Traveloka is one of the leading online travel agents in Indonesia that provides booking services for transport, accommodation, and tourist attractions. With Traveloka, customers can more easily book transport tickets and hotel rooms without the need to come to the counter. In practice, some customers sometimes cancel their hotel reservations and apply for a refund of the payments that have been made. The impact of losses experienced by Traveloka when cancelling is in the form of lost opportunities due to empty rooms that are not filled, especially close to the time of use. Although cancelled tickets can be resold, the success rate is not always optimal. The purpose of this research is to find out the refund mechanism at Traveloka and to analyse the Fiqh Muamalah Review of the refund system on hotel reservation cancellations at Traveloka. In this research method, using descriptive qualitative research methods, the data sources used are primary and secondary data. For data collection techniques, researchers use observation, interviews and also documentation available at Traveloka. The result of this research is that the refund system implemented by Traveloka has a deduction from the customer's purchase price, as compensation for the cancellation of the reservation made by the customer. Traveloka itself has a policy in the refund, including a deduction of 20% of the price paid by the customer as Traveloka's loss in getting opportunities when there is a reservation cancellation. According to Fiqh Muamalah, the hotel room booking transaction at Traveloka uses a Salam contract, which risks causing operational losses for the hotel or Traveloka in the event of a cancellation and refund request. Traveloka applies the Ta'widh principle in the refund mechanism, but this system is not fully compliant because the customer price deduction is based on the loss of room sales opportunities. In addition, the proportionality is still questionable because Traveloka cannot show details of operational costs due to cancellations