Travel Agent Fees

[Pcardad]

20 minutes ago, mrstanley said:

The rewards mentioned in the email by the TA is money given back to the client in a check mailed after the client has returned home from their cruise. The amount is based on a percentage of the cost of the cruise. This has nothing to do with OBC that may be given by TA.

 

Needless to say my friends are annoyed with this change.

Seems like the TA is buying the Client refundable OBC.....which can be taken as cash or in a check after the cruise....am i reading it wrong?

[mrstanley]

Pcardad,

 

This agency/company sends  you a check after you have returned from your cruise. The amount is based on a percentage of the cruise fare that you paid.

Years ago they mailed the check prior to you leaving home. 
 

Sometimes they give OBC. It’s never a large amount.

 

This change in their policy on a reward/rebate check getting lost in the mail is ridiculous. Checks over $1500 don’t get lost in the mail? 

You say you’re a travel agent. Explain this.

 

[Pcardad]

12 minutes ago, mrstanley said:

Pcardad,

 

This agency/company sends  you a check after you have returned from your cruise. The amount is based on a percentage of the cruise fare that you paid.

Years ago they mailed the check prior to you leaving home. 
 

Sometimes they give OBC. It’s never a large amount.

 

This change in their policy on a reward/rebate check getting lost in the mail is ridiculous. Checks over $1500 don’t get lost in the mail? 

You say you’re a travel agent. Explain this.

 

What would you like me to explain? I have no idea why this one agency made a change. I know that Regent has not informed me or the office I work through or my Rep of any changes. Maybe they are putting as much as possible ($1,500) onto an OBC as a tax write-off?

[wcsdkqh]

Pcardad is exactly right. Travel advisors have been providing refundable OBCs forever. Apparently, this TA has changed the way they are providing a rebate. So what?

[mrstanley]

Any OBC we have had were never refundable for cash. We were able to use them towards a shore excursion that cost money.  Before that if I had OBC you had to use them onboard or loose them.

Ive been cruising with Regent since 2001.

[Pcardad]

1 hour ago, mrstanley said:

Any OBC we have had were never refundable for cash. We were able to use them towards a shore excursion that cost money.  Before that if I had OBC you had to use them onboard or loose them.

Ive been cruising with Regent since 2001.

There have been refundable OBC for at least 10 years...not sure about longer than that.

[wcsdkqh]

My understanding is that if an OBC is fully funded by your TA, then it is refundable. If an OBC is part of a marketing promotion funded all or in part by Regent, then it is not refundable, and is use it or lose it.

[mrstanley]

PROMOTIONAL AND GROUP AMENITIES, ALONG WITH COMPLIMENTARY GIFTS, ARE NON-REFUNDABLE AND NON-TRANSFERRABLE. SHIPBOARD CREDITS ARE PROVIDED PER GUEST, BASED ON DOUBLE OCCUPANCY OOLY. THIRD AND FOURTH GUESTS IN THE SAME STATEROOM OR SUSITE ARE NOT ELIGIBLE TO RECEIVE SHIPBOARD CREDITS.

 

In  your cruise invoice :  Amenities and Gifts: 

 

[cwn]

We have had the “rebate” amount from our travel agent given as ship board credit since 2011. It has been thousands of dollars in the past. TA has the policy of sending the check at the end of the cruise or giving refundable OBC or a combination. We take long cruises, more than three weeks at a time and use the ship like a bank to get cash to shop for special things ashore. Then the balance is refunded to us the last day. As we usually are continuing on a land trip this work well for us.. Also usually have promotional credit from our travel agency’s travel group or Regent. Use that for on board stuff. The front office keeps it separate and shows on your statement as to what kind of credit it is.

So far nothing has changed with our TA. TA is still giving us part refundable OBC and part check in the mail for fall cruise. 

Edited May 6, 2022 by cwn

[mrstanley]

I've been using the same TA/Travel Company once 2003. The rebate from them has never been put into 

shipboard credit. We receive a check after return home. Any shipboard credit from them as a promotional or group credit had to be used onboard. I guess they all work very differently. It's interesting to see

passengers looking how to spend their remaining shipboard credits before disembarking.

Use it or loose it!

 

[Pcardad]

47 minutes ago, mrstanley said:

I've been using the same TA/Travel Company once 2003. The rebate from them has never been put into 

shipboard credit. We receive a check after return home. Any shipboard credit from them as a promotional or group credit had to be used onboard. I guess they all work very differently. It's interesting to see

passengers looking how to spend their remaining shipboard credits before disembarking.

Use it or loose it!

 

The OBC's described in the letter from the TA are refundable.

 

"Any unused reward credit can be pulled out as cash on the last day of sailing. For guests that wish to receive their reward back in check form Regent will automatically send out any unused  reward to your home within 30 days of disembarkation."

[cwn]

41 minutes ago, mrstanley said:

I've been using the same TA/Travel Company once 2003. The rebate from them has never been put into 

shipboard credit. We receive a check after return home. Any shipboard credit from them as a promotional or group credit had to be used onboard. I guess they all work very differently. It's interesting to see

passengers looking how to spend their remaining shipboard credits before disembarking.

Use it or loose it!

