Under two new federal rules, airlines will be required to refund customers promptly as well as disclose hidden service fees before purchase.
The days of airlines leaving customers in the financial lurch after canceling their flights may be coming to an end.
On Wednesday, the U.S. Department of Transportation issued two new rules that are aimed at tackling delayed refunds and hidden junk fees for consumers. Airlines will be required to promptly refund customers who are owed money and to inform customers about service fees before they purchase their fares and additional services.
“Passengers deserve to know upfront what costs they are facing and should get their money back when an airline owes them — without having to ask,” Transportation Secretary Pete Buttigieg said in a statement. “Today’s announcements will require airlines to both provide passengers better information about costs before ticket purchase, and promptly provide cash refunds to passengers when they are owed — not only saving passengers time and money, but also preventing headaches.