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Re: Good Deal or Not?

strgth
Active Member

@gsking wrote:

That is a very cheap fare.   I say jump on it.   You'll get a rebate if it goes down. 

 

I'd have E buy the extra points on sale and book their own ticket.   Transfer isn't worth the cost.

 

From my calculation shown in my original post (or maybe my 1st reply), it seems like there is an actual savings with the international flights (but not domestic) if I use purchased points at the 65-75% discount. This is why I don't understand why the experts say don't buy.

 

Now I'm confused. I thought @dfwskier was saying it cost more to purchase vs transfer. Can you give me an example? I'm stuck on stupid right now. 🤔This is what isn't clear to me.

 

The cost of taxes will be high,  particularly on the return.   They are paid in cash.   But fortunately,  all points and cash paid for taxes are refunded in kind if anything is canceled.   No risk. 

 

Yes. Departure flight taxes are $49 but returning flight taxes are $98. This is why I have difficulty calculating what is the better option. It sounds like just paying cash. But this isn't the best route either because as I noted, neither Person A-E are frequent flyers. Next trip will probably be domestic in FY24 and beyond. No car rentals or hotel stays within the next 2 years.😎


 

Re: Good Deal or Not?

gsking
Rising Star

Okay,  he's right for 2000 points.   The sale is only on larger quantities.   Then they get down to 1.6 cents.   My bad. 

 

And the cost in points you're quoting does not include the taxes,  which is why it seems so cheap.   8000 points is worth about $140. So you may pay $50 in taxes plus the points, or around $200 cash.  Either way it seems cheap and you want to consume the points either way. 

 

The nice thing is further cost reductions go back to the buyer's points,  not to travel funds tied to each traveler.   So there's no risk purchasing now. 

 

 

 

 

 

 

 

Re: Good Deal or Not?

dfwskier
Top Contributor

@strgth wrote:

 

QUESTIONS
1. When is the best time to purchase airfare for international travel? 6, 3, 2 months prior?

 

There is no stock answer to that question. My only advice would be to NOT buy when the schedule opens new dates. That's typically when fares are highest. Example: Dallas/ Chicago lowest fare when February opened was $116. Today it is $64.


2. Should Person E purchase 2000 points to top off so that they can purchase their departure fare using their existing points OR Should Person E transfer 2000 points to Person A? Which option avoids the highest cost per transaction? What’s the calculation?

 

Is this a one way transaction. If so, how are you getting back? 

 

I would do  nothing now. You're traveling 9 months from now. Take the time to earn a few points on your own (the other person could do the same). Lots of rent car companies give 600/1200/2400 points for a car rental. With hotels it's pretty easy to score 1000 points or more. 

 

Buying 2000 points will cost 3 cents a point. Transferring 2000 points will cost 1 cent per point.

 

 
3. When points are used to purchase a fare, how are points refunded when cancel a: 1)WGA, Anytime, or BS fares? How are the taxes and fees refunded when cancel?

 

Refunded points go back to the person that provided them - unlike money fares which go to the ticket holder.


 

Re: Good Deal or Not?

strgth
Active Member

@dfwskier wrote:

@strgth wrote:

 

QUESTIONS
1. When is the best time to purchase airfare for international travel? 6, 3, 2 months prior?

 

There is no stock answer to that question. My only advice would be to NOT buy when the schedule opens new dates. That's typically when fares are highest. Example: Dallas/ Chicago lowest fare when February opened was $116. Today it is $64.

 

I did see that in other posts. Admittedly they jumped on the bandwagon when the schedule first opened last December. Then we watched the fare drop, then drop again. That is why some are stuck with travel funds. I'll forewarn them to wait. Thank you!


2. Should Person E purchase 2000 points to top off so that they can purchase their departure fare using their existing points OR Should Person E transfer 2000 points to Person A? Which option avoids the highest cost per transaction? What’s the calculation?

 

Is this a one way transaction. If so, how are you getting back?  Purchasing the departure and return leg separately. Focusing on using up everyone's points on the departure first.

 

I would do  nothing now. You're traveling 9 months from now. Take the time to earn a few points on your own (the other person could do the same). Lots of rent car companies give 600/1200/2400 points for a car rental. With hotels it's pretty easy to score 1000 points or more. 

 

These are young adults who don't travel much, if at all, let alone book a car or hotel stay. Person A was able to accumulate points via RR Shopping.

 

Buying 2000 points will cost 3 cents a point. Transferring 2000 points will cost 1 cent per point.

 

So transferring points is the better route if one of the persons is short but if combined with another person, they'll have enough points. Got it!

 
3. When points are used to purchase a fare, how are points refunded when cancel a: 1)WGA, Anytime, or BS fares? How are the taxes and fees refunded when cancel?

 

Refunded points go back to the person that provided them - unlike money fares which go to the ticket holder.