You may be sitting pretty after accumulating some miles and saying, “What the hell, cash out!” That may seem like a quick way to get cash in your pocket, but selling airline mileage tickets is mostly a bad idea. Here are better alternatives.
Why selling airline miles is against airline policies
Most airlines have clearly established policies prohibiting the exchange or sale of their miles. United Airlines’ MileagePlus program, for instance, expressly states that selling, bartering, or transferring miles without proper authorization is not allowed. These acts can lead to severe sanctions, such as:
- Cancellation of your MileagePlus account, along with any elite status and accrued benefits.
- Forfeiture of award tickets or refusal to board at the airport.
- Obligation to pay back the value of all awards redeemed from disapproved activity.
These policies are meant to uphold the integrity of the loyalty schemes and ensure miles are utilized as designed.
The risks of using mileage brokers
Mileage brokers are out there who might want to buy miles from you. While this may look like an easy solution, there are some risks involved, such as:
- Breach of airline terms: Selling miles to brokers is contrary to most airlines’ rules, leaving you open to the penalties mentioned above.
- Scams may exist: There is a possibility that the broker uses your miles and then refuses to pay you, leaving no recourse for you since the whole transaction violates airline rules.
Alternatives to selling your airline miles
Here are some other options you may want to explore, apart from an outright sale of your miles:
- Transfer your miles to a family member or friend: Some programs actually allow members to share their miles with others for either no charge or a small fee. This way, all loved ones can take something from your accumulated miles.
- Donate miles to charity: Most airlines have an agreement with some charitable organizations regarding the donation of miles to a worthy cause. For instance, several charities, including Miles4Migrants, can receive donor miles from United Airlines.
- Redeem miles for other things that do not involve flying: Most likely, airlines will provide alternative redemption types for miles such as gift cards, merchandise, or even cash-back rewards. Though one may feel that monetary values assigned to these options are less than flying, at least miles can be applied according to the rules and policies of the program.
How to maximize the value of your airline miles
How to get the most out of your miles without selling them:
- Redeem strategically: Use your miles to redeem higher-value awards such as international business or first-class flights, which generally provide more bang for the mile.
- Be aware of program updates: Airlines sometimes update their loyalty programs. Staying updated helps you modify your strategies in accordance.
- Take into account accumulated miles: Some schemes allow family members to accumulate miles into a single account, so it is easier to reach redemption levels.
Understanding the devaluation of miles
It is important to keep in mind that miles already lose value with changes to the program and devaluation. But, here is what you can do:
- Use your miles quickly: Do not hoard miles for too long because airlines can devalue their programs anytime.
- Have varied sources from where you can acquire points and miles: Instead of just having miles from one or two programs, include transferable points in your plan that can be used across more than a few airlines or hotel chains.
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