It Will Soon Be Easier to Get Flight Refunds, Thanks to This New DOT Rule

24.04.2024 - 21:29 / cntraveler.com / Pete Buttigieg / Airlines

Flight delays and cancellations are some of the most un-fun issues to deal with while traveling. Even more of a headache? Trying to get a refund from the airline for your airfare or for any extra fees you paid for, like checked baggage.

But now, in a big win for travelers, the Department of Transportation is making it easier than ever to get a full refund for canceled or significantly delayed flights. On Wednesday, the DOT announced new federal rules on how—and when—airlines must give customers their money back. The new rules apply to flights to, from, or within the United States on foreign or domestic carriers, making them some of the most consumer-friendly regulations the industry has seen to date.

“Passengers deserve to get their money back when an airline owes them—without headaches or haggling,” Secretary of Transportation Pete Buttigieg said in a release on Wednesday. “Our new rule sets a new standard to require airlines to promptly provide cash refunds to their passengers.”

The new rule will go into effect 60 days after its official publication in the Federal Registrar (as of the time of publication, the final rule has not yet been published). Airlines will then have a grace period of six months to one year (depending on the type of refund) to implement the new policies.

Here’s a breakdown of the new rules and how they will impact passengers:

Under the new rules, passengers are entitled to automatic refunds for flights that are canceled, significantly delayed, or experience a “significant change” for any reason—including “uncontrollable” factors such as weather. This applies only if alternative transportation or travel vouchers aren't available or are rejected by the passenger. That’s the key condition. If an airline is able to book you on another flight—on the same day or even the next—and you accept it, then the new rules don’t apply. But if you refuse the rebooking, then you are entitled to the automatic refund.

Additionally, the new rule defines what the DOT considers a “significant change” for the first time. Adjustments to a flight itinerary that meet any of the following criteria will be considered significantly changed—and therefore, entitled to a full refund:

This is a major change—and a big deal for passenger rights—because previously, the government left it up to the airlines to choose for themselves what they considered a long enough delay to warrant a refund. (Meaning, they weren’t given often.)

In another win for travelers, the DOT has spelled out how refunds must be issued. The refunds must be automatically issued “without passengers having to explicitly request them or jump through hoops.” They must also be prompt, given within seven business days for credit card purchases and