Travelers can soon expect an automatic refund when a flight is delayed or cancelled: DOT

Travel

by Taylor Knight

The Department of Transportation reminded airlines on Wednesday that they must offer “prompt” refunds to customers who missed their flight due to cancellation or delay.

“Travelers deserve a refund when the airline owes them — without the headaches or haggling,” US Transportation Secretary Pete Buttigieg said.

According to the Department of Transportation, travelers are entitled to a full refund if their trip is canceled or significantly changed, or if they do not accept alternative transportation options or decline the travel credits offered.

The administration defines a “significant change” as the departure or arrival times of a flight that has been moved more than 3 hours domestically and 6 hours internationally, the departure or arrival of a flight from a different airport, an increase in the number of flights, or a downgrade of a passenger to a lower class, updated communications. At remote airports and flights on other aircraft that are not accessible to passengers with disabilities.

Before the final rule from Secretary Buttigieg, airlines were free to decide what they considered a “significant change” in their favor, often leaving passengers frustrated without a refund.

Many customers have dealt with confusing refund policies regarding travel issues such as flight cancellations, delays, or changes because each airline has its own rules regarding what qualifies for a full refund.

Even tickets purchased from travel agents and third-party sites such as Expedia and Travelocity are covered by the new rules. ABC News reported.

The regulation does not only apply to canceled flights.

Airlines that fail to provide passengers with additional services they purchased — such as WiFi, seat selection or in-flight entertainment — must also offer a refund for cash, airline miles, or the original method of payment.

“Airlines and ticket agents must issue refunds within seven business days of the refund due date for credit card purchases and 20 calendar days for other payment methods.” The DOT statement said.

Full refunds must include taxes, government-imposed fees, and airline fees.

Passengers who are delayed due to issues with checked baggage, such as lost or mishandled baggage, are entitled to a refund of the full checked baggage fee if the baggage does not arrive within 12 hours of a domestic flight or 15-30 hours of an international flight, although a refund Money may vary depending on the duration of the trip.

The Department of Transport has promised that the new airline rules will be implemented within six to 12 months.

“There are different implementation periods in this final rule ranging from six months for airlines to automatically offer refunds when they are due to 12 months for airlines to offer travel vouchers or transferable credits.” The agency said.

Airlines will be required to notify passengers of immediate changes to their travel plans, whether a canceled or delayed flight, and provide them with a refund for the ticket and additional services purchased.

“Our new rule sets a new standard for requiring airlines to provide cash refunds to their passengers promptly.”