Introduction
Airlines are holding billions of dollars in unused travel credits while passengers lose money to confusing expiration rules. Understanding the difference between flight credits and travel vouchers could save you hundreds or thousands on your next trip.
The U.S. Department of Transportation reported that airlines issued approximately 20 million vouchers worth $10.4 billion during the pandemic alone. Many travelers still don’t know they’re sitting on expiring credits or how to use them before they vanish.
What Are Flight Credits and Travel Vouchers
Flight credits and travel vouchers represent money you can use for future airline travel, but they work differently. Flight credits typically come from voluntarily canceled or changed non-refundable tickets. Travel vouchers are usually issued as compensation for airline-caused disruptions like overbooking, cancellations, or significant delays.
The key distinction matters because each type has different rules about expiration, transferability, and usage restrictions. Airlines like American, United, and Delta each offer multiple credit types with varying terms. Flight credits usually expire within 12 months from the original ticket purchase date, not from when you cancel.
American Airlines offers three types of travel credit: Trip Credit, Flight Credit and Travel Vouchers, each with distinct terms and conditions. Trip credits can book travel for yourself or others. Flight credits are restricted to the original passenger only. Travel vouchers issued for compensation can often be used by anyone.
New DOT Automatic Refund Rules for 2026
The Department of Transportation implemented automatic refund requirements that became effective October 28, 2024. These rules fundamentally changed how airlines must handle canceled and significantly delayed flights. Airlines must now automatically issue cash refunds within 7 business days for credit card purchases or 20 calendar days for other payment methods.
Consumers are entitled to a refund if the airline cancelled a flight, regardless of the reason, and the consumer chooses not to travel or accept travel credits, vouchers, or other forms of compensation. This protection extends to significant schedule changes defined as 3+ hours for domestic flights or 6+ hours for international flights.
The new regulations require airlines to notify affected passengers of their refund rights before offering travel credits or vouchers. You can reject alternative compensation and demand your money back. Airlines that violate these rules face penalties from the DOT, which has issued over $164 million in penalties since 2021 for consumer protection violations.
Understanding your passenger rights during flight delays and cancellations becomes critical when airlines offer you credits instead of refunds. Always ask for a cash refund first if you qualify under DOT rules.
Airline-Specific Flight Credit Policies in 2026
American Airlines Credit System
American Airlines operates three distinct credit types that confuse many passengers. Trip credits expire 12 months after issuance for AAdvantage members, but only 6 months for non-members when issued after April 2, 2024. Flight credits remain valid for 1 year from the original ticket issue date, with the critical requirement that travel must begin before expiration.
If you don’t show for your flight, your ticket will no longer be valid or eligible for any credit. American’s travel vouchers issued as compensation typically last one year from the issuance date. However, when airlines cancel flights, DOT regulations require extending the expiration to 5 years from the cancellation date.
| Credit Type | Validity Period | Transferable | Usage Restrictions |
| Trip Credit | 6-12 months | Yes, can book for others | Cannot use for seats/upgrades |
| Flight Credit | 1 year | No, original passenger only | Must complete travel by expiration |
| Travel Voucher | 1 year (5 years if airline-canceled) | Yes, anyone can use | Flights only, no extras |
United Airlines Flight Credits
United’s future flight credits maintain residual value when you don’t use the full amount. United flight credits are non-transferable, so must be used by the person who they were initially assigned to. The expiration date requires travel to begin by that date, not just booking completion.
Travel certificates issued as goodwill gestures or for voluntary denied boarding offer more flexibility. These can be used to book travel for anyone and typically have a “book by” deadline rather than a “travel by” requirement. United’s system stores credits in your MileagePlus account wallet for easy tracking.
Delta eCredits and Transportation Vouchers
Delta issues several credit types with varying transferability rules. eCredits are non-transferable and tied to specific passengers on the original reservation. Transportation credit vouchers issued prior to Dec 15, 2011 can be transferred to another passenger, while those issued after this date require the named person to travel in the same reservation.
Delta’s system automatically applies residual value to your account when you don’t use the full credit amount. The original expiration date remains for any leftover balance. Delta typically extends credits through December 31 of the following year for tickets purchased in the current year.
Southwest Airlines Policy Change
Southwest pioneered non-expiring flight credits in 2022, eliminating expiration dates entirely. However, this changed dramatically in May 2025. Effective with tickets purchased or changed May 28, 2025, travel credits expire 12 months from date of original ticket purchase, while travel credits from basic economy fares expire 6 months from date of original ticket purchase.
This represents a significant policy reversal affecting millions of travelers who valued Southwest’s flexibility. The airline continues to honor previously issued non-expiring credits. For current credits issued before May 28, 2025, the unlimited timeframe remains valid. Southwest’s new basic economy fare creates a particularly harsh scenario where passengers booking far in advance could receive zero credit if they cancel more than 6 months after purchase.
Expiration Date Rules: Book By vs Travel By
Airlines use two different expiration standards that cause massive confusion. “Book by” dates mean you must purchase your new ticket before the deadline, but can travel later. “Travel by” dates require your first flight to depart before expiration. Missing this distinction costs travelers thousands annually.
American Airlines flight credits require travel completion by the expiration date. If your flight credit expires January 15, 2026, you cannot book a flight for February even if you book in December. United uses the same travel-by standard for future flight credits. Trip credits and travel certificates often use book-by dates, giving you more flexibility to plan ahead.
