Australians left stranded by online Traveldream company collapse

Australian families have lost thousands of dollars, had their holiday plans dashed and some have been stranded overseas after the collapse of a major travel company. This is what we know.

Holiday-makers have been left thousands of dollars out of pocket and others stranded overseas after an Australian travel company collapsed.

Online company Traveldream was placed into administration leaving customers scrambling for refunds on prepaid holidays.

This is what we know:

Who is affected?

Aussies who booked with the agency have been sharing stories online.

A mother and her two daughters lost $33,000 while a group of travellers, currently overseas, found there was no booking under their name after arriving at a hotel.

Queenslander Donna Lamberth said she had been left $15,500 out of pocket after saving for two years to pay off a planned dream trip starting in Vancouver, followed by a cruise from Alaska before they finished in Las Vegas.

Ms Lamberth had planned a dream cruise out of Alaska. Picture: Supplied

In December, they finally paid off all of the trip.

“I’m going to have to save again. It’s a lot of money to lose,’ she told news.com.au.

When Ms Lamberth rang the cruise company, she learned the devastating news that only $250 had been paid as a deposit on the cruise.

“They said there was still $7,000 to pay. I burst into tears,” she said. The Lamberths had to cancel their holiday because they couldn’t afford to pay for the accommodation and the cruise again.

Other travellers have been left stranded without bookings once starting their holiday.

Michelle Brown, along with her husband and friends, arrived in Vancouver last Friday after spending 21 hours flying from Australia.

“We turn up there at whatever time of night. They said ‘sorry we don’t have a booking’,” Ms Brown said.

Who can customers contact now?

The list of some of the suppliers customers were told to contact were Royal Caribbean Cruises, Holland America Cruises, Qantas, Air Canada, United Airlines, American Airlines, Singapore Airlines, Westjet and Canada Rockeries Keywest Tours.

Cruise travellers booked with Royal Caribbean, Holland America and other companies have also been left out of pocket. Picture: iStock

What kinds of trips have been affected?

Narelle, another cruise customer shared her story online:

“We booked a 19-day Alaska, Canada, and Las Vegas Tour with this company in May 2024. Apparently, Traveldream applied for Administration on 3 December 2024. Yet they had the nerve to ask for the final payment of our tour in April 2025. Now, there’s a total of $17598.00 lost

“Our friends are in the same position as us. I have checked with most suppliers. Air Canada confirmed our flights as we had upgraded our seats personally. The land portion in Canada had only had a deposit of $200.00 per person paid.

Friends who booked with Traveldream in 2024 for a tour to Alaska, Canada and Las Vegas claim the company took payments after it had gone into administration. Picture: iStock

“The same for the Alaska Cruise. We were told by Royal Caribbean that $6000 was owing and past due date.

“We had also booked our shore excursions with Royal Caribbean and now have to try and get that back. We have contacted the administrators and were again advised to contact our travel insurance, but we hold little hope of recuperating any of any money.”

Another holiday-maker. Luis, lost $6000 on a package tour to China.

“We booked a package tour to China for a group of 12 people, scheduled for November 2025. In December, we paid a $500 deposit per person – a total of $6,000. Unfortunately, the company has now gone into administration, and we haven’t received any communication from them.

A group of 12 friends has been left out of pocket for a planned package tour to China. Picture: iStock

“We’ve tried contacting them multiple times via phone and email but have had no response whatsoever. Since the trip is over a year away, we hadn’t yet purchased travel insurance, and we’re now left out of pocket with no clarity on whether we’ll ever see our money again.

“This experience has been incredibly frustrating and disappointing. We trusted this company with our plans and our money – and feel completely let down.”

What have the administrators said so far?

Administrator Bill Karageozis, from insolvency firm Mcleods said the company’s debts were unlikely to exceed $1million and that there were no “available tangible assets” of the company.

Traveldream's website shows the statement about the company going into administration.

The administrator encouraged customers to try to find out who their travel wholesaler was – the company the travel agency paid to secure services.

What has Traveldream said after the collapse?

A notice posted to the Traveldream website states:

“On Monday, 28 April 2025 Bill Karageozis of Mcleods Accounting, was appointed Administrator of the Company pursuant to Part 5.3A of the Corporations Act 2001. We understand the Company acted as a service provider for varying travel booking intermediaries.

“Contact your travel supplier (for example, Emirates, Best of Scandinavia & The Baltics, etc.) to confirm whether your booking remains valid. If your booking is current, you should liaise directly with the supplier regarding your travel arrangements.”

READ THE FULL STATEMENT HERE

Was Traveldream an accredited business in the industry?

The Australian Travel Industry Association (ATIA) is aware of reports of the collapse, and says travellers should be aware of booking travel only with an ATIA Accredited business.

ATIA Accredited travel businesses must meet stringent financial and professional standards, including mandatory experience and qualifications for frontline staff.

Accreditation is reviewed annually.

Traveldream.com.au had its accreditation cancelled in March 2020 and has not been part of the ATIA Accredited program since.

What should customers know when booking pre-paid holidays?

ATIA CEO Dean Long said: “It is critical that travellers only book through an ATIA Accredited travel business. Accreditation is the best way to ensure you are dealing with a trusted, professional, and financially sound operator. If a business is not accredited, you should ask why.”

For the latest list of accredited travel businesses and advice for consumers, visit www.atas.com.au.

Originally published as Australians left stranded by online Traveldream company collapse