American Airlines stops offering miles and other rewards for basic economy fares

American Airlines recently announced a significant change to its loyalty program, affecting members who purchase basic economy tickets. Starting from December 17, 2025, travelers enrolled in the AAdvantage program will no longer earn miles or loyalty points when buying basic economy tickets. This shift marks a departure from the previous policy where members earned two miles and loyalty points for every dollar spent on regular fares.

The decision to exclude basic economy tickets from earning rewards is part of American Airlines’ strategy to stay competitive in the market. As major airlines have introduced bare-bones tickets over the past decade to compete with budget carriers, American Airlines is adjusting its fare products accordingly. While basic economy passengers will still receive some benefits such as a free personal item, carry-on bag, snacks, soft drinks, and in-flight entertainment, the exclusion of reward points may steer travelers towards purchasing more expensive tickets.

Scott Keyes, founder of travel deals website Going.com, commented on American Airlines’ move, stating that the airline is trying to strike a balance with basic economy fares. By rolling back perks and benefits associated with these tickets, American Airlines aims to make them less appealing to passengers who might consider upgrading to main economy for a slightly higher price.

In the most recent quarter, American Airlines reported a loss of $114 million on revenue of $13.7 billion. The airline has been grappling with finding the right pricing strategy for basic economy fares, aiming to make them available without cannibalizing sales of higher-priced tickets.

This change in the loyalty program comes as American Airlines continues to navigate a challenging operating environment. By adjusting its fare products and loyalty program, the airline is adapting to the evolving landscape of the airline industry.

As the travel industry continues to evolve, American Airlines’ decision to exclude basic economy tickets from earning miles and loyalty points reflects the competitive nature of the market. Passengers will need to weigh the trade-offs between cost savings and rewards when booking their flights with the airline.