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A common question from readers of this blog is point conversion. How do you convert points from one airline to another? ATA and Southwest just made it a little easier.

In most cases, point conversion is a losing proposition, if it’s possible at all. (Try moving miles out of your Delta account! I dare you!)

As I’ve posted before, you’ll almost always lose points in a transfer, either through a clearinghouse like Points.com, or by moving balances from one account to another to another to another. (See Webflyer’s conversion guide to see what sort of hopscotch your points would need to play.)

So having an option for easy transfer is good news for ATA’s customers. The airline already works closely with Southwest by codesharing. Now, ATA customers can cash in 7,250 Travel Awards Points for 16 Southwest Rapid Rewards credits, which equates to one Southwest Airlines roundtrip. No partial conversions.

But is it a good deal? A roundtrip on ATA costs only 6,000 points.

In contrast, Southwest Rapid Rewards customers have been able to cash in their points on ATA for some time, at the same rate (16 credits) as redeeming points for an all-Southwest trip. (Flights to Hawaii cost double.)

So ATA customers are being charged a 20.83% premium. For that premium, they’re freeing their points from capacity controls — the “limited seats available” jargon which most airlines use for their frequent flyer programs, but which Southwest eschews. For some folks, that premium may still be worth paying.

Related:
- Reader mail: Can I transfer points from one airline to another?

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Buying anything on board domestic U.S. flights tends to involve an announcement of the mantra that flight attendants would appreciate exact change. With a few important exceptions, most American carriers stubbornly refuse to accept credit cards in flight.

Now, those exceptions that DO accept credit cards are increasingly going the other direction: Credit only, no cash.

ATA switched to all-credit for onboard purchases last year, and now Hawaiian Airlines is following suit.

American Airlines appears to be the most flexible: accepting both cash and credit at this point.

I prefer having the choice of cash and credit, but honestly, I’ll take credit over cash any day, if only for the receipt (and the miles…)

Related:
- American Airlines now accepts credit cards onboard

If the airlines are going to charge for meals, drinks, headphones, and what-not, then it’s high time they made it easier to pay for the stuff, rather than having the flight attendants state that “exact change is appreciated.” Finally, in a country where everyone seems to use credit cards for everything, onboard use of credit cards is finally hitting the airline mainstream. American Airlines began accepting plastic on board many of its planes this week, with a promise to accept cards on all flights by June.

While credit cards have been accepted on international flights for some time (for duty free purchases), domestic U.S. flights have been oddly credit-card-free.

American Express Co. will provide the airline with portable electronic terminals. We’ve seen similar machines before — if memory serves correctly, United had them briefly a few years ago, but they were unreliable and were pulled after a few weeks. Alternatively, Continental has made it possible to buy “Continental Currency” using credit or debit cards at the self-check-in kiosks. These certificates could be exchanged onboard for alcoholic beverages or headsets. A good start, but still an additional layer of planning for the customer.

Making it easier to buy stuff onboard is in the interest of both the airlines and the flying public. For business travelers on an expense account, having a receipt or charging it to the company card reduces hassle tremendously.

Of course, I’d rather not have to pay for every little thing in the first place, but if I am shelling out the cash, I’d like the option of using my card. Which earns me more frequent flyer miles, after all…

(Update: ATA has also begun accepting credit cards in flight, but goes a step further: not accepting cash. Via USAT.)

tags: travel | air travel | credit+cards | American Express | American Airlines | Continental Airlines