Spirit Airlines announced on May 2 that it would be abruptly ending operations after three decades in service, canceling all flights, and leaving thousands of passengers stranded and roughly 17,000 employees in flux.

The budget-friendly U.S. airline has shut down due to financial strain after failing to obtain a $500 million government bailout or to secure a deal with creditors.

“For more than 30 years, Spirit Airlines has played a pioneering role in making travel more accessible and bringing people together while driving affordability across the industry,” said Dave Davis, Spirit’s president and CEO, in a press release over the weekend. “In March 2026, we reached an agreement with our bondholders on a restructuring plan that would have allowed us to emerge as a go-forward business. However, the sudden and sustained rise in fuel prices in recent weeks ultimately has left us with no alternative but to pursue an orderly wind-down of the [c]ompany.”

The sudden shutdown has left passengers and employees alike scrambling to rebook travel plans. Many are seeking clarity on the status of refunds and unused airline miles, and next steps for employment.

“Not all Spirit customers should assume a refund will automatically appear,” said John Breyault, vice president of public policy, telecommunications, and fraud at the National Consumers League. “When an airline shuts down this suddenly, it’s up to travelers to take proactive steps to have the best chance of getting their money back.”

How To Get a Refund

Spirit has an established reserve fund that will be used to refund tickets for flyers who booked directly through the airline, while those who booked through a third party, like a travel agent, will need to contact their point of purchase for more information, according to Department of Transportation Secretary Sean Duffy.

Follow the steps below:

1. Contact your credit card company: Tickets purchased with a credit card may be protected under the Fair Credit Billing Act. Contact your credit card company to request a “chargeback” for services not rendered.

2. Contact your travel insurance provider: If you have travel insurance, make contact with your insurance provider to see if your policy covers “insolvency” or “service cessation.”

3. File a bankruptcy claim: You can file a “proof of claim” with the bankruptcy court, though this process can take an extended period of time and you may only receive a partial refund.

What You Can Do With Unused Miles

Unfortunately, not much.

Spirit’s frequent flyer miles, known as Free Spirit miles, will likely lose all of their value, as they are nonredeemable and nontransferable. Unlike those who purchased tickets with a credit or debit card, passengers who booked flights using their Free Spirit miles, travel vouchers or flight credits aren’t eligible for automatic refunds. While there is a chance that unused miles and points will be resolved during the bankruptcy process, there is a low probability they will be recovered for a refund.
What Airlines Are Offering Rescue Fares

Capped ticket prices

According to the Department of Transportation, United, Delta, JetBlue and Southwest Airlines are capping their ticket prices for Spirit customers who need to rebook canceled flights. Spirit customers must be able to provide their Spirit flight confirmation number and proof of payment.

JetBlue: Available through May 8.

Southwest: Available through May 6, but it must be done in person at an airport ticket counter.

Delta: Available through May 7.

United: Available through May 16.

Reduced Fares

American: Offering reduced fares on high-volume Spirit routes.

Allegiant Airlines: Freezing fare prices for routes that overlap with Spirit.

Frontier Airlines:  Providing up to 50% off base fares until May 10.

What’s Next for Former Spirit Employees

Most major U.S. airlines are offering travel pass benefits and open jump seats to Spirit pilots, flight attendants and additional employees who need help returning home. Delta is extending access to standby travel for Spirit pilots and flight attendants through May 12.

For Spirit employees looking to secure a new job, multiple airlines are offering preferential treatment and allowing them to jump the queue to secure interviews at other airlines. Both American and United Airlines have created microsites for Spirit employees who want to continue their careers in air travel and aviation.

Spirit has set up a website to offer more information and answer questions regarding its shutdown process.