TIME is money, and a new airline rule to be introduced this month is clamping down on the stressful cost of flight delays.
Travelers will soon be able to get refunds for canceled or significantly delayed flights and baggage.
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In April, the Department of Transportation (DOT) announced a final rule that requires airlines to provide cash refunds to passengers for “significant changes” to their flights.
The rule, part of the Biden-Harris administration’s crackdown on improper fees, will take effect on June 25.
“Passengers deserve to get their money back when an airline owes them – without headaches or haggling,” said Pete Buttigieg, U.S. Secretary of Transportation.
Unexpected delays that qualify under the “significant changes” guideline include departure or arrival times more than three hours from the original itinerary for domestic flights or more than six hours for international flights.
Additional changes that qualify for a refund are departures or arrivals from a different airport, increases in the number of connections, and cases where passengers are downgraded to a lower class.
The final rule also includes protections for people with disabilities, and those who have been downgraded to a connection at a different airport or a flight on a less accessible plane are eligible for refunds.
Currently, what applies as a material change for a refund is at the discretion of each airline.
Airlines may still offer a different flight or travel credit as compensation, but travelers have the right to reject the offer of a refund to their original payment method.
The new rule also applies to delayed baggage, which states that automatic refunds will be issued if checked bags are not delivered within 12 hours for domestic flights or 15 to 30 hours for international flights.
Additional services such as seat selection or paid wifi will also be subject to refund if the airline fails to deliver.
Since the DOT began cracking down on delays, the department has secured nearly $4 billion in refunds for late passengers.
In June, the DOT collected more than $900 million in refunds from just three airlines — Lufthansa, South African Airways and KLM Royal Dutch Airways — for extreme delays during the pandemic.
The department also secured more than $600 million in refunds for passengers affected by the 2022 Southwest Airlines holiday collapse.
The Biden-Harris decision also requires transparency from airlines with advance disclosure of fees.
Passengers deserve to get their money back when an airline owes them – no headaches or haggling.
Pete Buttigieg
“The rule requires airlines and ticket agents to display fees for essential extra services in advance in a clear, visible and accurate manner,” said the Department of Transport.
“Each critical extra charge must be disclosed individually the first time fare and schedule information is provided on the airline’s online platform – and cannot be displayed via a hyperlink.
“For consumers purchasing flights offline, airlines and ticket agencies must disclose these fees when providing a fare quote.”
The final rule’s immediate timeline requires airlines to issue refunds within seven business days after refunds are due for credit card purchases and 20 calendar days for other payment methods.
“The final rule on refunds and other consumer protections will take effect on June 25, 2024,” the Department of Transportation added.
“However, the rule provides for longer implementation deadlines.
“The implementation period ranges from six months for airlines to provide automatic refunds when due, to 12 months for airlines to provide vouchers or transferable travel credits when consumers are unable to travel for reasons related to a serious communicable disease.”
This story originally appeared on The-sun.com read the full story
