Flight Refund vs Compensation — What Is the Difference?
Many passengers ask for one when they should be claiming both. A refund returns your ticket price. Compensation (€250–€600) pays you for the disruption. Under EU261 and UK261, these are two separate rights — and you can receive both.
Quick answer
A refund returns the money you paid for the ticket. Compensation is a separate fixed amount (€250, €400 or €600) paid for the inconvenience of a delay, cancellation or denied boarding. You are legally entitled to claim both — accepting a refund does not cancel your right to compensation.
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What Is a Refund?
A refund is the return of the money you paid for your ticket. It is a contractual right — the airline did not deliver the service you paid for. Under EU261 Article 8, you are entitled to a full refund within 7 days by cash, bank transfer or cheque if:
- Your flight was cancelled
- You were denied boarding against your will
- Your flight was delayed by 5 or more hours and you chose not to travel
The refund covers the full ticket price for the unused journey, including the return leg if you are already part-way through a trip and the disruption makes the return pointless.
What Is Compensation?
Compensation under EU261 Article 7 is a fixed statutory payment for the inconvenience caused by the disruption — separate from any money you paid for the ticket. It is owed when:
- Your flight arrived at the final destination 3 or more hours late
- Your flight was cancelled with less than 14 days' notice
- You were denied boarding against your will
The fixed amounts are:
| Distance | Compensation |
|---|---|
| Up to 1,500 km | €250 |
| 1,500 – 3,500 km | €400 |
| Over 3,500 km | €600 |
Key Differences at a Glance
| Refund | EU261 Compensation | |
|---|---|---|
| Legal basis | EU261 Art. 8 / contract law | EU261 Art. 7 |
| What it covers | Ticket price paid | Disruption inconvenience |
| Amount | Actual ticket price | Fixed: €250 / €400 / €600 |
| When owed | Cancellation, 5h+ delay, denied boarding | 3h+ delay, cancellation <14 days, denied boarding |
| Deadline to pay | Within 7 days | No statutory deadline — claim promptly |
| Can you claim both? | Yes | Yes |
Watch Out for Vouchers
Airlines frequently offer travel vouchers during disruptions. A voucher is not the same as a refund. Under EU261 you have the right to actual money — cash, bank transfer or cheque. You cannot be legally forced to accept a voucher.
Similarly, a voucher offered as "compensation" does not satisfy your right to EU261 statutory compensation unless you voluntarily agreed to it in writing. If you were pressured into accepting a voucher, you can still pursue the cash amounts.
How to Claim Both
- Write to the airline in a single letter or email claiming both a ticket refund (Article 8) and EU261 compensation (Article 7), citing the exact amounts
- Attach your booking confirmation and any expense receipts
- State clearly that you expect cash payment — not vouchers
- Allow 6–8 weeks before escalating
- If rejected: escalate to your national enforcement body or use ClaimWinger to pursue both claims simultaneously
Frequently Asked Questions
Can I get both a refund and compensation for a cancelled flight?
Yes. A refund (return of the ticket price) and EU261 compensation (€250–€600) are completely separate rights. One covers your financial loss on the ticket contract; the other compensates you for the disruption itself. You can — and should — claim both.
If I accept a refund, do I lose my right to compensation?
No. Accepting a ticket refund does not waive your EU261 compensation right. The two claims are independent. However, if you accept a refund AND a voucher as compensation in writing, you may have waived the cash compensation.
The airline offered me a voucher — is that the same as a refund?
No. A travel voucher is not a cash refund. Under EU261, you are entitled to a full monetary refund (cash, bank transfer or cheque) within 7 days if your flight is cancelled or if you are denied boarding. You cannot be forced to accept a voucher instead of a refund.
My flight was delayed 4 hours but it eventually departed — can I get a refund?
No, not in most cases. Refunds for delays are typically limited to very long delays (5+ hours) where you choose not to travel. If the flight departed and you travelled, you normally cannot claim a ticket refund — but you may still be entitled to €250–€600 in delay compensation.
What if I used credit card points or miles to pay for the ticket?
EU261 compensation is owed regardless of how you paid for the ticket — cash, miles, credit card points or a combination. Compensation is a statutory right tied to the flight, not the payment method.
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