Most major airlines now count expiration from the original ticket purchase date, not from when you cancel. This creates a shrinking window for credits. If you bought a ticket 9 months in advance and cancel the day before departure, you have roughly 3 months left to use the credit under typical 12-month policies.
Checking airline policy changes for 2026 helps you stay informed about expiration rule updates. Airlines can modify policies with little notice, as Southwest demonstrated with its recent reversal.
Transferability Rules: Who Can Use Your Credits
Flight credits are typically non-transferable, locked to the original ticketed passenger’s name. This restriction prevents you from gifting or selling unused credits. Most future flight credits are non-transferable, meaning they can only be used by the passenger they were issued to, while travel certificates can be used to book travel for anyone.
American Airlines trip credits can book flights for other passengers, though you’ll need to call reservations for multiple travelers. Travel vouchers issued for compensation can generally be used by anyone with the voucher number. Southwest allows limited transfers for higher fare classes. Both travelers must be Rapid Rewards members, and only one transfer is permitted per credit. Basic economy credits cannot be transferred.
Delta’s older transportation vouchers issued before December 15, 2011 could be freely transferred by sharing the 13-digit voucher number. Newer vouchers require the named passenger to travel on the same reservation. United maintains strict non-transferability on future flight credits. If multiple passengers were on a canceled reservation, each receives individual credits that cannot be combined or transferred.
Understanding these rules matters when planning group travel or trying to maximize credit value. Some creative travelers have reported success calling customer service to explain special circumstances, though this isn’t guaranteed.
Hidden Traps and Common Mistakes
The Residual Value Trap
Many airlines forfeit unused credit balances under certain conditions. Spirit Airlines previously maintained this policy, though they’ve loosened restrictions. Always check if your credit maintains residual value when booking cheaper flights. American Airlines issues new trip credits for remaining balances. United maintains residual value in your account. Some low-cost carriers forfeit amounts under specific thresholds.
The No-Show Forfeiture
If you don’t show for your flight, your ticket will no longer be valid or eligible for any credit. This rule applies across all major carriers. You must cancel before scheduled departure to preserve credit value. Set reminders for at least 24 hours before flights if there’s any chance you won’t travel. The 24-hour DOT rule for free cancellations only applies within 24 hours of purchase, not departure.
The Basic Economy Exclusion
Most basic economy fares don’t qualify for credits at all. If you buy the cheapest ticket and cancel, you might get nothing back. Airlines view basic economy as a price discrimination tool for budget-conscious leisure travelers. Southwest’s new 6-month expiration on basic fares created particularly harsh conditions. Someone booking 9 months ahead who cancels at 7 months receives nothing.
Check fare rules carefully before booking. Spending $20-50 more on a regular economy ticket could save hundreds if plans change. Understanding airline fees and restrictions helps you make informed booking decisions.
The Partner Airline Limitation
Credits typically work only on the issuing airline, with limited exceptions for alliance partners. American Airlines credits work on American-operated flights and some oneworld partners when booked through American. You cannot use American credits to book British Airways directly on ba.com. United credits work for United-operated and some Star Alliance partner flights booked through united.com.
This restriction becomes problematic when the issuing airline doesn’t serve your desired route. Your $500 Delta credit cannot buy a Southwest ticket, even if Southwest offers the only direct flight.
The Ancillary Service Exclusion
Travel credits can only be used to book flights and pay for bags online, they can’t be used to pay for extras like seats. This applies to most flight credits across airlines. You cannot use credits for:
- Seat selection fees
- Priority boarding
- Lounge access
- In-flight WiFi purchases
- Baggage fees (in many cases)
- Award ticket taxes and fees
Travel vouchers sometimes offer more flexibility depending on issuance terms. Always verify what your specific credit can purchase before assuming it covers ancillary services.
How to Extend Expiring Flight Credits
Airlines rarely extend expired credits, but you can legally reset expiration dates before they lapse. The rebooking trick works at most major airlines. Book a new flight using your expiring credit that costs slightly more than the credit value. Pay the difference with a credit card. Wait more than 24 hours, then cancel the new booking.
Thanks to a rule established by the U.S. Department of Transportation, you can cancel any flight to, from, or within the U.S. within 24 hours of booking for a full refund. If you wait beyond 24 hours, canceling creates a new credit with a fresh expiration date usually 12 months from the new booking date.
This strategy works because:
- Your entire purchase amount (original credit plus new cash) becomes a new credit
- The new credit gets a new issue date
- You effectively bought yourself 12 more months
Step-by-Step Credit Extension Process
- Find a flight costing $10-50 more than your credit balance
- Book using your expiring credit plus credit card for the difference
- Wait 25-30 hours to pass the DOT 24-hour refund window
- Cancel the reservation through your airline account
- Receive new credit with updated expiration date
- Repeat as needed before each expiration
Important considerations: Some airlines have closed this loophole or modified policies. United and American generally allow this practice. Delta’s policies vary. Always verify current terms before attempting. Book refundable or changeable fares when possible for extra protection.
When to Call Customer Service
Calling before expiration sometimes yields extensions, especially for:
- Elite status members with good history
- Credits affected by extraordinary circumstances
- Technical issues preventing redemption
- Confusion from airline policy changes
Approach customer service politely and explain your situation. Some agents have discretion to grant 30-90 day extensions. This isn’t guaranteed but costs nothing to try. Document your call including agent name and time for follow-up reference.
