AwardWallet receives compensation from advertising partners for links on the blog. The opinions expressed here are our own and have not been reviewed, provided, or approved by any bank advertiser. Here's our complete list of Advertisers.
Earlier this year, American Airlines teased that Basic Economy fares would become less punitive. And now, they are. The carrier has made good on its promise to alleviate the burden of canceling non-refundable tickets by introducing partial refunds. But there's a catch.
Here's what you need to know about the now-live changes to the American Airlines Basic Economy cancellation policy.
You Can Now Cancel American Airlines Basic Economy Flights for a Partial Credit
American Airlines informed AAdvantage members in early January that American Airlines Basic Economy fares would soon carry different terms. Instead of being completely non-refundable (outside 24 hours of booking), members of the free-to-join AAdvantage program could cancel and receive a partial trip credit.
On January 17, 2024, added flexibility to American Airlines' cheapest fares became the new normal. AAdvantage members can cancel Basic Economy fares, provided:
- The trip is domestic.
- Travel has not started yet.
- The trip was booked through American Airlines and not reserved through a third party.
- Your AAdvantage number must be in your reservation before cancelling.
We'll start off by saying that anything is better than nothing. The new policy is miles better than the old one, but we'll remain hopeful that it one day extends to international itineraries, not just domestic ones, and will apply no matter how you booked your ticket.

American Airlines Basic Economy Cancellation Fee
You'll receive a travel credit minus a cancellation fee when you cancel a Basic Economy ticket on American Airlines' website or in its mobile app. The fee is $99, and the terms note that if the fee is more than the ticket price, a travel credit won't be issued.
Related: Best Credit Cards for Travel Purchases
Final Thoughts
The new American Airlines Basic Economy cancelation policy is live. On eligible itineraries, AAdvantage members can cancel for a travel credit, which is the cost of the ticket less a $99 cancelation fee.
Even though there's now increased flexibility, we still only recommend booking Basic Economy fares if you're sure you'll travel. This will avoid any surprises when you receive your travel credit if you have to cancel a flight.
The comments on this page are not provided, reviewed, or otherwise approved by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.