AMEX gives 1.5 points

[arun]

As you know, some co-branded AMEX cards (AMP AMEX, CPA AMEX) give 1.5 points per dollar for a limited time.
Now a new tier is added to their Ascent rewards program for any AMEX card where when you pay $24 extra , you get 1.5 ponts per dollar.

I am not sure how it will affect the CPA AMEX holders as we do not pay any annual fees or rewards fees. We will be getting 1.5 up to end August in the earlier promotion. Not sure if we need to pay $24 to get the 1.5 points in the future.

[ozstamps]

Amex ran half page ads in 'Sun Herald' here on weekend that I totally ignored reading as they looked like standard new business ads.

When reading them more carefully and pointed out it was for a new program called "Accelerator".

You need to PRE-REGISTER for it on oz 1-300-650-655

You pay a flat $29 fee.

THEN every $A you spend on Amex from September 8 to March 15 gets you 1.5 MR miles. i.e. 50% more than usual.

This offer only applies to personal cards NOT corporate Amex cards.

The maximum spend on this is $A40,000 i.e. max extra miles you can get is 20,000 MR points, no matter what you spend.

I personally value each MR mile at a minimum of oz3¢. Others have their own thoughts on this, but in my experience that is VERY conservative valuing, as to move them to QF or Starwood for awards always yields me a lot better than 3c a point.

A few weeks ago we took a Biz class round trip to Port Moresby for 45,000 miles each. The cost to BUY that even in discount coach ran to $A1000, and biz was of course way higher, so the 3c a point value can be readily seen in such examples. i.e. using the miles for unusual destinations for which there is no price competition.

I will easily spend $40,000 in the period and my math is those 20,000 MR points will have cost me only $A29 - or .145 cents a point.
i.e. they are "worth" to ME, over 20 times more than they cost me.

------------------
~ Glen ~

[arun]

Good Analysis Ozstamps.

This 1.5 points for Accelerator is for 6 months only. When I called the customer care asked why do we pay $29 per annum extra for accelarator which gives 0.5 extra only for 6 months, the operator said that they will re-evaluate after 6 months based on the popularity. I could see the logic, but not sure how they can stop giving extra points after 6 months (after having charged an annual fee), if they want to.

[ozstamps]

Correct.

I asked why only 6 months and answer was "to see how it goes".

Code for "See if we make money on it" of course!

[The Pope]

Looks like they found a way to make lots more money...

"With the Rewards Maximiser Credit Card you will earn a guaranteed 1.5 points per dollar – not just on selective purchases, but every time you spend. There’s no cap and no limit on the amount of points you can earn and the Rewards Maximiser Card membership fee is only $12 per month"

That's right, for only $144 per year you too can earn 1.5 points per dollar!
They charitably waive the $59 ascent rewards fee though!

Wish I had joined up in Sept for the 6 months for only $29! I wonder if you can join for a month (ie Christmas, big purchase time etc), then ditch the card after you use it? Fast-churn credit!

[arun]

144???????
Is there a annual card fee in addition to the rewards fee? Or is it included in the $12 per month? If it is included, then this is still better than ANZ. But I will be happy with my CPA AMEX where I don't pay a cent and get 1 point per dollar.

[The Pope]

No, the annual fee is included/waived in the $12/month.

The standard ascent fee is $59/year; I assume that most people would get the $70/yr annual fee waived by spending over $9500/yr so that's $85 extra for the extra 0.5 points/$.

I value my points at about 30k=$500 (PER to east coast without taxes as you pay them anyway with a points redemption) or 1.67c/point. So for $85 you'd want to get at least 5100 points extra, which is $10200 spending, or only $850 per month.

So actually it may not be that bad... but still would prefer being able to get the bonus 0.5 points for $29/6 months!

[danielh]

Just went to the site and had a look at the AMEX Rewards Maximiser deal.

This looks interesting and may be a better option then my current ANZ Diners card which I will be getting rid of in August 2004 (to not pay the AU$150 annual fee which was waived in my first year).

I am only in it for the points and I always pay up on my cards on time (or quite often before if the internet banking site is good enough).

I will be flying back to either Hong Kong or Canberra for work and I want to maximise those points I get from my hotel stays, ticket purchases and taxis.

I think that it might still be better to use my Gold Qantas ANZ Visa for my AU$4,500 plane ticket to HK even though I go over the AU$2,500 limit as I get 1 for 1 bonus on that (max of 8,000 (2500 + (2000*0.5) + 4,500) FF points for that alone) but then I think I'll use the AMEX for all my hotel bills and so forth.

One thing I am curious about is if I can only have the card for a few months and then cancel it.

Regards and sorry for the long post.

Daniel

[kristo]

the only problem is that amex requires 50% more points than other cards on redemptions other than ff points.

[shyguy]

Looks like AMEX is extending their 1.5 points offer for $29.

Worthwhile taking up?

http://home3.americanexpress.com/aus...or/default.asp