Tracking Multiple Credits Across Airlines
The average traveler with 3-4 airline credits loses track and lets $200-500 expire annually. Create a dedicated tracking system before credits disappear. Use a spreadsheet with these columns: airline name, credit type, amount, reference number, expiration date, booking vs travel deadline, transferability, restrictions.
Set multiple calendar reminders:
- 90 days before expiration
- 30 days before expiration
- 7 days before expiration
Most airlines display credits when logged into your account. American shows them in your AAdvantage wallet. United lists them in your MileagePlus wallet. Delta displays eCredits in your SkyMiles account. Southwest shows credits in your Rapid Rewards payment section.
For non-account credits, save confirmation emails in a dedicated folder. Screenshot important details including credit numbers and expiration dates. Consider using travel apps that track airline credits automatically.
Maximizing Credit Value Before Expiration
When expiration approaches and you lack immediate travel plans, book strategically. Short domestic flights typically offer the best value-per-dollar ratio. Weekend getaway destinations within 2-3 hours flight time work well. Consider flights you might take eventually, even if not immediately planned.
Book refundable or flexible fares when using credits if allowed. This provides backup options if the trip doesn’t materialize. Some airlines permit this; others require non-refundable bookings with credits. Combining credits with loyalty program benefits can stretch value further.
Gift travel to family members when credits are transferable. Trip credits often allow booking for others. Southwest’s transferable credits let you move value to another Rapid Rewards member. Consider destination inspiration from your credit amount. A $300 credit covers many domestic routes. $500-700 opens up transcontinental or Caribbean options.
Cash Refunds vs Credits: Know Your Rights
A consumer is entitled to a refund if the airline significantly delays a flight or significantly changes a flight and the consumer chooses not to travel or accept travel credits, vouchers, or other forms of compensation. You always have the right to refuse credits and demand cash refunds when airlines cause the disruption.
When airlines offer credits, remember:
- Ask explicitly for cash refunds first
- Don’t feel pressured to accept credits immediately
- Document all conversations and offers
- File DOT complaints if airlines refuse valid refund requests
- Understand your credit card protections
Many premium travel credit cards offer trip protection that supplements DOT regulations. Cards like Chase Sapphire Reserve or Amex Platinum provide cancellation coverage, delay protection, and purchase protection. Check your credit card travel benefits before accepting airline credits.
The DOT’s automatic refund rules specify exact scenarios qualifying for cash refunds. Airlines violating these requirements face substantial fines. As of December 2025, DOT has returned over $3 billion to passengers and issued $164 million in penalties for violations.
Comparison Table: Major Airlines Credit Policies 2026
| Airline | Credit Type | Expiration Period | Transferable | Travel/Book By | Residual Value |
| American | Trip Credit | 6-12 months | Yes | Book by | Yes, new credit issued |
| American | Flight Credit | 1 year | No | Travel by | Yes, new credit issued |
| American | Travel Voucher | 1 year (5 if airline-canceled) | Yes | Book by | Yes |
| United | Future Flight Credit | 1 year | No | Travel by | Yes, maintains in account |
| United | Travel Certificate | 2 years | Yes | Book by | Yes, until fully used |
| Delta | eCredit | 1 year | No | Varies | Yes, tracks residual |
| Delta | Transportation Voucher | Varies | Conditional | Varies | Yes |
| Southwest | Flight Credit (new) | 12 months | Limited | Book by | Yes |
| Southwest | Basic Fare Credit | 6 months | No | Book by | Varies |
| Southwest | Pre-May 2025 Credit | No expiration | Limited | No limit | Yes |
| JetBlue | Travel Credit | 1 year | No | Book by | Yes |
| Alaska | Credit Certificate | 1 year | No | Book by | Yes |
DOT Complaint Process for Credit Issues
When airlines refuse valid refunds or violate credit policies, file DOT complaints through the Aviation Consumer Protection portal. The department investigates complaints and can force airlines to comply with regulations. Complaints help establish patterns of violations leading to penalties and policy changes.
Before filing, gather documentation:
- Original ticket confirmations
- Cancellation notices
- Credit issuance emails
- Screenshots of policies
- Communication records with airline
- Payment receipts
The DOT typically responds within 60 days for formal complaints. Many airlines resolve issues quickly once DOT involvement occurs. Since 2021, DOT enforcement actions have recovered billions for passengers and substantially improved airline compliance.
Future Changes to Airline Credit Policies
The DOT announced in December 2025 plans for additional rulemaking on refund policies expected by June 2026. Proposed changes might further define cancellation scenarios and extend credit validity requirements. Airlines are lobbying against stronger consumer protections while advocacy groups push for mandatory minimum credit periods.
As of December 5, 2025, the Department is pausing until June 30, 2026 the enforcement of airline refunds requirements regarding cancelled flights for flights that are operated under a different flight number. This temporary enforcement pause allows airlines time to adjust systems while DOT considers further modifications to cancellation definitions.
Industry observers expect continued evolution of credit policies as airlines balance profitability with customer satisfaction. Southwest’s dramatic reversal on non-expiring credits signals potential industry-wide shifts. Budget carriers may adopt even stricter expiration rules while premium airlines might offer enhanced flexibility for elite members.
Practical Tips for Managing Airline Credits
Create a dedicated email folder for all airline credits and set it to flag messages containing credit numbers. When you receive credits, immediately add them to your calendar with multiple reminders. Consider using the Notes app on your phone to maintain a running list of credit details for quick access while booking.
