American Airlines Cuts Loyalty Rewards For Its Budget Travelers

If you’re a frequent flyer who loves snagging those dirt-cheap basic economy fares, we’ve got some news that might make you rethink your booking strategy. American Airlines just pulled the plug on loyalty rewards for their cheapest ticketing option, and they did it so quietly that most travelers didn’t even notice until others spotted the change buried in the fine print.

The Change That Caught Everyone Off Guard

A few days ago, American Airlines quietly stopped awarding AAdvantage miles and loyalty points for basic economy tickets. No email announcement. No press release. Just a stealth update to their terms and conditions that frequent flyers discovered on their own.

American confirmed the move, stating: “We routinely evaluate our fare products to remain competitive in the marketplace.” The airline added that “Customers who purchase a basic economy ticket on December 17, 2025, and beyond will not earn AAdvantage miles or loyalty points towards AAdvantage status.”

There’s a silver lining if you booked before the cutoff: anyone who purchased a basic economy ticket on or before December 16, 2025, will still earn their miles and points, even if the actual flight isn’t until sometime in 2026.

What You’re Still Getting (And What You’re Losing)

Let’s break down what basic economy passengers still receive. According to American Airlines, “Basic economy customers will continue to receive one free personal item and one free carry-on bag, free snacks, soft drinks and in-flight entertainment.”

But here’s what stings: up until this change, basic economy fares earned two miles and two loyalty points per dollar spent. That was already a reduction from the five miles and five points they offered before 2022, but at least it was something. Now? Zero.

How This Stacks Up Against Other Ticket Types

If you’re willing to spend more, every other American Airlines ticket class still earns you rewards. Main cabin tickets (typically $30-$90 more than basic economy on domestic routes), main cabin extra, premium economy, business, and first class all earn points based on your AAdvantage status level. Zero-status members get five loyalty points and five miles per dollar, while Executive Platinum members score 11 points and miles per dollar.

Is American Airlines Shooting Itself in the Foot?

The obvious play here is to push travelers toward pricier tickets, but there is a risk: budget-conscious flyers might just bail and book with ultra-low-cost carriers like Spirit or Frontier instead. Then again, Delta pulled the same move back in 2021, cutting loyalty points from basic fares, and they’ve actually thrived since then.

Rob Burgess, editor of frequent flyer site headforpoints.com, puts it bluntly: “Basic economy is an odd concept. The ‘big three’ U.S. legacy airlines created it so that, in flight searches, they price-match low-cost carriers such as Frontier and Spirit.”

He continues: “However, they really don’t want you booking it. It has been as unattractive as possible – tickets can’t be changed, you don’t get free checked luggage, you don’t get free seat selection and you have to board last, meaning your hand baggage may be taken off you due to full overhead bins.”

Burgess adds: “American clearly wants to make basic economy even less attractive. These tickets already earned fewer miles than standard economy tickets, but moving to nothing is a very harsh move.”

The Bottom Line for Your Travel Plans

Perhaps the most frustrating aspect? The lack of communication. Burgess notes: “What’s more concerning is that members have not been informed of this change, except via a message posted on the AA website.”

If you’re someone who’s racking up miles for status or future flights, this change makes basic economy a non-starter. The math is simple: spending an extra $30-90 on a main cabin ticket not only gets you those loyalty perks back but also gives you more flexibility and better boarding priority. For frequent travelers building toward elite status, that investment pays for itself.

For occasional flyers who don’t care about miles (or where you sit)? Basic economy might still make sense if you’re purely focused on getting from point A to point B as cheaply as possible. Just know you’re leaving rewards on the table, and American Airlines is counting on that being enough to change your mind at checkout.