DOT will probe American, Delta, Southwest and United loyalty programs

• The DOT is opening an investigation into airline frequent flyer programs.
• The DOT says airlines may be using points devaluations and other accounting techniques that are not consumer-friendly.
• The DOT is giving airlines 90 days to turn over all documents related to its probe.

The Department of Transportation said it is opening an investigation into airline frequent flyer programs, accusing airlines of potentially illegal points devaluations and other accounting techniques that it says are not consumer-friendly.

“Points systems like frequent flyer miles and credit card rewards have become such a meaningful part of our economy that many Americans view their rewards points balances as part of their savings,” Transportation Secretary Pete Buttigieg said in a statement. “These programs bring real value to consumers, with families often counting on airline rewards to fund a vacation or to pay for a trip to visit loved ones. But unlike a traditional savings account, these rewards are controlled by a company that can unilaterally change their value. Our goal is to ensure consumers are getting the value that was promised to them, which means validating that these programs are transparent and fair.”