June 14, 2024
New Bask Bank Offer: A Straightforward Way To Earn 82,500 Miles In Six Months Without Spending Money

New Bask Bank Offer: A Straightforward Way To Earn 82,500 Miles In Six Months Without Spending Money

I receive compensation for content and many links on this blog. Citibank is an advertising partner of this site, as is American Express, Chase, Barclays and Capital One. Any opinions expressed in this post are my own, and have not been reviewed, approved, or endorsed by my advertising partners. I do not write about all credit cards that are available — instead focusing on miles, points, and cash back (and currencies that can be converted into the same). Terms apply to the offers and benefits listed on this page.

I haven’t written about Bask Bank since last summer, even though it’s one of the best ways to earn miles without actually spending money.

The Bask Mileage Savings Account awards 2.5 American Airlines AAdvantage®️ miles per dollar saved annually. It’s a savings account that awards miles instead of money. This is one of the highest returns possible, and there are attractive tax reasons to like this as well.

20,000 Mile New Customer Bonus

Right now, they have a new customer offer of 20,000 bonus miles for $50,000 in deposits held for 6 months. That’s in addition to the current 2.5 miles per dollar saved annually that you earn on those funds.

  • After 6 months with that $50,000 deposit, you’ll have earned 82,500 miles (62,500 miles plus 20,000 bonus miles). That’s enough for one-way business class between the U.S. and Australia on Qantas.
  • Or leave the funds in the account for a year, and you’ll have 145,000 miles. That’s more than enough miles to qualify for a roundtrip business class award on Qatar Airways or Etihad between the U.S. and the Mideast, India, or even the Maldives. Roundtrip business class between the U.S. and Africa on Qatar Airways is 150,000 miles.

Or add the 145,000 miles to 5,000 already in your account, and book roundtrip first class (not even just business) to Australia.

Here are key details of the new customer offer:

To qualify for this offer, you must be a first time Bask Mileage Savings Account customer, open a Bask Mileage Savings Account between June 1, 2024 and August 31, 2024, fund your Bask Mileage Savings Account within 15 business days following the initial account opening and maintain a minimum daily account balance of $50,000 for 180 consecutive days following the initial account opening.

Close to travel, the cost of American’s premium cabin Australia awards have been dropping a lot in my searches.

American Airlines Flagship First Class

Qantas First Class Lounge, Sydney Accessible When Departing American Airlines First Class

Why This Can Beat Other Places To Park Cash

If you value American AAdvantage miles at 1.5 cents apiece then earning 2.5 miles per dollar saved annually is a 3.75% return.

However, you need to adjust this for taxes. Bask Bank has reported the miles I’ve earned for tax purposes at a value of 0.42 cents apiece. Assuming that doesn’t change over the next year,

  • Earning 82,500 miles (worth $1,237.50) saving $50,000 for 6 months would generate a 1099 tax reporting form showing a value of $346.50.
  • If you pay taxes on those miles with a hypothetical combined federal and state income tax rate of 47%, you’re paying $162.86 in taxes. That means netting $1,074.64 in value after taxes.
  • Compare that to a hypothetical 5.50% APY. I do not know of any savings account in the country paying 5.5%. That same $50,000 saved would yield $1,375, $642.25 in taxes, and a net of $732.75.
  • You’re coming out better than 46% ahead with this offer over the six month promotion period!

That’s a lot of numbers to say that this is a really aggressive offer to open an account and hold a large deposit with Bask Bank.

American Airlines in Providenciales, Turks & Caicos

A Good Place For Even Small Deposits, Too

Even very small deposits are worthwhile with this account, since there are no minimum balances and earning even a single mile regularly can extend expiration of your miles.

Texas Capital Bank launched Bask Bank in 2020, offering online savings accounts that earn American Airlines AAdvantage® miles. I love that they’ve continued to improve the value proposition since then, increasing earning from the original 1 mile per dollar saved annually to 1.5 miles per dollar, then 2 miles per dollar, and now 2.5 miles per dollar saved annually. They clearly want this to be a very attractive value proposition.

I’ve been a customer of Texas Capital Bank since July 2003 when I first opened a checking account with them. I’ve been with them for over 20 years.

This is a great way to save money and a great way to earn miles. It’s free, quick and easy to sign up, and earning miles for your savings is a better deal than you’ll find from most savings accounts.

My primary way I’ve used my savings account is to put away money for my annual property taxes. That’s one of my biggest expenses each year. It’s something most people don’t earn miles for. Bask Bank helps me set aside the funds and earn miles for it at the same time. It’s an account I’ve kept for the past four years, and the current offer is a good time to open one.

Texas Capital Bank d/b/a Texas Capital is a member of FDIC. Bask Bank is a division of Texas Capital Bank.

Mile awards are subject to change at Bask Bank’s sole discretion. Please see Terms and Disclosures for details.

American Airlines reserves the right to change the AAdvantage® program and its terms and conditions at any time without notice and to end the AAdvantage® program with six months notice. Any such changes may affect your ability to use the awards or mileage credits that you have accumulated. Unless specified, AAdvantage® miles earned through this promotion/offer do not count toward elite-status qualification or AAdvantage® Million MilerSM status. American Airlines is not responsible for products or services offered by other participating companies. For complete details about the AAdvantage® program, visit aa.com/aadvantage.

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