United Airlines Stock: Loyalty Program Changes, Oil Prices & FAA Scrutiny – Buy or Sell?

by Priya Shah – Business Editor

United Airlines is significantly altering its MileagePlus frequent flyer program, rewarding credit card holders even as reducing benefits for those without a United-branded card, a change set to seize effect April 2. The overhaul comes as the airline navigates rising fuel costs and faces scrutiny over aircraft maintenance oversight.

The changes, announced Thursday, will see MileagePlus members without a United credit or debit card earning fewer miles per dollar spent on tickets. General members without a card will earn three miles per dollar, down from the current five. Crucially, those members will no longer accrue miles on basic economy tickets. In contrast, United cardholders will earn six miles per dollar, with potential for increased earnings depending on the card type and purchase method, according to the airline.

United is also offering at least a 10% discount on award flights for cardholders, with Premier status members potentially receiving discounts exceeding 15%. This move is explicitly designed to incentivize customers to sign up for United co-branded credit cards and increase profitability per customer, according to the airline.

The program adjustments coincide with a surge in global oil prices, driven by geopolitical tensions. Brent crude rose above $70 per barrel, raising concerns about increased fuel expenses for airlines and potential impacts on profit margins. United’s stock initially fell 5.88% to $110.05 on Thursday before partially recovering with a 2.71% increase on Friday as investors reassessed the situation.

Adding to the challenges, a report released by the U.S. Department of Transportation criticized the oversight of aircraft maintenance. The audit revealed staffing shortages and high turnover within the agency responsible for monitoring United’s fleet. Specifically, the unit overseeing United’s 521 Boeing 737 aircraft is currently operating with 33% of its positions unfilled, with only four inspectors responsible for the entire fleet. The Federal Aviation Administration has pledged to implement the report’s recommendations by the finish of the year.

Andrew Nocella, United’s Chief Commercial Officer, stated that the MileagePlus program is “designed to reward loyalty to United, and our best customers deserve the best benefits in the industry.”

The changes apply to tickets purchased on or after April 2, 2026.

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