Right after Air Canada sold off the Aeroplan frequent flyer program a new mileage expiration policy was put into place. In 2006 they started to expire miles after 12 months of inactivity - and then after 7 years no matter what.

They eliminated the 7 year rule in 2013. I wrote last year after Air Canada reacquired Aerooplan that I hoped they'd improve mileage expiration further. And even though they haven't announced full new program details yet, they've introduced two improvements to expiring miles.

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  1. Miles now expire after 18 months of account inactivity, instead of 12
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  3. If your miles expire you have 6 months to take an Air Canada flight or get an Air Canada credit card to reinstate the points for no fee (the option to pay a reinstatement fee remains.

I've kept my Aeroplan miles alive in the past moving just a single Starwood point over to the program, a great feature of that old program. I've also just moved American Express Membership Rewards points over to keep my account active though a single purchase through their shopping portal will do the trick as well. I just like not having to do this as often - and Award Wallet still warns me of course when I need to do it (aside from any messaging Aeroplan may send).

These are user-friendly changes and also makes it easier for Americans (and others outside of Canada) to participate in the program on an irregular basis. I especially like the fee-waived mileage reinstatement options.

It's costly to acquire a customer. Many programs move liability off their books by expiring miles, but if a member engages with the program it can be profitable to keep them. Why impose a cost on the member, a tax on future engagement and profitability? Instead just have them take an action that shows they're valuable to the program. A flight or co-brand credit card does that.

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