Reduced AMEX earn rates from April 2019 | Australian Frequent Flyer
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Reduced AMEX earn rates from April 2019

DavidFlynn

Member
Joined
Dec 18, 2015
Messages
453
American Express to 'enhance' earning rates across its credit card scheme, to take effect from April 2019 – some transactions to earn more points per se but most cardholders will accrue fewer frequent flyer points per dollar compared to today.

AMEX’s line-up of credit cards for earning Qantas and Virgin Australia Velocity points will see a reduction of 0.25 points per $1 spent on everyday purchases. Membership Rewards Ascent Premium, Ascent and Gateway programs will adopt a flat 2:1 conversion rate for points sent across to airline frequent flyer programs

Full details at American Express overhauls credit card frequent flyer points
 

jinks485

Junior Member
Joined
Mar 29, 2018
Messages
38
Terrible news.

So the tl;dr is:
- Qantas and Velocity cards: points earn rates will go down by 0.25 points per $1 except on government spend which stays the same
- Membership Rewards points, a 33%-50% devaluation for most redemptions (airlines and Hilton will now be a 2:1 transfer)
- Explorer card earn rate will remain at 2 ppd, government will increase to 1 ppd
- Platinum card earn rate goes to 2.25 ppd everywhere except 1ppd with government (no more bonus categories)
- Platinum Edge goes to 3 ppd at supermarkets and petrol stations, 2 ppd on foreign currency spend and 1 ppd elsewhere
- Essential card goes to 1.25 ppd everywhere except 1 ppd with government.

No change to David Jones cards.
 

Eh520

Junior Member
Joined
Nov 9, 2017
Messages
22
That's some really unattractive changes that will probably put some people off. It's a huge hit to how valuable their gateway membership rewards/Ascent/Ascent premium program is
 

kpc

AFF Supporter
Joined
Mar 11, 2003
Messages
5,982
The sky is falling....really! Will need to completely rethink my credit card /points strategy after these changes incl ATO payments. RewardPay will be dead after these changes. It is 525pm in London now and hence why I'm awake, and 425am in the eastern Australian states....a lot of AFF members will wake up to a big shock!!
 

asterix

Member
Joined
Oct 9, 2008
Messages
372
Flights
My Map
Having just added a third AMEX to my wallet I was dreading the day that this would happen, but knew that it would eventually when I noticed Flight Centre were now only charging 0.92% surcharge for AMEX compared to the 2.97% they used to charge.
 

LadyC

AFF Supporter
Joined
Feb 21, 2012
Messages
2,131
Not attractive at all. They are definitely making it harder to earn those points!
 

kamchatsky

AFF Supporter
Joined
Mar 8, 2006
Messages
2,809
Wow .. Loss of words.

This is almost like a funeral ....

The prolonged Aussie exchange rate doesn't help. I thought this is gonna happen one day but still comes as a shock.
 

unfunkable

Active Member
Joined
May 4, 2016
Messages
796
Rip...the explorer/edge combo takes a 50% hit .

What other programs can transfer to krisflyer besides velocity?
 

opusman

AFF Supporter
Joined
Jun 27, 2006
Messages
5,267
Wow, just wow.

Getting pretty hard to justify $1450 a year for the Platinum card.
 

GoldCanyon340

AFF Supporter
Joined
Jun 15, 2011
Messages
2,104
Flights
My Map
I've been an Amex cardholder for 25+ years including 10 years at Centurion. The 50% reduction in airline point conversion is the final nail in the coffin.
 

SOPOOR

AFF Supporter
Joined
Jan 12, 2009
Messages
2,478
Wow. Dont know how anyone can see any good news out of any of this.

For me, at first glance its the end.
Tldr
Virtually every point earning caed is now reduced by 25 -50%

Transferring to various airlines is down 50%

On face value there is now no point chasing any points any more. The only thing is the 5% wish gift for 1.5pts for groceries or sign up bonuses

But whats also hard hitting is that now there is no point paying surcharges for gift cards

With 50% off airline transfers what is now the best usage for points?

Is it flights booked throguh amex travel???
 
Last edited:

SOPOOR

AFF Supporter
Joined
Jan 12, 2009
Messages
2,478
I've been an Amex cardholder for 25+ years including 10 years at Centurion. The 50% reduction in airline point conversion is the final nail in the coffin.
Without doing proper number calcs to me now the amex is now what a visa and master card has always been , THE lower points earning card.

Now that merchanta are still getting charged higher rates, i see no point in using a amex over a visa, so i probsbly will rarely use my my amex.
I hope amex understand why
 

andye

AFF Supporter
Joined
Jan 14, 2013
Messages
3,564
Flights
My Map
I too think the AUD is the major driver for this.
I currently have a portfolio of Amexes to maximise points earn but with the effectively reduced differences between cards I'll likely consolidate
 

albyd

AFF Supporter
Joined
Apr 7, 2011
Messages
1,766
I had a feeling this was coming after I called Platinum line on Monday and there was an option about finding out about ‘the changes to your rewards program’. I didn’t think the cut would be 50% though. Agree with Sopoor, will be a marginal benefit to carrying an Amex now & juggling extra statements vs say Dragon Visa. That may change since they’re part of the Westpac group. And Altitude recently devalued.

Looks like fewer pointy end flights for ‘wholesale’ price and back to Y. Sad day indeed.
 

ms1

Member
Joined
Jul 18, 2010
Messages
249
So essentially I need to transfer my points out of MR before April 15th as after this date the value of the points halves.
 

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