It was the best of times; It was the worst time. A relaxing week in Paris and Normandy on a road trip Viking river cruise my trip along the Seine ended with a delay of many hours when I arrived Paris-Charles de Gaulle Airport (CDG) for my flight home on the day United Airlines.
During the five hours at the airport, I comforted myself with a luxurious outfit. Star Alliance lounge (hello Champagne bar, tea area and outdoor terrace) and know that, as the minutes tick by, United will have to comply with EU law 261 that compensates passengers for delays and cancellations.
One thing I wasn’t prepared for when the clock struck the magical three-hour mark: United added an interesting twist to what is usually a straightforward financial transaction.
What is EU 261?
If you are not familiar with it EU Rule 261, this is a good one to add to your travel “must-haves.” The EU, unlike the US today, has consumer protections in place for travelers (although the US Department of Transportation recently implemented New refund guidelines for airline consumers).
There are a number of factors that contribute to delays and cancellations and how they equate to financial compensation, but the main information to note is that under EU law, the consumer-friendly EU 261 regulation will Support passengers experiencing flight delays or cancellations. It requires airlines to pay compensation in certain cases; One of these cases is if your international flight departing from an EU country will arrive three hours later than your scheduled time.
Passengers in the US can file a claim under EU 261 under the qualifying conditions when on a flight departing from the EU or when flying with an EU-based airline en route to the EU.
(To find the right place to file a United claim, go to Customer Care, select the “Questions” option, then click “International Passenger Rights.”)
What United offers to European passengers is delayed
In the past, when I took advantage of EU regulation 261 (yes, I’ve had delays before – including an 18-hour overnight stay in Paris courtesy of Air France – but I digress) , it was a very good decision – dry transaction. I simply found the right place on the website to submit my claim (legally, airlines need to inform you of the policy and provide information on how to file); I then received compensation equivalent to 600 euros in US dollars directly into my bank account. (You can also choose to have a check mailed to you.)
In other words, it’s a cash transaction.
Daily newsletter
Gift your inbox with the TPG Daily newsletter
Join over 700,000 readers to get breaking news, in-depth guides and exclusive offers from TPG experts
But United did something pretty smart, giving you the right to waive cash compensation for miles or credits.
My suggestion (and from searching flyer chat rooms this seems to work for United) is:
- Cash: 600 euros
- Mile: 50,000 air miles
- Credit: $1,000 flight credit
This stopped me in my tracks. What to choose? I couldn’t decide right away so I broke the math down.
Compare United compensation offers
On the surface, one might imagine these are all the same. Why did United offer them? But there is a downside to each.
First, let’s look at the value:
- Cash: 600 euros is equivalent to 640.90 USD at the current exchange rate.
- Mile: 50,000 United miles equals $650 at Current valuation of TPG is 1.3 cents per mile.
- Credit: Of course, the $1,000 flight credit is worth $1,000.
Then let’s look at how you can use these options:
- Cash: You can use $650 wherever and however you see fit.
- Mile: United miles don’t expire, which is a plus, but finding the ability to use miles can be difficult.
- Credit: Flight Credits on United can be used to purchase tickets, upgrade seats or make in-flight purchases. However, the credits will expire after one calendar year. You must complete the trip within that year, not just book it before the end date.
What I chose
At first glance, I was ready to choose flight credit because $1,000 is clearly worth more than $650, and miles aren’t much more valuable than cash. However, when I discovered the strict one-year credit validity period, I reconsidered. My family already has United credits from flights we had to cancel earlier this year, and since the clock is ticking on those, the added time restrictions don’t seem great to us. with me. However, since I chose to upgrade to the Polaris seat for $599 (more on that later), I ultimately decided that I just wanted to take the cash and say I broke even.
For other flyers, miles may make more sense, and if you know you’re going to be buying expensive tickets, credits are definitely a good option.
No matter which United option you choose, just make sure you keep an eye on your watch on your next European flight. If you find yourself landing more than three hours late, make sure you apply for compensation.
Related reading:
