Which regulation applies?
DGCA CAR Section 3 Series M Part VI — Cancellation compensation table (revised 2017)
Source: https://www.dgca.gov.in/digigov-portal/CARS
Source: https://www.dgca.gov.in/digigov-portal/CARS
Step-by-step: what to do now
- 1 When you receive the cancellation notification (email, SMS, app push), do NOT click "Accept rebooking" until you have decided your preference. Acceptance can waive your compensation rights.
- 2 Calculate the notice period — was the cancellation notified ≥2 weeks before departure, between 24 hours and 2 weeks, or under 24 hours? The compensation slab depends on this.
- 3 Contact the airline's customer-care number (IndiGo 0124-4973838, Air India 1860-233-1407, SpiceJet 0124-4983410, Akasa 022-6936-4444) and clearly state: (a) you want either full refund OR free rebooking of your choice, AND (b) you want DGCA cancellation compensation paid separately to your bank account.
- 4 Get the resolution in writing (email or in-app message). Verbal commitments do not survive escalation.
- 5 If your booking was via HappyFares, raise the request through HappyFares customer care — we coordinate directly with the airline and track the refund + compensation cycle on your behalf.
- 6 If the airline refuses cash compensation, file a complaint on DGCA AirSewa (https://airsewa.gov.in). Resolution typically takes 21-45 days. Quote DGCA CAR Section 3 Series M Part VI by name.
Compensation / refund table
| Scenario | Amount / outcome | Notes |
|---|---|---|
| Notified ≥2 weeks before departure | Full refund OR rebooking — no cash compensation | Airline must offer alternative flight as a choice |
| Notified <2 weeks but ≥24 hours | Refund + alternate flight (must arrive within 2 hrs of original) OR cash compensation | If alternate not within 2 hrs of original arrival, cash compensation triggers |
| Notified <24 hours, block time <1 hour | ₹5,000 cash compensation + refund/rebooking | Plus refreshments at airport |
| Notified <24 hours, block time 1-2 hours | ₹7,500 cash compensation + refund/rebooking | Plus refreshments at airport |
| Notified <24 hours, block time 2+ hours | ₹10,000 cash compensation + refund/rebooking | Plus refreshments and hotel if overnight |
Time limit: Refund must be processed in 7 working days. Cash compensation should be paid at the airport or within 30 days. AirSewa escalation: within 1 year of incident.
HappyFares RefundGuard can help
HappyFares 24-Hour RefundGuard refunds the FULL ticket value (not just cancellation residue) within 24 hours if you book on HappyFares — no questions asked. Useful if the airline drags out the standard 7-day refund cycle.
Learn more →Frequently asked questions
How long does an airline take to refund a cancelled flight in India?
DGCA mandates 7 working days for credit/debit card refunds, 14 working days for cash/demand-draft. Direct bookings refund to the original payment source. HappyFares bookings refund to your HappyFares wallet within 24 hours if you have Rapid Refund Sure, then to your card per the standard cycle.
Can the airline force me to accept rebooking instead of a refund?
No. DGCA CAR Section 3 Series M Part IV (and Part VI) explicitly preserves YOUR choice between (a) full refund and (b) rebooking. Airlines that pressure you to accept rebooking are violating the regulation. File an AirSewa complaint if this happens.
Is the airline liable if it cancels due to crew shortage?
Yes. Crew shortage, aircraft unserviceability, scheduling errors, and operational losses are NOT force-majeure exemptions. Compensation per the table above applies.
What if the airline goes bankrupt — Jet Airways, Go First, Kingfisher?
See our /travel-problems/airline-bankruptcy-india page. In short: book via credit card to get chargeback protection. Direct-to-bank refunds from bankrupt airlines move to the Insolvency and Bankruptcy Code (IBC) committee of creditors — recovery is partial and slow (3-7 years).
Do I need a lawyer to claim DGCA cancellation compensation?
No. DGCA AirSewa is a free online portal. Most legitimate compensation claims are resolved by AirSewa within 21-45 days. Consumer Forum only needed if the airline refuses to comply after AirSewa direction.
Can I claim compensation if I booked via an OTA like HappyFares?
Yes. The OTA is your ticketing intermediary; the airline is the service provider. DGCA compensation flows from the airline regardless of where you booked. HappyFares coordinates the claim on your behalf if you raised the cancellation through us.