 

To put some or all rebate money into refundable shipboard credit has always been our choice. We have taken it out in cash sums at different ports and the balance at the end of the cruise. We use the small amounts of OBC from Regent and the Travel group to buy for fee shore excursions…..we don’t loose anything.

 

Pcardad post #76 is our experience exactly. We have found over 45 years of each TA has their own system. We have worked with 4 of 5. Travel has change big time especially with the internet. We finally found one we like about 11 years ago. 

[fluckey]

I really don't know anything about this rebate/cruise credit deal, but it wouldn't surprise me if the TA and Regent have worked out something to subtly encourage people to spend the rebate on on-board items like good wine.  If you are given a large cruise credit, you may be tempted to spend it when you wouldn't lay out the cash.  Both the TA and Regent could possibly benefit if this were the case.  I guess I'm a believer in conspiracies.

[mrstanley]

I agree with fluckey. The travel agency is only doing this for rebates under $1500.

 

The agency will send out a rebate check over $1500. Go figure. 

[Pcardad]

1 hour ago, mrstanley said:

I agree with fluckey. The travel agency is only doing this for rebates under $1500.

 

The agency will send out a rebate check over $1500. Go figure. 

Regent has a limit on the amount of OBC a TA can place...or they used to.

[labonnevie]

4 hours ago, mrstanley said:

I agree with fluckey. The travel agency is only doing this for rebates under $1500.

 

The agency will send out a rebate check over $1500. Go figure. 

So if the rebate is say $1600, you get a $1500 OBC and a $100 check sent to your house? Seems unnecessarily complicated compared to the old process. 
Also wonder if this TA has gone to the same approach with Seabourn?

Interested as I believe we use this TA. Can anyone answer? Thanks. 

[Pcardad]

The cruise fare and the commission are the same...the only difference is how the kickback to the client is paid. Chances are the OBC is deductible and the check to the client is not.

[wishIweretravelling]

15 hours ago, labonnevie said:

So if the rebate is say $1600, you get a $1500 OBC and a $100 check sent to your house? Seems unnecessarily complicated compared to the old process. 
Also wonder if this TA has gone to the same approach with Seabourn?

Interested as I believe we use this TA. Can anyone answer? Thanks. 

No, if it’s $1600, you get a check from the TA for $1600. My understanding is that this arrangement is just with Regent, but I could be wrong on that.

 

I do have some trouble understanding why this is so bothersome to some. It’s the same cash, no matter how it is delivered.

[rallydave]

38 minutes ago, Pcardad said:

The cruise fare and the commission are the same...the only difference is how the kickback to the client is paid. Chances are the OBC is deductible and the check to the client is not.

Since the OBC is cash paid to the cruise line/Regent do not believe based on the current IRS codes how the OBC could be deducible. Writing a check directly th the customer is likely an allowable business expense. . 

[Pcardad]

8 minutes ago, rallydave said:

Since the OBC is cash paid to the cruise line/Regent do not believe based on the current IRS codes how the OBC could be deducible. Writing a check directly th the customer is likely an allowable business expense. . 

It is an allowable deduction...I verified it. Google is my friend.

[rallydave]

18 minutes ago, Pcardad said:

It is an allowable deduction...I verified it. Google is my friend.

Thanks for that information.  Don't have time to get into the thousands of pages of IRS drivel so wouldn't think it matters for deductibility it it goes by check to the customer or goes to Regent for the customers account.

 

We have what I believe is a unique situation with our TA and a different cruise line  We get our rebate in the form of a reduction of the amount of the rebate from the final payment.   Been told the TA's back office makes it work and since we took the advantage of full payment over a year prior to our cruise date for a 10% reduction in the full cruise fare, port fees and taxes this resulted in a full reduction in 5 figures for the full payment 

[Got2Cruise]

On 4/22/2022 at 3:11 PM, Pcardad said:

Also keep in mind that not everyone is motivated by money. Some clients want the best possible service. In others areas of business, you see this with the MDVIP program where your doctor only accepts a limited number of patients and is available 24 hours a day/7 days a week. The same situation exists in travel and some people are willing to pay more for more service or better access or a wider range of services provided. If you shop solely based on price you may not always find what you want.

In some instances perhaps. But in booking a Regent cruise you get the same product whether you book online yourself or use a TA. 

[Pcardad]

7 minutes ago, Got2Cruise said:

In some instances perhaps. But in booking a Regent cruise you get the same product whether you book online yourself or use a TA. 

For my clients, the cruise is only part of what they are buying. I provide the entire package including a range of services that are not offered by Regent. This is why I say I am not really a TA...although I do book travel for my clients.

[wishIweretravelling]

I’m not trying to trigger another round of hand-wringing about the TA that is now providing refundable OBCs instead of a “rewards” check, but thought that those who are getting this OBC would want this info. 

 

We are currently in the waning days of a Mariner cruise. We were told that the refund would be given as a refund to our credit card if we don’t take the cash. We chose the cash because, if it went to the credit card, the credit card company would deduct those points.  

[GOARMY]

wish-------:

 

Thanks for the update concerning refundable OBCs.  We will be so-guided when boarding Mariner at Los Angeles on October 3rd.

 

GOARMY!