How to avoid a bumpy ride if cancelling your holiday
THE weather is starting to look better, summer is in sight and the signs are beleaguered Brits across the land are considering booking holidays. But what if you can’t travel – or there’s a problem with the firm? So here’s my guide to cancelling a holiday without costs – and what to do if they cancel on you!
IF YOU JUST WANT TO CANCEL A HOLIDAY
IF you book through a travel agent, tour operator, online website or direct, the business will have terms and conditions covering your right to cancel. If there are costs attached then these should be upfront and clear.
Under consumer law, businesses can ask you to pay a cancellation fee to cover their losses, but this must be ‘in proportion’ to what they are losing. If a holiday is nonrefundable, we’d expect to see a ton of clear warnings before you click. Many booking sites give you free cancellation as an option which you should always choose if it’s available – while popping something in your diary for a few weeks before the free cancellation ends.
The Competitions and Markets Authority has loads of guidance on unfair terms and costs on its website. fairterms.campaign.gov.uk/
IF YOU CANCEL A PACKAGED HOLIDAY
NEW rules that kicked in last July mean that it you booked two or more different parts of a holiday (flights and hotel for example) from the same firm, it’s likely to be a ‘packaged holiday’.
This is also likely to be the case if you’ve booked through a tour operator. This means you might be entitled to cancel the holiday without a fee if the holiday company makes significant changes to your holiday or it puts prices up after you book.
This also covers exceptional reasons for the holiday being cancelled (dangers in the country you’re travelling to, for example).
WHAT IF I CAN’T TRAVEL?
IT’S incredibly important to get a good travel insurance policy that covers you from the point you book the holiday, not the day you go away. If you buy travel insurance with immediate cover, this should cover you for things like cancellation or curtailment if you can’t travel due to illness, can’t travel due to sickness or death of an immediate family member. There are other scenarios that may be covered depending on the policy.
There’s also a load of caveats, unfortunately. But don’t worry – if the firm won’t pay a claim, the free Financial Ombudsman can look at travel insurance disputes.
WHAT IF THE FIRM CANCELS MY TRIP OR GOES BUST?
IF a firm cancels and you’re worried it’s going out of business, contact the airlines, hotels and other companies who you were booked with to see if they have your money and are able to reopen or honour the booking. If it’s not looking positive, then don’t delay. Contact your card provider and ask them to ‘charge back’ the money. Explain they told you they are cancelling the holiday or indications are they’re going bust.
If you’ve paid on a credit card (over £100 and under £30,000) you may be able to claim under Section 75 of the Consumer Credit Act for a full refund from the card provider – even if you only paid a deposit.
OTHER PROTECTION
IF you’ve booked a packaged holiday with a flight, then ATOL can help with disputes and cancellations. If it’s without a flight or a cruise ABTA can potentially help. Their websites have guides on how to proceed.
Airlines also have dispute resolution schemes (Resolver links you to the right ones).
■ Resolver can help you sort out complaints about pretty much anything.
Check outresolver.co.uk and share your experiences at yourstories@resolvergroup.com