If your checked bag arrives late, the DOT thinks you should be guaranteed a refund
Checked-bag lovers — rejoice!
A new proposal by the U.S. Department of Transportation (DOT) would require airlines to refund checked-baggage fees if bags are considerably delayed. The story was first reported by The Associated Press, which cited unnamed officials. A source with knowledge of the plans, but was not authorized to talk publicly, confirmed the news to TPG.
This push is not new. DOT submitted a similar proposal into the Federal Register on Oct. 31, 2016. In the same year, Congress mandated that the DOT develop rules requiring airlines to promptly refund checked baggage fees to passengers in cases of late bag delivery. That mandate was not acted upon during the Trump administration.
Currently, regulations require only that airlines refund checked-bag fees if bags are lost altogether. The new proposal, which is expected to be filed in the coming days, would extend the refund to delayed checked bags and could come into effect as early as next summer.
This proposal would make enhanced checked-baggage protections an industry standard. However, it is quite lenient on carriers: Airlines would only be required to refund fees if a bag is over 12 hours delayed for a domestic flight or more than 25 hours delayed for an international flight.
Certain airlines, such as Delta, already have a checked baggage guarantee. For the Atlanta-based carrier, if checked bags do not arrive within 20 minutes of landing, passengers are eligible to receive 2,500 SkyMiles — worth $27.50 according to the most recent TPG valuation of SkyMiles — if they fill out this form.
DOT's proposal is part of a larger push by the Biden administration toward more consumer protection in the airline industry. The DOT has recently been tough on airlines who have violated regulations: In June, the department proposed a fine of more than $25 million for Air Canada over denied refunds.
The Biden administration, as part of the same executive order, will also instruct the DOT to issue new consumer protection rules, according to sources. Those include:
- Refunds for seat-selection fees if not available
- Refunds for WiFi if it doesn't work
- Refunds for other services purchased a la carte, but not given
For the airlines, checked baggage is a big profit center. Passengers in the U.S. paid almost $6 billion in checked bag fees in 2019 alone.
The proposal still needs to be finalized by the DOT, but — if it goes through — it could be a first step in creating better consumer protection for passengers in the U.S.
TPG featured card
at American Express's secure site
Terms & restrictions apply. See rates & fees.
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 5X | New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App. |
| 3X | Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines. |
| 2X | Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Pros
- Valuable dining and food-related credits
- Flexible rewards with airline and hotel transfer partners
- Multiple travel and purchase protections
- No foreign transaction fees
- Access to Amex Offers for additional savings (enrollment required)
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $8,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App.
- Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines.
- Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- Pay It® lets you tap in the American Express® App to quickly pay for small purchase amounts throughout the month and still earn rewards the way you usually do. Plan It® gives you the option to split up big purchases into equal monthly payments with a fixed fee. You’ll know upfront exactly how much you’ll pay.
- Updated! $120 Dining Credit: Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder. This can be an annual savings of up to $120. Enrollment required.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year at over 10,000 qualifying U.S. Resy restaurants after you pay for eligible purchases with the American Express® Gold Card. That’s up to $50 in statement credits semi-annually. Enrollment required.
- $84 Dunkin' Credit: Earn up to $7 in monthly statement credits after you pay with the American Express® Gold Card at U.S. Dunkin’ locations. Enrollment required.
- $120 Uber Cash on Gold: Enjoy up to $120 in Uber Cash annually with your Gold Card. Just add your Card to your Uber account and you'll get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an Amex Card for your transaction.
- New! As an American Express® Gold Card Member, you can enjoy complimentary Hertz Five Star® Status. Enjoy benefits like skipping the counter at select locations, adding an additional driver at no additional cost*, and vehicle upgrades**. Benefit enrollment and Hertz Gold+ registration are required. *Additional drivers must meet standard rental qualifications and must be a spouse or domestic partner to qualify as complimentary. Other additional drivers subject to fees. **Benefits are subject to availability and vary by location. Additional Hertz program Terms and Conditions including age restrictions apply.
- Take advantage of a $100 credit towards eligible charges* at over 1,300 upscale hotels worldwide when you book The Hotel Collection through AmexTravel.com or the Amex Travel App **. *Eligible charges vary by property. **The Hotel Collection requires a two-night minimum stay.
- Book your travel through the Amex Travel App with added peace of mind – backed by American Express® service and support. Only for American Express® Card Members.
- Whenever you need us, we're here. Our Member Services team will ensure you are taken care of. From lost Card replacement to statement questions, we are available to help 24/7.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.