HOUSTON – Airlines will now be forced to offer full refunds for flights that don’t get off the ground or are delayed, among other issues.
The U.S. Department of Transportation announced the new rule on Wednesday. Transportation Secretary Pete Buttigieg calling this new set of regulations the end of the “refund runaround.”
In the rule released the U.S. DOT, airlines will now be required to offer automatic full cash refunds for all canceled flights as well as significantly changed flights.
“No more refund runaround, and no more defaulting to a travel credit that expires,” Transportation Secretary Pete Buttigieg said.
Our department just issued rules to protect people from hidden airline fees and to require airlines to give passengers automatic cash refunds when owed. No more having to fend for yourself and jump through hoops to get your money back—airlines will have to automatically do this. pic.twitter.com/Jv7dFmnNkI
— Secretary Pete Buttigieg (@SecretaryPete) April 24, 2024
This includes domestic flights delayed by more than three hours and international flights delayed by six hours, flights arriving or leaving from a different airport, added connections or if passengers are downgraded to a lower class. The rule also takes effect if a connection is at an airport or on a flight using a different plane that are less accessible or accommodating to someone with a disability.
“In the past, you have to run through hoops, rings of a fire before you could get stuff,” travel expert Pete Trabucco said.
“And I think it sounds very fair and even to everyone. Not just if you complain,” Amanda Watson, who was traveling to Houston’s Hobby Airport from Vermont, added.
Your bags are also impacted by the new regulations.
If luggage is lost or delayed by more than 12 hours for domestic flights and 15-30 hours for international flights, passengers will be entitled to a full refund.
“It’s an automatic prompt, and you want it in cash or in the original way,” Trabucco explained.
“It’s not that a lot,” Wanda Gates-Monroe said. “But to just to know I’d get my cash back would be awesome.”
The groundbreaking regulations doesn’t stop there. Hidden fees were also tackled by the Department of Transportation’s policy.
Airlines now need to be upfront about “junk fees,” which include hidden baggage charges and other fees that are tacked on later or at the airport during check-in.
“Passengers should know how much it’ll add to your total ticket price, to check or carry on a bag, or to change or cancel your flight,” Buttigieg said.
Federal leaders and travel experts alike call this a monumental win for passengers travelling in the skies over the United States.
However, is this truly as good as it sounds?
“Holds the airlines accountable, and I just hope that it doesn’t make all the prices go up overall,” Watson added. “The airlines always take care of themselves.”
“It’s good for the customer and the consumer, but at the same time, it might not be good for them. And yes, they might have to raise pricing,” Trabucco responded.
The Department of Transportation mandates that airlines comply with the regulations within six months for automatic refunds.