Southwest Airlines Changes: No Free Checked Bags and More Bad News

Southwest Airlines Changes - Points Devaluation, No Free Checked Bags, No Open Seating

Southwest Airlines is making significant policy changes that will impact passengers starting May 28, 2025, with some changes taking effect immediately. These adjustments include points devaluation, flight credit expirations, baggage fees, and a shift to assigned seating. Here’s what you need to know about the latest Southwest Airlines news.

New Baggage Fees

End of Two Free Checked Bags

Southwest has offered a policy of two (2) free checked bags for its entire 54-year history, but now it’s ending. Only A-List Preferred members and Business Select tickets will continue to receive this benefit. A-list members will receive one (1) free checked bag. It’s yet to be seen if a free checked bag will be offered with any of the Southwest credit cards, which is a standard on competitor airline cards. 

Costs for Southwest Checked Baggage

The exact pricing for checked bags has yet to be announced, but Southwest policy changes are expected to be in line with industry standards.

Points Devaluation and Expiring Flight Credits

Reduced Point Earning for Economy Fares

Southwest Airlines points (Rapid Rewards program) are being devalued by reducing points earned on “Wanna Get Away” and “Wanna Get Away Plus” fares while increasing points for Business Select fares, which could push customers to fly with another airline. The airline is also introducing dynamic pricing for award flights, meaning point values will fluctuate based on demand, potentially diminishing the value of frequent flyer rewards.

Flight Cancellation Credits Now Expire

Flight credits from cancellations or itinerary changes will expire within 12 months, a departure from the current no expiration policy. This change means travelers will need to plan carefully to avoid losing their funds.

Assigned Seating and New Fare Structure

The End of Open Seating

By early 2026, Southwest will replace its open seating policy with assigned seating, marking a major departure from its decades-old boarding system, which allows customers to choose their seat. Surveys indicate many customers now prefer knowing their seat assignments before arriving at the airport, so this change may be welcomed by some.

How Assigned Seating Will Work

The airline has laid out a seating plan that includes extra legroom seats, preferred seats, and standard seats. Premium seating options (all but standard seats) will be available for an additional cost. Boarding will now be similar to other airlines, with elite status members, premium seat tickets, and credit card holders receiving priority boarding. They’ve also stated that Rapid Rewards Credit Cards will get various new seating upgrade benefits.

Introduction of Basic Economy Fares

Southwest is adding a Basic Economy fare option, mirroring offerings from airlines like Frontier and Spirit. This fare will provide a seat at a lower price but come with added restrictions. The airline hopes this move will help it compete in the ultra-low-cost segment.

Southwest airlines fare updates chart

Southwest Airlines Changes: The Bottom Line

Southwest’s sweeping policy changes aim to improve profitability but have already alienated loyal customers. As these new policies take effect, passengers will need to rethink their options for booking airfare with another airline. With these major changes, Southwest has lost its value proposition and differentiation among airlines.

Read more articles related to the Southwest Airlines changes:

Editor’s note: Opinions shared in this article are solely the author’s and do not represent the views of any bank, credit card issuer, hotel, airline, or other organization. The content has not been evaluated, approved, or endorsed by any of the mentioned entities. These are our recommendations but it isn’t financial advice. We may receive a commission if you click through any of the links in this article.

Share this article: