Aeroplan Adds Warning to Pay Yourself Back Feature

Aeroplan Adds Warning to Pay Yourself Back Feature

In January of this year Chase launched a new redemption option Aeroplan cardholders who can redeem Aeroplan miles for purchases made with the card, at a value of 1.25 cents each. There’s no limit on how many points you can redeem through December 31, 2023. After that, there’s a cap of 50,000 points.

But Aeroplan being a transfer partner for Chase Ultimate Rewards, American Express Membership Rewards, Capital One Miles, and Bilt Rewards, this sounded like an amazing opportunity. In theory it provides a 1.25 cash-out option for all those programs.

However, a Chase representative told us soon after that “Air Canada and Aeroplan’s intention is that the Pay Yourself Back feature be used for points earned with Chase, through the Chase Aeroplan Card or Ultimate Rewards Points Transfer.” And they’re going after those that use the Pay Yourself Back feature for unintended purposes. At least one cardholders has all accounts shut down by Chase, after cashing out around 5 million points.

Now Aeroplan has a warning on its Pay Yourself Back page, with a reminder for cardholders:

REMINDER: Only Aeroplan Points earned under the Aeroplan Program, the Chase Aeroplan Card, and Chase Ultimate Rewards can be used for Chase Pay Yourself Back. Points converted from other programs are not eligible. If you proceed contrary to these terms, the Aeroplan Program and Chase Aeroplan Card reserves the right to reverse your point redemption or freeze your Aeroplan Membership account.

So clearly they’re watching these redemptions more carefully. It’s best to abide by the rules, especially if you’re redeeming very large amounts of points, as those are the most likely targets.