A year ago I wrote about Lending Club offering up to 100,000 United miles.
At the time they were offering one mile per $2 invested by new customers. You earn better yields than a bank, but there’s some risk. (They claim ‘low risk’.)
Now they’re offering up to 100,000 United miles at one mile per dollar invested by new customers.
They’re promoting 4% – 6% historical returns. This could be worth doing just for the miles, and indeed a reader points out that if you achieved 12% return (for simplicity of the math):
Deposit for the 100k, season for bit, sell on the platform (bids are usually 1 percent below value). If you hold for a month, you might break even. Not risk free by any means.
- Buy in $100,000 and invest, get United miles
- Hold for a month at 12% annualized return
- Your 1% gain should cover the cost to sell your position and pull out your cash
If those assumptions held then $100,000 and a month would net you 100,000 miles. In truth your return is probably somewhat lower and remember this is not risk free.