Flight Delays and Cancellations: Refunds, Rebooking, and the New Rules

When your flight is delayed or canceled, the airline gate agent and the law may tell you two different things. Since late 2024, a DOT rule has meaningfully strengthened passenger refund rights, but the U.S. still does not force airlines to hand you cash for delays the way Europe does. Here is what you actually get.

The big change: automatic refunds

Under a DOT rule (14 CFR Part 260) that took effect in late 2024, if the airline cancels your flight or makes a significant change and you do not accept the alternative, you are entitled to an automatic refund to your original form of payment, without having to fight for it. You do not have to accept a travel credit or voucher. The refund must be issued within 7 business days for credit-card purchases (20 business days for cash or check).

What counts as a “significant change”

DOT defines this to include a departure or arrival that moves by more than 3 hours domestically or 6 hours internationally, a change in the departure or arrival airport, an added connection, a downgrade in service class, or a switch to a plane that is less accessible for a passenger with a disability. If any of these happen and you choose not to travel, you get your money back, including for nonrefundable tickets.

Refunds for services you did not get

The same rule requires refunds of fees for extras you paid for but did not receive, such as Wi-Fi that did not work, a seat assignment you were denied, or checked-bag fees when a bag is significantly delayed. If you paid for it and the airline failed to deliver, ask for that money back.

What the U.S. does not require

Unlike the EU’s well-known rules, U.S. law does not require airlines to pay you a fixed cash penalty for a delay itself. If your flight is three hours late but still flies, federal law owes you a refund only if you walk away, not a payout for the inconvenience. Meals, hotels, and rebooking on other airlines during controllable disruptions (like maintenance or crew problems, not weather) come from each airline’s own customer-service commitments. DOT publishes an airline dashboard comparing what each carrier promises.

Practical steps

• If you do not want the changed flight, decline the voucher and request a refund to your original payment.
• Ask whether the cancellation is controllable; if so, ask for meals, hotel, and rebooking per the airline’s commitments.
• Save proof of any paid extra you did not receive and request a refund.
• If a refund is not issued in 7 business days, dispute the charge with your card issuer and file a DOT complaint.

This is general information, not legal advice. Rules and airline commitments change, so verify the current terms for your situation.