The 2% Fee Behind the American Travel Boom

Skift Take

Airlines and hotels have built huge businesses on America’s uncapped card fees, but rarely talk about what makes them possible.

The premium American travel economy runs on the unusually profitable economics of the American credit card system. Every card swipe at a grocery store or a restaurant generates fees for the bank that issued the card, and the largest of those fees is one most travelers have never heard of.

It is called interchange fee, it is paid by the merchant, and unlike in most other wealthy economies, it is uncapped in U.S. The loyalty programs, the co-brand checks, and the bank-built lounges that define American travel sit on top of it.

The scale is huge: Delta collected $8.2 billion from American Express in 2025, about 14% of its adjusted operating revenue and roughly 1.4 times its operating income. Delta expects the figure to reach $10 billion. American Airlines received $6.2 billion from its co-brand cards and other partners, roughly four times its adjusted operating income, and has signed a 10-year exclusive with Citi projected to add about $1.5 billion in annual

Reporting originally appeared via Skift Travel News. Read the full source for additional context.