Airline Refund for a Cancelled Flight: What the DOT Refund Rule Requires

Are you owed a refund when an airline cancels your flight?

Yes, if you choose not to travel. A carrier that sold you a ticket on a flight to, from or within the United States must give a full refund of the fare, including taxes and ancillary fees, when the flight is cancelled or significantly delayed or changed and you decline the alternative flight and any voucher, credit or other compensation (14 CFR section 260.6). The rule covers nonrefundable tickets, and the reason for the cancellation does not matter.

The refund is automatic in three situations: the airline offered no alternative, you rejected what it offered, or you did not respond to an offer and the flight left without you. You do not have to fill out a request form for the money to be due.

The rule does not help if you took the changed flight, if you decided on your own not to fly a nonrefundable ticket on a flight that operated as scheduled, or if the complaint is about poor service on a flight you took.

What counts as a significant schedule change?

The regulation defines a significantly delayed or changed flight by what happens to your itinerary (14 CFR section 260.2):

Two more triggers protect passengers with a disability: a change in connecting airports, or a substitute aircraft missing an accessibility feature the passenger needs. If you accept a downgrade and fly anyway, DOT says you are owed the difference between the original fare and the lower fare.

How long does an airline have to refund a cancelled flight?

A prompt refund means within 7 business days for credit card purchases and 20 calendar days for cash, check, debit card or other payment methods (14 CFR section 260.2). The refund goes back to the original form of payment, such as the same card or the same frequent flyer account for miles, unless you agree to another form that works like cash. The airline cannot keep a processing fee (section 260.10).

An airline's contract of carriage cannot override these duties. Terms inconsistent with the rule are treated as an unfair and deceptive practice (section 260.11).

Can an airline give you a voucher instead of a refund?

Only if you agree. An airline may offer a voucher or credit as an alternative, but the offer must clearly tell you about your right to a full refund, and the airline cannot treat you as accepting unless you affirmatively agree (sections 260.6(c) and 260.7).

• A voucher offered in place of a required refund must stay valid for at least five years from issue.
• The airline must disclose material restrictions such as blackout dates or advance purchase rules when it makes the offer.
• Not answering a voucher offer by the original departure date leads to an automatic refund rather than the voucher.

Do you get bag fees and seat fees back too?

Yes, when the service was not provided through no fault of yours. Fees for extras such as seat selection, Wi-Fi or lounge access must be refunded if the airline did not deliver them (section 260.4). The checked bag fee must be refunded if the bag is lost or significantly delayed (section 260.5):

• Domestic itinerary: not delivered within 12 hours of the last flight's arrival.
• International, with a nonstop segment to or from the US of 12 hours or less: 15 hours.
• International, with a nonstop segment longer than 12 hours: 30 hours.

The bag fee refund depends on one step from you: filing a Mishandled Baggage Report with the airline that operated the flight, or the last segment if more than one airline was involved.

Steps to get an airline refund for a cancelled flight

1. Screenshot the cancellation or change notice, the original itinerary and the new one, with times shown.
2. Decline the rebooking and any voucher in writing through the airline's refund form, app or email, and save the confirmation.
3. If you booked through a travel agency or booking site, check your card statement. The company shown there (the merchant of record) is responsible for the fare refund, while bag and extra-service fees still come back from the airline.
4. Count the deadline: 7 business days for a card, 20 calendar days otherwise, from the date you declined or the date the flight left.
5. If the money has not arrived, send a written complaint or demand to the airline's consumer office. DOT requires airlines to acknowledge complaints within 30 days and answer in writing within 60 days.
6. File a complaint with the DOT Office of Aviation Consumer Protection if the airline does not resolve it.

Should you use a chargeback, a DOT complaint or a demand letter?

Each tool does a different job, and they can be used together.

For a fuller comparison, see chargeback vs. demand letter. Federal law bars states from enforcing their own laws related to an airline's price, route or service (49 U.S.C. section 41713), so California consumer statutes play a smaller role here than in most disputes. The DOT rule and your ticket terms do most of the work, and our guide to demand letter response deadlines covers how long to give the airline.

When to have an attorney write your airline refund demand

For one ticket, the airline's refund form and a DOT complaint are built for the job. An attorney-written letter fits better for a large group booking, a refund stuck between an airline and a travel agency that each point at the other, or a business that bought tickets for staff and was told credits were the only option.

Through Talk to My Lawyer, a licensed California attorney writes your letter from your facts and documents (itinerary, cancellation notices, payment records) and sends it on your behalf, relying on the provisions of 14 CFR part 260 that match your trip. If you are weighing a court claim, a lawyer can advise on your specific situation.