Senator wants review of frequent flier mile rules

Senator wants review of frequent flier mile rules

ALBANY, N.Y. — U.S. Sen. Charles Schumer is calling for a federal review of complaints by consumers that they are losing millions of frequent flier miles without notice in confusing agreements.

He wants to establish industry rules for frequent flier programs that are billed as a free benefit to help attract and retain customers. There are few restrictions now on how airlines can manage and redeem the miles.

Schumer says he suspects consumers are actually paying for frequent frier programs through air fare and fees. If so, he said rules are needed to protect consumers. He’s asking the Department of Transportation to review the complaints.

“As the holiday travel season approaches, we cannot let airlines and credit card companies continue to fly off with hard-earned frequent flier miles,” Schumer said. “When a consumer accumulates valuable frequent flier miles, they should not have to constantly worry that they are going to expire with little or no notification from the airline.”

InsideFlyer magazine finds the lack of consumer protections on frequent flier miles a common concern. Complaints include miles expiring without clear notice and a frequent change in the value of the miles, according to magazine spokeswoman Michelle O’Neill.

Other complaints include confusion over how many miles can be accumulated for certain trips, O’Neill said.

Ten trillion unused frequent-flier miles worth $165 billion are in circulation now, Schumer said. But 20 percent of them may never be redeemed, he said.