This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7587579.stm
The article has changed 5 times. There is an RSS feed of changes available.
| Version 3 | Version 4 |
|---|---|
| Q&A: Options for Zoom passengers | Q&A: Options for Zoom passengers |
| (20 minutes later) | |
| Many passengers will have to get new tickets home | Many passengers will have to get new tickets home |
| The collapse of low-cost transatlantic airline Zoom has left 4,500 UK passengers stranded abroad while up to 60,000 have lost bookings, according to the Civil Aviation Authority. | The collapse of low-cost transatlantic airline Zoom has left 4,500 UK passengers stranded abroad while up to 60,000 have lost bookings, according to the Civil Aviation Authority. |
| The carrier has suspended all its flights - blaming the economic downturn and steep rises in fuel bills. | The carrier has suspended all its flights - blaming the economic downturn and steep rises in fuel bills. |
| Are all passengers protected equally? | Are all passengers protected equally? |
| No. | No. |
| Protection varies significantly depending on how you paid for the ticket and if it was a stand-alone purchase or part of a package. | Protection varies significantly depending on how you paid for the ticket and if it was a stand-alone purchase or part of a package. |
| In simple terms, passengers who booked with a package holiday are in the best position. | In simple terms, passengers who booked with a package holiday are in the best position. |
| And passengers who paid with credit cards will have some chance of getting back their money. | And passengers who paid with credit cards will have some chance of getting back their money. |
| What happens to passengers who are stranded and what recourse do they have? | What happens to passengers who are stranded and what recourse do they have? |
| For those with flights that are part of a package deal, which is covered by the Civil Aviation Authority's (CAA) Air Travel Organisers' Licensing (ATOL) scheme, then it is the responsibility of the tour operator to get people home. | For those with flights that are part of a package deal, which is covered by the Civil Aviation Authority's (CAA) Air Travel Organisers' Licensing (ATOL) scheme, then it is the responsibility of the tour operator to get people home. |
| Package deal customers are not meant to spend any extra money on the return leg. | Package deal customers are not meant to spend any extra money on the return leg. |
| Passengers who bought flights directly from Zoom will have to buy new tickets to return home. | Passengers who bought flights directly from Zoom will have to buy new tickets to return home. |
| What compensation is available? | What compensation is available? |
| Under the Consumer Credit Act, if a plane ticket was bought with a credit card, passengers can reclaim the cost of the failed service from the credit card firm, if it exceeded £100. | Under the Consumer Credit Act, if a plane ticket was bought with a credit card, passengers can reclaim the cost of the failed service from the credit card firm, if it exceeded £100. |
| If you pay for your flight with a credit card or book it as part of a package holiday then you shouldn't have any problems getting your money back Espe Fuentes, Which? Legal Service | If you pay for your flight with a credit card or book it as part of a package holiday then you shouldn't have any problems getting your money back Espe Fuentes, Which? Legal Service |
| Compensation only applies to the part of the journey that the airline failed to provide - so if the outbound journey has been taken, the refund is for the return leg. | Compensation only applies to the part of the journey that the airline failed to provide - so if the outbound journey has been taken, the refund is for the return leg. |
| American Express said it would provide refunds to its customers who purchased Zoom air tickets and are now unable to take their flight. | American Express said it would provide refunds to its customers who purchased Zoom air tickets and are now unable to take their flight. |
| People who bought tickets with Visa debit cards should contact their current account provider, who will attempt to recover the money for you. | |
| Non-UK customers are advised by the Civil Aviation Authority to contact their country's aviation/consumer protection organisation or their credit card firm for advice and information about refunds and assistance. | Non-UK customers are advised by the Civil Aviation Authority to contact their country's aviation/consumer protection organisation or their credit card firm for advice and information about refunds and assistance. |
| What isn't covered? | What isn't covered? |
| If a ticket was bought with a debit card such as Switch or Maestro this protection does not apply. | |
| Visa debit card holders have a better chance of getting their money back because of a protection scheme Visa has agreed with banks that issue Visa debit cards. | |
| If a ticket was bought with cash, consumers are not protected. | If a ticket was bought with cash, consumers are not protected. |
| "If you pay for your flight with a credit card or book it as part of a package holiday then you shouldn't have any problems getting your money back," said Espe Fuentes, lawyer at Which? Legal Service. | "If you pay for your flight with a credit card or book it as part of a package holiday then you shouldn't have any problems getting your money back," said Espe Fuentes, lawyer at Which? Legal Service. |
| "Sadly, if these don't apply to you there's little hope of you seeing your money again so bear this in mind when you book your next flight or renew your travel policy." | "Sadly, if these don't apply to you there's little hope of you seeing your money again so bear this in mind when you book your next flight or renew your travel policy." |
| Does travel insurance automatically protect passengers? | Does travel insurance automatically protect passengers? |
| No. | No. |
| Most travel insurance will not include what is called "scheduled airline failure insurance", which applies to carriers that fail to fly. | Most travel insurance will not include what is called "scheduled airline failure insurance", which applies to carriers that fail to fly. |
| This can be bought separately. | This can be bought separately. |
| But some policies will stipulate that certain airlines are not covered should an airline fail. | But some policies will stipulate that certain airlines are not covered should an airline fail. |
| For example, in June, UK insurance firm International Passenger Protection added Zoom to the list of firms it would not cover if they failed. | For example, in June, UK insurance firm International Passenger Protection added Zoom to the list of firms it would not cover if they failed. |
| Other firms that had been excluded were LAB Airlines, Olympic Airlines, Alitalia, Frontier Airlines, and Airunion. | Other firms that had been excluded were LAB Airlines, Olympic Airlines, Alitalia, Frontier Airlines, and Airunion. |
| What is the time frame for any reimbursement? | What is the time frame for any reimbursement? |
| This depends on the credit card firm but they are generally fairly prompt. Claims on a visa debit card must be made within 120 days. | |
| In future what steps can passengers take to best protect themselves? | In future what steps can passengers take to best protect themselves? |
| As the economic slowdown kicks in, it is impossible to know how different carriers will be affected. | As the economic slowdown kicks in, it is impossible to know how different carriers will be affected. |
| But larger airlines are more likely to provide better protection than small carriers and are less likely to go bankrupt. | But larger airlines are more likely to provide better protection than small carriers and are less likely to go bankrupt. |
| A spokesperson for ABTA said more airline failures were likely to happen as they struggle with rising fuel costs. | A spokesperson for ABTA said more airline failures were likely to happen as they struggle with rising fuel costs. |
| If booking a stand-alone ticket, getting the requisite insurance and paying by credit card is the better option. | If booking a stand-alone ticket, getting the requisite insurance and paying by credit card is the better option. |
| But for the most secure option, ATOL-covered package deals will pick up the pieces when things go wrong. | But for the most secure option, ATOL-covered package deals will pick up the pieces when things go wrong. |