Tue 1 Jul 2008
Spend Your Air Miles Before They Become Worthless
Posted by RichSlick under Watch Out
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Airlines are now charging $25 to $50 to redeem air miles so they’re becoming worth much less every day. Additionally, airlines continue to increase redemption reward miles and with oil projected to hit $150/barrel you might as well get something out of your air miles before they become completely worthless or your favorite airline goes bankrupt!
Here’s a quote from an article,
Delta Air Lines said Monday it will begin charging fees for customers cashing in their frequent flier miles. Starting Aug. 15, Delta will add a $25 fuel surcharge for flights to domestic destinations and Canada. It will charge $50 for international flights.
The other problem is that airlines are cutting flights and destinations as American Airlines has made the most changes.
NEW YORK (CNNMoney.com) — As oil prices continue to break records, the nation’s six leading airlines have announced capacity cuts for 2008, trimming flights in major hubs and cutting off service to dozens of discount destinations.
All told, the industry will cut capacity by 9% in 2008, according to James Higgins, analyst for Soleil-Solebury Research.
I expect to see announcements of even higher miles redemption requirements before the end of the year along with more fees for redemption. It’s really getting ugly in airline land now.
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