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8mo ago

Transportation Department Investigates Airline Rewards Programs

Federal inquiry examines potential deceptive practices in loyalty schemes of major US carriers.

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A United Airlines jet takes off while a Delta Airlines plane taxis at Logan International Airport, Monday, Nov. 21, 2022, in Boston. Travel experts say the ability of many people to work remotely is letting them take off early for Thanksgiving or return home later. Crowds are expected to rival those of 2019, the last Thanksgiving before the pandemic. (AP Photo/Charles Krupa)

Overview

  • Airlines must provide detailed information on rewards programs within 90 days.
  • The probe targets dynamic pricing, hidden fees, and devaluation of rewards.
  • Consumer complaints and impact of mergers on rewards programs are under scrutiny.
  • CFPB supports the investigation, highlighting issues with credit card partnerships.
  • Airlines defend the transparency and benefits of their loyalty programs.