American Airlines raises checked bag fees

If you are flying on American Airlines soon, you may want to pack a little lighter to save a few bucks. The airline has announced it is raising checked bag fees for the first time since 2018. Passengers checking bags at the airport on most flights will now pay $40 for their first checked bag, up from $30. But paying for your first checked bag before you get to the airport will cost $35. Checking a second bag will cost $45, up from $40.

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American Airlines said the price bump has to do with fuel prices making the cost of transporting luggage “significantly higher.” Alaska Airlines and JetBlue have also recently increased checked bag prices. According to the Department of Transportation, in the first nine months of 2023, U.S. airlines raked in $5.5 billion in bag fees; American Airlines accounted for $1 billion of that.

Meanwhile for JetBlue, according to a CNBC report, the airline is bumping its luggage prices in an effort to become profitable while keeping airfares lower.

“While we don’t like increasing fees, it’s one step we are taking to get our company back to profitability and cover the increased costs of transporting bags,” JetBlue said. “By adjusting fees for added services that only certain customers use, we can keep base fares low and ensure customer favorites like seatback TVs and high-speed Wi-Fi remain free for everyone.”

American Airlines also announced on Tuesday, Feb. 20, that it is restructuring its frequent flyer miles to drive more traffic to its own website. Rewards for basic economy tickets will only be available to passengers who book through American Airlines. The airline will soon announce a list of third-party travel agencies whose bookings will earn customer rewards.