Before booking new travel, check all your existing credits first. Airlines don’t automatically apply credits to new bookings. You must manually select them during checkout. Log into each airline account monthly to verify credit balances and expiration dates. Airlines sometimes adjust dates without notification.
When traveling for business, track personal vs company credits separately. Some companies require employees to return unused business travel credits. Keep detailed records of credit sources and authorized usage. Consider booking with airline loyalty programs that offer better credit terms for elite members.
For families, designate one person as the credit manager. Consolidate credit information in shared documents. Discuss travel plans regularly to use expiring credits strategically. Extended family trips or holiday travel become opportunities to maximize credit value.
Advanced Strategies for Frequent Travelers
Elite status members often receive preferential treatment with credits. Airlines may waive certain restrictions, extend expirations, or allow broader usage for top-tier members. Leverage status when calling customer service about credit issues. Frequent travelers should consider credit implications when choosing airlines for loyalty program concentration.
Book positioning flights with credits when they offer poor value for direct usage. A $200 credit on routes typically costing $89 loses value. Instead, use it for a $180 positioning flight to a better departure city where you’ll pay less for your main flight. The combined cost might save money compared to originating from your home airport.
Combine credits with sales and promotions. Airlines sometimes offer discounted fares that cost less than your credit value. Book these flights with credits, banking the fare difference as new credits for future use. Monitor fare alerts for your credited airline to catch deals matching your credit amounts.
Consider the opportunity cost of holding credits versus rebooking and creating new ones. Sometimes accepting a modest loss by letting a small credit expire makes more sense than forcing an unwanted trip. Evaluate whether extending credits through rebooking justifies the effort for credits under $100.
For more strategic travel planning, check out comprehensive airport and travel hacks that complement smart credit management.
Conclusion
Flight credits and travel vouchers represent real money that requires active management. The differences between credit types, expiration rules, and transferability directly impact whether you’ll use or lose hundreds of dollars. DOT regulations now provide stronger consumer protections, but you must know your rights and act on them.
Create systems to track credits across multiple airlines. Set multiple reminders well before expiration dates. Understand the distinction between book-by and travel-by deadlines. Know when to demand cash refunds instead of accepting credits. Use legal extension strategies before credits expire.
Airlines hold billions in unused passenger credits. Don’t let your money become their profit. Stay informed about policy changes, especially at Southwest which dramatically reversed course in 2025. Read the fine print on basic economy fares that might offer zero credit flexibility.
For the latest airline updates and traveler rights information, visit Talk Travel’s blog regularly. Understanding airline credit systems gives you control over your travel budget and helps you avoid common traps that cost other passengers thousands annually.
Frequently Asked Questions
Can I get a cash refund instead of airline credits?
Yes, when airlines cancel flights or make significant changes (3+ hours domestic, 6+ hours international), you’re legally entitled to cash refunds if you reject their offered credits or alternative flights. The DOT’s automatic refund rule effective October 2024 requires airlines to process refunds within 7 business days for credit cards or 20 days for other payment methods. Always explicitly request cash refunds when entitled rather than accepting credits.
What happens if my flight credit expires?
Once flight credits expire, airlines rarely restore them. Some passengers have successfully called customer service and requested extensions due to special circumstances, but this isn’t guaranteed. Elite status members sometimes receive more flexibility. Your best protection is tracking expiration dates carefully and using the rebooking strategy to reset expiration dates before they lapse. Set calendar reminders 90, 30, and 7 days before expiration.
Can I transfer my flight credit to someone else?
Flight credits are typically non-transferable and locked to the original passenger’s name. However, travel vouchers issued as compensation can often be used by anyone with the voucher number. American Airlines trip credits allow booking for others. Southwest permits limited transfers between Rapid Rewards members for higher fare classes. Delta’s older transportation vouchers (pre-December 2011) could be freely transferred. Always check your specific airline’s policy for your particular credit type.
Do Southwest flight credits still never expire?
No, Southwest reversed their non-expiring credit policy in May 2025. Credits from tickets purchased or changed after May 28, 2025 now expire 12 months from purchase date for regular fares and 6 months for basic economy fares. However, credits issued before May 28, 2025 maintain their non-expiring status. This dramatic policy change eliminates one of Southwest’s major competitive advantages that travelers valued since 2022.
How do I find all my unused airline credits?
Check each airline’s website by logging into your loyalty account. American shows credits in your AAdvantage wallet, United in your MileagePlus wallet, Delta in your SkyMiles account, and Southwest in your Rapid Rewards payment section. For credits not linked to accounts, search your email for confirmation numbers and credit issuance messages. Create a spreadsheet tracking all credits with reference numbers, amounts, expiration dates, and restrictions. Set up calendar reminders for upcoming expirations.
What’s the difference between “book by” and “travel by” expiration dates?
“Book by” dates mean you must purchase your ticket before the deadline but can travel later. “Travel by” dates require your actual flight to depart before expiration. American flight credits and United future flight credits use travel-by standards, meaning if your credit expires January 15, you cannot book February travel even in December. Trip credits and travel certificates often use book-by dates, providing more scheduling flexibility. Missing this distinction costs travelers thousands annually in expired credits.
