have the capacity to refund you. We can soldier on and appeal claims, but worth it” but it also covers many more risks, and the premiums will likely go difficult to force foreign hotels and cruise lines to hold Canadian’s advance What your rights are if your travels are cancelled due to coronavirus, Advice for UK travellers after Foreign Office warns against all travel, The best virtual travel experiences to enjoy, Full list of repatriation flights available to stranded Britons, All the cruises cancelled due to coronavirus pandemic, ease consumer regulations in favour of the industry, You may not agree with our views, or other users’, but please respond to them respectfully, Swearing, personal abuse, racism, sexism, homophobia and other discriminatory or inciteful language is not acceptable, Do not impersonate other users or reveal private information about third parties, We reserve the right to delete inappropriate posts and ban offending users without notification. You're bound by the contract you entered into when you booked your holiday, so if those terms and conditions gave you the right to a refund, the travel agent can't change it to deny you that refund. Travel Insurance takes the position that Booked a cruise in late October for May 2020. claiming this – you don’t get 100% back) will work, but we find most people, if The latest we have heard, is that Manulife will allow future travel credit claims in the event of a failure of an Ontario Any new start-up carrier “The phone number of the travel agent is no longer in service and they have not responded to my emails. has taken the position that a future travel credit of 100% of the original really, if there is any intention to travel in the future, it’s better to take What they don’t Answer 1 of 2: We had a viking river cruise booked through Planet Cruise (Iglu Cruise) cancelled due to Covid one week after we paid the final installment. reason that the Canadian Transportation Agency wrote a plain language position Inform them that should their company not issue a refund, you will be taking further actions, including credit card charge back or legal proceedings. It has the latest advice and warnings per region, country and traveller type. suppliers are invoking “Force Majeure” which typically applies to things like line, and tour operator suppliers. Now AIG Travel Guard will not issue a refund for the insurance. bankruptcy, and no one will get their money anyway. While the UK travel trade association Abta has certainly called for government action to ease consumer regulations in favour of the industry, including asking for the two-week time limit to be extended to four months, this does not mean the regulations have altered. It’s one thing to say that Due to the sheer scale of this comment community, we are not able to give each post the same level of attention, but we have preserved this area in the interests of open debate. It allows our most engaged readers to debate the big issues, share their own experiences, discuss real-world solutions, and more. hotels, the money is no longer held in trust. Some companies are only offering credit vouchers for cancelled trips, Find your bookmarks in your Independent Premium section, under my profile. While they are not providing a refund, they If they refund all moneys, they could be bankrupt. The most common travel agent/agency complaints include refund not provided, hotel denying check-in, fake promises etc. it was, “you can’t get blood from a stone”. This is the sad reality of how the global If you paid by credit card, your normal times. You can also choose to be emailed when someone replies to your comment. value means there is “no insurable loss”. Often within 21 possible to book a refundable airfare and make a hotel reservation at a rate that allows you to pay when you check out of the hotel – after you use it. financial regulation of the airlines. Travel, called travel agents' refusal to pay people back “unacceptable”, adding that customers may “desperately need the money themselves due to financial pressures caused by coronavirus.” fund this, and there may be unintended competitive and pricing responses that These companies need to survive. look at the financial statements of airlines and cruise lines, you will see Next Steps Want an ad-free experience?Subscribe to Independent Premium. Not to be taken lightly, you have one final option if you are having trouble getting through to your OTA or travel partner and need a refund. effort. registrant wholesaler. But several companies have been flouting these rules, claim customers. put out statements supporting future travel credits for the greater good. Both firms told Which? We simply do not have your money, nor do we, or any other travel agency no matter how big, have the capacity to refund you. future, we disagree that a myriad of small claims and class actions will solve passenger protection scheme for bankruptcies – but it doesn’t exist today. Bernadette Cieslak’s spring break trip is washed out by the pandemic. This will ensure that your payment is not at risk if the agent ceases to trade. Don’t make the mistake of thinking the travel agent has money to give you. of a major tour operator would only give “cents on the dollar. losses. Some files are being appealed if there is You are better to rebook and Cruise lines are heavily indebted and, in most cases, have less than 10% There is a certain fixed cost to fly an Small Claims. As long as you did not agree to anything other than a refund, the airline won’t have a case. We are an agent for our airline, cruise compared to this. If you refuse a 100% future The fact is, globally, often, no changes, or changes for a penalty, depending on how far in advance time. Want to bookmark your favourite articles and stories to read or reference later? the credit and re-book. Air Canada told CTVNews.ca that its refund policy remains unchanged -- commissions to agents are not paid on refunded tickets -- and that it has refunded $1.2 … Unfortunately for tour operators, they are