What happens to your deposit or OBC if cruise line goes bankrupt?

[Hlitner]

5 minutes ago, GrJ Berkshire said:

Very simple, you lose your money. As all cruise lines are registered and flagged off shore. So unless you a millionaire who could afford expensive offshore lawyers you will get nothing. That is why Govt has not supported cruising as it pays no taxes and is registered in the e.g. Marshall islands, so little chance of...……...

Interesting.  Doesn't the UK have any laws that give you recourse through you credit cards?  In North America if we charge an item (such as a cruise) on a major credit card and the cruise line fails to deliver the service for which we paid, we can often recover through our credit card companies.  This is actually controlled through a federal law in the USA, but many of the best credit card companies actually go above and beyond in helping with so-called "chargeback disputes."  As an example, when Flybe recently filed for bankruptcy in your country we got stuck with useless airline tickets.  But Chase quickly refunded all the money that we had paid Flybe.  

 

Hank

[iancal]

It depends where you live, or where you buy your cruise.  In a few provinces in Canada we are protected from travel vendor bankruptcies through mandated industry funds.  Not where we live though. The UK, I believe,  has something similar.   I recall reading about it when Thomas Cook went into administration.  

 

 Whenever we buy travel products in the UK from a UK supplier (three times in the last nine months)  we invariably get a message about ABTA coverage or some other industry coverage.  We never bother paying much attention to it  since our purchases are typically consumed within sixty days.

Edited June 21, 2020 by iancal

[JRG]

If your stuck with a loss after all is said and done and you pay US taxes,   you may be eligible to treat it as a casualty loss and deduct some of it now and carry the NOL  forward too if need be.

 

It would depend on your tax situation and your AGI but it is better than nothing.

[SRF]

On 6/20/2020 at 6:40 PM, drsel said:

In some countries, you can only dispute a Credit card charge if there is a fraud committed.

If you have intentionally paid the company, I don't think you can dispute it, nor will the bank honor your claim.
 

 

This would be fraud.

 

You purchased a product, but the product (cruise) was not provided.

 

In the US, you cannot just dispute a charge and get your money back because you want to have both the item and the money.  Their has to be a reason for the refund.

[calliopecruiser]

4 hours ago, SRF said:

This would be fraud.

 

You purchased a product, but the product (cruise) was not provided.

But the reason it was not provided was not a fraudulent one.   Fraud is more than just not delivering what was purchased - it's intentionally using deception to steal (that money, by not delivering the product).  There was no deception involved. 

[SRF]

On 6/30/2020 at 4:08 PM, calliopecruiser said:

But the reason it was not provided was not a fraudulent one.   Fraud is more than just not delivering what was purchased - it's intentionally using deception to steal (that money, by not delivering the product).  There was no deception involved. 

 

Hmm, no deception.  I pay for X.  I do not receive what I paid for.  That is still fraud.

 

They did use deception, "Pay us X amount and we will provide THIS."  

[ontheweb]

2 hours ago, SRF said:

 

Hmm, no deception.  I pay for X.  I do not receive what I paid for.  That is still fraud.

 

They did use deception, "Pay us X amount and we will provide THIS."  

No, it is not fraud. They fully intended to provide what you paid for, but then outside forces changed the situation. Yes, you deserve your money bank, but it is not fraud.

[drsel]

They were forced to cancel the cruises due to circumstances beyond their control.
They had no intention to cheat or be deceitful, so it cannot be considered a fraud.

[sanger727]

On 6/30/2020 at 11:42 AM, SRF said:

 

This would be fraud.

 

You purchased a product, but the product (cruise) was not provided.

 

In the US, you cannot just dispute a charge and get your money back because you want to have both the item and the money.  Their has to be a reason for the refund.

This is not fraud. This is a contract violation. Fraud is criminal. Contract violations are civil. Contract violations occur all day every day and while they are frustrating if you are in them, that doesn’t elevate them to the level of fraud. Luckily, US credit cards will allow you to do charge backs for fraud or contract violations.

[sanger727]

On 6/21/2020 at 8:33 AM, Hlitner said:

Chargebacks are an ugly situation as we feel bad about sticking it on a credit card company for issues that are not their fault.  Different credit cards handle chargebacks differently.  We have found that the higher-end cards (i.e. AMEX, Chase Sapphire Reserve, etc) are often easier in terms of dealing with these issues.    In nearly all cases that we have ever disputed a charge with those kind of cards, the money is credited back to our card on that same day.  

no need to feel badly for the credit companies. They make lots of money, even with dealing with these issues every day. They will pursue the company that failed to provide the service to recover their money.

[evandbob]

POOF!!!!!!

[SRF]

18 hours ago, ontheweb said:

No, it is not fraud. They fully intended to provide what you paid for, but then outside forces changed the situation. Yes, you deserve your money bank, but it is not fraud.

 

Still fraud, as they did not fulfill their part of the contract.

 

Either way, your credit card should refund your money.

[ontheweb]

12 minutes ago, SRF said:

 

Still fraud, as they did not fulfill their part of the contract.

 

Either way, your credit card should refund your money.

No it is not fraud.

 

Here is a dictionary definition of fraud: 1. A deception deliberately practiced in order to secure unfair or unlawful gain. 2 A piece of trickery; a trick. 3  a. one that defrauds; a cheat 3 b one who assumes a false pose; an imposter.

 

The key word is DELIBERATE. But, I do agree that the money should be returned even if it was not a fraud.

[AF-1]

On 6/20/2020 at 10:01 AM, gooch47 said:

This actually happened to us with a Hawaiian Cruise Line.  And we had already paid in full.  Luckily our credit card company stepped in and refunded us the entire amount.

was these recently that you got a refund?

[gooch47]

On 7/6/2020 at 5:30 PM, AF-1 said:

was these recently that you got a refund?

No.  It was many, many years ago.

[AF-1]

3 hours ago, gooch47 said:

No.  It was many, many years ago.

got it I totally understand.  Have a great day even though its very hot outside