757Capt
Dedicated Member
I tend to be a lurker here but as I have rather a lot of time on my hands due to Covid-19 and as I work for one of the two large holiday companies mentioned perhaps I can provide a little information and clarity.
If you have a package holiday booked with either TUI or Jet2 then you are ATOL protected in the unlikely event that one or the other stops trading. However that is a very unlikely scenario, both have very healthy balance sheets and pre existing loan facilities. Both have also taken measures to reduce daily capital expenditure significantly and can survive for a long time with their respective operations in hibernation.
Personally I would pay the balance of any holiday booked, if you don’t you will be in breach of the Terms and Conditions you signed up to when you booked and your holiday will be cancelled at a financial loss to yourselves. As the current Foreign and Commonwealth Office travel advice is not to undertake non essential travel the the holiday companies and airlines are required to cancel your holiday/flight if that advice is in place for when you are due to travel. In that case you will be offered the opportunity to re book your holiday, probably with an incentive. If you choose not to then you are entitled to a full refund.
For flights only, always book with a credit card. That way if your flight is cancelled and you are not offered a refund then you are entitled to and can claim a refund under section 75 of the Consumer Credit Act. For debit cards, unfortunately they are not covered, though there is a voluntary scheme called chargeback whereby your card company tries to claim your money back from the company you paid by reversing the transaction but it is not guaranteed.
apologies for the long post but as I said I have a lot of time to fill presently.
If you have a package holiday booked with either TUI or Jet2 then you are ATOL protected in the unlikely event that one or the other stops trading. However that is a very unlikely scenario, both have very healthy balance sheets and pre existing loan facilities. Both have also taken measures to reduce daily capital expenditure significantly and can survive for a long time with their respective operations in hibernation.
Personally I would pay the balance of any holiday booked, if you don’t you will be in breach of the Terms and Conditions you signed up to when you booked and your holiday will be cancelled at a financial loss to yourselves. As the current Foreign and Commonwealth Office travel advice is not to undertake non essential travel the the holiday companies and airlines are required to cancel your holiday/flight if that advice is in place for when you are due to travel. In that case you will be offered the opportunity to re book your holiday, probably with an incentive. If you choose not to then you are entitled to a full refund.
For flights only, always book with a credit card. That way if your flight is cancelled and you are not offered a refund then you are entitled to and can claim a refund under section 75 of the Consumer Credit Act. For debit cards, unfortunately they are not covered, though there is a voluntary scheme called chargeback whereby your card company tries to claim your money back from the company you paid by reversing the transaction but it is not guaranteed.
apologies for the long post but as I said I have a lot of time to fill presently.
