How worried should Delta American Express cardholders be about RAT?

I've been watching with interest as datapoints have rolled in of American Express signup bonuses being denied to people who meet the minimum spend requirement with manufactured spend techniques, particularly gift card purchases at unbonused merchants like Simon Malls and I was disappointed to see another datapoint yesterday from Vinh at Miles per Day, who keeps close tabs on this stuff, reporting that a promotional high spend offer on the Starwood Preferred Guest Business American Express card wasn't triggered by Simon Mall gift card purchases.

Will gift card purchases count towards Miles Boost?

I'm about halfway to my first 2018 $25,000 spend threshold on my Delta Platinum American Express card, and have seen my miles post as normal on my first two statements this calendar year. Additionally, my statement accurately shows my year-to-date purchases.

That makes me modestly confident that I'll earn my 10,000 bonus SkyMiles and 10,000 Medallion Qualification Miles when I reach $25,000 in spend — I'll post an update in April or May when I hit that threshold.

Will gift card purchases count towards Medallion Qualification Dollar waivers?

There is a potentially confusing coincidence for Delta Platinum American Express cardholders, since the card accelerates your path to Medallion status in two totally distinct ways:

  • at $25,000 and $50,000 in annual spend, you receive 10,000 bonus Medallion Qualification Miles;
  • at $25,000 in annual spend, you receive a Medallion Qualification Dollar waiver for the Silver, Gold, and Platinum Medallion tiers (a Diamond Medallion Qualification Dollar waiver requires $250,000 in purchases across all your co-branded Delta American Express cards).

For Delta Reserve cardholders the situation is less confusing, since the Miles Boost thresholds are at $30,000 and $60,000, while the Medallion Qualification Dollar waiver is still triggered at $25,000.

While my purchases have so far been earning miles and my year-to-date purchases have been shown on my credit card statements, my Delta SkyMiles account has not been updating to show any progress towards the Medallion Qualification Dollar waiver. That makes me modestly confident that my manufactured spend will not trigger a Medallion Qualification Waiver this year.

Which combination of benefits would justify keeping a co-branded Delta American Express card?

My Delta Platinum American Express card is easily the card I have the most trouble deciding whether or not to keep each year. So far, I've narrowly come down on the side of keeping it, due to:

  • the annual economy companion ticket (subject to fairly onerous fare bucket restrictions);
  • the Miles Boost benefit which brings the earning rate on $25,000 and $50,000 in spend up to 1.4 miles per dollars;
  • the Medallion Qualification Dollar waiver.

I fly Delta often enough and exclusively enough that those benefits have so far convinced me to keep the card.

However, without a Medallion Qualification Dollar waiver, I would only occasionally qualify even for Silver Medallion status, which requires $3,000 in MQD's each calendar year. That would neuter the value of Miles Boost since my Medallion Qualification Miles would expire at the end of any year I didn't reach at least Silver Medallion.

And while I have so far been able to redeem the annual economy companion ticket for flights which retail for more than $195, $195 in airfare is worth just a small fraction of that to me, given my ability to manufacture cheap paid airfare with the US Bank Flexperks Travel Rewards card and Chase Freedom Unlimited and Ink Plus cards. In fact, the new ability to redeem US Bank Flexpoints at full value for flights under $400 makes the companion ticket even less valuable since, as I've explained at length in the past, "companion tickets are a bad deal because they require you to purchase a revenue ticket directly from the airline."

If you can sell your companion ticket to someone planning to purchase an eligible Delta economy ticket for $195 or more, then that's an easy workaround. However, note that friends and family tend to be extremely unamused by such antics!


Delta's exclusive partnership with American Express puts folks who fly Delta by preference or necessity in a bind. If it's not worth carrying a high-annual-fee co-branded Delta credit card, it might still be worth carrying a Membership Rewards-earning credit card, especially one that earns bonus points in easily manufactured categories like supermarkets, since those points can be transferred to SkyMiles (with the payment of an additional excise tax).

However, if American Express is serious, as they seem increasingly to be, about cutting down on the rewards they grant for manufactured spend, then the Delta flyer is ultimately fighting a rearguard action. If manufacturing SkyMiles becomes too onerous, the obvious solution is to stop manufacturing SkyMiles.

I've resisted that step so far because of my fondness for Medallion status, but at the end of the day, if they're not willing to play along, $195 per year can buy a lot of status, and I have plenty of other options to pay for the flights I want or need.