tail of an American Airlines plane

Miles Instead of Cash Interest? That’s What Bask Bank’s Savings Account is Proposing

It seems that I often blog about how I have too many savings accounts these days. That’s thanks to my dedication as a reviewer that insists that I get first-hand experience with all of those apps and accounts that grab my attention. Therefore, when I read about how Texas Capital Bank was launching Bask Bank and introducing a savings product that earned airline miles instead of regular interest, I knew I would be adding yet another account to my name.

Here’s how Bask Bank works: for every dollar you hold in your account, you’ll earn one AAdvantage mile on an annual basis. If that sounds super confusing, it just means that, if you keep $5,000 in your account for a full year, you’ll have 5,000 miles afterward (although mile accrual will be based on your average monthly balance). As of January 2020, The Points Guy values AAdvantage miles at 1.4¢ each, so it’s not a bad return — especially if you can find off-season sales or other specials that can further increase this value.

Funny enough, when I was doing some more research, I learned that this actually isn’t a completely new concept. In fact, Texas Capital Bank themselves have attempted a similar scheme with their BankDirect offering, which boasts various AAdvantage mile-accruing accounts from money markets to CDs. Still, Bask Bank seems different enough that I give it credit for stepping outside of the mold.

So what do I think of Bask Bank’s mileage-earning account? Well, first of all, I wish it were Delta Skymiles instead of AAdvantage points being offered as I don’t typically fly American. However, AAdvantage miles don’t necessarily have to be used for American Airlines thanks to airline alliances. Of course the hard part would be to rack up enough points to actually fly somewhere before your miles expire (although, in theory, the 18-month expiry shouldn’t affect you if you’re continuing to earn miles and thus keeping your account active). Personally, since I don’t foresee socking away massive amounts of cash in a Bask account, I’d probably end up using the miles for short flights to cities like Chicago where I could then catch another airline to just about anywhere.

The other obstacle you may be up against is devaluation. While an AAdvantage mile may be worth 1.4¢ on average now, American can easily change that pretty much whenever they want just by increasing the number of miles you’ll need to redeem for flights. Given current trends, I’m not sure how wise it is to invest in such a currency.

Although I’m not 100% sold on whether Bask will ultimately benefit me in the long run, I did decide to give it a shot and open up an account — I’ve got to keep my review queue full after all. On top of that, the 5,000-mile bonus the bank is currently offering to customers who maintain a balance of $1,000 or more for at least 30 days as well as a 1,000-point “Feedback Bonus” for taking a survey made it even easier to opt-into.

With all things considered, you can at least color me intrigued by Bask Bank and their mileage-accruing savings accounts. In fact, part of me hopes they’re able to continue expanding and branching out into other banking services. Nevertheless, in the short term at least, I think I’d rather stick with cold hard cash for my interest payments — or, better yet, continue to invest instead. Will my month-long trial change my mind, though? You’ll have to wait and see.

Author

Kyle Burbank

Founder ~ Moneyat30
Kyle is a freelance writer - including being the head writer for Fioney.com. He also serves as editorial director for the Disney fan site LaughingPlace.com and the founder of Money@30.com. In 2015, Kyle and his wife Bekah moved from Los Angeles to Springfield MO in pursuit of greater financial freedom. Together, the pair enjoy travel, coffee, and spending time with their dog Rigby. Additionally, as of 2023, they become first-time homeowners.

Other Articles by Kyle Burbank

Solis 1 and Solis 5G WiFi devices

Solis's Memorial Day Hotspot Sale is Perfect for Summer Travel

If you're heading overseas this summer, you might find it helpful to have a mobile hotspot with global data at your disposal. So, in what is certainly no coincidence, Solis is having a Memorial Day Weekend sale. As a result, you can currently score discounted hotspots as well as data...
airplane tickets and globe with an airplane

My Initial Experience in the Overwhelming World of Travel Hacking

Over the past few years, my wife and I have had the good fortune of getting to enjoy an increasing amount of travel. This includes heading to domestic locations such as Los Angeles for the D23 Expo and Orlando to visiting Walt Disney World, as well as international travels to Paris, Hong...
bed in MGM Grand King room

Travel Tuesday: MGM Grand King Room Review Revisited

It's been a while since I've added to my Las Vegas Content Bonanza™. Well, that's also because it had been some time since I last had a chance to visit Sin City. But, back in January for CES, that changed. This time around, I spent a week at the MGM...

Leave a Reply

The "Email" field is empty, you must enter some text to proceed.The text you entered in the "Email" field appears to be invalid, please edit it and try again
Get Posts in Your Inbox
Featured Articles
Solis 1 and Solis 5G WiFi devices

Solis's Memorial Day Hotspot Sale is Perfect for Summer Travel

If you're heading overseas this summer, you might find it helpful to have a mobile hotspot with global data at your disposal. So, in what is certainly no coincidence, Solis is having a Memorial Day Weekend sale. As a result, you can currently score discounted hotspots as well as data...
airplane tickets and globe with an airplane

My Initial Experience in the Overwhelming World of Travel Hacking

Over the past few years, my wife and I have had the good fortune of getting to enjoy an increasing amount of travel. This includes heading to domestic locations such as Los Angeles for the D23 Expo and Orlando to visiting Walt Disney World, as well as international travels to Paris, Hong...
bed in MGM Grand King room

Travel Tuesday: MGM Grand King Room Review Revisited

It's been a while since I've added to my Las Vegas Content Bonanza™. Well, that's also because it had been some time since I last had a chance to visit Sin City. But, back in January for CES, that changed. This time around, I spent a week at the MGM...
Go Brewing cans of NA beer

Go Brewing - My New Favorite Non-Alcoholic Beer?

About a year ago, I started taking an interest in non-alcoholic beer after discovering Athletic. While I've never been a big beer drinker, I have long been curious about the craft beer scene and, honestly, may have even been a bit jealous of how my wife got to try all...