It costs $ to transfer AMEX MR points now?

Discussion in 'American Express | Membership Rewards' started by royce242, May 20, 2014.  |  Print Topic

  1. royce242

    royce242 Silver Member

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    I just received two sign up bonuses and wanted to transfer the points over to Delta. I noticed when I went to make a transfer of 11K points, they said I would be incurred a fee of $6.60. I didn't actually go through with the transfer. But is this true? Do they actually charge you now to transfer points to an airline? I didn't get to the confirm page, I was so shocked...so I wasn't sure if this was 100% true.

    I couldn't believe my eyes. Since when did they start doing this?
     
  2. Ed Chandler
    Original Member

    Ed Chandler Silver Member

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    For US airlines, yes, there's a fee. It's been that way for years (perhaps forever).
    Foreign airlines incur no fee.
     
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  3. royce242

    royce242 Silver Member

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    Man I don't remember paying that when I transferred MR pts over 5 years ago. That really sucks! Who gets that money?
     
  4. Ed Chandler
    Original Member

    Ed Chandler Silver Member

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    Got me.
    I guess it sucks if it's a surprise, but it's 6 hundredths of a penny per point ... which doesn't really affect your cost of acquisition *that* much, does it?
     
  5. Wandering Aramean
    Original Member

    Wandering Aramean Gold Member

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    The money is kept by AmEx. They call it an "offset" to cover a tax they are apparently paying to the US government for that transfer. But AmEx keeps the fee paid.

    And they've had that in place for at least 10 years. It only happens when transferring to a program operated by a US-based carrier so you wouldn't incur it going to Aeroplan or ANA, for example, but you would to Delta.
     
  6. bigx0

    bigx0 Gold Member

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    kenbo, B1BomberVB and LETTERBOY like this.
  7. MSPeconomist
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    MSPeconomist Gold Member

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    The tax is also charged for transfers from one FF account into another for the same USA airline program (for example DL), without involvement of AmEx (except if you pay the tax with your card).
     
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  8. Mrlasssen

    Mrlasssen Silver Member

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    Are you positive of that, when I transferred MR points to Avios last year, I was charged the .006 tax?
     
  9. Wandering Aramean
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    Wandering Aramean Gold Member

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    You should not have been.

    https://rewards.americanexpress.com/myca/loyalty/us/catalog/tandc?tier=LF&mrk=&stoken=#
     
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  10. royce242

    royce242 Silver Member

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    On the 35K miles I eventually want to transfer, we're talking over $20 to transfer points to be used on Delta, which will barely give me anything for my miles to begin with. $20 cuts even more into the transaction. May not be much, but it's something, esp. for a frugal FF points hobbyist.
     
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