AA potentially closing accounts due to credit card churning/churn
#601
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I am not opining if the “abuse” is defined as fraud or not, some of which may, or some may be viewed as excesses or gray areas. If it does, yes, everyone should be treated the same. However, if not, or more of a gray area, then it becomes a business decision and some different treatment based on status may be relevant.
#602
Join Date: Aug 2012
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From AA's perspective, it's not their business until the miles are in the accounts of their members. Until then, its Citi's business and area of expertise, and I suspect AA would defer to them on the dispersing process.
#603
Join Date: Dec 2003
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Opening multiple fake AAdvantage accounts, or buying codes, is another matter.
#604
Join Date: Aug 2012
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I don't even have any qualms with this, so long as when AA responds, just don't cry/whine about it. That's all.
#605
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It sounds as though at least AA, if not Citi, determined that what is happenining is an abusive practice and is now taking measures to do something about it. Suggesting that somehow a business forfeits the right to maintain profitability because it has not done so as to one practice or another is absurd.
For those who believe that a private for-profit business will not look at a customer's value in determining what to do, the Brooklyn Bridge is for sale too. While "elite" status is one way to look at the matter, overall profitability is another and it is something that AA, like all customer-facing businesses does. Some people are offered status challenges and others are not. Why? Some people who are caught up here may have their accounts closed and others may be offered a settlement of some sort. Why?
For those who believe that a private for-profit business will not look at a customer's value in determining what to do, the Brooklyn Bridge is for sale too. While "elite" status is one way to look at the matter, overall profitability is another and it is something that AA, like all customer-facing businesses does. Some people are offered status challenges and others are not. Why? Some people who are caught up here may have their accounts closed and others may be offered a settlement of some sort. Why?
#606
Join Date: Dec 2003
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One problem with this thread is that we switch between what AA can do legally, what is in its best business interests and what is ethical behavior by either AA or AAdvantage members. Similarly for Citi. It often seems that someone will say something in one category and get a reply in another.
Among AA's current business problem is that management does not seem very good at delivering value to its shareholders or operating an airline.
Among AA's current business problem is that management does not seem very good at delivering value to its shareholders or operating an airline.
#607
Join Date: Dec 2003
Location: NYC
Posts: 6,423
It sounds as though at least AA, if not Citi, determined that what is happenining is an abusive practice and is now taking measures to do something about it. Suggesting that somehow a business forfeits the right to maintain profitability because it has not done so as to one practice or another is absurd.
#608
Join Date: Aug 2012
Posts: 6,752
One problem with this thread is that we switch between what AA can do legally, what is in its best business interests and what is ethical behavior by either AA or AAdvantage members. Similarly for Citi. It often seems that someone will say something in one category and get a reply in another.
Among AA's current business problem is that management does not seem very good at delivering value to its shareholders or operating an airline.
Among AA's current business problem is that management does not seem very good at delivering value to its shareholders or operating an airline.
And regarding AAL, in my view, I don't think mgt has been effective relative to their peers. Having said that, what's transpired to get AA to this point is not important, only how to turn around their core business.
#609
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Sure I'm in the minority on this issue here, but we should leave ethics/morality out of it--decisions should always be made absent of emotion. We have a free market adversarial system that works well because each person/group/entity/company may act freely to advocate his/their/its respective interest(s). Unlike others, I think conflict is conducive to finding the best solutions, because afterwards the compromise is often the fairest solution for all involved. The process isn't personal and it should never be, and afterwards we call shake hands as gentleman/gentlewomen and move onto the next challenge/obstacle.
And regarding AAL, in my view, I don't think mgt has been effective relative to their peers. Having said that, what's transpired to get AA to this point is not important, only how to turn around their core business.
And regarding AAL, in my view, I don't think mgt has been effective relative to their peers. Having said that, what's transpired to get AA to this point is not important, only how to turn around their core business.
Last edited by JY1024; Dec 22, 2019 at 8:15 am Reason: Merged consecutive posts - please use multi quote
#610
Join Date: Aug 2012
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And, irrespective of my personal views on the notion of fair play, the aggrieved customer, whether it be the $0 or $100K, is free to complain, write letters to AA voicing objections, petition their Cong reps, fire AA, try to sue or whatever and however they'd like to respond.
In my view, it all works out in the end.
#611
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Would you mind explaining why you’d need several of the same AA card rather than one each of three different AA cards? Hard to believe anyone would need three, let alone six or 12, of the same AA card when authorized user cards exist. This is especially true when you consider the $95 annual fee.
I agree, but this is an argument for using AA status as a consideration when deciding to terminate someone or not. From a business standpoint, AA wouldn’t and probably shouldn’t treat a $0 customer and a $100,000 customer the same.
I agree, but this is an argument for using AA status as a consideration when deciding to terminate someone or not. From a business standpoint, AA wouldn’t and probably shouldn’t treat a $0 customer and a $100,000 customer the same.
#612
Join Date: Sep 2009
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Would you mind explaining why you’d need several of the same AA card rather than one each of three different AA cards? Hard to believe anyone would need three, let alone six or 12, of the same AA card when authorized user cards exist. This is especially true when you consider the $95 annual fee...
I cannot think of any logical reason, except abuse.
If you are a $100k customer and opened 3 of the SAME card, I can see AA letting it go. Your ROI as a customer is much greater than the "abuse".
If you are a once a year customer and opened 3 of the SAME card, I can see AA closing your account. Your ROI as a customer is much less than the "abuse".
A business decision. No more. No less.
#613
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No different than an AA agent waiving a $200 change fee for an HVC but not for a peasant. That is $200 cold hard cash in the HVC's pocket which under an egalitarian theory ought not to be there because the fee is specified in the fare rules and those apply to all who purchased a ticket under those rules.
#615
Join Date: Jun 2013
Posts: 531
On a side note, I'm glad this thread has settled down a bit and people are now having mostly respectful discussions about the business, ethics, and implications of this issue.