TRAVEL NEWS |Do you know your rights regarding Travel Cancellations?

When the Coronavirus made it’s appearance to the world it created a disruption to the travel industry and it’s consumers. People were immediately looking to find out their options regarding refunds and it became overwhelming for companies who also found themselves facing a financial crisis.

Soon after rebooking options and future travel vouchers were the options being given oppose to refunding, and there was a lot of push back and angry customers. As this situation continues to persist well after seven months people are in a situation of unrest as they are unsure how far out to postpone their travel vacations or how to manage the travel restrictions of countries that will either not allow them to enter or have requirements of quarantining and as such would prefer to get their money back.

FinTech (financial technology) executive Monica Eaton-Cardone pointed out that all kinds of hospitality providers now face the possibility of a huge volume of chargebacks being demanded due to COVID-caused cancellations.

Travel Pulse chatted with Eaton-Cardone the Co founder of Charbacks911 who specializes in risk management and fraud prevention. Her role is to provide advisement to both consumers and merchants on the best ways to navigate and answer the challenges of the travel and hospitality sector as a whole. Because a lot of consumers prepaid their travels with their credit card, Eaton-Cardone advises the for hospitality companies to come to a viable option that works best for both parties to prevent many chargebacks as possible.

"This is a complex, time-consuming process," said Eaton-Cardone, "and the sheer volume of cases will compound that exponentially. Over the long run, however, it will be worth the effort, in terms of both recovered revenue and sustainability." What is important to note is, if a travel supplier such as the airline, hotel operator, etc. actually go under, clients are given the option of filing for a chargeback to their card, she said; however, in cases of multiple bankruptcies of large companies, acquirers may have no one to pass along these losses to and they have already initiated legal processes to mitigate their own risk. Still, consumers are protected under certain U.S. laws and there are steps they can take to get their money back.

Here are some options we found from TravelPulse

Consumer Rights and Action Tips:

— Eaton-Cardone advises clients with canceled travel reservations to always speak directly with the travel company as a first step, as opposed to demanding a refund or filing a claim with their credit institution. The company may have other options or alternative arrangements that appeal to you.

— The U.S. Department of Transportation (DOT) has obligated airlines to provide their customers full refunds (ticket price and any cancellation fee) for flights that had to be canceled due to COVID-19. If your airline fails to do so, you can file a report with the DOT.

— Every consumer is entitled to dispute a credit charge, whether or not it pertains to a COVID-19 cancellation. Eaton-Cardone said that, while it may seem old-fashioned, your best bet is to write a letter to the creditor explaining the details of your dispute, send it via certified mail with a return receipt and keep a copy of all documents.

—The Federal Trade Commission (FTC) enforces the Fair Credit Billing Act (FCBA) for most creditors, except for banks. If you feel that a creditor has violated the FCBA in its dealings with you, you can file a complaint directly with the FTC. The FTC outlines some other helpful information about charge disputes involving credit cards or revolving charge accounts here.