Travel
Airline CEOs Predict Loyalty Program Doom Under Proposed Legislation
- Bill aims to save consumers money on credit card fees
- Legislation would “kill rewards programs,” United CEO said
The proposal aims to save consumers money by forcing more competition in the credit card payments processing business.
Photographer: Eric Lee/BloombergThe top executives of Delta Air Lines Inc. and United Airlines Holdings Inc. are warning that legislation pending in Congress would devastate popular loyalty programs.
The bipartisan proposal aims to save consumers money by forcing more competition in the lucrative credit card payments processing business. If enacted, it would result in “unbelievable” consumer backlash from its effect on rewards programs, Delta Chief Executive Officer Ed Bastian said in an interview.