I’m all over Qantas. The last year I churned cards with some big expenses and got 700k qantas points.
Now I’ve basically got no more Qantas cards to open up.
So I’m looking to learn how to do the other conglomerate - virgin/velocity/krisflyer? Is that even right?
I don’t know where to begin. Which FF scheme should I join? Which card should I apply for?
I’ve got a lot of big purchases coming up so I would like to have a plan for a few cards to churn through so that I don’t “waste” any purchases. Thanks guys!
No-one on this site is allowed to give financial advice regarding which card you should apply for. That’s a decision for you and your own financial advisor if you have one.
Two thoughts came to mind as I read your post:
What do you want to do with your points? Where do you want to travel and when? In what class? By yourself or with others? Chiefly domestically or internationally? The answer to those questions will go a long way to determining what your next step should be. A word of caution: hoarding points for the sake of hoarding points is a bad idea. By all means have a million or more points if you are saving up for a specific redemption or waiting for specific reward seats to become available. But points are there to be used.
You’ll most probably find that flexible points programmes are a logical next step for you. My suggestion, especially with your big purchases coming up, is that you have a look at the American Express Membership Rewards programme and go from there.
I hope this helps. Of course, if you so desire, once you cancel your Qantas point-earning credit cards you’ll be able to start again with Qantas within a year or so!
I have also already churned through 2 AMEX cards. I had to cancel all my credit cards remaining recently when purshasing a house. So I have just signed up for a citibank card which gives me 100k Q now and 50k upon anniversary. But i’ll probably cancel after the initial 100k points. Probably not worth holding for 12 months, and paying a full annual fee for the 50k.
So if that’s the case, do you know of what my next step might be? What is the general consensus for people who have velocity points or krysflyer miles? Is there a general rule of the best way to accure points? Go for velocity/virgin points and convert? Or earn kris flyer directly?
I’m just trying to work out what my next step or direction should be. Thank you
I don’t think there’s really a “general consensus” as everyone’s circumstances are different. But in your situation KrisFlyer would be a good option as it would open up all the Star Alliance airlines for you. In Australia, the best way to build up a KrisFlyer balance is to accumulate AmEx Membership Rewards points and transfer them to KrisFlyer when required (but be aware that KrisFlyer miles expire after 3 years).
Velocity points are easier to accumulate, and they can be transferred into KrisFlyer – but they do so at a 1.55:1 transfer rate, so you’ll lose about 35% of your Velocity points in each transfer.
As a general rule, you accumulate Velocity points in the same way you accumulate Qantas points: through points-earning credit cards, FlyBuys (instead of Woolworths rewards), online shopping, maybe electricity and/or health insurance if the products are right for you, and so on.
So my strategy would be:
Get a Velocity-earning Mastercard or Visa with a good sign-up bonus.
Get a FlyBuys account and switch your grocery shopping to Coles.
As soon as you’re eligible again for an AmEx sign-up bonus, get an AmEx which is linked to Membership Rewards.
Look out for other points-earning opportunities when they arise.
Thank you for this very informative answer. Just a few clarifications if you don’t mind?
Velocity points are easier to accumulate, simply because there are more ways in Australia to do so?
If the transfer rate of velocity to krisflyer is about 1.55 to 1, do you (generally) tend to earn the velocity points at a similarly faster ratio per dollar spent to compensate for this?
Do velocity points expire after 3 years like krisflyer? Qantas never expire, as long as you keep the points active every 18 months
Velocity points are much easier to accumulate because not only are there a wide range of credit cards that either can transfer their points to Velocity or earn directly to the program, you can also earn Velocity points via transferring your flybuys points, fuelling up with BP and other interesting partnerships that help you build up the balance much faster.
I wouldn’t necessarily say this is the case. This is a complex question as it depends on how much you spend outside of spend on your credit cards. Things like transferring your flybuys points or using the Velocity points shopping portal can boost your earnings. You should also think about the value that Velocity can add to your frequent flyer program portfolios. Velocity has interesting partnerships with Delta and Virgin Atlantic that could be valuable partners in addition to being a way of earning more Krisflyer miles.
Velocity points function similar to Qantas points in that with consistent activity, your points basically never expires.
“Velocity points function similar to Qantas points in that with consistent activity, your points basically never expires.”
To clarify this point, did velocity points used to expire after 36 months from when earned and there was nothing you could do to preserve them, but now as long as you do something within 24 months they continue indefinitely?