Each year, tens of millions of Americans rely on frequent flyer points to help finance their travel, whether to visit family or enjoy a quick vacation. However, these cherished programs could be facing extinction.
Senators Dick Durbin and Roger Marshall have been pushing their credit card bill in Congress for months. If passed, this legislation would drastically alter how credit cards and rewards programs operate, potentially leading to their disappearance, much like debit card reward programs did when similar mandates were imposed.
Many are voicing their opposition to the bill, concerned about its impact. However, Senators Durbin and Marshall seem intent on stifling dissent, even going so far as to enlist the federal government to target their critics, including the airline industry.
A recent study from Airlines for America (A4A) highlighted the detrimental effects the Durbin-Marshall bill would have on the travel and tourism industry, as well as the broader U.S. economy. Nearly 30 million Americans rely on airline-affiliated credit cards to earn rewards and loyalty points. Without these perks, many would struggle to afford additional travel, dealing a severe blow to the American economy.
In 2022 alone, airline credit cards funded fifteen million domestic visitor trips, contributing $23 billion to the economy. The loss of these cards would not only impact travelers but also lead to the loss of thousands of jobs in the travel and tourism sector, affecting cities and states that depend on tourism.
Despite the industry’s opposition, Durbin and Marshall have escalated their efforts against the airline industry. After the industry and airline unions criticized their bill, the lawmakers urged the Transportation Department and the Consumer Financial Protection Bureau (CFPB) to investigate alleged “deceptive practices in airlines’ frequent flyer and loyalty programs.”
Ironically, Senator Marshall took this step shortly after cosponsoring the Don’t Weaponize the IRS Act. This legislation would benefit large retailers but harm everyday Americans, the economy, and jobs in the travel and tourism sector. It raises the question of why such damaging legislation is even being considered.
Americans should not have to forfeit their hard-earned rewards. Furthermore, those who oppose flawed legislation should not fear reprisal from the federal government for expressing their views.
