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COVID-19: Voucher Vs Refund for Flights, Hotels and Cruises - YouTube
Channel: The Points Guy | TPG
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- The travel industry has
been decimated as COVID-19
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has forced everyone to
cancel travel plans.
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But refunds aren't always easy to obtain.
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Airlines, accommodations,
cruises and tours
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are quick to hand out vouchers
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will make me difficult to get a refund.
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Sometimes travelers can snag
a good deal on a voucher
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for a cancellation, but often
it's best to go for a cash
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refund if available.
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The various sectors of the travel industry
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are each responding differently.
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First, let's dig into airlines.
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Airlines were relatively quick
to offer flexible booking
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options as they waive
change and cancellation fees
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when the pandemic began to
significantly affect travel
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in early March.
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Now with much of the world on
lockdown, they are strapped
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for cash and reluctant
to hand out refunds.
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In the United States
airlines that operate to from
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or within the US are legally
obligated to offer refunds
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for those flights if they cancel.
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Just because they are
obligated, doesn't mean
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they make it easy.
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Typically you are better
off asking for a refund
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than just taking a voucher
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even if they're offering
a bonus on the voucher.
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Frontier Airlines, for
example, was offering
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a $50 bonus in addition
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to a voucher for flights
canceled voluntarily.
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But vouchers often have
limited terms and can expire.
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The key is the difference
between voluntary
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and involuntary flight changes.
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A voluntary flight change
happens when for example,
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you decide that you no longer wanna travel
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to Italy this month, and
reach out to your airline
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to cancel the flight.
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It doesn't matter if all
travel to Italy is blocked,
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you are the one who canceled your ticket.
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Involuntary flight changes
happen when the airline
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informs you that your original flight
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was changed or canceled.
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According to the Department
of Transportation.
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If your flight is canceled
and you choose to cancel
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your trip as a result, you
are entitled to a refund
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for the unused transportation
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even for non refundable tickets.
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Airlines are only
obligated to give refunds
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on involuntary flight changes.
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Many airlines are waiting up to 48 hours
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before scheduled departure
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to even announce flight cancellations.
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They hope that passengers
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will voluntarily cancel their ticket
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and accept a voucher for a future travel.
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Even if your flight is involuntarily
canceled by the airline
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getting a refund is not automatic,
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you will need to contact the airline.
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While some have online
refund request forms
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for most you will need to call in to speak
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with a representative,
just make sure you clearly
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and politely asked for a
refund, not a travel credit.
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Similar to airlines many cruise
companies have been forced
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to cancel their sailings
due to travel restrictions.
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They are being extra
generous with some offering
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125% travel credit for
those who opt for a credit
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over a refund.
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Like airlines most cruises
are only offering refunds
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if they canceled the trip.
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You are better off waiting
to see if the cruise line
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will cancel your trip
instead of canceling yourself
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ahead of time.
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Each company has different
offers available though,
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and you'll need to look
at what your specific
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cruise is offering.
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Accommodations are a different ballgame.
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While many are waiving
change and cancellation fees,
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not everyone is offering refunds.
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Airbnb released a very
guest friendly policy
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that gives a full refund to
travelers with reservations
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for on or before March 14th
for travel until May 31.
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Many hotels are limiting
the amount of refunds
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they're handing out.
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We explained what each of the major
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hotel brands are doing
on the Points Guy site.
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You can find a link to that article here
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or in the description below.
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As far as tours and bookings
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for activities at your destination,
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you are at the mercy of
individual companies.
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Most of these outfitters
are small businesses
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also suffering from the
global tourism shutdown.
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If they only offer a
voucher may be considered
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it as helping up a little guy.
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As you can see, there's no one size fits
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all answer to vouchers versus refunds.
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You're gonna have to do some homework
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and maybe spend some time on the phone
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but know that you've got options.
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For more details on the ins
and outs of getting the most
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out of your travel cancellations
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head over to the pointsguy.com.
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Subscribe here for more updates
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on the changing travel situation.
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