Plane Ticket Refunds and the Law

Enduring flight cancellations, delays, or changes can be frustrating — especially when the airline refuses to compensate you. Further, air carriers can be even less accommodating when you need to change or cancel a flight voluntarily.

But there are several legal protections on refunding, changing, or canceling your airfare — even non-refundable tickets. These protections stem from federal laws and regulations and airlines' internal policies.

For example, in 2013, the Department of Transportation (DOT) issued an order requiring United Airlines to pay a fine of $350,000 for failing to process consumer refund requests promptly. These laws and potential fines put significant pressure on airlines to grant your request for a plane ticket refund.

This page will guide you through your consumer rights for airfare refunds. You'll also learn about the laws and regulations that inform these rights. Knowing your rights and the law can ease the stress of disrupted travel plans due to a flight issue.

For more information on air travel rules and rights, see FindLaw's section on Air Travel Rules.

What Are My Rights for a Flight Refund?

Several laws, regulations, and policies govern plane ticket refunds and associated costs. The circumstances of your flight determine what, if any, rules apply to you. These different protections are below.

Airline Notice Requirements

An airline must give you clear written notice of any terms that:

• Restrict refunds of ticket prices
• Impose monetary penalties on passengers
• Raise ticket prices

Airlines must display these terms on or with your airline ticket. Check your ticket and any fine print to confirm the airline provided adequate notice of any restrictions or fees.

The 'Final Rule' For Automatic Refunds

In April 2024, the DOT issued a Final Rule for automatic and prompt airfare refunds in certain situations. This rule requires U.S. airlines to issue automatic refunds for:

• Cancelled flights
• Significantly changed flights
• Checked bag fees if your baggage gets delayed by 12 hours or more (domestic flights) or 15-30 hours (international flights)
• Extra fees for services not provided (like in-flight Wi-Fi or seat upgrades)

The DOT defines what qualifies as a "significant" flight change. If an airline made any of the following disruptions to your flight, the Final Rule applies:

• Flight delays that result in a departure or arrival time of more than three hours (domestic flights) or six hours (international flights)
• Departures or arrivals from a different airport
• Increases in the number of connections
• Connections at different airports or planes that are less accessible to a person with a disability
• Downgrading you to a lower class of service (like moving you from first class to coach)

Under the new rule, air carriers must provide a cash refund or reimburse costs to your original payment method. They must complete refunds within seven business days for credit card purchases and 20 calendar days for other payment methods. Airlines can offer vouchers or travel credit instead of a cash refund, but you have the right to decline this option.

The Final Rule also changed how airlines must respond to refunds about public health concerns. The rules require airlines to issue travel credits or vouchers should a government agency or medical professional restrict a consumer from traveling due to a serious infectious disease or pandemic. The consumer must request a refund (it is not automatic like the scenarios above). They also may have to provide supporting documentation.

Further, airlines must allow consumers to transfer or use the flight credit for at least five years from the issue date.

The 24-Hour Reservation Rule

Under the 24-Hour Reservation Rule, you can either:

• Have your reservation held at the quoted fare for 24 hours without payment or
• Cancel your reservation within 24 hours and receive a full refund

This rule only applies to reservations made at least seven days before the departure date. But, it applies to all tickets — even non-refundable airfare. An airline also must clearly and fully disclose this rule to you on its website and verbally through reservation agents upon request.

But airlines do not have to make ticket changes free of charge (like changing the date of your flight). In these cases, requesting a refund and rebooking may be cheaper than paying the change fee.

An airline may offer other refund options (like a travel voucher) within the 24-hour reservation period. But you can still demand a full refund using your original payment method.

Overbooking or Getting 'Bumped' From Your Flight

Many airlines have policies in their contracts of carriage covering involuntary refunds (often called Rule 260). The specifics vary by airline, but this generally refers to how the airline handles refunds when they cannot transport passengers as planned. This can include events like:

• Flight cancellations
• Significant delays
• Flight overbooking

Under Rule 260 provisions, you can change or cancel your flight (with a full refund) if an airline refuses to carry you for any of the reasons above. But this only applies if you've already checked in for your flight.

Rule 260 provisions depend on the contract with your carrier. But federal rules also apply if an airline involuntarily bumps you from a flight. Involuntary bumping happens when an airline overbooks a flight and not enough passengers voluntarily give up their seats.

In these cases, the airline must provide a written statement describing your rights and how the carrier decides who to bump from an oversold flight. You may also be entitled to "denied boarding compensation." The compensation amount depends on the price of your ticket and the length of any delays:

• Domestic flights: Up to $775 if you would get to your destination within one to two hours of your scheduled arrival time
• Domestic fights: Up to $1,550 if you would get to your destination over two hours from your scheduled arrival time
• International flights: Up to $775 if you would get to your destination within one to four hours of your scheduled arrival time
• International flights: Up to $1,550 if you would get to your destination over four hours from your scheduled arrival time

Passengers who arrive at their destination within an hour of the originally scheduled arrival are not entitled to denied boarding compensation.

Schedule Change Loophole

Many airlines also have policies allowing a refund if there's a significant schedule change before your departure. Review your carrier's website to determine whether this applies to you. If so, ask an airline representative or ticket agent about a refund — they may not freely offer this option if you don't ask.

What Can You Do if an Airline Refuses to Refund Your Ticket?

If an airline refuses to refund you the money you deserve, you can file a consumer complaint with the Aviation Consumer Protection division of the DOT. Complaints submitted to the DOT are available to the news media and the public.

The DOT also reviews complaints to determine whether carriers comply with all federal consumer protection laws and relies on consumer complaints to initiate enforcement action.

Get Legal Help With an Airline Refund

The laws and regulations for airline refunds are clear. Also, airline tickets include clear terms and conditions listed in the purchase agreement. But airlines can make mistakes and may not follow the law as required.

If you have a dispute with an airline about ticket refunds or a related issue, you can contact a consumer protection attorney for help. An expert attorney familiar with airline refund laws can assess your situation and explain the next steps.

An attorney can negotiate with the airline on your behalf, leading to a faster and more favorable resolution. If necessary, they can also help you file a claim. If so, you want an experienced attorney to handle the legal paperwork and present your claim effectively.