Flight Credits vs Travel Vouchers in 2026: Expiration Rules, Transferability, and Hidden Traps
Meta Title: Flight Credits vs Travel Vouchers 2026: Hidden Expiration Traps
Meta Description: Lost thousands in unused airline credits? Learn critical differences between flight credits and travel vouchers in 2026, including new DOT refund rules and how to avoid expiration.
Introduction
Airlines are holding billions of dollars in unused travel credits while passengers lose money to confusing expiration rules. Understanding the difference between flight credits and travel vouchers could save you hundreds or thousands on your next trip.
The U.S. Department of Transportation reported that airlines issued approximately 20 million vouchers worth $10.4 billion during the pandemic alone. Many travelers still don’t know they’re sitting on expiring credits or how to use them before they vanish.
What Are Flight Credits and Travel Vouchers
Flight credits and travel vouchers represent money you can use for future airline travel, but they work differently. Flight credits typically come from voluntarily canceled or changed non-refundable tickets. Travel vouchers are usually issued as compensation for airline-caused disruptions like overbooking, cancellations, or significant delays.
The key distinction matters because each type has different rules about expiration, transferability, and usage restrictions. Airlines like American, United, and Delta each offer multiple credit types with varying terms. Flight credits usually expire within 12 months from the original ticket purchase date, not from when you cancel.
American Airlines offers three types of travel credit: Trip Credit, Flight Credit and Travel Vouchers, each with distinct terms and conditions. Trip credits can book travel for yourself or others. Flight credits are restricted to the original passenger only. Travel vouchers issued for compensation can often be used by anyone.
New DOT Automatic Refund Rules for 2026
The Department of Transportation implemented automatic refund requirements that became effective October 28, 2024. These rules fundamentally changed how airlines must handle canceled and significantly delayed flights. Airlines must now automatically issue cash refunds within 7 business days for credit card purchases or 20 calendar days for other payment methods.
Consumers are entitled to a refund if the airline cancelled a flight, regardless of the reason, and the consumer chooses not to travel or accept travel credits, vouchers, or other forms of compensation. This protection extends to significant schedule changes defined as 3+ hours for domestic flights or 6+ hours for international flights.
The new regulations require airlines to notify affected passengers of their refund rights before offering travel credits or vouchers. You can reject alternative compensation and demand your money back. Airlines that violate these rules face penalties from the DOT, which has issued over $164 million in penalties since 2021 for consumer protection violations.
Understanding your passenger rights during flight delays and cancellations becomes critical when airlines offer you credits instead of refunds. Always ask for a cash refund first if you qualify under DOT rules.
Airline-Specific Flight Credit Policies in 2026
American Airlines Credit System
American Airlines operates three distinct credit types that confuse many passengers. Trip credits expire 12 months after issuance for AAdvantage members, but only 6 months for non-members when issued after April 2, 2024. Flight credits remain valid for 1 year from the original ticket issue date, with the critical requirement that travel must begin before expiration.
If you don’t show for your flight, your ticket will no longer be valid or eligible for any credit. American’s travel vouchers issued as compensation typically last one year from the issuance date. However, when airlines cancel flights, DOT regulations require extending the expiration to 5 years from the cancellation date.
| Credit Type | Validity Period | Transferable | Usage Restrictions |
| Trip Credit | 6-12 months | Yes, can book for others | Cannot use for seats/upgrades |
| Flight Credit | 1 year | No, original passenger only | Must complete travel by expiration |
| Travel Voucher | 1 year (5 years if airline-canceled) | Yes, anyone can use | Flights only, no extras |
United Airlines Flight Credits
United’s future flight credits maintain residual value when you don’t use the full amount. United flight credits are non-transferable, so must be used by the person who they were initially assigned to. The expiration date requires travel to begin by that date, not just booking completion.
Travel certificates issued as goodwill gestures or for voluntary denied boarding offer more flexibility. These can be used to book travel for anyone and typically have a “book by” deadline rather than a “travel by” requirement. United’s system stores credits in your MileagePlus account wallet for easy tracking.
Delta eCredits and Transportation Vouchers
Delta issues several credit types with varying transferability rules. eCredits are non-transferable and tied to specific passengers on the original reservation. Transportation credit vouchers issued prior to Dec 15, 2011 can be transferred to another passenger, while those issued after this date require the named person to travel in the same reservation.
Delta’s system automatically applies residual value to your account when you don’t use the full credit amount. The original expiration date remains for any leftover balance. Delta typically extends credits through December 31 of the following year for tickets purchased in the current year.
Southwest Airlines Policy Change
Southwest pioneered non-expiring flight credits in 2022, eliminating expiration dates entirely. However, this changed dramatically in May 2025. Effective with tickets purchased or changed May 28, 2025, travel credits expire 12 months from date of original ticket purchase, while travel credits from basic economy fares expire 6 months from date of original ticket purchase.
This represents a significant policy reversal affecting millions of travelers who valued Southwest’s flexibility. The airline continues to honor previously issued non-expiring credits. For current credits issued before May 28, 2025, the unlimited timeframe remains valid. Southwest’s new basic economy fare creates a particularly harsh scenario where passengers booking far in advance could receive zero credit if they cancel more than 6 months after purchase.
Expiration Date Rules: Book By vs Travel By
Airlines use two different expiration standards that cause massive confusion. “Book by” dates mean you must purchase your new ticket before the deadline, but can travel later. “Travel by” dates require your first flight to depart before expiration. Missing this distinction costs travelers thousands annually.
