The Joe Biden administration on Wednesday issued new rules that require airlines to provide automatic cash refunds to passengers when owed and protect consumers from costly surprise fees.
“Too often, airlines drag their feet on refunds or rip folks off with junk fees. It is time Americans got a better deal. Today, my administration is requiring that airlines provide automatic refunds to passengers when they are owed and protect them from surprise fees,” Biden said in a video statement.
“This is about airlines treating passengers better and it will save people more than half-a-billion dollars, avoiding unwanted, expensive, unnecessary surprise airline fees,” said Transportation Secretary Pete Buttigieg.
Biden said his administration is holding airlines accountable and bringing costs down for American families. “This is just one part of my administration’s plan to prevent companies from playing the American people for suckers. It matters,” he said.
Finally, airlines and ticket agents must provide full refunds of the ticket purchase price, minus the value of any portion of transportation already used.
The Department of Transportation is requiring airlines and ticket agents to tell consumers upfront what fees they charge for checked bags, a carry-on bag, for changing a reservation or cancelling a reservation. This ensures that consumers can avoid surprise fees when they purchase tickets from airlines or ticket agents, including both brick-and-mortar travel agencies or online travel agencies, the White House said.
Under the new rules, each fee must be disclosed the first time that fare and schedule information is provided on an airlines online platform and cannot be displayed through a hyperlink.
The final rule puts an end to the bait-and-switch tactics some airlines use to disguise the true cost of discounted flights. It prohibits airlines from advertising a promotional discount or a low base fare that does not include all mandatory carrier-imposed fees.
The Biden administration is also pursuing rulemakings that would propose to ban family-seating junk fees and guarantee that parents can sit with their children for no extra charge when they fly. It proposes to make passenger compensation and amenities mandatory so that travellers are taken care of when airlines cause flight delays or cancellations, the White House said.
Follow us
