Trump's DOT cancels compensation for airline delays and cancellations
Travelers who run into a flight delay or cancellation will not automatically be owed financial compensation, after a decision made this week by the Trump administration.
The U.S. Department of Transportation withdrew a proposed rule that would have required airlines to compensate passengers $200 or more for major flight disruptions for problems like maintenance or crew staffing.
Related: Airlines lobby DOT to remove passenger protections
Major airlines praised the move, previously arguing that the measure would have raised ticket prices.
First proposed late last year under the Biden administration and former Secretary of Transportation Pete Buttigieg, this compensation rule would have required airlines to pay passengers between $200 and $300 for domestic flights delayed at least three hours.
Passengers would have been eligible for compensation for disruptions deemed the airline’s fault — similar to protections enjoyed by passengers in the European Union.
The federal rule-making process for this policy was still underway when President Trump took office in January. But according to a filing this week, the administration elected not to move forward with implementing the new regulation.
In a statement to TPG, the DOT said it would “faithfully implement” all consumer protection policies mandated by Congress. That includes, a spokesperson said, tighter refund rules passed last year — which require airlines to automatically refund passengers who decide not to travel when their flight is canceled or significantly delayed.
“Some of the rules proposed or adopted by the previous administration, however, went beyond what Congress has required by statute, and we intend to reconsider those extra-statutory requirements,” a DOT spokesperson said Friday, perhaps opening the door to rolling back additional Biden-era consumer protections.
A regulatory shift
The Biden administration took an aggressive approach to air travel consumer rights, putting sustained pressure on airlines — from delay and cancellation protections for travelers to family seating policies and carriers’ treatment of passengers with disabilities.
A trade group for the largest U.S. airlines said Friday it looked forward to working with the Trump administration to implement its “deregulatory agenda.”
“We are encouraged by this Department of Transportation reviewing unnecessary and burdensome regulations that exceed its authority and don’t solve issues important to our customers,” said Airlines for America, which earlier this year asked the DOT to roll back a wide range of other consumer protections for passengers.
What rights do consumers have?
Despite the apparent end of the government's push for flight delay compensation, passengers do still have refund rights — and options for recouping expenses paid out when they get stranded.
Air travel refund rules
DOT policy still requires airlines to refund passengers when their flight is canceled or significantly delayed and the passenger opts not to fly.
Under a law passed by Congress last year, refunds are due within seven days for customers who paid by credit card.
Consumer rights dashboard intact
Also still intact, at this point: the DOT’s air travel consumer rights dashboard, which spells out airline policies for protections like meals, hotel and ground transportation costs when a flight is canceled or significantly delayed and the airline is deemed responsible.
The dashboard also grades airlines on their family seating policies.
Credit cards with travel insurance can come in handy
And, don't forget: there are plenty of travel credit cards that have built-in travel insurance protections, which can offset the cost of an unexpected hotel night or rideshare ride (along with other expenses) when you get stuck.
Notably, these protections can apply even when your travel disruption is due to bad weather — which few airlines offer any type of compensation for.
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- 6 real-life strategies you can use when your flight is canceled or delayed
- Maximize your airfare: The best credit cards for booking flights
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- What are points and miles worth? TPG’s monthly valuations
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- 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.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
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Rewards Rate
| 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. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
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Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
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 $6,000 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.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.