Yahoo Finance Flight Centre to refund customers: Are you eligible?
Embattled travel group Flight Centre has said it will refund thousands of customers who were charged $300 per person to get a refund on cancelled international flights or $50 to refund cancelled domestic flights.
According to the competition watchdog, these cancellation fees were charged from 13 March, and refunds will also apply if you were charged by Aunt Betty, Travel Associates, Student Universe, Universal Traveller or Jetescape Travel (also known as Byojet Travel).
The Australian Competition and Consumer Commission (ACCC) said it had received more than 6,000 complaints about Flight Centre’s cancellation fees from consumers.
Had Flight Centre continued to refuse to refund customers on these fees, the ACCC would have taken the travel group to court, the watchdog said.
“This is a very welcome move made by Flight Centre for thousands of customers impacted by COVID-19 travel cancellations,” said ACCC chair Rod Sims.
“We are continuing to discuss issues in relation to refunds and cancellations with the travel sector, and encourage travel providers to treat consumers fairly in these exceptional circumstances.”
Also read: Qantas, Virgin back in the air from 17 April
However, Sims also asked consumers to be mindful of Covid-19’s major impact to the travel industry. Like global airlines, Aussie carriers Qantas and Virgin have grounded nearly all their flights, and Virgin Australia has gone into voluntary administration and is currently seeking a buyer.
“While we know some consumers are very concerned about getting a refund or credit for their cancelled travel plans, we do ask people to be mindful of the significant impact that this pandemic has had on the travel industry.”
What to do if you’re eligible for a refund
Your right to a refund will depend on the terms of the conditions of the contract you entered into with your travel provider.
Sims said many businesses are struggling with the high number of cancellations, and recommended getting in touch with businesses through online channels.
“We ask consumers to remain patient and be mindful of the significant pressures on businesses at this time and, where possible, contact the business by email or website, rather than by phone,” Mr Sims said.
“These are very complex issues and may take smaller businesses more time to respond.”
Flight Centre executive general manager Allisa O’Connell said the company had been significantly impacted by the pandemic but that it would waive fees anyway.
“Our customers remain our highest priority and to support you at this difficult time, Flight Centre will waive its usual Cancellation Fees for bookings where the travel provider (eg airline, cruise line or tour operator) has cancelled its service and you are unable to travel as a result,” she said in a statement released Saturday.
“The decision to waive fees will impact our business, nevertheless we have heard your feedback and we believe this step is the right one for the current economic conditions where stand downs and job losses are a daily occurrence for many Australians.”
The waiver applies only to Flight Centre fees as the group cannot waive fees or conditions that airlines or third-party suppliers impose.
Refund requests will be waived “in date order” and will be focused for bookings of up to and including 30 June 2020.
“If you do have longer-term bookings, you may not yet have clarity around final amendment or cancellation positions and it may be in your interests financially to wait for further policy updates from the travel service provider at this time,” O’Connell said.
Customers can choose to leave their money with Flight Centre to use as credit on a later date.
If you choose to keep your money with Flight Centre in this way, the group is offering additional Flight Centre credit of up to $200 per person.
“We also urge you to be considerate towards our people, as they are doing everything in their power at this challenging time to help resolve any issues for you.”
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