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DGCA Flying School Fee and Refund Rules 2026: What FTC 02/2026 Means Before You Pay

By / 28 October 2026

Updated 28 October 2026 路 By Pilots Assist Team

Short answer: DGCA's Flying Training Circular (FTC) 02 of 2026, dated 5 October 2026, tells DGCA-approved flying training organisations (FTOs) to give every trainee a signed written agreement, disclose the full fee structure before enrolment, collect flying fees in four progressive 25% blocks, refund unutilised fees fairly (ordinarily within 15 working days after formalities), and never withhold training records over a fee dispute.

This guide explains what the circular says, in plain language, and gives you a checklist to use before you pay any flying school. It is a summary, not legal advice; read the circular itself and your own agreement.

What is DGCA Flying Training Circular 02 of 2026?

It is a set of guidelines for agreements between DGCA-approved FTOs and trainees, issued under E-File No. DGCA-16026(23)/6/2018-DFT. DGCA's public notice says the aim is to give "greater clarity and protection to aspiring trainee pilots and their parents/guardians at the time of enrolment and during the course of training."

DGCA also says the guidelines are not meant to regulate the whole private contract, and that DGCA is not an adjudicating authority for purely commercial disputes. Non-compliance is to be dealt with under CAR Section 7 Series D Part I, and DGCA says measures can include restricting or stopping a school's trainee intake.

What must a flying school give you in writing before enrolment?

At enrolment, the FTO must give you, as part of an agreement signed by both sides, details of:

  • the course of training and applicable regulatory requirements;
  • estimated duration, and flying and ground training requirements;
  • the aircraft type(s) to be used;
  • the fee structure, payment schedule and charges other than flying fees;
  • the refund policy;
  • conditions for discontinuation and transfer; and
  • the grievance redressal mechanism.

What the school publishes on its website must match what applies to you. If you are under 18, a parent or guardian signs.

What does the circular say about fees and hidden charges?

  • The complete fee structure must be disclosed before enrolment, including which parts are non-refundable.
  • Charges must be itemised: flying, ground training, simulator (where applicable), exams and assessments, documentation, hostel (where applicable) and other compulsory services.
  • Landing, parking and ground-handling charges, if you pay them, must be disclosed in advance.
  • No hidden, arbitrary or ad-hoc charges. Extra costs from force majeure must be explained with reasons and agreed under the agreement.
  • Fees and material terms agreed at enrolment cannot be changed unilaterally to your disadvantage, and changes can never be retrospective.

How does the 25% block payment rule work?

The prescribed flying training is ordinarily divided into four blocks of 25% each. You pay for each block as training progresses. The school should not ask for the next block's fee until the previous block is completed or substantially used, and the advance for flying training should never exceed the fee for the next 25% block.

Example (illustrative only): for the 200 flight hours of a DGCA CPL, a 25% block is about 50 hours. If the hours don't divide evenly, the school must define the hour limits of each block in your agreement before enrolment. The school must also keep an account of money received, flying completed and the unutilised balance.

What are the refund rules?

  • Every FTO must publish a clear refund policy (as required by para 14.1.2 of CAR 7/D/I).
  • No blanket clause saying the entire fee is non-refundable in all circumstances.
  • The school may keep amounts for training and services actually provided; unutilised fees should ordinarily be refundable, subject to clearly disclosed charges.
  • The refund statement must show: amount received, training used, amount for services provided, other deductions and their basis, and the net refund.
  • Refunds should ordinarily be processed within 15 working days after formalities are completed.

Can I transfer to another flying school?

Yes. A transfer to another DGCA-approved FTO follows para 14.2 of CAR 7/D/I. The outgoing school must release your training records with an NOC and give you a financial settlement statement. The receiving school assesses your records and decides the training you still need.

If the transfer is substantially due to the school (for example it cannot train you within the agreed block period, loses its approval, changes fees or essential conditions unilaterally, misrepresented its capacity or facilities, or has persistent disruption), you should ordinarily get a refund of the entire unutilised training fee. If you transfer only by personal choice, the school's published refund policy and your agreement apply.

What about training records, rosters and complaints?

  • Records: you get reasonable access to your progress and records, and records cannot be withheld to recover disputed fees.
  • Roster: the CFI or Deputy CFI prepares the flying roster at least one day in advance, on a transparent basis, and records reasons for deviations.
  • Attendance: must be signed by the trainee; a breath analyser test is not a valid attendance record.
  • Grievances: recorded, acknowledged, and ordinarily answered within 7 working days. Safety complaints are handled separately from commercial disputes.
  • Safety: no clause can override the Aircraft Rules or CARs, and you must not be penalised for raising a genuine safety concern.

What should I check before paying a flying school?

  1. Confirm the school is on DGCA's list of approved FTOs.
  2. Get the full agreement and fee schedule in writing, signed by both sides, before you pay.
  3. Check that the payment schedule follows 25% flying blocks, with hour limits for each block.
  4. Read the refund policy for a blanket non-refundable clause and list every deduction.
  5. Ask how many aircraft and instructors are available for your batch, and the expected duration.
  6. Note the grievance contact and keep copies of every payment and roster.

For budgeting, see pilot training cost in India vs abroad and pilot training loans. For the full route, read how to become a pilot or our CPL programme page.

FAQ: DGCA flying school fee and refund rules

Q: What is DGCA Flying Training Circular 02 of 2026?

A: It is a DGCA circular dated 5 October 2026 that sets guidelines for agreements between DGCA-approved flying training organisations (FTOs) and trainees. It covers disclosure at enrolment, fee structure, progressive fee payment, refunds, transfers, training records, flying rosters and grievance handling.

Q: Can a flying school in India ask for the full CPL fee in advance?

A: Under the circular, no. Flying fees are to be linked to four progressive blocks of 25% of the prescribed flying training, and advance payment for flying training should not exceed the fee for the next 25% block.

Q: Is the full pilot training fee non-refundable?

A: The circular says a standard trainee agreement should not contain a blanket clause making the entire training fee non-refundable. Unutilised training fees should ordinarily be refundable, subject to reasonable deductions that were clearly disclosed in the agreement.

Q: How long does a flying school have to process a refund?

A: The circular says refunds should ordinarily be processed within 15 working days after the required formalities are completed.

Q: Can a flying school withhold my training records if I want to transfer?

A: No. The circular says training records must not be withheld to recover disputed fees, and financial disputes should not be used to block release of records needed to continue regulated training.

Q: Will DGCA settle my fee dispute with a flying school?

A: Not ordinarily. DGCA says it will not usually adjudicate purely private claims for damages, compensation or recovery of dues. It can examine fee, refund and transfer matters where they affect regulatory compliance, training continuity, records, safety or quality.

Q: Does this circular apply to flight schools abroad?

A: It applies to DGCA-approved FTOs. If you train abroad, your contract is governed by that school's terms and the local regulator and law, so read the refund and transfer clauses with extra care.

Sources

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