The comparison between dummy flight ticket and refundable ticket matters since both options try to solve the same problem in different ways. A dummy ticket is usually the lighter documentation option - it shows the itinerary details but at a much cheaper cost. A refundable ticket is real airline ticket, shows the same itinerary details but much more expensive.
For the main use cases start with where a dummy flight ticket can be used.
Dummy ticket vs refundable ticket: the core difference
A dummy ticket is mainly used for documentation. A refundable ticket is an actual travel purchase with possible refund rights under airline fare rules. One helps you show a plan. The other is a real ticket product.
Used for paperwork and documentation purposes.
Real airline ticket that you can use to board and travel.
Cost and flexibility
Dummy tickets are usually chosen because they reduce exposure before a visa result or before the trip is confirmed. Refundable tickets offer more travel certainty, but they tie up more money and risk monetary loss if trip is not confirmed.
- Dummy ticket: lower upfront spend.
- Refundable ticket: much higher upfront spend.
- Dummy ticket: best when the main need is documentation.
- Refundable ticket: better when you are close to travel and want a real booking product.
Which one is better for visa applications?
The answer depends on three things: the wording of the requirement, your budget, and certainty of your travel dates are.
- Dummy ticket: use when the the wording say flight reservation.
- Refundable ticket: use when the the wording say paid or confirmed ticket.
- Dummy ticket: use when your budget is tight.
- Refundable ticket: use when you can spend upfront and incase you are not refunded, not major monetary risk.
- Dummy ticket: use when you are not sure of travel dates.
- Refundable ticket: use when you are almost certain of travel dates and trip almost confirmed.
It's also important to check the airlines policy on refund before commiting to buy a refundable ticket. Almost all major airlines offer refundable fares but its prudent to check with the airline on the terms and conditions - some only allow refund within 24 hours. Delta airlines for instance, offers fully refundable fares in most classes with cancellations and refunds for any ticket within 24 hours of purchase.
One particular instance where proof is required is Schengen visa application. Check flight reservation for Schengen visa for detailed guide on whether you need dummy ticket or refundable ticket.