FILE - Two United Airlines Boeing 737s are parked at the gate at the Fort Lauderdale-Hollywood International Airport in Fort Lauderdale, Fla., July 7, 2022. The Department of Transportation announced new rules Wednesday requiring airlines to automatically provide passengers with cash refunds for canceled and significantly delayed flights.
Before the change, airlines were permitted to set their own standards for what kind of flight changes warranted a refund and the final rule by the DOT creates more certainty for consumers. A refund may also be issued for a checked bag fee if a passenger files a mishandled baggage report and it is not delivered within 12 hours of their domestic flight arriving at the gate, or 15-30 hours of their international flight arriving at the gate, depending on the length of the flight.
Under the new DOT rules, airlines are required to issue refunds within seven business days and they must be in cash unless the passenger chooses another form of compensation.