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It's back: Alaska Airlines allowing members to convert travel credit to miles

Nov. 07, 2020
5 min read
Alaska Airlines Airplane Landing at LAX
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The coronavirus pandemic is driving airlines to offer passengers more flexibility. Change-fee waivers continue to be extended, new bookings offer flexible rebooking options and mileage expirations are temporarily suspended.

Generally speaking, you won't get a full refund when you voluntarily cancel a flight. Instead, you get a travel voucher valid for 12 or 24 months that you can use toward a future flight.

In an effort to provide passengers with more flexibility, Southwest recently added the ability to convert travel funds into Rapid Rewards points. Now, Alaska Airlines is following suit.

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The airline allowed a handful of customers to convert wallet funds to Mileage Plan miles in August on a targeted basis. The airline later offered the deal to all members in October, processing all conversions at a preferred rate of 1 cent per point, so $100 equaled 10,000 miles.

Friday, Alaska announced that it's again offering these transfers through Nov. 13 at 11:59 p.m. These transfers process at the same rate as the last promotion, so worth considering if you're sitting on a stash of Alaska flight credits. Here's everything you need to know.

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Converting Alaska wallet funds to miles

You can convert Alaska wallet credit to miles through Nov 13. (Photo by Clint Henderson/The Points Guy)

Alaska is allowing those with wallet funds to convert funds to Alaska miles for a limited time. This offer is available for all members with existing wallet credit. If you're interested in converting your wallet funds, head to the conversion page on Alaska's website and log in to your account.

Transfers process at a rate of 1 cent per point, so 1 cent = 1 mile. You can convert Alaska funds to miles in increments of 25%, 50%, 75%, or 100% of your total wallet balance. So if you have a $100 credit, you can convert $25, $50, $75 or $100 of your funds to 2,500, 5,000, 7,500 or 10,000 miles respectively.

(Image courtesy of Alaska Airlines)

Want to take advantage of this promotion? You'll have to act fast. You can convert wallet funds to miles from now until Nov. 13 at 11:59 p.m. PT. It's unclear if this promotion will return in the future.

Related: 5 things to know about Alaska Airlines Mileage Plan

Is it worth it?

You can use $500 in wallet funds to book Cathay Pacific business class from the U.S. to Asia. (Photo by Wallace Cotton/The Points Guy)

Again, transfers process at a rate of $0.01 per mile. TPG values Alaska miles at 1.8 cents apiece, so you're getting a huge discount if you agree with our valuations. You can use these miles to book travel on Alaska's partners, including American Airlines, Cathay Pacific and Japan Airlines at excellent rates. Plus, you can add a free stopover on one-way and round-trip itineraries.

For example, you can use 50,000 miles for a one-way Cathay Pacific business class ticket from the U.S. to Asia. With the free stopover, you can book something like Newark (EWR) to Hong Kong (HKG) and Seoul (ICN), giving you hours in the airline's top-notch business class product. You can "buy" this flight for just $500 (equal to 50,000 miles) if you have enough wallet credit to convert.

This is an especially good deal if you buy Alaska miles regularly. The airline recently offered a 60% bonus when buying Alaska miles. In effect, the airline was selling miles at 1.72 cents per mile, so the above conversion is a far better deal. Just note that miles can be devalued at any given time, including potentially in 2021, when the airline officially joins the Oneworld alliance.

Finally, Alaska wallet funds expire one year from the original travel date. By converting funds into redeemable miles, you would unlock much greater flexibility as miles don't expire as long as there's activity in your account once every 24 months.

Related: Best sweet spots with Alaska Airlines Mileage Plan

Bottom line

It's great to see Alaska give members more ways to use their travel credit. I highly recommend taking advantage of this offer if you value Alaska Airlines miles as highly as the TPG team does. Buying these miles at just 1.0 cents per point is an excellent deal, especially when you consider how much value you can get when booking flights on Alaska's global partners.

