Know what refunds you should get from virus-hit cancellations
My dream holiday to Nepal last month turned sour with six flights home booked before airlines cancelled them. Here’s why we shouldn’t give up chasing refunds.
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The treatment of consumers in refunding cash for an avalanche of cancellations caused by the coronavirus will shape people’s perceptions of businesses for years.
Millions of Australians have been affected by cancelled holidays, concerts, events and other activities and many face a long – sometimes impossible – road to get their money back.
I’m personally owed more than $10,000 for several flights I paid for last month trying to get out of Nepal as the nation suddenly shut down its borders and international airport.
My dance with overseas airlines to get my money back for flights that were cancelled is frustrating and likely to go on for a while.
I’d paid Qatar Airlines more than $6000 for three tickets online just four hours before their flight was scrapped, and I’m hoping for a refund soon.
Malaysia Airlines says I won’t get anything from them for at least three months. Etihad processed a refund quite quickly but their cancellation fee and other charges left me out of pocket $300 per ticket.
Some airlines and other travel providers have been criticised for offering credits rather than refunds. Some of these credits must be redeemed within a few months: as if that’s going to happen in our locked-down world and the aversion many travellers will now have to stepping outside Australia.
Word of mouth will be a powerful tool in the months to come for keeping businesses honest.
But whether you’ve had your travel plans trampled on, and event cancelled or a membership put on hold, it’s a good idea to know your rights.
Our national consumer watchdog, the Australian Competition and Consumer Commission, has a comprehensive coronavirus information page at accc.gov.au.
The ACCC notes that many businesses are struggling to manage cancellations and it urges us to remain patient and try to contact businesses by email or website rather than by phone.
Here’s a snapshot of some of its advice:
• Travellers hit by cancellations should receive a refund “or other remedy such as a credit note or voucher in most circumstances”.
• People who bought tickets for an event that has been cancelled should expect to receive a refund, credit note or voucher. But if you no longer wish to attend an event because of virus concerns, this may be treated as a “change of mind” and have different rules.
• Gym membership payments cannot be charged by gyms if there are “reasonable grounds to believe the services won’t be supplied”. If it’s shut, there’s no service.
• Food delivery services that have stopped because of COVID-19 are not allowed to take payments, and if you’ve already had money deducted you should contact them to get it refunded.
Good advice for anyone seeking a refund is to keep trying. Some businesses might bet on their ability to frustrate your attempts to claim a refund so you’ll simply go away.
But don’t be rude towards call centre staff and other employees. It’s not their fault they’ve been put in this situation – just like it’s not your fault.
We are all in this together.
Originally published as Know what refunds you should get from virus-hit cancellations