**US Airlines Now Mandated to Issue Automatic Refunds for Canceled and Delayed Flights**

Travelers in the United States can now breathe a sigh of relief when it comes to potential complications with air travel. The days of enduring postponed reimbursements are gone, as US airlines must now provide automatic refunds for canceled or significantly delayed flights.

Transportation Secretary Pete Buttigieg made an announcement on X, stating, "Today, our automatic refund rule goes into full effect. Airlines are required to provide prompt cash refunds without passengers having to ask." This new rule echoes a policy suggested by the Department of Transportation (DOT) in April aiming to streamline the reimbursement procedure, improve transparency, and guard against hidden charges.

According to USA Today, while certain parts of the DOT's policy were implemented as early as May, other elements needed more time to become effective. Under these new regulations, automatic refunds must be issued without passengers having to make a request. Reimbursements are required to be processed within seven days for credit card purchases and within 20 days for other payment methods.

Prior to this regulation, airlines were obligated to issue refunds if passengers did not rebook with them, but the timeframe for refunds was not clearly defined. Now, refunds must be fully paid, minus the cost of any flights already taken, and returned to the original form of payment, which can include credit cards or airline miles. The policy prohibits airlines from substituting vouchers, travel credits, or other compensation forms unless passengers explicitly agree to them.

A flight delay is considered significant if a domestic flight is delayed by three hours or more, or an international flight by six hours or more. This rule applies to both departure and arrival delays. Additionally, passengers can expect refunds for other trip-related expenses. Checked luggage fees will be reimbursed if the baggage is lost and not delivered within 12 hours for domestic flights and between 15 to 30 hours for international flights following gate arrival.

Moreover, the policy insists that baggage fees should be transparent, listed along with fare and schedule information on the airline's website rather than through a hyperlink post-booking. This measure ensures that travelers can avoid hidden costs when purchasing tickets from airlines or travel agencies.

Passengers are also entitled to refunds for ancillary services like Wi-Fi, seat selection, and in-flight entertainment if these services were not provided due to cancellations or other issues.