Additional reporting by Benji Stawski

Featured image by Michael Rosebrock/Shutterstock

Featured image by (Photo by Michael Rosebrock/Shutterstock)

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Card Rating is based on the opinion of TPG‘s editors and is not influenced by the card issuer.
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Rewards

1 - 3X points
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Annual Fee

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670-850
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Credit ranges are a variation of FICO© Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Why We Chose It

The Citi Premier’s 3 points per dollar spent across a wide range of popular categories is one of the more lucrative offerings in the world of points and miles. The Citi Premier comes with a $95 annual fee and is currently offering a solid sign up bonus of 80,000 points after you spend $4,000 on purchases within the first three months. It also has some valuable transfer partners to make the most of your rewards. Add in access to Citi Entertainment plus a $100 hotel credit for any single-stay hotel booking that exceeds $500 or more, excluding taxes and fees, booked through the Citi travel website, there are few reasons why the Citi Premier should not be in every traveler’s wallet.

Pros

  • Earns 3x points on restaurants, supermarkets, gas stations, air travel and hotels.
  • $100 annual hotel savings benefit (on single hotel stay bookings of $500 or more, excluding taxes and fees, booked through thankyou.com)
  • Points transfer to 16 airline programs, from JetBlue to Virgin Atlantic.
  • World Elite Mastercard benefits, extended warranty, damage and theft protection.

Cons

  • $95 annual fee
  • Lacks travel protections that other travel rewards cards come with
  • For a limited time, earn 80,000 bonus ThankYou® Points after you spend $4,000 in purchases within the first 3 months of account opening
  • Earn 3 Points per $1 spent at Restaurants and Supermarkets
  • Earn 3 Points per $1 spent at Gas Stations, Air Travel and Hotels
  • Earn 1 Point per $1 spent on all other purchases
  • Annual Hotel Savings Benefit
  • 80,000 Points are redeemable for $800 in gift cards when redeemed at thankyou.com
  • No expiration and no limit to the amount of points you can earn with this card
  • No Foreign Transaction Fees on purchases
Best starter travel card
TPG Editor‘s Rating
Card Rating is based on the opinion of TPG‘s editors and is not influenced by the card issuer.
4 / 5
Go to review

Rewards Rate

3XEarn 3 Points per $1 spent at Restaurants and Supermarkets
3XEarn 3 Points per $1 spent at Gas Stations, Air Travel and Hotels
1XEarn 1 Point per $1 spent on all other purchases
  • Intro Offer
    For a limited time, earn 80,000 bonus ThankYou® Points after you spend $4,000 in purchases within the first 3 months of account opening

    Earn 80,000 ThankYou® points
    60,000 points
  • Annual Fee

    $95
  • Recommended Credit
    Credit ranges are a variation of FICO© Score 8, one of many types of credit scores lenders may use when considering your credit card application.

    670-850
    Excellent, Good

Why We Chose It

The Citi Premier’s 3 points per dollar spent across a wide range of popular categories is one of the more lucrative offerings in the world of points and miles. The Citi Premier comes with a $95 annual fee and is currently offering a solid sign up bonus of 80,000 points after you spend $4,000 on purchases within the first three months. It also has some valuable transfer partners to make the most of your rewards. Add in access to Citi Entertainment plus a $100 hotel credit for any single-stay hotel booking that exceeds $500 or more, excluding taxes and fees, booked through the Citi travel website, there are few reasons why the Citi Premier should not be in every traveler’s wallet.

Pros

  • Earns 3x points on restaurants, supermarkets, gas stations, air travel and hotels.
  • $100 annual hotel savings benefit (on single hotel stay bookings of $500 or more, excluding taxes and fees, booked through thankyou.com)
  • Points transfer to 16 airline programs, from JetBlue to Virgin Atlantic.
  • World Elite Mastercard benefits, extended warranty, damage and theft protection.

Cons

  • $95 annual fee
  • Lacks travel protections that other travel rewards cards come with
  • For a limited time, earn 80,000 bonus ThankYou® Points after you spend $4,000 in purchases within the first 3 months of account opening
  • Earn 3 Points per $1 spent at Restaurants and Supermarkets
  • Earn 3 Points per $1 spent at Gas Stations, Air Travel and Hotels
  • Earn 1 Point per $1 spent on all other purchases
  • Annual Hotel Savings Benefit
  • 80,000 Points are redeemable for $800 in gift cards when redeemed at thankyou.com
  • No expiration and no limit to the amount of points you can earn with this card
  • No Foreign Transaction Fees on purchases