4 New Travel Rules That May Save You Big Money This Holiday Season
Written by
Kerra Bolton
Edited by
Angela Corry
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The U.S. Department of Transportation (USDOT) issued guidelines to help make travel more affordable for most customers and avoid hidden fees.
Here are four new travel rules that may save you big money this holiday season.
Airline Reimbursements
One of the biggest changes is airlines are now required to reimburse passengers when there are significant schedule changes or cancellations. Travelers are now free of unwanted travel credits or vouchers when their plans are rescheduled or canceled.
While the new federal rules provide travelers with more security, Joe Cronin, president of International Citizens Insurance, said purchasing traveling insurance also saves money.
“Travel insurance provides more comprehensive coverage for medical emergencies, trip interruptions, and other unforeseen circumstances that could otherwise significantly dent your travel budget,” Cronin said.
Transparent Baggage Fees
Travelers are spared having to pay extra baggage fees thanks to a new rule ensuring airlines clearly display fees for the first and second checked bags and carry-on bags.
“This helps travelers avoid unexpected charges and makes it easier to compare fares,” said Jesse Neugarten, CEO and Founder of Dollar Flight Club. “This increased transparency empowers travelers to make smarter decisions when booking, helping them avoid paying for unnecessary or surprise charges at the airport.”
According to the USDOT, airlines are “required to compensate passengers for reasonable, verifiable, and actual incidental expenses that can happen while their bags are delayed. Airlines cannot set an arbitrary daily amount, such as up to $50 for each day a passenger’s bag is delayed.
In addition, an airline is likely obligated to provide a refund if you paid for a specific seat or entertainment package, but didn’t receive it, said Dean Van Es, founder and CEO of Fast Cover Travel Insurance.
“These changes could help passengers save significant money,” Van Es said.
Shorter Booking Windows
Travelers are moving toward spontaneous, shorter, booking windows, even during the busy and expensive holiday travel season.
“Economic uncertainty has pushed travelers to embrace last-minute trips,” Neugarten said. “Instead of planning months in advance, more people are comfortable booking trips within days or weeks of departure. It makes sense — flexibility is key, and sometimes the best deals pop up when you’re willing to jump on a flight with little notice.”
To save money on holiday travel, Neugarten also recommended using tools like Google Flights’ Explore, setting fare alerts, leveraging loyalty programs, and using the “split ticket strategy.”
“Booking a flight to a major hub and then connecting to your final destination on a separate ticket can be a game changer,” Neugarten said. “For instance, fly to Athens and then catch a regional flight to your end point, or head to Amsterdam and use a train or budget airline to reach Paris. Sure, it takes more planning, but the savings can be significant — sometimes hundreds off your total fare.”
Be Alert For New Fraud Schemes
You can also save money by being alert for fraud schemes.
According to Riskified’s 2024 Airlines Report, airlines are 144% riskier than other sectors when it comes to fraud attempts. In fact, the report found fraud risks in flight bookings increased by over 14% year over year.
“The ease of getting refunds and in general — the increase in refunds — make customer account even more valuable to account takeovers, and might give birth to new fraud schemes,” For example, the ease of getting refunds could generate new fraud schemes, said T.R. Newcomb, Senior Vice President of Strategy and Corporate Development at Riskified. The company helps online retailers identify and prevent fraudulent transactions.
“In our experience, any time consumers have the ability to claim refunds in large quantities,” Newcomb said. “That always invites large amounts of fraud and even customer abuse.”
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