a new offer to purchase or gift AAdvantage miles at up to 40% off through January 31, 2021.
American Airlines a while back upped the number of miles that you can buy before any bonuses to 150,000 every calendar year. The account that buys or receives the miles must have been open for minimum of 30 days.
You can access this offer on AA’s website here.
Here’s the discount chart under this promotion:
The price for the full 150,000 miles including the 40% discount:
The price of 3,386 for 150,000 miles is rather expensive.
Compared to the previous campaigns where AAdvantage offered a bonus on top of the miles here they offer a discount of up to 40% but for whatever reason it doesn’t reflect much in the final price.
I wonder if American did something to the base price of their miles in the recent past because they ran the same 40% off promotion in 2019 and back then 150k were sold for the price of $2,876. Now it’s $500 more in a time where miles have rather limited scope of use due to global travel having come to a halt due to Covid-19 and premium fare for the routes that do still operate are rather low.
The lowest price that American has sold its miles in the past has been 1.72 cents each.
The price for the miles under this offer is very high and unless you need miles right now for a specific purpose I would wait for a better offer to come around.
Right now I consider buying miles not a very good investment unless there is an immediate opportunity to redeem something. And with premium fares at a low it makes even less sense to bank up on miles, especially until flights are open again for worldwide travel without any restrictions.
Here are the terms and conditions of this offer:
Transactions are nonrefundable and nonreversible. The miles successfully purchased usually post to the designated account right away, but please allow up to 8 hours for processing. Prices are in U.S. dollars and do not include taxes or the applicable per transaction processing charge. Miles purchased, transferred or received as a gift do not count toward elite-status qualification. Members may purchase for themselves or receive as a gift, a maximum combined total of 150,000 AAdvantage® miles in a calendar year. The miles purchased with the Buy Miles program and received with the Gift Miles program do not count towards AAdvantage Gold, AAdvantage Platinum, AAdvantage Platinum Pro, AAdvantage Executive Platinum or AAdvantage Million MilerSM status qualification. You can check your balance online by logging on to www.aa.com. Buy Miles or Gift Miles transactions are non-refundable, non-transferable and non-exchangeable. A confirmation email will be sent to the primary buyer/gifter and/or recipient using the email address(es) associated with the AAdvantage account(s) and any additional email address provided. If a transaction is voided or cancelled please note the funds were not charged to your credit card, however your credit card company may place a hold on the fund/credit for 24-72 hours. Please contact your card provider for more information. Other terms may apply.
All AAdvantage miles are sold in US dollars.
ALL AMOUNTS CHARGED TO MEMBERS FOR THE PURCHASE OF MILES INLUDE U.S. FEDERAL EXCISE TAX (CURRENTLY 0%) AND ARE SUBJECT TO A TRANSACTION PROCESSING FEE. THE PER TRANSACTION PROCESSING FEE FOR THE PURCHASE OF MILES IS $0 (applies to Buying or Gifting miles). When purchasing miles, American will remit excise tax to the U.S. Government on behalf of the Member. Amounts charged also include Canadian GST/HST as applicable. All amounts paid by the Member under this Agreement are exclusive of other sales, use or privilege taxes, or tax-like charges, fees or similar liabilities.