“They tell me that I should have gotten my refund by now”

September 3, 2009

aerHow long should you have to wait for an airline ticket refund?

That’s not an academic question, and it’s one I’ve tried to answer and the government has, too. Here’s what the Transportation Department says on the matter:

Payment by credit card provides certain protections under federal credit laws. When a refund is due, the airline must forward a credit to your card company within seven business days after receiving a complete refund application. If you paid by credit card for a refundable fare and you have trouble getting a refund that you are due, report this in writing to your credit card company.

So why did it take Ann Renier more than three months to get her refund from Expedia?

Good question.

On March 24, I booked a flight from Fort Wayne, Ind., to Shannon Ireland, to travel at the end of September.

In June, Aer Lingus canceled their flights into Shannon and based on my conversation with Expedia personnel, Aer Lingus authorized a refund. I then booked another flight on Continental into Shannon which hopefully I will have no problem with in three weeks.

I have spent several hours on the phone with Expedia personnel (all in the Philippines) and they keep telling me that my refund will happen in 30 days or next week or next billing.

I have talked to Aer Lingus and they tell me that I should have gotten my refund by now. I contacted Visa but because it is outside the 60 days they can not help.

What would you suggest I do next so this does not go on for years like some of the others?

To understand why Renier’s money is still in limbo, you have to read the DOT wording carefully. It says the airline must refund the money in seven business days. But it says nothing about how long your online travel agency can take. I’ve dealt with cases that have taken a year (that was also with Expedia) — even two.

There’s absolutely no good reason for this. The bottlenecks are not only self-serving, allowing the company to hold on to your money a little longer to pad its balance sheet, but they also send a clear message to customers that your money doesn’t matter unless they’re on the receiving end. Refunds should be made as quickly as the money is taken from your account.

I believe online travel agencies and airlines routinely disregard federal law when it comes to refunds. To get your money back, you either have to remind them of the rules, or contact me.

I got in touch with Expedia, and it refunded Renier’s airline ticket.

So what’s the longest you’ve had to wait for a ticket refund? Please leave a comment with your story.

(Photo: Pylon757/Flickr Creative Commons)

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6 comments

{ 6 comments… read them below or add one }

David Z September 3, 2009 at 10:39 am

One word: unacceptable.

Monica September 3, 2009 at 6:24 pm

This is so sad to hear. It takes 2 seconds to take your money, you’d think in we should be entitled to get it back just as quickly.

Mary September 4, 2009 at 8:28 am

You helped me earn some vouchers from United when the price dropped significantly on a trip to Kauai. I traded one voucher in toward another United ticket in April and have yet to see a credit back on my credit card for the $250. It’s been 5 months…. There’s just no trusting these airlines.

Mike September 4, 2009 at 10:00 am

I pretty much automatically dispute the charge after not seeing a refund for seven days… and certainly before the close of the card’s billing cycle.

Sam September 5, 2009 at 12:06 am

I had the same experience with Orbitz and that took well over a year before they finally capitulated and gave me my refund. It went on and on. It seemed a to be a business model of wear me out and he will quit.

Annette September 5, 2009 at 9:11 am

There are 3 levels of refunds that have to go on there: Airline to Online Agency, Online Agency to Credit Card, Credit Card to Customer. Each has a time frame within which is must complete the refund, and each is likely to take the maximum time allowed. I worked in a job where we’d occasionally have to process refunds for customers, and it wasn’t unusual to get calls from customers asking where their refund was. I’d go into my records and say well you requested the refund on March 3, it was processed here March 5… it’s now March 24 so if you don’t have you refund yet call your credit card company because we sent it through weeks ago.

So if the airline takes a week to process it to the online agency, and the agency takes a month to process it to the credit card, the question is how quickly does the credit card company have to process that refund back to your account?

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