Airlines sometimes find themselves in a situation where they have more passengers than available seats on a particular flight. This can occur for various reasons, one of which is airlines intentionally overselling flights, anticipating that a certain percentage of passengers may not show up for their booked flights. Another scenario is when there’s an unexpected aircraft change, resulting in the new plane having fewer seats than the original one it replaced. Additionally, operational issues, such as a broken seat on a fully booked flight, may necessitate bumping a passenger from the flight.
Airlines have the authority to refuse a passenger from boarding a flight and offer them compensation mandated by the government based on their ticket price. However, removing a paying passenger from a plane can lead to a public relations disaster. That’s why airlines typically ask for volunteers with flexible travel plans to take a later flight in exchange for compensation. Since the passenger volunteers, there’s no set amount that the airline must pay, and there won’t be any negative news coverage about a stranded passenger. In fact, airlines are often willing to offer more compensation than required to find volunteers rather than having to remove a passenger involuntarily. This is why you may hear stories about passengers receiving $1,500, $4,500, or even up to $10,000 to take a later flight.
Take this Delta flight. Passengers who had already boarded the plane were offered $1,600 to take another flight, and several of them made a beeline to the exit to collect that cash.
@nataliebode Never seen people move so quickly out of an airplane but I respect it
Delta Choice Gift Cards
Delta Air Lines used to offer Delta Dollars to bumped passengers, which could be used on a future Delta flight. The airline changed its policy a while ago and now compensates passengers who voluntarily take a later flight with a Delta Choice Gift Card.
Offering compensation via the Delta Choice Gift Card Program if you voluntarily give up your seat. There are several gift card options, including leading merchants as well as Delta gift cards that can be used towards future flights. These gift cards are subject to varying expiration dates and are fully transferrable.
While this might seem like a great idea since everyone understands how gift cards work, Delta’s system can be confusing, and the more money you receive, the more difficult it can be to receive that money. The most important thing to realize is that receiving compensation in the form of Delta Choice Gift Cards is not the same as cash.
Redemption Options
When Andy from Andy’s Travel Blog took a $4,500 payment when he agreed to take a later flight to Iceland, Delta offered to transfer the funds to the following gift cards:
- Delta
- Visa Virtual Account/Prepaid Debit Card
- Mastercard Virtual Account/Prepaid Debit Card
- American Express Prepaid Card
- Apple
- Gap / Banana Republic / Old Navy / Athleta
- Kohl’s
- Foot Locker
- TJ Maxx / Marshalls / HomeGoods / HomeSense / Sierra
- Target
- Macy’s
- Cabela’s
- Bass Pro Shop
- Hulu
- Ulta Beauty
- HelloFresh
- Sephora
- Ruth’s Chris Steakhouse
- CVS Pharmacy
- Saks Fifth Avenue
- Airbnb
- Darden Restaurants (Olive Garden / Longhorn Steakhouse / Cheddar’s / Yard House / Bahama Breeze / Seasons 52)
- Nordstrom / Nordstrom Rack
- Grubhub
- Starbucks
- Best Buy
- Amazon.com
- Uber
While many passengers will think the best way to get the money is with a Visa, Mastercard or AMEX prepaid card, this might not be the best choice. All it takes is a quick search of the Delta Reddit page to see people’s problems after transferring funds to a prepaid card.
For example, Redditor Puzzleheaded-68 received $4,200 and described the experience of trying to redeem the funds using various options ranging from easy (Delta, Airbnb & Amazon) to nearly impossible (Prepaid Center Visa). You can read the original thread here and several other comments from others who had similar experiences.
Final Thought
While Delta Air Lines’s change from Delta Dollars to Delta Choice Gift Cards seems like a win for customers, it brings about additional problems. The simplest option would be to convert the funds to a Delta Gift Card, which never expires. You can use the funds to pay for future Delta flights. The same goes for an Amazon Gift Card, which lets you purchase almost anything.
It may seem like receiving a generic gift card from Mastercard or Visa would offer the most flexibility, as they are accepted anywhere credit cards are used. However, instead of receiving a physical card to swipe at the store, you only get a virtual card number. Due to the high levels of credit card fraud, many merchants do not accept these cards or may flag your account when you try to use them, especially if you are attempting to make large purchases over a short period of time.
If you take a bump on a Delta flight and receive funds in the form of Delta Choice Gift Cards, make sure to read all of your options before transferring any money from your account.
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1 comment
The other issue is the one my husband received expired in a week before he could even get to use it