“Troubling Reports” Lead US Dept. of Transportation To Look into Major US Airlines’ Frequent Flyer Programs

If you fly a lot, you might be part of a frequent flyer program.

Air travel

Joining a loyalty program is a popular way to get perks for prioritizing one airline over another when you fly. The more you fly with one airline, the more frequent flyer miles you can get. But, it might not be as easy as you think. A new report states that some major U.S. airlines are being investigated for potential deceptive practices in their loyalty programs.

According to Reuters, the U.S. Department of Transportation (USDOT) is looking into the frequent flyer and loyalty programs of major U.S. airlines after “troubling reports” of unfair and deceptive practices came to light.

Orlando International Airport

Following some concerns raised in Congress, the USDOT has been meeting with passenger airlines to discuss these programs, including “transparency practices when booking award tickets, transferability of miles and notice given before making changes.”

Traveling soon?

The department is also looking into the devaluation of frequent flyer miles over time, which makes it harder for customers to book award tickets. According to Senate Judiciary Committee chair Dick Durbin and Republican Senator Roger Marshal, “airlines are changing point systems in ways that are unfair to consumers, including by devaluing points, meaning it takes more points than initially marketed to achieve the promised rewards.”

Orlando International Airport

Dubin and Marshall co-sponsored a bill this year that would address “outrageous” fees charged by Visa and Mastercard and ensure that large credit card-issuing banks offer a choice of networks over which a transaction may be processed. Major airlines heavily lobbied against the legislation, saying it would threaten their ability to offer rewards credit cards altogether.

Southwest Airlines at the Orlando Airport

This all comes at a time when frequent flyer programs are booming. Delta, which had more than 100 million frequent flyer members in 2020, added a record 8.5 million members in 2022.

Airplane

We’ll keep an eye out for any updates on the matter, so stay tuned to DFB for more!

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