Act fast! Why October is the best time to apply for a Southwest Rapid Rewards card

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 attainable for those who don’t travel frequently because the Southwest credit card welcome bonuses count toward the 135,000-point requirement to earn the pass. You can earn a Companion Pass with just two credit card applications and be on your way to enjoying two-for-one airfare for nearly two years.

Between current Southwest card welcome bonuses and the time given to complete spending requirements, October is the best time to start your journey toward earning a Southwest Companion Pass — so the clock is ticking!

Here’s why you should apply for a Southwest credit card now to get maximum use from this perk.

Southwest credit cards have increased welcome offers

The Southwest personal cards current welcome offer: earn 85,000 bonus points after spending $3,000 on purchases in the first 3 months from account opening. Meanwhile, the business cards are offering different bonuses, but either business card would help you meet the Companion Pass requirements:

• Southwest Rapid Rewards® Plus Credit Card ($69 annual fee) — Earn 85,000 bonus points after spending $3,000 on purchases in the first 3 months from account opening.
• Southwest Rapid Rewards® Premier Credit Card* ($99 annual fee) — Earn 85,000 bonus points after spending $3,000 on purchases in the first 3 months from account opening.
• Southwest Rapid Rewards® Priority Credit Card ($149 annual fee) — Earn 85,000 bonus points after spending $3,000 on purchases in the first 3 months from account opening.
• Southwest® Rapid Rewards® Premier Business Credit Card ($99 annual fee) — Earn 60,000 points after you spend $3,000 on purchases in the first three months from account opening.
• Southwest Rapid Rewards® Performance Business Credit Card ($199 annual fee) — Earn 80,000 points after you spend $5,000 on purchases in the first three months from account opening.

To earn the 135,000 points needed for the Companion Pass, you’ll need to be approved for and then earn the welcome bonuses of just one personal and one business card, given these current bonuses.

Past spending requirements to earn welcome bonuses have been higher on Southwest cards, making the Companion Pass less attainable. But since you could earn the welcome bonuses with a combined spending of $6,000 in three months, now is a great time to apply.

Potential hurdles to avoid

Before applying for any Southwest credit cards, remember that Chase has several application rules that may impact eligibility. You’re not eligible for a Southwest card if you’ve applied for five credit cards in the last 24 months. And if you obtained a welcome bonus in the last 24 months, you won’t be approved for another one.

Also, you’re only allowed to have one of the personal credit card options, so if you already have one, you likely won’t be approved for another. However, you can hold one of each business credit card. Southwest business cards aren’t affected by personal card limitations and aren’t subject to Chase’s “5/24 Rule.”

Lastly, you can’t buy or transfer points to earn a Companion Pass. Any points you purchase directly from Southwest or points you transfer from Chase Ultimate Rewards won’t count toward your eligibility.

You have three months to meet spending requirements and earn the Companion Pass

January is the best time to earn the Southwest Companion Pass. The Southwest Companion Pass is valid through the end of the calendar year following the year in which it was earned. So, it’s important to note that your progress toward earning the Companion Pass resets on January 1.

But what does that mean? Since the Southwest cards give you three months to complete the spending requirements, October is the absolute best time to apply. You’ll complete the spend and qualify for the Companion Pass in January, which is the most opportune time. Let’s explore how the timing of when you earn the pass is crucial:

How to time earning your Companion Pass

Welcome bonuses are one of the easiest ways to earn the Companion Pass but be careful not to earn your welcome bonuses before January. You can spend some of your welcome bonus spending requirement now but absolutely wait until January to finish off that last dollar of spending. The Companion Pass is valid through the end of the following calendar year of which it was earned. This is VERY important.

For example, if you finish your spending on December 10 and your statement closes on December 22, your bonus points will post in 2024, meaning you’ll only have the Companion Pass through the end of 2025. However, if you wait to finish your spending when your statement closes in January, your bonus points will post at the beginning of 2025, and your Companion Pass will be valid for almost two full years until the end of 2026.

October is the perfect time to pick the cards up since the three months you have to earn your spending bonus will carry into January. However, the reason you want to apply now instead of closer to the end of the year is the welcome bonuses are elevated for a limited time only (until October 9, 2024).

If you were to get a personal and business card while the bonuses were increased, those alone would be enough to pass the 135,000-point threshold needed to earn the Companion Pass. If you wait until the offer ends, the lower bonuses likely won’t be enough to pass that threshold.

Holiday shopping season is starting

Meeting credit card spending requirements can be challenging. The best approach is to charge all your expenses to your credit card. The holiday shopping season starts earlier every year, making this feat easier.

Even if you’re not buying holiday presents in October, you have plenty of opportunities to knock out extra credit card spending. During this time of year, people spend more money on gifts, decorations, food, donations and travel. You might also see if you can get discounts on membership fees or monthly dues for places you frequent in full for the year. It’s a great opportunity to channel that extra spending toward a Southwest credit card. You’ll rack up the required spending to earn the welcome bonuses and, therefore, a Companion Pass more quickly. Plus, you’ll have plenty of points to use for travel next year. It’s a win-win-win.

While meeting spending requirements and earning rewards is great, you want to be mindful of avoiding debt during the holidays. That’s an easy trap to fall into this time of year when overspending is tempting. If you’re worried about spending more than you can afford, consider setting a budget for yourself and then overpaying your credit card by that amount. When your credit balance reaches zero, you can stop using the card for new purchases and instead use it to auto-pay utilities and recurring expenses.

You might earn the welcome bonus in time for holiday travel

While January is the ideal time to earn the Companion Pass, Southwest points are useful year-round. If you aren’t concerned about maximizing your time with a Companion Pass, you could choose to complete your credit card spending requirements as soon as possible. While this isn’t the ideal use of these cards, you’ll have a Companion Pass through 2025 and can use the welcome bonuses from the Southwest cards to save on holiday travel this year if you really need it.

Whether you’re traveling over the December holidays or planning a family vacation for winter break, having some extra Southwest points can go a long way. Southwest Rapid Rewards are worth around 1.5 cents toward airfare, according to Bankrate’s valuations.

The bottom line

Southwest’s Rapid Rewards program is popular for a reason. If you’ve had your eye on the Southwest Companion Pass and want to make this airline a go-to for 2025 (and 2026!) rewards travel, there’s no better time to make your move than right now. You can qualify with two Southwest credit card bonuses and will have significant rewards after completing your spending. Pair that with the two-for-one deal on airfare, and you’ll have plenty of opportunities to travel for the next couple of years (if you time it correctly) — for very close to nothing.

*The information about the Southwest Rapid Rewards® Premier Credit Card has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer.