Online TA offers just $50 pp Deposit but......

[The_Big_M]

I rang the online TA and they stated they can offer the terms of not paying six months in advance and pay like a week before the cruise line final payment date is, however you will need to pay a larger deposit. i.e Carnival instead of $50 p.p would be $400 pp etc.

 

They also said if you paid six months prior to cruiseline final payment date that the money would be passed onto the cruiseline at that time..

 

In which case, pricing sounds like it would be the same.

 

I wonder if, in these reduced deposit cases, they're paying the difference in the deposit to the cruise line themselves.

[Dizziedi]

That can't be the reason - it's not going to result in much interest to offer any reduction.

 

For example, say for $5000 payment 3 months early, at 3% interest, that's a whole $37.50.

 

Even if they were to pass that whole 'benefit' on, is it really going to be much marketing benefit, or sway people across to see a fare that is $19 cheaper (on a twin share basis)?

 

Can't see it myself.

 

They would have to put the money into a trust account as it is not their money. That is why they send it straight to the shipping company.. There is no interest earned on a trust account.

 

Cheers

Di

[MMDown Under]

 

I see the T&C of the latest online agency email says that the money doesn't go into trust and the "Captain" is free to do what ever he likes with it.

Sent from my GT-I9305 using Tapatalk

 

Is that really the wording?

[Guest012]

[/b]

 

Yes, from 1st July, 2014, TAs don't have to be a member of the Travel Compensation Fund, nor be licensed.

 

Does anyone know what protection people buying travel from TAs will have from 1st July?

 

 

As I mentioned previously there will be NO Travel Compensation Board it is being disbanded ... gone....kapput ....30 June this year so from 1 July NO PROTECTION unless your particular travel shop has insolvency insurance in place. AFTA has a new accreditation scheme where the travel shop once accepted can pay a membership fee to be ATAS accredited, your badge says you have complied with the membership rules ... they mention insolvency insurance can they make you well if you don't comply with their rules you don't get the rights to the logo... Buyer beware from July 1... would i pay in full 6 months out from my cruise NO so i will be sticking with booking through the cruiseline.

Edited June 16, 2014 by badgerbill
sp

[Guest012]

They would have to put the money into a trust account as it is not their money. That is why they send it straight to the shipping company.. There is no interest earned on a trust account.

 

Cheers

Di

 

As no licensing required from Jul 1 one could assume monies can now go into any old working business account, so they can operate just like any other retail business can and if able to they CAN and WILL make interest.

[MMDown Under]

As I mentioned previously there will be NO Travel Compensation Board it is being disbanded ... gone....kapput ....30 June this year so from 1 July NO PROTECTION unless your particular travel shop has insolvency insurance in place. AFTA has a new accreditation scheme where the travel shop once accepted can pay a membership fee to be ATAS accredited, your badge says you have complied with the membership rules ... they mention insolvency insurance can they make you well if you don't comply with their rules you don't get the rights to the logo... Buyer beware from July 1... would i pay in full 6 months out from my cruise NO so i will be sticking with booking through the cruiseline.

 

Thanks Shiona.

 

I recalled reading it on CC first, but couldn't recall what was to happen after 1 July.

 

How can one be sure that the TA has insolvency insurance? I don't think Australian travel insurance policies cover insolvency.

 

As you say, buyer beware!

[aussie cruzer]

Is that really the wording?

 

Monies Not Held On Trust

 

All monies paid by you to us will be the property of ********** and will be a debt due and payable to the travel service provider once the services to which the money relates have been provided (except for monies paid for flights with an IATA airline, which might be held on trust for that IATA airline). You agree and acknowledge that such monies will not be held by us on trust for and on behalf of you and we may hold such monies in any account as we see fit, including with our own and/or other customer monies.

[The_Big_M]

They would have to put the money into a trust account as it is not their money. That is why they send it straight to the shipping company.. There is no interest earned on a trust account.

 

Cheers

Di

 

I was pointing out regardless of where it went, there wasn't much interest involved, in respect of the claim interest was being used to offset discounts.

 

It may not be their money, but there has to be a reason for the differing arrangements, as well as the question raised about why the deposit is discounted.

Edited June 16, 2014 by The_Big_M

[The_Big_M]

Monies Not Held On Trust

 

All monies paid by you to us will be the property of ********** and will be a debt due and payable to the travel service provider once the services to which the money relates have been provided (except for monies paid for flights with an IATA airline, which might be held on trust for that IATA airline). You agree and acknowledge that such monies will not be held by us on trust for and on behalf of you and we may hold such monies in any account as we see fit, including with our own and/or other customer monies.

 

Wow, well there you go. Even more questionable...

 

How many customers know the financial situation of their travel agent? Such that they are willing to trust in them as a business - rather than just an agent/intermediary for the real business they wish to deal with?

[The_Big_M]

How can one be sure that the TA has insolvency insurance?

 

The travel agent would typically promote that, similarly to how some currently promote their price guarantees and the like. It would also be in the fine print.

 

They are unlikely to pay for it, without trying to get a benefit from promoting it. As they don't get a true benefit from claiming on it (i.e. if they claim it means the business has collapsed, which isn't any good for them!), the only real benefit from the cost incurred is to promote that as protection, and hope that increased sales pay for that cost.

[MMDown Under]

Monies Not Held On Trust

 

All monies paid by you to us will be the property of ********** and will be a debt due and payable to the travel service provider once the services to which the money relates have been provided (except for monies paid for flights with an IATA airline, which might be held on trust for that IATA airline). You agree and acknowledge that such monies will not be held by us on trust for and on behalf of you and we may hold such monies in any account as we see fit, including with our own and/or other customer monies.

 

Wow. Thanks for that.

 

This raises a lot of questions.

[johndon]

Wow. Thanks for that.

 

This raises a lot of questions.

Icat200

 

Future Cruise letters from Princess require a $100 deposit but when presenting the FCL to to TAs most of them are reluctant to accept the $100 deposit. I think you have to book with Princess direct to get the reduced $100 deposit even though Princess recommend that you use a TA to book the future cruise. There is obviously no agreements between Princess and the TAs regarding the $100 deposits.

There are just so many tricks and hidden requirements in the whole game.

 

John

[rkmw]

Icat200

 

Future Cruise letters from Princess require a $100 deposit but when presenting the FCL to to TAs most of them are reluctant to accept the $100 deposit. I think you have to book with Princess direct to get the reduced $100 deposit even though Princess recommend that you use a TA to book the future cruise. There is obviously no agreements between Princess and the TAs regarding the $100 deposits.

There are just so many tricks and hidden requirements in the whole game.

 

John

 

we always use a TA and use our FCD and never have any trouble, we just quote the number and it gets applied....one big TA in Canberra wants to see the FCD so we had to fax it to them

[rkmw]

Icat200

 

Future Cruise letters from Princess require a $100 deposit but when presenting the FCL to to TAs most of them are reluctant to accept the $100 deposit. I think you have to book with Princess direct to get the reduced $100 deposit even though Princess recommend that you use a TA to book the future cruise. There is obviously no agreements between Princess and the TAs regarding the $100 deposits.

There are just so many tricks and hidden requirements in the whole game.

 

John

 

when you are booking a princess cruise and once the TA pulls up your details it should tell them that you have x amount of FCD available so if you go into your circle savings account and it will tell you what FCD are active and the credit ID number and you quote them what to use but pick the one that is going to run out first

[johndon]

RKMW

 

We used "a Big TA in Canberra" to book our Princess Xmas cruise with a FCL but they would not honor the $100 deposit.

Apart from that we are very happy with "the Big TA" for their service and other add ons which they include.

 

John

[MicCanberra]

RKMW

 

We used "a Big TA in Canberra" to book our Princess Xmas cruise with a FCL but they would not honor the $100 deposit.

Apart from that we are very happy with "the Big TA" for their service and other add ons which they include.

 

John

 

And yet our TA accepted ours no questions asked. I think you should find another TA.

[rkmw]

RKMW

 

We used "a Big TA in Canberra" to book our Princess Xmas cruise with a FCL but they would not honor the $100 deposit.

Apart from that we are very happy with "the Big TA" for their service and other add ons which they include.

 

John

 

when the TA wouldnt honour the FCL what about the benefits that come with it, personally i would not have booked with them but if you're happy with the service thats the main thing

[MicCanberra]

when the TA wouldnt honour the FCL what about the benefits that come with it, personally i would not have booked with them but if you're happy with the service thats the main thing

 

Agreed, chances are they wouldn't honour anything that the FCL included.:D

[Dizziedi]

I was pointing out regardless of where it went, there wasn't much interest involved, in respect of the claim interest was being used to offset discounts. True and there was no offence intended:)

 

It may not be their money, but there has to be a reason for the differing arrangements, as well as the question raised about why the deposit is discounted.

 

This gives people the choice of having less money tied up in respect to deposits. If you are like us, we usually have (around) five or six cruises booked at any given time at $800 a pop and if more than a 14 night cruise, then it goes to $1600. I would rather pay the cheaper deposit and pay the final payment earlier - just me and I'm glad I'm being given the choice.

 

After 1 July 2014, if booking through an Australia TA, I would ensure that they are at least accredited and would not be going through any agency that has the T&Cs referred to in Sarah's post. I book the bulk of our cruises through a US Agent where our deposits and final payments go directly to RCI a fact reflected on our Credit Card Statements - security and nice OBCs:D

 

Cheers

Di

Edited June 17, 2014 by Dizziedi

[Royalty X]

The TA (several do these promotions) is actually doing this as a courtesy to their clients. They still pay the cruise line the full deposit amount and the agent sits in a negative until full payment is received. The reason they want full payment 190 days prior to sailing is so if they don't receive payment, or the client cancels, they will receive the full amount back from the cruise line to refund the clients $50pp and so the agency doesn't end up losing money (the remaining amount amount of the deposit that they have outlaid). Any later than this and the cruise line would charge a cancellation fee of the (full) deposit amount, meaning the agency would lose money. If you're not a fan of the condition, pay the full deposit amount up front. Trust me, I know exactly how it works! ;)

Edited June 17, 2014 by Royalty X

[goodycruising]

......The reason they want full payment 190 days prior to sailing is so if they don't receive payment, or the client cancels, they will receive the full amount back from the cruise line .......Any later than this and the cruise line would charge a cancellation fee of the (full) deposit amount, meaning the agency would lose money. ..........

 

This totally makes sense. We do tend to get final payment date mixed up with the date where full refund applies for cancellation. Well explained.

[rkmw]

The TA (several do these promotions) is actually doing this as a courtesy to their clients. They still pay the cruise line the full deposit amount and the agent sits in a negative until full payment is received. The reason they want full payment 190 days prior to sailing is so if they don't receive payment, or the client cancels, they will receive the full amount back from the cruise line to refund the clients $50pp and so the agency doesn't end up losing money (the remaining amount amount of the deposit that they have outlaid). Any later than this and the cruise line would charge a cancellation fee of the (full) deposit amount, meaning the agency would lose money. If you're not a fan of the condition, pay the full deposit amount up front. Trust me, I know exactly how it works! ;)

 

some people might like paying a $50 deposit and final payment 190 days out but if i'm booking a princess cruise using a FCD that would be no good for me as i like the conditions that come with the FCD and if i have to cancel out for any reason at 90 days....not 190 days

[MMDown Under]

The TA (several do these promotions) is actually doing this as a courtesy to their clients. They still pay the cruise line the full deposit amount and the agent sits in a negative until full payment is received. The reason they want full payment 190 days prior to sailing is so if they don't receive payment, or the client cancels, they will receive the full amount back from the cruise line to refund the clients $50pp and so the agency doesn't end up losing money (the remaining amount amount of the deposit that they have outlaid). Any later than this and the cruise line would charge a cancellation fee of the (full) deposit amount, meaning the agency would lose money. If you're not a fan of the condition, pay the full deposit amount up front. Trust me, I know exactly how it works! ;)

 

I can see that you know how it works. However, being a lay person, I can't understand. Maybe a timeline with deposit amounts might help.

 

I'm guessing that this is not an advertised special deposit amount by the cruiseline, but something the TA does independently?

[MMDown Under]

 

After 1 July 2014, if booking through an Australia TA, I would ensure that they are at least accredited and would not be going through any agency that has the T&Cs referred to in Sarah's post. I book the bulk of our cruises through a US Agent where our deposits and final payments go directly to RCI a fact reflected on our Credit Card Statements - security and nice OBCs:D

 

Cheers

Di

 

I agree.

 

I also book my cruises through a US TA and my money goes straight to the cruiseline, with FCC amount taken into account. My cruiseline records show that payment has been made.

 

Any OBC given is available on board.

[MicCanberra]

some people might like paying a $50 deposit and final payment 190 days out but if i'm booking a princess cruise using a FCD that would be no good for me as i like the conditions that come with the FCD and if i have to cancel out for any reason at 90 days....not 190 days

Agreed, otherwise there is no point buying them.:D