American Airlines flight credits require travel completion by the expiration date. If your flight credit expires January 15, 2026, you cannot book a flight for February even if you book in December. United uses the same travel-by standard for future flight credits. Trip credits and travel certificates often use book-by dates, giving you more flexibility to plan ahead.
Most major airlines now count expiration from the original ticket purchase date, not from when you cancel. This creates a shrinking window for credits. If you bought a ticket 9 months in advance and cancel the day before departure, you have roughly 3 months left to use the credit under typical 12-month policies.
Checking airline policy changes for 2026 helps you stay informed about expiration rule updates. Airlines can modify policies with little notice, as Southwest demonstrated with its recent reversal.
Transferability Rules: Who Can Use Your Credits
Flight credits are typically non-transferable, locked to the original ticketed passenger’s name. This restriction prevents you from gifting or selling unused credits. Most future flight credits are non-transferable, meaning they can only be used by the passenger they were issued to, while travel certificates can be used to book travel for anyone.
American Airlines trip credits can book flights for other passengers, though you’ll need to call reservations for multiple travelers. Travel vouchers issued for compensation can generally be used by anyone with the voucher number. Southwest allows limited transfers for higher fare classes. Both travelers must be Rapid Rewards members, and only one transfer is permitted per credit. Basic economy credits cannot be transferred.
Delta’s older transportation vouchers issued before December 15, 2011 could be freely transferred by sharing the 13-digit voucher number. Newer vouchers require the named passenger to travel on the same reservation. United maintains strict non-transferability on future flight credits. If multiple passengers were on a canceled reservation, each receives individual credits that cannot be combined or transferred.
Understanding these rules matters when planning group travel or trying to maximize credit value. Some creative travelers have reported success calling customer service to explain special circumstances, though this isn’t guaranteed.
Hidden Traps and Common Mistakes
The Residual Value Trap
Many airlines forfeit unused credit balances under certain conditions. Spirit Airlines previously maintained this policy, though they’ve loosened restrictions. Always check if your credit maintains residual value when booking cheaper flights. American Airlines issues new trip credits for remaining balances. United maintains residual value in your account. Some low-cost carriers forfeit amounts under specific thresholds.
The No-Show Forfeiture
If you don’t show for your flight, your ticket will no longer be valid or eligible for any credit. This rule applies across all major carriers. You must cancel before scheduled departure to preserve credit value. Set reminders for at least 24 hours before flights if there’s any chance you won’t travel. The 24-hour DOT rule for free cancellations only applies within 24 hours of purchase, not departure.
The Basic Economy Exclusion
Most basic economy fares don’t qualify for credits at all. If you buy the cheapest ticket and cancel, you might get nothing back. Airlines view basic economy as a price discrimination tool for budget-conscious leisure travelers. Southwest’s new 6-month expiration on basic fares created particularly harsh conditions. Someone booking 9 months ahead who cancels at 7 months receives nothing.
Check fare rules carefully before booking. Spending $20-50 more on a regular economy ticket could save hundreds if plans change. Understanding airline fees and restrictions helps you make informed booking decisions.
The Partner Airline Limitation
Credits typically work only on the issuing airline, with limited exceptions for alliance partners. American Airlines credits work on American-operated flights and some oneworld partners when booked through American. You cannot use American credits to book British Airways directly on ba.com. United credits work for United-operated and some Star Alliance partner flights booked through united.com.
This restriction becomes problematic when the issuing airline doesn’t serve your desired route. Your $500 Delta credit cannot buy a Southwest ticket, even if Southwest offers the only direct flight.
The Ancillary Service Exclusion
Travel credits can only be used to book flights and pay for bags online, they can’t be used to pay for extras like seats. This applies to most flight credits across airlines. You cannot use credits for:
- Seat selection fees
- Priority boarding
- Lounge access
- In-flight WiFi purchases
- Baggage fees (in many cases)
- Award ticket taxes and fees
Travel vouchers sometimes offer more flexibility depending on issuance terms. Always verify what your specific credit can purchase before assuming it covers ancillary services.
How to Extend Expiring Flight Credits
Airlines rarely extend expired credits, but you can legally reset expiration dates before they lapse. The rebooking trick works at most major airlines. Book a new flight using your expiring credit that costs slightly more than the credit value. Pay the difference with a credit card. Wait more than 24 hours, then cancel the new booking.
Thanks to a rule established by the U.S. Department of Transportation, you can cancel any flight to, from, or within the U.S. within 24 hours of booking for a full refund. If you wait beyond 24 hours, canceling creates a new credit with a fresh expiration date usually 12 months from the new booking date.
This strategy works because:
- Your entire purchase amount (original credit plus new cash) becomes a new credit
- The new credit gets a new issue date
- You effectively bought yourself 12 more months
Step-by-Step Credit Extension Process
- Find a flight costing $10-50 more than your credit balance
- Book using your expiring credit plus credit card for the difference
- Wait 25-30 hours to pass the DOT 24-hour refund window
- Cancel the reservation through your airline account
- Receive new credit with updated expiration date
- Repeat as needed before each expiration
Important considerations: Some airlines have closed this loophole or modified policies. United and American generally allow this practice. Delta’s policies vary. Always verify current terms before attempting. Book refundable or changeable fares when possible for extra protection.
When to Call Customer Service
Calling before expiration sometimes yields extensions, especially for:
- Elite status members with good history
- Credits affected by extraordinary circumstances
- Technical issues preventing redemption
- Confusion from airline policy changes
Approach customer service politely and explain your situation. Some agents have discretion to grant 30-90 day extensions. This isn’t guaranteed but costs nothing to try. Document your call including agent name and time for follow-up reference.
