You can now only earn 2 American miles per $1 with Bask Bank — what to know about the changes
Editor's Note
Bask Bank and American Airlines have a partnership that lets AAdvantage members earn interest in the form of miles, meaning members will earn travel rewards instead of interest on their money. This can be advantageous if you value AAdvantage miles highly — especially given the relatively low rates of return on many savings accounts.
Unfortunately, after raising its AAdvantage mile earning rate on its Mileage Savings Account multiple times in recent years, Bask is now lowering it. As of Nov. 1, the rate is decreasing from 2.5 miles to 2 miles per year for every dollar saved. Depending on how much you keep in a Bask Bank account, this could mean missing out on thousands of AAdvantage miles per year.
Let’s take a closer look at Bask Bank’s new Mileage Savings Account rates and how you can use this account to earn miles on your cash savings.
Related: Best uses of American Airlines AAdvantage miles
Bask Bank’s new AAdvantage earning rate
Effective Nov. 1, Bask Bank has lowered the earning rate on its Mileage Savings Account from 2.5 miles to 2 miles per dollar saved per year. This new earning rate applies to new and existing Bask Bank accounts. According to a statement by the bank, "The adjustment is based on a range of economic factors and current market conditions."
Mileage Savings Account members won't be thrilled by this news, but still, 2 miles per dollar is nothing to sneeze at. Since TPG's October 2024 valuations peg AAdvantage miles at 1.6 cents each, that's a return of 3.2% (though in practice, this can be much higher or lower depending on how you redeem your AA miles). This rate is well above what you'd get with many savings accounts, like Chase’s standard savings account, which offers only a 0.01% annual percentage yield on deposited funds. However, at the time of writing, several high-yield savings accounts offer 4.00% APY or more.
Ultimately, the value you'll get from a Bask Mileage Savings Account — and whether it's the right choice for you — will depend on how you redeem your miles. Do the math and see if earning cash or miles on your savings makes more sense. Sometimes, it could be worth splitting your savings between Bask’s Mileage Savings Account and a traditional savings account to diversify your earnings.
Related: How to earn miles in the American Airlines AAdvantage program
What is Bask Bank’s Mileage Savings Account?
Bask Bank’s Mileage Savings Account is a savings account that earns AAdvantage miles instead of interest on deposited funds. Texas Capital Bank owns and operates the bank, so the Federal Deposit Insurance Corporation insures all funds. There’s no monthly account fee to keep your Mileage Savings Account open, regardless of how much you deposit.
Miles earned with the Mileage Savings Account are accrued daily and then deposited in your AAdvantage account monthly. Your monthly payout is based on your account’s average monthly balance. These miles are the interest you earn on your savings, so no cash interest is earned on deposited funds.
For example, if you keep $50,000 in your Mileage Savings Account for one year, you’d earn 100,000 AAdvantage miles based on the new earning rate of 2 miles per $1 saved. This works out to roughly 8,333 AAdvantage miles per month — though the daily accrual process means you’d earn slightly more for months with 31 days and a bit less in other months.
To put this into perspective,100,000 AAdvantage miles is enough to potentially book a business-class seat to Europe or even a first-class flight from Los Angeles to Japan.
It’s also worth noting that Bask Bank sometimes offers bonuses for new members. Right now, you can earn 10,000 AAdvantage bonus miles if you open a Bask Mileage Savings Account by Nov. 30, fund your account within 15 business days and maintain a minimum daily account balance of $50,000 for 180 consecutive days out of the first 210 days.
Bask Bank could be a good option if you have cash in a savings account and would rather earn miles. Just note that you don’t earn Loyalty Points with Bask Bank unless there’s a special offer. So, if you’re chasing AAdvantage elite status this year, check out TPG’s full guide to earning Loyalty Points for other options.
Finally, it’s worth noting that these miles are considered income for tax purposes. Per Bask Bank’s FAQ page:
"AAdvantage miles awarded by Bask Bank for maintaining a deposit balance are viewed as interest income. This income will be reportable to the IRS and to you for the year in which the miles were posted to your AAdvantage account.”
As a result, you’ll receive a 1099 for these earnings.
Related: Why I qualified for American’s top-tier status without plans to fly the airline
Bottom line
Bask Bank has lowered the earning rate on its Mileage Savings Account from 2.5 miles to 2 miles per dollar saved annually. Depending on how much you value AAdvantage miles, this could still be a great way to earn miles on your savings. Just be sure to crunch the numbers (and check with a financial adviser) to see if it makes sense to earn miles instead of interest on your savings. Like anything in the points and miles world, AAdvantage miles could be devalued without notice, effectively devaluing the mileage interest you’ve earned on your savings.
If you're considering opening a Bask Mileage Savings Account, you can earn a new customer bonus of 10,000 AAdvantage miles when you do so by Nov. 30 and meet the offer criteria.
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Rewards
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro offer
Annual Fee
Recommended Credit
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.
Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended 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.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.