Often1

If you have requested a refund for a fully refundable ticket and it has not been promptly initiated by FI, simply initiate a chargeback with your card issuer. Make certain to include the specific language of the fare rules, highlighting and bolding the refundability language so that you do not get caught up in other issues.

ylwae

Yes, I think it will come to that. It’s peculiar that even this simple refund request isn’t being processed properly; every other airline I’ve had to cancel fully refundable tickets with due to the pandemic has refunded the fare promptly.

Often1

It already has come to that!

I would file the chargeback immediately as it will take some time to process. If by some chances, FI figures it out first, you can later withdraw your chargeback or FI will advise your card issuer that you have been refunded directly.

ylwae

Thank you.

AKLifetimeFlyer

Still waiting for my refund that initiated on May 14 (flight was cancelled). I've received multiple emails from them apologizing for the delay most recently on July 15.

LondonElite

It would if you didn’t have a refundable fare.

bimmer_ca

I called Icelandair's North American phone number yesterday because my refund case was opened on May 2 and I was still waiting for the refund. First of all, the call was answered by an agent without any wait. I explained to the agent that I was initially told the refund would take 6-8 weeks to process, then it became 9-12 weeks and the refund still has not been processed after 13 weeks. He confirmed that my case was still in the queue. He then put me on hold for about 5 minutes. When he came back, he said my refund just got processed. He said he was speaking to the refund department and then waiting for them to complete my refund. This morning, I received an email from Icelandair to confirm that the refund has been processed and the refund will appear iin my account within 7 days. Wow! I didn't expect the agent could expedite my request and got it processed while I was on the phone. Although it has taken 3 months to get my money back, I do appreciate what the agent did for me yesterday. He was very patient and very professional in dealing with my request.

Yukonprince

Initially booked IcelandAir vacation February 19 from Canada.
March 19 Canada issues Covid-19 travel advisory against any outside Canada leisure travel.
Late March tried to cancel vacation - no luck.
Early May Icelandair cancelled Montreal - Reykjavik flights.
Again requested refund this time because flights were cancelled - no action from IcelandAir.
June 16 again requested refund.
July 03 received IcelandAir email stating I would get a full refund.
August 03 still no refund - contacted my VISA provider for charge back - asked to wait one more week.
August 10 contacted Visa again for charge back. Was asked to provide the July 03 email from IcelandAir.
Today August 12 full refund posted on my VISA card ......

captaincool

I've tried calling multiple times to 800-223-5500 and each time i am on hold for exactly 90 minutes and then it hangs up on me automatically and i've never reached a representative. What time of day and day of the week did you call? What did you put into the automated system at the beginning that prompts you for the reason for your call?

Often1

As with any merchant, select the option for purchasing a good or service. For FI, that is Option 2, "to book a flight."

AKLifetimeFlyer

I am on the phone with them right now, I called the number you posted, it was answered after about 8 minutes. Will update this post with results.

Edit: gave them my case number, agent took it down. Sat on the phone in silence for 5 minutes then realized the agent was no longer there so I hung up. Calling back now...

Edit: called back and pressed option 2 to get connected immediately. Despite the the fact I made the initial refund request on May 13, they said the refund department didn't receive the request until June 25, and that they can only expedite the refund after waiting 12 weeks subsequent to June 25. So I guess I will call back on September 17!

Often1

Presuming when you say "flight was cancelled," you mean that FI cancelled it.

If so, there is no need to wait. Whether you made your request on May 13 or June 25, FI is well past the deadline for initiating a refund (7 days). At most, that was July 2. File a chargeback with your credit card issuer (bank) immediately. Make sure that you make it ironclad by including a copy of the relevant portion of EC 261/2004 (Section 8 rebooking rights), highlighting the specific applicable language; your e-ticket receipt; the notice of cancellation; your request for cancellation; and a brief summary specifying that FI has not provided the refund.

Note that if this was a ticket to or from the US, rather than EC 261/2004, include the relevant warning letter issued by DOT which makes it plain that a refund must be issued.

Then file a complaint with DOT. DOT will require FI to respond to you and provide a copy to DOT. Hard for FI to do more than say that it has made the refund.

bimmer_ca

I called on a Tuesday at 3pm EDT. I selected the option for existing reservation. Good luck!

AKLifetimeFlyer

I don't believe my case is 100% ironclad. My scenario is slightly different. I booked a OW award flight ANC-KEF with AS miles. I then paid $65 to upgrade my seat assignment through FI's website. In May, I cancelled my AS flight, as my trip was coming up less than a month later. I was refunded miles and taxes/fees immediately. I then proceeded to fill out the online refund request on FI's website explaining what happened. I was put in the queue and given a refund case number. Subsequently, maybe a week or 2 later, FI cancelled the flight and then issued me another case number, with an email stating I was due a refund because they cancelled the flight. I have received 3 or 4 additional emails from FI apologizing for the delay. Because it is only 65 USD I am not too concerned. I really don't know if FI's 12 week policy is reasonable, given it was just a seat upgrade fee. Any additional insight would be appreciated though.

bimmer_ca

I think FI is processing these refund cases on a first come first serve basis. I would stay patient. Call them to expedite it if you don't hear anything after 12 weeks.