Tracking Multiple Credits Across Airlines
The average traveler with 3-4 airline credits loses track and lets $200-500 expire annually. Create a dedicated tracking system before credits disappear. Use a spreadsheet with these columns: airline name, credit type, amount, reference number, expiration date, booking vs travel deadline, transferability, restrictions.
Set multiple calendar reminders:
- 90 days before expiration
- 30 days before expiration
- 7 days before expiration
Most airlines display credits when logged into your account. American shows them in your AAdvantage wallet. United lists them in your MileagePlus wallet. Delta displays eCredits in your SkyMiles account. Southwest shows credits in your Rapid Rewards payment section.
For non-account credits, save confirmation emails in a dedicated folder. Screenshot important details including credit numbers and expiration dates. Consider using travel apps that track airline credits automatically.
Maximizing Credit Value Before Expiration
When expiration approaches and you lack immediate travel plans, book strategically. Short domestic flights typically offer the best value-per-dollar ratio. Weekend getaway destinations within 2-3 hours flight time work well. Consider flights you might take eventually, even if not immediately planned.
Book refundable or flexible fares when using credits if allowed. This provides backup options if the trip doesn’t materialize. Some airlines permit this; others require non-refundable bookings with credits. Combining credits with loyalty program benefits can stretch value further.
Gift travel to family members when credits are transferable. Trip credits often allow booking for others. Southwest’s transferable credits let you move value to another Rapid Rewards member. Consider destination inspiration from your credit amount. A $300 credit covers many domestic routes. $500-700 opens up transcontinental or Caribbean options.
Cash Refunds vs Credits: Know Your Rights
A consumer is entitled to a refund if the airline significantly delays a flight or significantly changes a flight and the consumer chooses not to travel or accept travel credits, vouchers, or other forms of compensation. You always have the right to refuse credits and demand cash refunds when airlines cause the disruption.
When airlines offer credits, remember:
- Ask explicitly for cash refunds first
- Don’t feel pressured to accept credits immediately
- Document all conversations and offers
- File DOT complaints if airlines refuse valid refund requests
- Understand your credit card protections
Many premium travel credit cards offer trip protection that supplements DOT regulations. Cards like Chase Sapphire Reserve or Amex Platinum provide cancellation coverage, delay protection, and purchase protection. Check your credit card travel benefits before accepting airline credits.
The DOT’s automatic refund rules specify exact scenarios qualifying for cash refunds. Airlines violating these requirements face substantial fines. As of December 2025, DOT has returned over $3 billion to passengers and issued $164 million in penalties for violations.
Comparison Table: Major Airlines Credit Policies 2026
| Airline | Credit Type | Expiration Period | Transferable | Travel/Book By | Residual Value |
| American | Trip Credit | 6-12 months | Yes | Book by | Yes, new credit issued |
| American | Flight Credit | 1 year | No | Travel by | Yes, new credit issued |
| American | Travel Voucher | 1 year (5 if airline-canceled) | Yes | Book by | Yes |
| United | Future Flight Credit | 1 year | No | Travel by | Yes, maintains in account |
| United | Travel Certificate | 2 years | Yes | Book by | Yes, until fully used |
| Delta | eCredit | 1 year | No | Varies | Yes, tracks residual |
| Delta | Transportation Voucher | Varies | Conditional | Varies | Yes |
| Southwest | Flight Credit (new) | 12 months | Limited | Book by | Yes |
| Southwest | Basic Fare Credit | 6 months | No | Book by | Varies |
| Southwest | Pre-May 2025 Credit | No expiration | Limited | No limit | Yes |
| JetBlue | Travel Credit | 1 year | No | Book by | Yes |
| Alaska | Credit Certificate | 1 year | No | Book by | Yes |
DOT Complaint Process for Credit Issues
When airlines refuse valid refunds or violate credit policies, file DOT complaints through the Aviation Consumer Protection portal. The department investigates complaints and can force airlines to comply with regulations. Complaints help establish patterns of violations leading to penalties and policy changes.
Before filing, gather documentation:
- Original ticket confirmations
- Cancellation notices
- Credit issuance emails
- Screenshots of policies
- Communication records with airline
- Payment receipts
The DOT typically responds within 60 days for formal complaints. Many airlines resolve issues quickly once DOT involvement occurs. Since 2021, DOT enforcement actions have recovered billions for passengers and substantially improved airline compliance.
Future Changes to Airline Credit Policies
The DOT announced in December 2025 plans for additional rulemaking on refund policies expected by June 2026. Proposed changes might further define cancellation scenarios and extend credit validity requirements. Airlines are lobbying against stronger consumer protections while advocacy groups push for mandatory minimum credit periods.
As of December 5, 2025, the Department is pausing until June 30, 2026 the enforcement of airline refunds requirements regarding cancelled flights for flights that are operated under a different flight number. This temporary enforcement pause allows airlines time to adjust systems while DOT considers further modifications to cancellation definitions.
Industry observers expect continued evolution of credit policies as airlines balance profitability with customer satisfaction. Southwest’s dramatic reversal on non-expiring credits signals potential industry-wide shifts. Budget carriers may adopt even stricter expiration rules while premium airlines might offer enhanced flexibility for elite members.
