Frequent-flyer miles may be hard to use, and could cost you

from Consumer Reports

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By Gene Hartley

Starting in July, some airlines will start charging you when you use frequent-flyer miles to upgrade a ticket—in some cases up to $500! And if you're using your miles to book a free flight, Consumer Reports says, not so fast! Sometimes you're better off paying cash.

Consumer Reports crunched the numbers and found it's a waste to use your miles on certain flights. It's only really worth it on flights that cost $300 or more.

Unfortunately, taking a trip with frequent-flyer miles is still a real challenge. According to Webflyer.com, travelers are most likely to have success redeeming miles with Midwest Airlines, at 69 percent, followed by US Airways, at 67 percent.

In order to get the flight you want, Consumer Reports says book early and have flexible travel dates. And if you don't have enough miles to travel, most airlines allow family and friends to transfer miles to one another. But that can cost you, so be sure to check the airlines' rules. And what happens to your miles if the airline goes bankrupt? Consumer Reports says that with a major carrier, your frequent-flyer program will probably be bought by another major airline and you won't lose your miles. So it usually makes sense to join the big carriers' programs.

If you want to get a seat on a domestic flight without worrying about blackout dates or getting bumped, you can use twice the usual miles. But that option makes sense only if the airfare is over $600.

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