Business

American Airlines ends cheap flight rewards. What Charlotte passengers can expect

As American Airlines continues to dominate Charlotte’s airport, local passengers buying the cheapest seats will no longer earn award points as basic economy customers.

The airline, which accounts for 90% of flights at Charlotte Douglas International Airport, began the new systemwide policy last Wednesday for its AAdvantage program.

This means customers will have to book a higher-priced ticket if they want to rack up frequent flyer miles or loyalty points. They no longer are available for basic economy tickets.

AAdvantage’s perks for travelers

Before the change, AAdvantage members earned 2 miles and points per dollar spent on basic economy tickets, reported The Points Guy, a travel website that too covers credit card rewards, airline miles and hotel points.

American’s decision was made to match competitors like Delta and United, said Senior Aviation Editor Ben Mutzabaugh from The Points Guy said. This will drive customers to spend more on regular economy tickets or reduce the cost of giving away awards on low-margin fares.

“If you’re a customer who likes cheap tickets, this obviously isn’t the news you’re hoping for as we head into the holiday season,” Mutzabaugh said.

What’s next for basic economy flyers?

American Airlines credit card holders or elite status customers also will not earn miles on basic economy fares, he added. But they can keep some perks like seat selection or extra legroom, depending on their status.

In a statement sent to media outlets, American said it routinely evaluates fare products to stay competitive in the market. “Basic Economy customers will continue to receive one free personal item and one free carry-on bag, free snacks, soft drinks and in-flight entertainment,” American said.

American Airlines did not respond to requests for comment from The Charlotte Observer on the impact the change could have on Charlotte airport passengers.

This photo shows the interior of a commercial airplane’s main cabin, featuring a row of dark gray economy seats along the window. The seats are modern with adjustable headrests, and three oval passenger windows are visible in the bright daylight.
This photo shows the interior of a commercial airplane’s main cabin. American Airlines ends awards miles for passengers with basic economy seats, starting Dec. 17. Photo by American Airlines

Some American Airline customers vent about the change

Still, American Airlines customers weren’t too happy about the change.

“I am old enough to remember when becoming a lifetime Gold member meant something. Today, it’s as useful as a screen door on a submarine,” one user said on X.

Another X user said, “People want (American) to change this? They need to see a decline in bookings for their flights. That will make them backtrack. They have a history of making wrong decisions and then reversing course.”

To earn miles, travelers must now book main cabin fares, which typically cost around $30 more, though this varies by route, according to Mutzabaugh.

American Airlines, the largest provider of flights at Charlotte Douglas International Airport, slashed its award perks program for basic economy customers.
American Airlines, the largest provider of flights at Charlotte Douglas International Airport, slashed its award perks program for basic economy customers. John D. Simmons For the Observer

With Charlotte being the second-largest hub for the Fort Worth-based airline, the backlash may be limited because passengers don’t have many other choices, Mutzabaugh added.

But he believes this will not stop people from booking flights, especially those trying to save money.

“If you’re buying a basic economy fare, you’re probably more price conscious than you are concerned about earning miles ... they are different buckets of travelers,” he said.

This story was originally published December 23, 2025 at 5:33 AM.

Chase Jordan
The Charlotte Observer
Chase Jordan is a business reporter for The Charlotte Observer, and has nearly a decade of experience covering news in North Carolina. Prior to joining the Observer, he was a growth and development reporter for the Wilmington StarNews. The Kansas City native is a graduate of Bethune-Cookman University.
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