AI SummaryIndian Railways runs an OTP based refund system for train e-tickets booked through IRCTC authorised agents. Under this system, when a reserved e-ticket is cancelled or becomes a fully waitlisted dropped ticket, the refund is released only after the passenger shares the One Time Password (OTP) received on the registered mobile number with the agent who booked the ticket.
Indian Railway Catering & Tourism Corporation Limited (IRCTC) introduced this OTP based refund process to bring more clarity to the train ticket reservation cancellation refund system. The passenger gets to know the exact refund amount received by the agent on his or her behalf. This system is still in place in 2026 and applies only to e-tickets booked through IRCTC authorised agents.
IRCTC Train E-Ticket Reservation Cancellation Refund (OTP Based)
When a ticket booked through an authorised IRCTC agent is cancelled by the customer or becomes a fully waitlisted dropped ticket, an OTP SMS is sent to the customer or passenger mobile number. This mobile number is the same one provided by the passenger to the agent at the time of booking. Passengers have to share this OTP with the agent who booked their ticket to get the refund amount.
As per the official release of the Ministry of Railways, the OTP based refund process brings more clarity to the Railway Reservation Cancellation refund system. It is an easy to use process where passengers can find out the exact refund amount received by the agent on their behalf against the cancelled ticket or fully waitlisted dropped ticket.
Only IRCTC authorised agents are permitted to book reserved rail e-tickets for customers. The OTP based refund for cancelled tickets or fully waitlisted dropped tickets is processed only if the ticket is booked through IRCTC authorised agents. For the official announcement, check the PIB release on OTP based refund.
| Detail | Information |
|---|---|
| Scheme Name | IRCTC Train E-Ticket Reservation Cancellation Refund (OTP Based) |
| Launched By | Indian Railways through IRCTC |
| Beneficiaries | Passengers who booked e-tickets through IRCTC authorised agents |
| Benefit | Refund of cancelled or fully waitlisted dropped e-tickets |
| Application Mode | Online at irctc.co.in |
| Official Website | https://www.irctc.co.in/ |
New Procedure for Cancellation of E Tickets
e-Tickets can be cancelled online at irctc.co.in till the chart preparation of the train. Cancellations are not allowed at face to face Railway Counters. If the user wishes to cancel an e-Ticket, it can be done till the time of chart preparation for the train. For trains starting up to 12 noon, the chart preparation is usually done on the previous night.
STEP 1 - Log on to the IRCTC official website and go to the "Booked Tickets" link.
STEP 2 - Select the ticket to be cancelled and start the cancellation by selecting the passengers to be cancelled.
STEP 3 - Confirm the cancellation online and the refund is credited back to the account used for booking, as done for normal Internet tickets.
If there is any partial cancellation of a ticket, a fresh e-reservation slip (Electronic Reservation Slip) should be printed separately as done for the original ticket. For a step by step guide on the procedure for cancelling e-tickets, check the IRCTC e-ticket booking guide.
Cancellation of e-Tickets before Chart Preparation of Train
Indian Railways revised the cancellation and refund rules for confirmed tickets with effect from 1 April 2026. As per the revised rules, a confirmed ticket cancelled more than 72 hours before the scheduled departure of the train gets a full refund after deducting the flat cancellation charges. If the ticket is cancelled between 72 hours and 24 hours before departure, 25% of the fare is deducted. Between 24 hours and 8 hours before departure, 50% of the fare is deducted. No refund is given if the ticket is cancelled less than 8 hours before the scheduled departure of the train.
Flat cancellation charges per passenger for cancellation within the full refund window are as follows:
- ₹240 for AC First Class / Executive Class
- ₹200 for AC 2 Tier / First Class
- ₹180 for AC 3 Tier / AC Chair Car / AC 3 Economy
- ₹120 for Sleeper Class
- ₹60 for Second Class
Cancellation charges are per passenger. Note that the chart preparation time is the time for the chart preparation from the train originating station or from the previous chart preparation station.
