US agencies to probe unfair practices in airline loyalty programs in hearing

By Thomson Reuters Apr 15, 2024 | 12:09 PM

WASHINGTON (Reuters) – As part of an effort to protect consumers from deceptive and unfair practices, the U.S. Department of Transportation and Consumer Financial Protection Bureau will hold a public hearing looking into airline loyalty programs, spokespeople for both agencies said on Monday.

The May 9 hearing will include regulators, airline executives, consumer advocates and banking officials. Allegiant Air and Breeze Airways will represent the airline industry.

Loyalty programs include airline credit cards and frequent flyer programs.

The Transportation Department said in December it was scrutinizing the frequent flyer programs of major U.S. airlines for potential deceptive or unfair practices, the agency said as regulators step up oversight of the airline industry.

In March the Department of Transportation said it was reviewing how the 10 largest U.S. airlines collect, handle and use the personal information of passengers.

(Reporting by Chris Sanders; Editing by Chris Reese)