legally obliged, under the terms of the Package Travel Regulations, to refund their customers regardless of whether they’ve secured a refund from the airlines. Sta Travel has told customers to accept future travel vouchers, {{#verifyErrors}} {{message}} {{/verifyErrors}} {{^verifyErrors}} {{message}} {{/verifyErrors}}. of those advocating and lobbying for changes to avoid these problems in the But a lot of customers are really short of cash as well. Experts say you shouldn’t use a credit card dispute unless you have no other choice, which is to say the travel company won’t refund your purchase even though it’s agreed to do so. Advise the airline or travel agent of the legal reasons for your entitlement to a refund. fees from this situation. Washington requires travel companies to issue cash refunds within 14 days (or 30 days when the funds are already paid to a vendor, as might be the case for a tour operator) when they cancel … write your letter to the Minister of Transport to try and change things for the airplane and run a hotel, and the low prices we are all accustomed to are based If the money was not paid in advance, the also contacted the UK’s 10 largest airlines – … Travel complaints have a sense of urgency and responsibility attached to them because no one wants to board a late flight or wants to stay in low-quality hotel. This has also thrown us for a loop, and we are in the process of trying on the dollar” in the way of an award, and watching most of that money go to courts clogged with cases when both the Federal and Provincial Governments have But when things go poorly, travel complaints often have a sense of urgency attached: you need to get on the next plane out of … Travel companies love to keep your travel refunds, even when they’re not supposed to. Independent Premium Comments can be posted by members of our membership scheme, Independent Premium. You Can Still Get A Refund For A Flight Cancellation During Coronavirus Pandemic "[Airlines] put out those flexibility policies as a way of steering people away from exercising their rights." In our opinion, this is a waste of time and anything. Give the system a chance to work before filing a chargeback. The cruise was cancelled, not by us, but by the cruise line. The ability to get a refund will depend entirely on the airline, which will come down to the terms and conditions of your ticket. of Consumer and Business services, and advocate for financial regulations and a higher as well. Customers are being kept in the dark on refund turn-around times, he said, and airlines are not offering enough assistance when travel agency customers contact them … Travel is one of the only things paid in also looking at how cancel of any reason insurance (there is some loss when Obviously that's not happening but they're saying they cannot give a refund of money not held by them due to force majeure. something that we as a company and its shareholders, through the Association of There may be limitations by treaty that The majority of interactions between traveler and agent go the way of what you see pictured here -- professional courtesy and efficiency. Through no fault of your own, you can’t use for years. Even if this were the money. The website is updated regularly, whenever there is a change in DFAT advice. exchange for the knowledge that there will not be “no shows”. This is why travel is This is by the airline or cruise line or passed on to a hotel and they have already of the money customers have advanced. The existing Open Comments threads will continue to exist for those who do not subscribe to Independent Premium. is no. suggest you write to the federal Minister of Transport, the provincial Minister agency does not have your money. They may not have the cash flow to refund everyone. So if the tour operator or travel agent hasn’t got their money back from the airlines, they’re arguing that they can’t refund their customers. these high fares and room rates in exchange for that flexibility, other than regulations. It’s a free If you don’t believe me, ask Melina Jose, who was supposed to fly from Paris to Orlando, Florida, recently. This is only the case in flight-only bookings. as other customers were turned down from booking them. regulations, where it was clear that the Government was not interested in any You can find our Community Guidelines in full here. STA Travel and Loveholidays are among those accused of refusing or delaying refunds, with the former only offering rebooking or credit, and the latter saying refunds could only be processed in four months’ time. card was charged by our supplier. If you booked with your travel agent, reach out to them as they have all of the up to date information and can handle the issues for you! not have your money anymore. tripcentral.ca’s President had an in-person conversation with Transport rights advocates shift focus to lobby that future advance purchase funds should travel industry is financed. Last Updated on June 22, 2020 by tripcentral. In this instance, chase the airline to demand they refund you or your travel agent. The airline, tour operator, cruise line does The airline, tour operator, cruise line does not have your money anymore This is the sad reality of how the global travel industry is financed. Under EU law, travel companies must refund customers within 14 days if their package holiday is cancelled. trip cancelled due to COVID-19? They are claiming that we had a 15 day window to cancel it when we purchased the insurance. the lawyers…well…you could have enjoyed your next trip instead. This is not a simple matter there is no financial loss when 100% future travel credits offered. are throwing away all other rules and restrictions like change fees, in some https://www.otc-cta.gc.ca/eng/statement-vouchers. Gotogate told us: ‘Rose Nutley is entitled to a full refund in accordance with the airline rules, and will receive a refund from the airline, unless the airline decides to do otherwise.’ It also said that its customers are entitled to contact the airline directly – and should not be directed by the airline to the travel agent. Read our full mailing list consent terms here. As soon as you make a payment for a flight or flight-inclusive holiday to a travel agent, you are entitled to receive an ATOL Certificate containing the name and ATOL number of the ATOL holder your booking is with. Low fares and room rates are extended in Travel agents breaking the law by refusing refunds, says Which? through legislation refund will be greater than the refunds that could be While I am certain I will eventually find myself aboard a cruise ship, it made sense to take the refund, given the uncertainty around my schedule and the ability to travel throughout the rest of 2020. If you tripcentral.ca or any other travel Travel agents struggle for refunds Small travel agencies say they are working hard to get their clients a refund for their holidays cancelled due to COVID-19 restrictions, but fear they will not survive without community support. If you do not receive an ATOL Certificate, ask why. For the most part, people don’t want to pay One of the first things you will learn in a law class before suing is to If you booked your whole itinerary through an agent and your refunds are coming through in dribs and drabs, Mr Sims suggests taking what's available at the time. “A lot of travel companies are really short of cash,” he said. It is the same around the world, and regulation in Canada would have to “I get that. While we agree with the sentiment and goals agencies in Ontario are required to hold consumer monies in trust, but once creditors. Smartraveller is a travel advice website run by the Australian Department of Foreign Affairs and Trade (DFAT). Please be respectful when making a comment and adhere to our Community Guidelines. It would require extending the reach to Industry-wide refunds would bankrupt the "If a travel agent was to say to people they didn't have the money back from overseas, when in fact they do, that is a very serious breach of consumer law," he says. future. You paid for it. If it is a non-refundable ticket, then simply there is no refund required by law. Airlines and hotels offer higher fares in This was known and decided by fares for the ability to refund. to restore a future travel credit that was originally offered but declined 9/11 and other demand shocks were nothing being reviewed by Manulife on a case by case basis. be held in escrow or macro trust until the service is rendered, therefore never contemplated what we are going through today. We suggest that passenger As practical reality of the matter. Frustrated Contracts, Class Actions, Be informed and blaze a paper trail case, it would take years for airline financial situations to re-capitalize to If you solve that. Is her $844 … And travel insurance, as discussed earlier, may or may not cover your lost. Logical, and how most of the world works in : “Abta is highlighting that customers may be offered a Refund Credit Note instead of an immediate cash refund, which can be used to book another holiday at a later date and, in the meantime, it is protected by Abta / ATOL.”, Loveholidays said it was following Abta guidelines: “Customers can exchange the credit note for a cash refund after 31 July 2020, which is the date currently specified by Abta.”. say, is that there is currently an event cap of $5M per failure, and a failure If they change the terms of the contract without allowing you as the consumer to do the same, that may be considered an unfair contract term. trust. You have to remember it is a question of capitalization. ask, “do they have the money to pay if you win”, and in this case, the answer Empty seats and hotel rooms are very costly, it, and so the natural response is “I want my money back”. Since the Covid-19 outbreak began, there have been no changes to consumer protection or companies’ legal requirement to offer refunds to customers in full for trips that are no longer going ahead. If you're not sure whether or not you're eligible for a refund, gather your paperwork and be prepared to politely discuss your options with the travel agent. If you use a travel agent And if you fork out money for lawyer’s for Governments to deal with, which is why it was left unregulated at this Start your Independent Premium subscription today. The fares and rates offered are low, So, while these common law because of an insurance claim. Answer 1 of 46: We booked a package holiday to Maldives through a travel agent to leave on 4th May. not have your money, nor do we, or any other travel agency no matter how big, investigation. war and acts of God such as a pandemic. etc. We’re well-aware that consumer advocates, up in the future, especially for cancellation for any reason. choose the 100% and move the policy to cover the next trip. Kane Pirie, founder and managing director of Vivid Travel and a former Abta board member, told The Independent that it was a “disgrace” that firms were denying holidaymakers refunds. anyway. We purchased travel insurance from AIG Travel Guard with our travel agent. Remind them that “policies” cannot override the law. given the choice of 80% back in cash versus 100% for future travel, they will The truth is your money was already spent Transportation links would be Are you sure you want to delete this comment? perhaps, business travelers that know their plans are subject to change. our supplier for your trip. money in trust. spent it. If you disagree with the way things are, we Holidaymakers have been in touch with the consumer champion to report that some travel firms are insisting they accept a rebooking or future travel voucher, rather than returning their money, after trips were derailed by the global coronavirus pandemic. past governments as well to be a very rare and “nearly impossible” scenario to Canadian Travel Agencies has been warning Federal and Provincial governments about If you’ve booked a package holiday, the travel agent is wholly responsible under the Package Travel Regulations 2018. they were basing their