Cancellation of e-Tickets after Preparation of Reservation Charts (For Normal User)
An e-ticket cannot be cancelled after chart preparation. Users are requested to use the online TDR filing for such cases and track the status of the refund case through the tracking service provided by IRCTC. TDR can be filed as per Railway rules:
- No refund of fare is admissible on tickets with confirmed reservation if the ticket is not cancelled or TDR not filed online up to four hours before the scheduled departure of the train.
- No refund of fare is admissible on RAC e-tickets if the ticket is not cancelled or TDR not filed online up to thirty minutes before the scheduled departure of the train.
- In case of a party e-ticket or family e-ticket issued for travel of more than one passenger, where some passengers have confirmed reservation and others are on RAC or waiting list, full refund of fare, less clerkage, is admissible for confirmed passengers also, subject to the condition that the ticket is cancelled online or online TDR is filed for all the passengers up to thirty minutes before the scheduled departure of the train.
Filing of Online TDR
For filing online TDR, select "File Ticket Deposit Receipt (TDR)" from the menu "Services". For the ticket booked at the old site, select "Old Transaction History" from the menu "My Transactions" and after getting the password verified, select the "File TDR" link in the left panel under the "My Transactions" menu.
IRCTC forwards the claim to the concerned Railways to process the refund and the refund amount is credited back to the same account through which payment was made, after receiving the same from the concerned Railways. For any other clarifications, mail to etickets@irctc.co.in
Cancellation of e-Tickets after Preparation of Reservation Charts (For Agents)
An e-ticket cannot be cancelled after chart preparation. Whenever agents receive such a request from their customers, they are required to send a mail to etickets@irctc.co.in containing the PNR number, transaction ID, train number, from and to stations, date of journey, serial number, passenger name, age, sex and the reasons for filing TDR.
IRCTC will file the TDR and forward the claim to the concerned Railways to process the refund. The refund amount is credited back to the agent's account through which payment was made, after receiving the same from the concerned Railways.
For Tatkal Tickets Booked as e-Tickets
No refund is granted on cancellation of confirmed Tatkal tickets. For contingent cancellation and waitlisted Tatkal ticket cancellations, charges are deducted as per existing Railway rules. Partial cancellation of Tatkal e-tickets is allowed.
Cancellation of e-tickets in Case of Trains Cancelled
If the train is marked as "CANCELLED" in PRS due to breaches, floods, accidents etc., full refund is permissible if the ticket is cancelled within three days of the scheduled departure of the train. In case of e-tickets, such cancellations can be done by the customer through the Internet. For train travel related complaints, passengers can use the Rail Madad app.
Need for Indian Railways Train Ticket Reservation Cancellation Refund
The main aim of the Railways Reservation Cancellation refund process is to make the cancellation refund process easier. This makes sure that the cancellation amount is refunded on time to customers by agents. To get the benefits of the new railways ticket cancellation refund process, the customer must provide the correct mobile number to the IRCTC authorised agent at the time of booking reserved rail e-tickets.
The customer or passenger should make sure that the agent records their mobile number correctly at the time of booking reserved rail e-tickets. For the complete cancellation and refund rules, check the IRCTC e-ticket cancellation page and the IRCTC refund and cancellation rules PDF.
FAQ's
Is the OTP based refund system still active in 2026?
Yes. The OTP based refund system for cancelled or fully waitlisted dropped e-tickets booked through IRCTC authorised agents is still in place. The passenger receives an OTP on the registered mobile number and has to share it with the agent to get the refund.
What are the new cancellation rules from April 2026?
From 1 April 2026, a confirmed ticket cancelled more than 72 hours before departure gets a full refund after flat charges. 25% is deducted between 72 and 24 hours, 50% between 24 and 8 hours, and no refund is given within 8 hours of departure.
Can a confirmed Tatkal ticket be cancelled for refund?
No. No refund is granted on cancellation of confirmed Tatkal tickets. Refund is possible only for contingent cancellation and waitlisted Tatkal tickets as per existing Railway rules.
How long does the IRCTC refund take?
Refund is credited back to the same account through which payment was made. It usually takes a few working days depending on the payment method used for booking.
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