- American Airlines downgraded Thomas Sennett and his family to economy class but did not provide the promised refund for the fare difference.
- Sennett’s refund request was stalled between his travel agent, AAA, and the tour operator, Pleasant Holidays.
- After airline records showed a completed refund, Sennett contacted us to find the missing payment.
American Airlines downgrades Thomas Sennett and his family to economy class on their flights from Boston to Phoenix. Why isn’t it refunding the fare difference?
Question
Last year, my family and I had first-class tickets on American Airlines to fly from Boston to Phoenix. American Airlines delayed that flight and rebooked and downgraded us to coach class on another flight.
A few days later, I received an email from American Airlines that it had refunded the fare difference between first class and economy class and advised me to contact my travel agent.
When I returned from our vacation, I contacted the travel agent at AAA, who had arranged our tour through Pleasant Holidays. The AAA travel agent contacted Pleasant Holidays, which had no record of a refund from American Airlines.
Over the course of a couple of months, I followed up with AAA and Pleasant Holidays on the status of this credit, to no avail.
Finally, I reached out to one of the American Airlines executives that you list on your consumer advocacy site. The airline contacted me a day later and referred me to a website to check the status of the refund. That website indicated that a refund had been completed.
I still don’t have our refund. Can you help me? — Thomas Sennett, West Hartford, Conn.
Answer
If you get bumped from first class to economy — that’s called an involuntary downgrade — you should get a prompt and full refund of the fare difference. Looking at your case, I can see the problem — and a possible complication.
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The complication is the fare difference. Airlines often calculate the fare difference in a way that is advantageous to them. I like to call it airline math. So, if American were to give you a refund, it would be based on the difference between a first-class ticket and an expensive walk-up fare in economy class instead of the less expensive advance-purchase fare. That way, it wouldn’t have to refund you much — or anything at all. (Related: Worst upgrade ever — how about a refund?)
The second issue is that you have a tour operator and an agent involved. A good travel agent can fight for your refund. But the bureaucracy of getting the money from the airline to the tour operator to the travel advisor and finally to you — well, that’s probably why it’s taking so long. (Related: After a hurricane threatens her destination wedding, are these American Airline tickets worthless?)
When booking premium tickets through third-party sites, always confirm your fare class and seat assignment directly with the airline within 24 hours. That gives you time to cancel or rebook if anything seems off.
When I asked you to send me the paper trail between you, American, AAA and Pleasant Holidays, you complied. I’m so impressed that you stayed off the phone and did everything by email. You had a thorough and very helpful paper trail that made this case relatively easy to resolve.
I see you also availed yourself of the company contacts for American Airlines that I publish on my consumer advocacy site, Elliott.org. Nice work! I also have contacts for AAA in case you ever need them. (The American Airlines captain’s announcement about a mechanical delay jolted passengers awake.)
My advocacy team contacted AAA on your behalf to find out the status of your refund. It reached out to Pleasant Holidays. The company found your money and returned it to you. And best of all, American Airlines didn’t try any funny airline math. You received a check for $1,611 from the carrier.
Have you ever been downgraded on a flight and struggled to get a refund? Did the airline or booking agent make it right — or leave you chasing your money?
Tell us your story in the comments below. What do you think is a fair resolution when you’re promised a premium seat and get stuck in coach?
We want to hear from you. (Oh, and don’t forget to vote in our poll!)
FAQs
Document everything. Save your original ticket receipt, boarding passes, and any communications from the airline. Request a refund of the fare difference immediately — preferably in writing.
Yes, under U.S. Department of Transportation (DOT) guidelines and international laws like EC 261, you’re entitled to a partial refund. But the airline decides what that “difference” is — and they don’t always play fair.
It depends on who took your money. If you booked through a travel agent or tour operator, they typically hold the funds and must process the refund, even if the airline initiated the downgrade.
Refunds should typically be processed within 7 business days for credit card payments. If a third party is involved, it may take longer — but unreasonable delays are not acceptable.
You can escalate the issue to the DOT for U.S. flights or to the relevant national enforcement body in Europe under EC 261. Small claims court is also an option if you have strong documentation.
