American Airlines provides two main types of travel credits for its customers: trip credits and flight credits. Despite their similar names, these credits serve different purposes and have distinct usage policies.
Trip credits are issued for reasons such as flight cancellations, significant delays, compensation, and refunds. They can be used to pay for airfare including taxes and fees on flights operated by American or American Eagle, as well as those marketed by American but operated by codeshare or Oneworld partners. However, they cannot be applied to additional costs like baggage fees or seat upgrades. Trip credits are applicable only to flights originating in the U.S. and certain other countries.
According to the airline's website: "If you cancel your trip on aa.com before departure, we will cancel your ticket and issue a Trip Credit." It's crucial that travelers cancel before the first flight departs; otherwise, they lose the ticket's value. Trip credits are nontransferable but can be used to book travel for others. They must be redeemed through American’s website or reservations phone line.