---
title: "What is Low-cost carrier? | Benefit Systems"
description: "A low-cost carrier is an airline whose model rests on a low base fare, unbundled extras and high aircraft utilisation."
source: "aus dem gebauten HTML abgeleitet"
---
# What is Low-cost carrier?

A low-cost carrier is an airline whose model rests on a low base fare, unbundled extras and high aircraft utilisation.

Also called: LCC, Budget airline.

## How it works #

The model produces the familiar differences: no interline agreements, so no rebooking onto other airlines during disruption; bags, seats and changes cost extra; and the schedule offers no connections. Statutory passenger rights apply unchanged, what differs is how much self-help is needed, not the entitlement.

## Not to be confused with #

A low-cost carrier is not the same as a network airline’s basic fare, which sits inside a network with connections and partner agreements.

## In German #

The German term is Billigflieger. [German version of this term](/de/glossar/billigflieger)

## Related terms #

- [Ancillary revenue](/en/glossary/ancillary-revenue): Ancillary revenue is income from services stripped out of the ticket price and sold separately, such as bags, seats or changes.
- [Point-to-point network](/en/glossary/point-to-point-network): A point-to-point network is a model in which an airline links cities directly and does not plan connecting itineraries over a hub.
- [Basic economy](/en/glossary/basic-economy): Basic economy is a network airline’s cheapest fare, with baggage, seat selection and changes stripped out of the price.

## Articles that use this term #

- [What is basic economy and what’s missing?](/en/knowledge/basic-economy)
- [Why booking separate tickets can cost you](/en/knowledge/separate-tickets)
- [When do you have to pay to choose a seat?](/en/knowledge/seat-selection-fees)
- [When must an airline rebook you on a competitor?](/en/knowledge/rebooking-on-competitors)
- [Why one-way awards cost half, when one-way cash fares often don’t](/en/knowledge/one-way-awards)