Practical Tips for Managing Airline Credits
Create a dedicated email folder for all airline credits and set it to flag messages containing credit numbers. When you receive credits, immediately add them to your calendar with multiple reminders. Consider using the Notes app on your phone to maintain a running list of credit details for quick access while booking.
Before booking new travel, check all your existing credits first. Airlines don’t automatically apply credits to new bookings. You must manually select them during checkout. Log into each airline account monthly to verify credit balances and expiration dates. Airlines sometimes adjust dates without notification.
When traveling for business, track personal vs company credits separately. Some companies require employees to return unused business travel credits. Keep detailed records of credit sources and authorized usage. Consider booking with airline loyalty programs that offer better credit terms for elite members.
For families, designate one person as the credit manager. Consolidate credit information in shared documents. Discuss travel plans regularly to use expiring credits strategically. Extended family trips or holiday travel become opportunities to maximize credit value.
Advanced Strategies for Frequent Travelers
Elite status members often receive preferential treatment with credits. Airlines may waive certain restrictions, extend expirations, or allow broader usage for top-tier members. Leverage status when calling customer service about credit issues. Frequent travelers should consider credit implications when choosing airlines for loyalty program concentration.
Book positioning flights with credits when they offer poor value for direct usage. A $200 credit on routes typically costing $89 loses value. Instead, use it for a $180 positioning flight to a better departure city where you’ll pay less for your main flight. The combined cost might save money compared to originating from your home airport.
Combine credits with sales and promotions. Airlines sometimes offer discounted fares that cost less than your credit value. Book these flights with credits, banking the fare difference as new credits for future use. Monitor fare alerts for your credited airline to catch deals matching your credit amounts.
Consider the opportunity cost of holding credits versus rebooking and creating new ones. Sometimes accepting a modest loss by letting a small credit expire makes more sense than forcing an unwanted trip. Evaluate whether extending credits through rebooking justifies the effort for credits under $100.
For more strategic travel planning, check out comprehensive airport and travel hacks that complement smart credit management.
Conclusion
Flight credits and travel vouchers represent real money that requires active management. The differences between credit types, expiration rules, and transferability directly impact whether you’ll use or lose hundreds of dollars. DOT regulations now provide stronger consumer protections, but you must know your rights and act on them.
Create systems to track credits across multiple airlines. Set multiple reminders well before expiration dates. Understand the distinction between book-by and travel-by deadlines. Know when to demand cash refunds instead of accepting credits. Use legal extension strategies before credits expire.
Airlines hold billions in unused passenger credits. Don’t let your money become their profit. Stay informed about policy changes, especially at Southwest which dramatically reversed course in 2025. Read the fine print on basic economy fares that might offer zero credit flexibility.
For the latest airline updates and traveler rights information, visit Talk Travel’s blog regularly. Understanding airline credit systems gives you control over your travel budget and helps you avoid common traps that cost other passengers thousands annually.
Frequently Asked Questions
Can I get a cash refund instead of airline credits?
Yes, when airlines cancel flights or make significant changes (3+ hours domestic, 6+ hours international), you’re legally entitled to cash refunds if you reject their offered credits or alternative flights. The DOT’s automatic refund rule effective October 2024 requires airlines to process refunds within 7 business days for credit cards or 20 days for other payment methods. Always explicitly request cash refunds when entitled rather than accepting credits.
What happens if my flight credit expires?
Once flight credits expire, airlines rarely restore them. Some passengers have successfully called customer service and requested extensions due to special circumstances, but this isn’t guaranteed. Elite status members sometimes receive more flexibility. Your best protection is tracking expiration dates carefully and using the rebooking strategy to reset expiration dates before they lapse. Set calendar reminders 90, 30, and 7 days before expiration.
Can I transfer my flight credit to someone else?
Flight credits are typically non-transferable and locked to the original passenger’s name. However, travel vouchers issued as compensation can often be used by anyone with the voucher number. American Airlines trip credits allow booking for others. Southwest permits limited transfers between Rapid Rewards members for higher fare classes. Delta’s older transportation vouchers (pre-December 2011) could be freely transferred. Always check your specific airline’s policy for your particular credit type.
Do Southwest flight credits still never expire?
No, Southwest reversed their non-expiring credit policy in May 2025. Credits from tickets purchased or changed after May 28, 2025 now expire 12 months from purchase date for regular fares and 6 months for basic economy fares. However, credits issued before May 28, 2025 maintain their non-expiring status. This dramatic policy change eliminates one of Southwest’s major competitive advantages that travelers valued since 2022.
How do I find all my unused airline credits?
Check each airline’s website by logging into your loyalty account. American shows credits in your AAdvantage wallet, United in your MileagePlus wallet, Delta in your SkyMiles account, and Southwest in your Rapid Rewards payment section. For credits not linked to accounts, search your email for confirmation numbers and credit issuance messages. Create a spreadsheet tracking all credits with reference numbers, amounts, expiration dates, and restrictions. Set up calendar reminders for upcoming expirations.
What’s the difference between “book by” and “travel by” expiration dates?
“Book by” dates mean you must purchase your ticket before the deadline but can travel later. “Travel by” dates require your actual flight to depart before expiration. American flight credits and United future flight credits use travel-by standards, meaning if your credit expires January 15, you cannot book February travel even in December. Trip credits and travel certificates often use book-by dates, providing more scheduling flexibility. Missing this distinction costs travelers thousands annually in expired credits.
