Check your accounts: Why airlines are extending trip credits
Imagine my surprise when I recently received emails from both Alaska Airlines and Delta Air Lines offering a generous extension of trip credits in my account. Both letters read that the credits had just had their expiration extended by five years.
In the case of Alaska, the email suggested that the credit came from a flight disruption; however, I'd canceled the trip myself and received credits to use on future flights.
"Earlier this year you were issued an Alaska Airlines flight credit following a flight disruption," the email read. "We are pleased to inform you that your credit is valid and redeemable for five years from the date the certificate was issued."
The Delta email was a bit more vague, saying only that the airline was extending the length of time I had to use an "eCredit" in my account.
In any case, it might be worth checking any trip credits you have in your account to see if you also have more time to use them.
Either way, I was very happy to have more time to use the flight credits, and I wondered why the airline was giving me extra time.
It turns out it's due to some new regulations from the U.S. Department of Transportation, which were tucked into the recently passed Federal Aviation Administration Reauthorization Act of 2024.
"Thanks to the FAA Reauthorization Law and Secretary Buttigieg's push for stronger refund protections for passengers, any flight voucher given to passengers for significantly delayed or canceled flights must now be redeemable for at least 5 years before it expires," DOT spokesperson Sean Manning said in a statement to TPG.
"This is part of the Biden-Harris Administration's efforts to enact the largest expansion of airline passenger rights in the Department of Transportation's history," he said.
Some airlines, like Delta, have gone a step further. They are making more fares refundable instead of issuing five-year credits.
"It's good to see more airlines adopt traveler-friendly policies regarding travel credits," Henry Harteveldt, an aviation industry analyst for San Francisco-based Atmosphere Research Group, said. "Kudos to both airlines [Alaska and Delta] for being more customer-focused with these new changes."
Related: Here are all the passenger rights you need to know
Harteveldt called it the evolution of a policy change that occurred when the COVID-19 pandemic was at its worst. "Several airlines extended the validity of travel credits that were scheduled to expire when travel restrictions were at their most severe," he said.
Southwest subsequently eliminated the expiration date on trip credits — a first for a U.S. airline.
The reauthorization act also funds the FAA and the National Transportation Safety Board through fiscal year 2028. It provides millions of dollars in investment in airport safety and training for air traffic controllers. For the first time, it also establishes new rules requiring speedy refunds for canceled or significantly delayed flights.
Related reading:
- Biden administration unveils stricter rules for airline refunds, upfront pricing
- Biden administration presses airlines to compensate passengers for delays and cancellations
- 6 real-life strategies you can use when your flight is canceled or delayed
- Biden administration touts airline refund rules in renewed push for 'simpler customer service'
- New family seating rule for air travel proposed by Biden administration
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