DOT Fines United $350,000 for Failing to Make Timely Refunds

Just a day after it fined three travel agency groups for code-share reporting violations, the U.S. Department of Transportation (DOT) on Aug. 30 fined United Airlines $350,000 for failing to make prompt refunds to consumers.

DOT also cited the airline for filing inaccurate reports of its mishandled baggage and over sales, and failing to file timely reports of incidents involving animals in flight. The department did not assess a fine for these violations because United disclosed the reporting errors to DOT and took corrective action.

The DOT said airlines are required to process refund requests within seven days of receipt of a complete request when the ticket is purchased by credit card. Refunds must be made within 20 days for tickets purchased by cash or check. The department said United’s customer service commitment, posted on its website, pledged to comply with these standards. But the DOT’s Aviation Enforcement Office, during an on-site inspection at the airline’s headquarters, found that between March and May of 2012, United failed to process over 9,000 refund requests in a timely manner.

United also underreported the number of mishandled baggage reports it received from passengers between January and October 2011 and the number of passengers it bumped, both voluntarily and involuntarily, for each quarter of 2011 from flights on which it sold more tickets than the number of available seats. The underreporting made United’s ranking in these categories seem better than it actually was. Also, during 2012 and 2013, United failed to file timely reports for a few incidents involving the death, injury or loss of animals on its flights.

Source: Travel Pulse, http://www.travelpulse.com/dot-fines-united-350000-for-failing-to-make-timely-refunds.html