If you’re looking to save money on domestic travel, there’s no better tool than the Southwest Companion Pass. This popular travel hacking tool is surprisingly easy to use, even for infrequent travelers, because the Southwest credit card welcome bonus counts toward the 135,000 points needed to earn the pass. All you need to do is apply for two credit cards to earn the Companion Pass, giving you two-for-one airfare for nearly two years.
Given the current Southwest card welcome bonuses and the time you’re given to complete spending requirements, October is the perfect time to start your journey towards earning a Southwest Companion Pass, which means the clock is ticking.
Here’s why you should apply for a Southwest credit card now to make the most of this perk.
Southwest credit cards increase welcome offers
Southwest’s personal card’s current welcome offer: Earn 85,000 bonus points after you spend $3,000 on purchases within the first three months after account opening. Meanwhile, the business card offers a different bonus, but both business cards can help you meet the Companion Pass requirements.
Southwest Rapid Rewards® Plus Credit Card ($69 annual fee) — Earn 85,000 bonus points after you spend $3,000 on purchases in the first 3 months after account opening.
Southwest Rapid Rewards® Premier Credit Card* ($99 annual fee) — Earn 85,000 bonus points after you spend $3,000 on purchases in the first 3 months after account opening.
Southwest Rapid Rewards® Priority Credit Card ($149 annual fee) — Earn 85,000 bonus points after you spend $3,000 on purchases in the first 3 months after account opening.
Southwest® Rapid Rewards® Premier Business Credit Card ($99 annual fee) — Earn 60,000 points after you spend $3,000 on purchases within the first 3 months after account opening.
Southwest Rapid Rewards® Performance Business Credit Card ($199 annual fee) — Earn 80,000 points after you spend $5,000 on purchases within the first 3 months after account opening.
To earn the 135,000 points needed for the Companion Pass, you’ll need to be approved and earn the welcome bonuses for one personal card and one business card, taking into account your current bonuses.
In the past, the Southwest card’s high spending requirements to earn the welcome bonus made it difficult to get a Companion Pass, but now you can earn the welcome bonus with a total of $6,000 in spending over a three-month period, making now a great time to apply.
Potential obstacles to avoid
Before you apply for a Southwest credit card, keep in mind that Chase has some application rules that may affect your eligibility: If you’ve applied for five credit cards in the last 24 months, you won’t qualify for a Southwest card, and if you’ve earned a welcome bonus in the last 24 months, you won’t be approved for another card.
Also, you can only have one personal credit card, so if you already have one, you may not be approved for another. You can, however, have one business credit card. The Southwest Business Card is not affected by your personal card limits and is not subject to Chase’s “5/24 rule.”
Finally, you can’t buy or transfer points to earn a Companion Pass — points purchased directly from Southwest or transferred from Chase Ultimate Rewards don’t count toward the eligibility requirements.
You have 3 months to meet the spending requirements and earn the Companion Pass
January is a great time to earn a Southwest Companion Pass. A Southwest Companion Pass is valid until the end of the year following the year it is earned, so keep in mind that your Companion Pass progress resets on January 1st.
But what does that mean? With the Southwest card, you have three months to meet the spending requirements, making October the best time to apply. January is your best chance to complete your spending and qualify for the Companion Pass. Let’s take a look at how important timing is in earning the pass.
How to determine when to get a Companion Pass
The Welcome Bonus is one of the easiest ways to earn a Companion Pass, but be careful not to earn it before January. You can spend part of the spending requirement of your Welcome Bonus now, but you’ll have to wait until January to spend every last dollar. Your Companion Pass is valid until the end of the calendar year following the one you earned it. This is very important.
For example, if you finish your spending on December 10th and your statement closes on December 22nd, the bonus points will be credited in 2024, so your Companion Pass will only be available until the end of 2025. However, if you wait until you finish your spending in January when your statement closes, the bonus points will be credited at the beginning of 2025 and your Companion Pass will be valid for almost two years, until the end of 2026.
October is a great time to get the card because the three months you can earn spending bonuses roll over into January, but the reason you should apply now instead of closer to the end of the year is because the welcome bonus will be increased for a limited time (until October 9, 2024).
If you get your personal and business cards while the bonuses are increased, that alone will get you over the 135,000 point threshold needed to earn the Companion Pass. If you wait until the offer ends, your bonuses will be reduced and you may not have enough to get over that threshold.
Holiday shopping season begins
Meeting credit card spending requirements can be difficult. The best way to do this is to pay all your expenses with a credit card. With the holiday shopping season starting earlier each year, this task becomes easier.
Even if you don’t buy holiday presents in October, there are plenty of opportunities to cut back on excess credit card spending. This is the time of year when people spend more on gifts, decorations, food, donations, and travel. Also, see if you can get discounts on membership or monthly fees at places you frequent throughout the year. Take this opportunity to put some of that extra spending toward your Southwest credit card. By racking up your essential spending, you can earn a welcome bonus that will help you earn your Companion Pass sooner. Plus, you’ll have plenty of points to use toward travel next year. It’s a win-win situation.
While meeting spending requirements and earning rewards is great, you need to be careful not to go into debt over the holidays, which is an easy trap to fall into during this time of year when it’s tempting to overspend. If you’re worried about spending more than you can afford, consider setting a budget and overpaying your credit card by that amount. Once your credit balance is at zero, you can stop using the card for new purchases and instead use it to automatically pay utility bills and recurring expenses.
You might get a welcome bonus just in time for your holiday
While January is the ideal time to earn a Companion Pass, Southwest points are useful all year round. If you’re not interested in getting the most out of your Companion Pass, you can choose to complete the credit card spending requirements as soon as possible. While this isn’t the ideal way to use these cards, Companion Passes are valid through 2025, and you can use the welcome bonus on your Southwest card to save money on holiday travel this year if you really need it.
Whether you’re traveling during the December holidays or planning a family trip over winter break, having a few extra Southwest Airlines points can go a long way: Bankrate values Southwest Rapid Rewards at about 1.5 cents toward airfare.
Conclusion
Southwest’s Rapid Rewards program is popular for a reason. If you’ve had your eye on a Southwest Companion Pass and want to make the airline your award travel go-to for 2025 (and 2026!), now’s the perfect time to act. You can earn two Southwest credit card bonuses and get great rewards when you pay off your balance. Combine that with buy-2-get-1 offers on airfare, and you’ve got plenty of opportunity to travel for next-to-free for years to come (if the timing’s right).
*Information about the Southwest Rapid Rewards® Premier credit card was collected independently by Bankrate.com. Card details have not been verified or approved by the card issuer.
