American Express to shake up British Airways Avios credit cards

American Express is making two big changes to its British Airways credit cards that could impact those using the deals to make savings on flights.

From 1 November, both BA Amex and BA Amex Premium Plus customers will need to spend more each year to qualify for the free companion voucher. This is a a perk that allows you to get a second seat for someone travelling on the same flight and cabin as you, or a 50% discount on the Avios price of a flight. And in a double blow for premium cardholders, the annual fee is going up.

Here, Which? explains what the changes mean for existing customers and how the BA credit cards compare to other air mile credit cards.

Please note that the information in this article is for information purposes only and does not constitute advice. Please refer to the particular terms and conditions of a credit card provider before committing to any financial products.

What's changing with the BA Amex cards?

Currently you need to spend £12,000 in a year with the fee-free BA Amex credit card, or £10,000 on the BA Amex Premium Plus credit card, to qualify for a companion voucher.

From 1 November, the qualifying spend to unlock the companion voucher for both cards is rising to £15,000, meaning you will have to spend either £3,000 or £5,000 more.

The annual fee on the British Airways American Express Premium Plus card has also gone up from £250 to £300.

There are no changes to how many Avios points you can earn with the cards.

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How do the changes impact existing customers?

American Express said the qualifying spend will come in from 1 November regardless of when your membership renews. 

So existing customers will need to factor this into their planned spending to make sure they still qualify for the voucher. 

If you hit the current qualifying spend (either £10,000 or £12,000) before 1 November, you’ll still get your companion voucher without having to spend extra. 

But if you don’t hit the current thresholds by 31 October, you’ll have to make sure you spend £15,000 overall before your membership renews. 

For example, if your Premium Plus card renews on 1 February 2025, you’ll have until 31 October to spend £12,000. If you don’t spend this, you’ll need to spend £15,000 by 31 January 2025 to earn your companion voucher. 

If you’re a premium cardholder, you’ll be charged the higher annual fee when your membership renews.

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Why has Amex made these changes?

American Express told Which? it makes changes from time to time to the terms of cardmember accounts: ‘The companion voucher – which has seen numerous enhancements in the past two years – remains an industry-leading credit card benefit, and both cards, with their ability to collect Avios through everyday spending, continue to provide great value for customers.’

These enhancements include: 

June 2022: using your companion voucher as a solo traveller by getting a 50% discount on the Avios price of the flight.

June 2022: customers have more payment options when redeeming the companion voucher,  such as choosing to pay less cash and more Avios, or vice versa.

December 2022: customers can redeem their companion voucher on routes with Iberia and Aer Lingus, as well as British Airways.

 Find out more:

How do the BA credit cards compare?

American Express isn’t the only credit card that can help you cut the cost of flights.

Barclaycard has two credit cards, a free and premium version, that allow you to earn Avios on your spending and extra perks. 

With Barclaycard you’ll get a cabin upgrade voucher, or 7,000 Avios points if you spend a certain amount in a year. This entitles you to a cabin upgrade for two passengers on a one-way journey or one passenger on a return or one-way trip, when you make a reward flight booking.

We’ve compared the cards below and ordered them by lowest representative APR.

The British Airways Amex Credit Card is still the most competitive fee-free card on the market, due to the companion voucher offered. 

Even though the qualifying amount is increasing, you still need to spend less than the free Barclaycard Avios (£20,000) to get the additional perk.

For those who are willing to pay an annual fee for more points, the Barclaycard Avios Plus card may now be a better option than the premium BA Amex. 

The Barclaycard Avios Plus Credit Card is £60 cheaper a year than the British Airways American Premium Plus and you earn the same rate of Avios per £1 spent. Plus, the qualifying spend for an upgrade voucher is the same needed for a companion voucher with the premium Amex card. You just need to weigh up whether an upgrade or companion voucher is more beneficial to your travel plans.

Find out more

source https://www.which.co.uk/news/article/american-express-to-shake-up-british-airways-avios-credit-cards-avKtG0g0dNNJ