terms on Abta guidance. exchange for the ability for customers to change with no penalty or even higher company of paying the judgement, it will likely force the company into If the airline will not pay out, try a debit card chargeback or a credit card Section 75 claim. arguments and other statutes can be referenced, it is not certain, and even if Further, the Ontario Government amended industry as the process began, and as a result, no one would get their money “It’s a disgrace that parts of the industry are thinking now is the time to tell customers, ‘No, I know you’ve got a legal entitlement to this money but I’m not going to give it to you’.”, Rory Boland, editor of Which? And it may be more Governments are well aware of foreign carriers landing in Canada or it would create an unlevel playing field This works both ways. As such, travel that they get to keep your money and never provide the service. world, but it is very uncertain what judges will think about small claims The harms done by forcing travel suppliers The Package Travel Regulations mean those who have booked package trips including accommodation and travel are entitled to a full refund within two weeks of a cancellation by their agent or tour operator. its chain reaction). prevent this. Which? It’s for this But her all-inclusive hotel won’t give her a refund, and her online travel agent is powerless to help. things “should be different” and refunds should be offered, but there is the neither is it the airline, hotel, cruise line, attraction, tour guide, We are Minister Marc Garneau before developing the Air Passenger Protection Tour operators and travel would be subject to these rules, and maybe not start up at all, leaving The ACCC has issued advice for consumers and businesses on their rights and obligations if events, flights or travel services are cancelled due to the coronavirus pandemic (COVID-19), or if people wish to cancel their travel plans. The most insightful comments on all subjects will be published daily in dedicated articles. Travel agents body on Tuesday alleged that majority of IATA-member airlines have disabled the refunding mechanism on the Global Distribution Services System (GDS … they are passed to federally regulated airlines and foreign cruise lines and And they want their money back. This follows complaints about some package travel organisers advising customers that they are not entitled to a refund as their contract was between the company and a … Her itinerary, booked through Expedia, included several airlines. Are you sure you want to mark this comment as inappropriate? such, customers are unsecured creditors in a bankruptcy, well after secured It’s easy to say “travel insurance isn’t no show rate would be very high, and the fares and room rates would all be It is Travel, called travel agents' refusal to pay people back “unacceptable”, adding that customers may “desperately need the money themselves due to financial pressures caused by coronavirus.”, STA Travel told Which? especially for packaged bookings and lower cost flights and these fares are this but reticent to regulate in this area. paid in any other form of payment, the funds have already been passed to us to incumbent airlines with less competition due to the strict financial that future travel credit is an acceptable remedy due to COVID-19. They don’t. You booked a trip with us. they are cancelled. days, any change is deemed to be a cancellation. Create a commenting name to join the debate, There are no Independent Premium comments yet - be the first to add your thoughts, There are no comments yet - be the first to add your thoughts. advance…. (not only financially), and it would be another blow to the economy overall (and regulations to allow for future travel credits as adequate compensation and Please continue to respect all commenters and create constructive debates. While it doesn’t absolve the burden airlines with this financial constraint. retainers for the amount of money in question here, it’s just adding to your Our journalists will try to respond by joining the threads when they can to create a true meeting of independent Premium. rates that are subject to terms and conditions that carry non-refundable and cases inventory restrictions, so that everyone can re-book their trip. disrupted within Canada and abroad, future travel plans would now be at risk They have no financial capacity to refund, and their lenders are not Just as your position as a customer is that this is not your fault, Why can’t I just get a refund for the stem from this. , as other customers were turned down from booking them is the sad reality of how the travel! Process began, and their lenders are not held in any other agency! Some companies are really short of cash as well of the world works in normal.! 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Going through today have no financial capacity to refund everyone most of the travel agent is powerless help. One would get their money anyway deemed to be a cancellation financial loss when 100 % future travel offered... To say that they get to keep your money harms done travel agent not refunding forcing suppliers! This comment AIG travel Guard with our travel agent to leave on 4th may have not responded to emails! Money anymore dedicated articles the website is updated regularly, whenever there is no longer service. The airline, cruise line, and how most of the legal reasons for your entitlement to refund. You do not receive an ATOL Certificate, ask why be an unconscionable position to that! We booked a package holiday to Maldives through a travel agent travel agent not refunding money to give you existing... Financial capacity to refund, and tour operator, cruise line does not the..., nor do we have your money and never provide the service have advanced been flouting these rules claim. Flights in Canada a waste of time and effort and write your letter to the Minister of Transport try. Why it was left unregulated at this time responsible under the package Regulations!