What is a nonrefundable fare?

What does a nonrefundable fare actually restrict?

A fare is a price plus a set of conditions, and the refund question is only one of them. Someone buying a nonrefundable fare is agreeing that if they choose not to fly, the airline keeps the money instead of sending it back; what survives is a value that can be put toward later travel under the rules of that particular fare. That is how the same airline can sell two very differently priced tickets for the same seat: the cheaper one carries the tighter conditions. The full set of conditions attached to a price is described on our fare rule page.

American Airlines defines a fare as "the price you pay for your ticket; also, the rules associated with that ticket including whether it's refundable". [1] On a refundable ticket, American returns the full amount when travel has not started, or the value of the unused travel when the ticket is partly used, and pays the original credit card within 7 business days, allowing one to two billing cycles for the credit to appear. [1] On a non-refundable ticket it takes the opposite position on the cash question: no cash refund, the ticket is cancelled, and a travel credit is issued for future travel on American. [1] The contrast between the two outcomes is set out in refund vs travel credit.

Both routes end at the same place. All refunds are made to the original form of payment, and a ticket cannot be used by, or refunded to, any other passenger, so the credit belongs to whoever paid. [1]

A credit also has a shelf life. American generally issues tickets valid for one year: an unused ticket must be used to begin travel within one year of the date it was first issued, and a partly used ticket must have all new travel completed within one year of the first completed flight, unless the ticket states otherwise. [1]

How is the refund-or-credit outcome decided on a booking?

Four things move a booking from one outcome to the other: who cancelled, when they cancelled, why the trip fell apart, and where the ticket was sold.

Who cancelled, and when. A voluntary change or cancellation by the traveller before departure is the case the nonrefundable condition is written for, and American's stated result is a travel credit rather than cash. [1] American also keeps a general 24-hour opening: up to 24 hours from the moment of purchase for a full refund, provided the booking was made at least 7 days before departure and the trip is cancelled inside those 24 hours. [1] The mechanics of that window are covered under the 24-hour cancellation rule.

Why the trip fell apart. American lists the grounds on which it will refund a non-refundable ticket, or the unused segment of one, to the original form of payment: American cancels the flight; American makes a schedule change that moves departure time by more than 4 hours; a passenger or their travel companion dies, with supporting paperwork; or military orders require the trip to be cancelled, again with paperwork. [1] Separately, American says it promptly and automatically refunds the ticketed fare, including taxes and fees, when there is a cancellation or significant flight itinerary change and the customer chooses not to fly on the changed flight or to accept rebooking or other compensation; eligible itinerary changes include changes of 3 or more hours domestic and 4 or more hours international, a change of origination or destination airport, a downgrade to a lower cabin, and an increased number of connections. [1]

Where the ticket was sold. If the ticket was bought through a travel agency or another booking source, American directs the passenger back to that party for a refund. [1] American also notes that some countries have different rules about refunds and that it will follow those rules where they apply, so the country of sale can change the answer for the same itinerary. [1] In the United States, the Department of Transportation's Office of Aviation Consumer Protection publishes consumer information on refunds and receives air travel service complaints. [3]

Award tickets. Redeemed tickets are not exempt from ticketing conditions. United Airlines' MileagePlus rules state that award tickets may be subject to the taxes, fees, tariffs, contract of carriage, ticket terms and re-accommodation policies of the carrier on which travel is scheduled. [6] United also says a service charge may be imposed for each change or cancellation a member requests after an award is issued, that miles are redeposited subject to a service charge when an award is cancelled or returned under the applicable rules, and that some awards state they are not eligible for redeposit at all. [6]

What exceptions and limits apply?

• Involuntary refunds. When American refuses to carry someone for reasons other than that person's breach of its conditions of carriage, it refunds the full amount of the ticket and any extras if travel has not started, or the value of the unused travel if it has, and charges no refund fees or penalties to a passenger who was involuntarily denied boarding. [1]
• Airline-caused disruption. If American or an airline partner cancels the flight, or departure or arrival is delayed by 3 or more hours domestic or 4 or more hours international, American says its sole obligation is to refund the unused ticket value and any optional fees under its involuntary refunds policy, alongside its rebooking policy. [1] The wider picture is in our US flight cancellation and refund guide.
• Force majeure. When an event outside the airline's control leaves a ticket with value — for example after re-accommodation in a different class of service — American refunds the unused portion to the original form of payment. [1]
• Unused taxes. A passenger can request a refund of eligible taxes included in the ticket price, including some destination-specific taxes not imposed by the airline; taxes the airline must pay whether or not the passenger travels are not eligible. [1]
• Unused extras. Seats, bags and other extras paid for but not used because the trip did not go ahead may be requested for refund. [1] American separately states that checked bag fees are non-refundable and are charged per person, each way. [1]
• What the restriction does not override. Refunds still go only to the original payer and cannot be paid to another passenger [1]; a credit carried on an unused ticket still expires at the one-year point [1]; and a ticket bought through an agency is refunded through that agency [1].

Frequently asked questions

Is a nonrefundable ticket worthless if I cancel?

No. American states that it does not refund cash for non-refundable tickets, but that a trip cancelled before departure is cancelled and converted into a travel credit for future travel on American. [1] That credit sits inside the ticket's validity, which is generally one year from issue for an unused ticket. [1]

Can I get taxes back on a nonrefundable fare?

You can request a refund of eligible taxes included in the ticket price, and some destination-specific taxes not imposed by the airline may qualify; taxes the airline must pay whether or not you travel do not. [1]

Does a schedule change make my nonrefundable ticket refundable?

American will refund a non-refundable ticket to the original form of payment when it cancels the flight or makes a schedule change of more than 4 hours to departure time, and also for the death of a passenger or travel companion or for military orders, with supporting paperwork in both cases. [1]

What if I booked through a travel agency?

American asks passengers who bought through a travel agency or another booking source to contact that party for the refund. [1] Rules in some countries differ, and American says it follows those local rules where they apply. [1]

Do award tickets follow the same fare rules?

United's MileagePlus rules say award tickets may be subject to the taxes, fees, contract of carriage and ticket terms of the carrier operating the travel, and that a service charge may apply to each member-requested change or cancellation, with some awards stating that miles cannot be redeposited. [6]

Related pages

Read next: fare rule, refund vs travel credit, 24-hour cancellation rule, voluntary change, the US flight cancellation and refund guide, and the full glossary of frequent flyer terms.

Sources

Sources checked on 18 October 2026. Other carriers, including Delta Air Lines, British Airways, Emirates, Qatar Airways and the major Asian airlines, are not covered here; United appears only through its MileagePlus programme rules.

1. American Airlines Conditions of Carriage, checked 18 October 2026
2. U.S. Department of Transportation, Office of Aviation Consumer Protection, checked 18 October 2026
3. United Airlines MileagePlus Rules, checked 18 October 2026