US Airlines Refund Rules: What Travellers Need to Know
Dealing with flight delays and cancellations is frustrating enough, but the process of getting a refund can make it even worse.
Fortunately, new rules issued by the Department of Transportation (DoT) in October 2024 make things easier for travellers by requiring automatic refunds from airlines when flights are cancelled or severely modified.
As of October 28, 2024, airlines operating flights to, from, or within the United States (US) are required to issue automatic cash refunds for flights that are cancelled or significantly altered, without passengers needing to make a request. This change aims to eliminate the hassle of navigating complex refund processes.
According to Secretary of Transportation Pete Buttigieg, passengers should get their refunds “without headaches or haggling,” and airlines must provide quick refunds.
When You're Eligible for an Automatic Refund
Under the new rules, refunds are granted if:
- Your flight is cancelled: If your flight is cancelled for any reason, including weather, you can receive an automatic refund if you decline any alternative flight or compensation, like a travel voucher.
- Your flight experiences a “significant change”: The DOT defines this as changes of more than 3 hours for domestic flights or 6 hours for international flights, changes in airports, increased connections, downgrades in service class, or if the new flight becomes less accessible for passengers with disabilities.
If you paid with a credit card, airlines must refund you within 7 business days.
For other payment methods, refunds must be processed within 20 calendar days.
Baggage Delays: Get Your Fee Refunded
If your checked baggage is delayed by more than 12 hours on a domestic flight or between 15 to 30 hours on an international flight, you are entitled to a refund of the baggage fee.
To claim this, you’ll need to file a “mishandled baggage” report at the airport’s baggage service desk and provide a reference number to track your report on the airline’s website.
Refunds for In-Flight Services You Didn’t Receive
Paid for Wi-Fi, seat selection, or entertainment, but didn’t get it? The new rules require airlines to refund you for these in-flight services if they were not provided.
Refunds if You’re Too Sick to Travel
If you’re advised by a doctor or health authority to avoid travel due to a serious communicable disease, airlines must offer you a voucher or credit valid for at least five years. However, you may need to provide medical documentation, such as a doctor’s note, to qualify.
How the New Rules Benefit Travellers
These rules aim to streamline the refund process so travellers don’t have to hunt through airline websites or wait for hours on customer service calls. Airlines must now inform passengers affected by delays or cancellations about their right to a refund.
If an airline isn’t following these rules, passengers can file a complaint with the DoT. Complaints help hold airlines accountable and have led to millions of dollars in fines and refunds for consumers in recent years.
With these new protections, the DoT is aiming to make airline refunds quicker and less of a headache, so passengers can focus on their trip rather than the fine print.
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