Airlines Can't Refund You In Vouchers Anymore & 6 New MAVCOM Policies You Need To Know
The changes follow the amendments to the Malaysian Aviation Consumer Protection Code (MACPC) 2024.
In a new refund policy, the Malaysian Aviation Commission (MAVCOM) has mandated that airlines departing from Malaysia must refund passengers using their original mode of payment within 30 days
MAVCOM director of consumer and public affairs, Pushpalatha Subramaniam, announced this during a media briefing on the amended Malaysian Aviation Consumer Protection Code (MACPC) 2024 yesterday, 2 September, reported the New Straits Times.
"If you pay by cash, then [the airline] has to refund you by cash. If you pay via credit card, they have to reimburse your credit card. If you pay through airline miles points, they will reimburse the miles points you credited," she said.
This means airlines cannot issue flight ticket refunds in the form of vouchers that can only be used for future bookings with the same airline, a practice many Malaysian consumers have protested since the COVID-19 lockdowns.
Separately, if a consumer purchases their flight ticket through an online travel agency (OTA), the airline must first reimburse the OTA before the OTA reimburses the consumer.
Pushpa said that OTAs are not within MAVCOM's jurisdiction but fall under the Tourism, Arts, and Culture Ministry. She will discuss with the ministry to ensure OTAs refund their customers.
Pushpalatha speaking during a media briefing on the amended MACPC yesterday, 2 September.
Image via Aswadi Alias/Harian Metro
In an infographic post, MAVCOM stated that the new regulation gives consumers the option to recoup their losses if they do not wish to continue their journey
The refund policy extends to flight disruptions caused by extraordinary circumstances beyond the airlines' control, such as weather and security risks.
If the passenger does not opt for a refund, the airline may then offer alternative forms of compensation, such as travel vouchers or credit shells. Consumers have the right to choose their preferred refund method.
Below are six other amendments to the MACPC:
– Consumers are entitled to a refund in the original mode of payment if their flights are delayed by five hours or more.
– In every refund case, airlines must now provide a mandatory refund for the fuel surcharge, taxes, fees, and charges, including the departure levy, Passenger Service Charges (PSC), and carbon fee. This applies to both refundable and non-refundable tickets for flights that consumers did not board.
– Consumers must be notified of any change in the scheduled departure time at least two weeks before the actual departure unless there are extraordinary circumstances and unavoidable technical problems. This provision will take effect in January 2025.
– All cancelled flights must be promptly removed from all booking platforms, including online and offline travel agents. This is to protect consumers from purchasing tickets for unavailable flights.
– Airlines must publish all-inclusive prices at the time of advertising and before ticket purchase by consumers, including all fees and charges.
– Advertisements of airfare must not be false, misleading, or deceptive.
Transport Minister Anthony Loke stated that the amended MACPC would be gazetted and enforced starting 2 September:
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