Biden Administration Implements Stricter Airline Refund Rules, Which Could Save Travelers Nearly $500 Million Annually

Benzinga 2024-04-25

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The Biden administration unveiled new stricter rules requiring airlines to provide automatic refunds within 20 days for flights canceled or significantly delayed or changed. New rules mandate airlines clearly disclose fees for extras like bags and seat selection upfront when fares are first displayed. Carriers have until April 2025 to implement displaying all ancillary fees, but consumers may start seeing changes within a year. Airlines collected over $43 billion in baggage and change fees from 2018 to 2022. The DOT says the new rules will save travelers nearly $500 million annually by ending "bait-and-switch" tactics and ensuring prompt refunds.

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