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Using your accumulated miles is a strategy for obtaining discounted or even free airline tickets. Knowing this, the question arises: how can credit card holders earn miles?
Miles are usually an option for benefit programmes in which card spending can be converted into points redeemable for incentives. These campaigns try to promote the use of the card and build public loyalty.
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In this article, we'll show you how to earn miles on your credit card to dispel any remaining doubts on the subject.
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How do credit card miles work?
As discussed earlier, miles are a typical incentive in credit card points schemes.
Here it's important to distinguish between points and miles: In the incentive programme, points serve as currency: for every dollar you spend on your credit card, you earn one point.
With this, the amount of the monthly bill is converted into points and the balance is accumulated in the programme, linked to the cardholder's CPF.
As most loyalty programmes use the dollar as a reference for converting points, the currency exchange rate on the day the invoice is closed is used for the calculation.
Consider a scheme that awards one point for every dollar spent. And that the invoice was settled for R$ 2,000 and the dollar rate on the day was R$ 5. In this case, the paid invoice will earn 400 points.
After accumulating enough points, the cardholder can convert them into rewards, such as the famous miles, which represent reductions on airline tickets. Depending on the number of points earned and the location, the ticket may be free.
In addition to mileage, points schemes can include services (such as hotel stays and car hire) and even cashback - part of the amount spent returned in cash.
However, you should pay attention to the expiry date, as points usually have one. Have you ever spent a significant amount of time collecting a balance, only to be unable to use it because the points have expired?
How can miles be earned on the card?
Signing up for a points programme that offers miles as a reward is the first step towards earning miles with your credit card.
Once your registration has been activated, your costs will be converted into points, which you can track via the programme's website or mobile app.
Once you have earned the right number of points, you can request to exchange them for miles. The transfer procedure differs between programmes. Bear in mind that most points have an expiry date.
If you currently have a credit card and want to determine whether a points programme is available, you should contact the financial institution that provided the card.
In certain circumstances, a monthly or annual charge is required to participate in the benefits programme and earn miles using a credit card.
How do I convert card points into miles?
As we have seen, you need to accumulate points with paid credit card balances in order to receive points in benefit programmes.
The points must be transferred to the selected airline's loyalty programme after reaching the minimum threshold, which varies according to the programme.
It's important to contact your card support or points programme to find out the specifics of this transfer.
Latam PassLatam's Smiles, Gol's Smiles and Azul's TudoAzul are the main mileage programmes in Brazil.
Card points into miles: How much is it worth?
Check the programme guidelines to determine the resulting balance in miles based on the card's points scheme. In addition, frequent promotional programmes increase the value of points that can be exchanged for currency.
However, there are websites that provide air miles quotes so you can estimate the value of your points balance. The number indicates one thousand, or one thousand kilometres.
Using this tool, you can assess the value of your accumulated points balance in terms of airline tickets.
Can miles be earned on the PJ card too?
Yes, it is possible to earn miles with a PJ credit card, following the same reasoning as with an individual card: the amount spent is converted into points that can be exchanged for air miles.
In this case, the points accumulated on the company's credit card are linked to the CPF of the CNPJ holder.
In fact, we stated in the article on credit card brands that the availability of a points programme can be a factor when choosing a PJ card for your business, especially if the monthly volume is substantial.
However, this shouldn't be the only reason for selection; it's also essential to consider whether there are annual fees and other costs, as well as whether the institution responsible for the card offers excellent customer service, for example.
If you want a credit card with no annual fee, you can use the multi-card credit feature of the PJ Cora account.
Cora's credit card is free and Visa branded. It can be requested for any type of CNPJ. It is therefore an option for those looking for an MEI credit card.
It is worth noting that Cora has the RA 1000 seal from Reclame Aqui, which is awarded to companies with outstanding customer service rates.
Credit cards can be an ally in maintaining a company's financial health if handled with strategy and discipline.
Check out our information on credit cards and cash flow to understand how to leverage this payment method in favour of your business.
