Money · Refund rules
Airline Refunds and Vouchers: What You're Owed in Cash
"We can only offer a voucher" is the line airlines reach for when they don't want to pay cash. It is almost never legally accurate when the airline is the cause of the disruption. This guide separates the situations where you have a binding cash claim from the ones where a voucher is the only realistic outcome.
The core rule: who cancelled?
The single question that determines whether you get cash or a voucher: who cancelled the flight, the airline or you?
- Airline cancels (or makes a major schedule change) → cash refund of the unflown portion, in the original payment method, regardless of fare type. This is universal across EU, US and most other jurisdictions.
- You cancel → cash refund only if the fare rules allow it (refundable fares), otherwise a voucher at best, or nothing for restrictive fares. The taxes and government fees on the ticket may still be refundable.
If the airline cancelled and is pushing a voucher on you, you are entitled to refuse it and demand cash. Article 8 of EU 261 says so explicitly. The US Department of Transportation has said so in repeated enforcement actions.
Cash refund situations under EU 261
On any flight covered by EU Regulation 261/2004, you have an automatic right to choose between:
- A full cash refund within seven days for the unused portion of the ticket (plus return to the original point of departure, where relevant); or
- Re-routing to your destination, under comparable conditions, at the earliest opportunity; or
- Re-routing at a later date, at your convenience, subject to seat availability.
This applies whenever the airline cancels the flight, denies you boarding, or in certain delay scenarios (delay of 5+ hours, no longer wishing to travel). The airline cannot force you onto option 2 or 3 if you want option 1.
Cash refund situations under US DOT rules
Following the US Department of Transportation's automatic-refund rule that took full effect in October 2024, passengers on any flight to or from the United States are entitled to an automatic, prompt cash refund in the original form of payment when:
- The flight is cancelled and the passenger does not accept a rebooked alternative;
- A domestic flight is delayed by 3 hours or more, or an international flight by 6 hours or more, and the passenger chooses not to travel;
- The airline has significantly changed the flight (different departure or arrival airport, downgraded class of service, added connections, downgraded aircraft type for passengers with disability);
- Checked baggage is not delivered within 12 hours (domestic) or 15–30 hours (international) — the checked-bag fee is refundable;
- An ancillary service paid for (Wi-Fi, seat selection, etc.) was not delivered.
"Automatic" means the airline must issue the refund without requiring the passenger to ask, within seven business days for credit-card payments and 20 days for other payment methods.
"Non-refundable" tickets — what you can still get back
A "non-refundable" fare typically means you forfeit the fare itself if you cancel. But several components are almost always still recoverable:
- Government taxes and security charges. The airline collected them on behalf of governments and airports. If you didn't fly, the government doesn't get to keep them. You have to ask — the airline will rarely volunteer this refund.
- Unused fuel surcharges on some carriers and routes — varies by national consumer-law regime.
- Baggage fees and seat-selection fees for services not delivered.
- Airport-imposed passenger service charges, especially in the UK (Air Passenger Duty is reclaimable when you don't fly), Australia and several other jurisdictions.
Depending on the route, this can amount to 15–40% of the total ticket price. Always specifically ask for "tax refund" on a forfeited ticket.
When a voucher is reasonable
A voucher is the right outcome when:
- You're cancelling a refundable ticket and prefer future credit with a bonus (some airlines offer 110–125% voucher value).
- The fare rules allow change-without-cancel and you're moving the booking forward in time rather than scrapping it.
- You volunteered to be bumped from an overbooked flight and accepted a voucher in exchange.
Watch for: voucher expiry dates (12 months is common, shorter is a red flag), restrictions on routes or fare classes, transfer restrictions (some vouchers are name-locked), and combinability rules.
How long the refund must take
| Jurisdiction | Maximum time |
|---|---|
| EU 261 | 7 days from the request |
| US DOT, credit-card payments | 7 business days |
| US DOT, other payment methods | 20 calendar days |
| UK 261 | 7 days |
| Canada (APPR) | 30 days |
| Brazil (Res. 400) | 7 days for refundable fares, 12 months for vouchers |
"From the request" or "from the cancellation" varies. Most EU implementations interpret it as the date the passenger formally accepted the refund offer. If the refund is late, you can in many jurisdictions claim interest at the statutory rate.
How to claim a refund step by step
- Get the cancellation in writing. Email from the airline, text message confirming the cancellation, or screenshot of the booking status. This is the trigger document for the refund timer.
- Use the airline's official refund form rather than chat or phone. Forms create a case number; phone calls vanish.
- State the regulation. "I am requesting a refund under Regulation 261/2004 Article 8 / 14 CFR §259.5 / national law as applicable." This signals you're not asking for goodwill.
- Choose <refund> not <voucher> on the form. Many forms have voucher as the default.
- Provide bank details correctly. Refunds usually go to the original payment method. Where that's not possible (expired card, closed account), the airline will ask for IBAN/BIC or a US ACH routing number.
- Save the case reference number. Every follow-up references it.
When the refund is refused
If the airline refuses or stalls past the regulatory deadline, escalate in this order:
- Write to the National Enforcement Body (for EU 261), the DOT Aviation Consumer Protection office (for US flights), or the equivalent national regulator. They cannot force payment but a finding in your favour usually causes the airline to settle.
- Initiate a credit-card chargeback under "services not rendered". You typically have 60–120 days from the original transaction. The card scheme's rules force the airline to engage.
- Small-claims court. Most EU and US jurisdictions have low-cost small-claims procedures suitable for refund disputes under a few thousand euros / dollars.