Can I cancel my flight for free within 24 hours of booking?

The 24-hour reservation requirement is something the airlines don’t want you to know about. The rule, created by the US Department of Transportation (DOT), requires all airlines operating flights from the United States to give full refunds to passengers who cancel their flight within 24 hours of purchasing a ticket.

By rule, airlines must refund the full payment to the original form of payment (not a travel voucher or flight credit) if the ticket is canceled within 24 hours of purchase—even on non-refundable fares.

How does this law save money?

Imagine you buy a plane ticket, and the next day the airline has a huge flight sale and your trip costs less than what you paid now. If less than 24 hours after purchasing the ticket, you can simply cancel the ticket and rebook at a lower price without worrying about change and cancellation fees.

We recommend checking your ticket price a few times within a 24-hour period to see if fares have dropped—this strategy pays off more often, and you can rebook and save.

Knowing about the 24 hour rule will also give you peace of mind if you see an incredibly low price that you want to jump on. Instead of waiting for permission from your boss to take a vacation or waiting for your travel companion to get back to you (and you might miss that cheap flight), you can easily book the ticket and if it doesn’t work, cancel it within 24 hours without penalty.

If you book a ticket quickly, you can use the 24-hour period to check the information on the reservation (to make sure you haven’t mistyped the passenger’s name).

Important differences in the law

This rule only applies if you book directly with the airline. If you book through an online travel agent like Expedia, you must abide by the company’s refund policy (which is usually not as lenient).

Airlines can offer customers the ability to hold fares for free for 24 hours, rather than refunding them within 24 hours. Before you buy your ticket, make sure the airline you’re booking doesn’t offer this – American Airlines offers a free 24-hour check-in. If the airline offers a free hold, you can save money by holding the ticket and waiting for the price to drop within 24 hours before actually buying the ticket.

This rule only applies to flights booked at least seven days before departure, so if you’re booking a ticket less than a week before you fly, you won’t be able to get a refund.

How do you cancel under the 24 hour rule?

When you cancel a flight reservation within 24 hours, you don’t need to do anything special to get your full refund. Cancel your booking as usual and the airline should immediately refund your original form of payment.