For Families that use Qantas Frequent Flyer points to assist them on their Family Holidays. Qantas has decided not renew its participation as airline rewards partner of the American Express membership rewards program Ascent.
What does this mean? Effectively families who use the credit card to collect points for their Qantas Frequent Flyer flights under the American Express program. Then transfer the points over to the Qantas program when it suits them will no longer be able to undertake this practice.
Why did they do it? Not knowing the back end negotiations of the program I would say that Qantas bullied American Express into the changes. Qantas currently receives revenue for your points when you transfer them over to Qantas. Within the current model American Express only pay Qantas for the points when they are transferred over from the Ascent program.
American Express have provided some options available for the card holder to take, but personally I rather bank my points for a rainy day, so I may as well cash in now, take my free flight and say good bye to American Express. It’s been a good partnership for the last 5 years plus however I think we have to end this relationship.
It looks like that families who use the card to subsidies the cost to ensure that the holiday is cheap family holiday will need to start shopping around for a new credit card. American Express have some options and I will update you more when I dive deeper into the number and how this stacks up for the end user, you.
Changes to the American Express Program take effect on 1 April 2009.
Do these changes effect you, I would love to hear please feel free to leave your comments?
