DOT Announces New Refund Rules for Delayed or Canceled Flights
The U.S. Department of Transportation (DOT) has implemented new rules regarding refunds for passengers whose flights are significantly delayed or canceled. Under these new regulations, airlines are obligated to promptly and automatically refund travelers in such circumstances. Additionally, refunds must be provided for substantial delays in the arrival of checked baggage.
Prior to this rule change, airlines were permitted to establish their own standards for determining which flight disruptions warranted a refund. As a result, refund policies varied widely from one airline to another. However, with the implementation of these new regulations, travelers can now expect consistent refund policies across airlines.
In recent years, the DOT received a substantial number of complaints against airlines and ticket agents for refusing or delaying refunds. These new rules aim to address this issue and provide passengers with greater protection.
According to the DOT, a significant delay is defined as a flight delay of more than three hours for domestic flights and six hours for international flights. Airlines are required to issue full refunds in cash or the original payment method used for the purchase. Vouchers, travel credits, or other forms of compensation can only be offered if the passenger chooses to accept them as an alternative.
Travelers will also be entitled to refunds if airlines fail to provide promised extra services such as Wi-Fi, seat selection, and in-flight entertainment. Airlines and ticket agents must issue refunds within seven business days if the purchase was made using a credit card or within 20 calendar days for other payment methods.
These new DOT regulations aim to ensure that passengers are fairly compensated in the event of significant flight disruptions. They provide travelers with greater reassurance and empower them to hold airlines accountable for fulfilling their obligations.
