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Thomas Cook customers may face two-month delay for refunds: watchdog

 

FILE PHOTO: Passengers line up in front of Thomas Cook counters at the airport of Heraklion, on the island of Crete, Greece September 24, 2019. REUTERS/Stefanos Rapanis

 

(Reuters) - Britain's aviation regulator said on Monday that refunds of bookings by Thomas Cook customers could take longer than expected as the regulator does not have all information needed from the collapsed travel firm.

 

The Civil Aviation Authority said it was launching a new, online payment system next week for bookings made by payments methods other than direct debit and would enable customers to get refunds within 60 days of receiving refund forms.

 

A total of 100,000 bookings made by direct debit would be refunded within the next 14 days.

 

53 flights are scheduled to operate on Sept. 30, returning 8,000 people following the collapse of collapsed British travel firm Thomas Cook, the regulator said.

 

CAA said more than two-thirds of the total number of customers have been repatriated.

 

(Reporting by Mekhla Raina in Bengaluru, editing by Louise Heavens)

 

-- © Copyright Reuters 2019-10-01

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[gk10002000]

Getting refunds from who?  Cook is in bankruptcy and I didn't think they put aside any funds for refunds.  Is the British government putting up the money to re-imburse the travelers?

[MadMuhammad]

16 minutes ago, gk10002000 said:

Getting refunds from who?  Cook is in bankruptcy and I didn't think they put aside any funds for refunds.  Is the British government putting up the money to re-imburse the travelers?

Around 60 percent of the cost for the flights was funded by a government insurance program called the Air Travel Organizer's License, which means that Thomas Cook customers who booked package travel — generally, some combination of flights, hotels and car rental — are assured of refunds for future canceled trips

Edited October 1, 2019 by MadMuhammad

[Basil B]

1 hour ago, gk10002000 said:

Getting refunds from who?  Cook is in bankruptcy and I didn't think they put aside any funds for refunds.  Is the British government putting up the money to re-imburse the travelers?

The money is coming from ATOL

Quote

ATOL - Protecting holidaymakers since 1973

The law says your holiday must be protected if it is a package holiday. ATOL (which stands for Air Travel Organiser’s Licence) is a UK financial protection scheme and it protects most air package holidays sold by travel businesses that are based in the UK.   The scheme also applies to some flight bookings, usually those where you book flights (including UK domestic flights) but do not receive your tickets immediately.

https://www.caa.co.uk/ATOL-protection/Consumers/About-ATOL/

I suspect in the short term the Government may well need to loan ATOL funds to reimburse Thomas Cook customers as ATOL's piggy bank derived from a levy of £2.50 per customer of all the ATOL licenced Tour Operators will not be enough, the loan will probably be recovered by an increase in the levy and/or a one off surcharge on operators, but there is also the likelihood of some money being recovered from Thomas Cook.

[Basil B]

2 hours ago, rhyddid said:

Wait BS BJ will save you after saving UK from no deal Brexit !

Can not even save his own bacon...