Why join a rewards program? Firstly you don’t have to but by my way of thinking, we all spend money and companies want us to spend with them so why not get something back for being loyal to that company or to a particular rewards program. When I talk to people about how I fly or stay in places for some really great prices, I tell them that I am a point collecting tragic and point collecting has helped me do it. I started collecting points nearly 10 years ago and as an example, it has enabled me to fly our family of 4 to the US for $2500 return (on the new A380). It’s also allowed us to take plenty of internal flights overseas for next to nothing, i’m talking a $5 flight from LA to Orlando! We also stayed in New York for 7 days right near Times Square which was all on points!! Do you know what it cost to spend a week in New York accommodation? A pretty penny! The great thing about collecting points is that in most cases, you don’t need to do a lot different than you are doing today and anyone can join points based reward programs. The trick is who to join with and how do you get the best out of the rewards. As I mentioned above, I am a bit of a points tragic and understand how to get the most out of programs. It’s especially great if you are planning a holiday say a couple of years down the track. It’s a great way to save towards that next holiday.
So you want to know more about rewards programs. To fully utilize a reward program, you may need to change the way you do things i.e. If you haven’t already got one, get a credit card that you can earn points from then spend with that card. Shop at rewards partners were possible, look for bonus point opportunities; you don’t need to spend extra, just spend smarter. Below I’ve highlighted a few of the key points to a rewards program.
Join an airline Frequent Flyer program (Keep it to 1 or 2).
I ‘m with Qantas and United.
I really believe that Qantas is the best Australian frequent flier program to be part of. They have the easiest and broadest way to collect points, even if you don’t fly.
United Airlines has a great frequent flyer program. The only issue is it’s hard to collect points in Australia. You are really relying on flights but if you do plan to travel to the US, they generally have the best prices and they have low redemption points to fly to and from the US compared to Qantas.
I did say keep it to one or two but if by chance you are travelling on an airline that offers a reward program, join it. Rewards programs normally never cost you to join and you’ll earn points for the miles you’ve flown. It may be that you may fly with this carrier more than once and points do accumulate so join and see if it works for you.
Join other reward programs that will link back to you airline frequent flyer program or if you have more than one program, ensure that they can be utilized as one.
Woolworths have a great program called ‘Everyday Rewards’ which gives you Qantas frequent flier points for shopping at Woolworths stores and affiliated stores such as Big W. You need to spend a minimum of $30 but after that, you get 1 point for every dollar spent. Get points for doing your groceries………. Sounds good to me! Make sure other programs have the option of converting their points to frequent flier points.
Have a credit card that helps you collect points (Ensure you pick a card that gives you maximum points and has no capped points).
If you don’t do this already, pay everything with your credit card (Ensure you pay your card off each month or the interest you pay will out way the points you collect)
I have an ANZ Amex card (1.5 points per $1 spent), which also has a Visa card with it. The Visa card links to the Amex so it’s the one account but you only get .5 points per $1 spent that’s why I also have the Woolworths Mastercard($1 per point spent). I use the Amex wherever I can but when retailers don’t accept Amex or there is a fee for using Amex, I use the Woolworths MasterCard. There are no caps on points for the Woolworths card but ANZ recently put a cap on the Amex/Visa card which i wasn’t to thrilled about!! Now it’s a matter of watching what i am spending and if i go over the threshold for earning points on my ANZ card, I’ll use my Woolworths card.
There are also some good point offers when getting a credit card with a frequent flyer program for instance, ANZ has a cards that you can get 50000 points when you apply and have approved a frequent flyer credit card. There is also another card where you can get 40000 points. Woolworths have a frequent flyer bonus of 16000 points. You can find more information on either card by clicking on the Qantas tab.
Purchase points.
Sometimes there a great opportunities to purchase points directly from the airline but you need to do the maths. I wouldn’t buy them at full price but If you have some spare cash and an offer comes up like 30% off purchasing points, then it may pay to buy them and add it to your account. The beauty about it is that if you are purchasing 20000 points, you would have to spend $20,000 on your card but you may be able to buy them for $752 (United) less 30%. So you be paying around $526. I’m not saying to do it but there are times where it might be a good thing to buy them. It’s another way of saving (You have the points in your account ready for use down the track).
Bonus points
Another good way to earn points is to look at frequent flier partners. Partners of frequent flyer programs often give you bonus points when you spend with them for instance, a while ago, Optus were giving 8000 points if you upgraded your phone to the new Samsung Galaxy 4. I am with Optus and my plan had finished and was in need of a new phone so it made sense for me to upgrade and get the bonus. Optus is also a Qantas partner and you get points for every dollar you spend with them.
Other types of reward
Another way of earning points is to join one of the hotel chains rewards programs. If you stay with them, you’ll accumulate points and it leads to free nights.
Best way to use your Qantas FF points
Here’s a tip – fly via Jetstar to Honolulu return and purchase a flight to mainland US. You only need 56600 points and it cost around $400. You must only use Jetstar (no Qantas legs) otherwise it cost more in points. What i mean by that is if you need to connect from Melbourne to Brisbane and then on wards to Honolulu, it must be on Jetstar to get the cheaper points and costs. The advantage of going to Honolulu is that you get a quicker flight to the states, less than 10 hours and it’ a great stop over. I would discourage anyone using points to fly direct to the US. The amount it costs in charges is similar to a flight you could pay for using cash. You would be better paying for the flights and using your points to fly in the US instead. It would only cost you a maximum of $10 to fly most routes! (Current as of this post)
Advantage of using points
Another advantage of using frequent flier points to book flights is that it is possible to use your points during peak season and there is no extra or inflated peak time charges. As mentioned in my introduction, we were away during the Christmas break and it only cost $2600 to fly to Honolulu,to mainland US and back. An exceptional price!
Best time to book flights
Frequent flier seats in most cases come out 9 months in advance so if you’re planning to use points, make sure you are checking flights at least 9 months out. It’s first in best dressed so being organised is a must but if you’re flexible, you can get seats quite easily.
