Chargebacks issue is ‘nightmare’ Samantha Mayling


Fears are growing that the increasing burden of credit card chargebacks made by customers already due refunds could force some agencies out of business. Agents have contacted Travel


Weekly to highlight the escalating problem as retailers battle to pay refunds owed to customers as a result of widespread cancellations. Peter Cookson, group managing


director at Spear Travels, said chargebacks are becoming a “nightmare” and “incredibly time- consuming”. He said one client thought a


chargeback would save the agency time, despite being told a refund would be paid within four weeks.


“We are aware of people claiming


on their insurance and also getting their money back on their card deliberately,” added Cookson. Cruise Nation founder Phil Evans


posted on Facebook that one customer instigated a chargeback for £3,420 despite being fully refunded in July. He said the customer refused to cancel the chargeback until they received compensation for losing the holiday. Agents at Hyde Barker Travel in


Southwell, Nottinghamshire, and RB Collection in Lichfield, Staffordshire, have also spoken out about how time- consuming and difficult it can be to fight chargebacks initiated by clients when refunds were due to be paid. Nick Edwards, managing


director at Snow Finders, wrote to Abta asking for support for agents


The situation is


simply untenable for retail agencies to be faced with such onerous financial penalties


burdened by extra costs, stress and red tape. “Some agencies might not survive,” he said. Edwards called on Abta for


“urgent assistance”, adding: “The situation is simply untenable for retail agencies to be faced with such onerous financial penalties and in effect be the risk takers for the tour operators, suppliers and principals.” Before the pandemic, he had


received one chargeback in 20 years –


now he is “inundated” with 17, totalling almost £35,000. An Abta spokesman accepted the


chargebacks issue is “unfortunately continuing” among retailers, and that Abta “has been doing all it can”. He said Abta has put pressure


on the Civil Aviation Authority to enforce refund obligations on airlines; making tour operators pay refunds as soon as possible; and introduced Refund Credit Notes as an alternative. Abta also said it had “made


clear” to government that specific support may be required “to assist fundamentally healthy companies through this crisis” and called on credit card firms to be “pragmatic” because “it is not in their commercial interest for travel companies to fail”.


Abta reveals date of one-day virtual Travel Convention


Ian Taylor


Abta has confirmed this year’s Travel Convention will be a virtual one-day event on October 14, hosted by ITV News royal editor Chris Ship for the fifth time. Dnata Travel Europe chief


executive John Bevan is among the first speakers confirmed, along with World Travel & Tourism Council president and chief executive Gloria Guevara and Dr Paul Redmond, Liverpool University director of student experience who has


6 13 AUGUST 2020


enlivened the last two conventions. KPMG chief economist Yael Selfin


will give an economic overview as the convention once more examines ‘our world, our sector and your business’ in light of this year’s theme – ‘Rebuilding Confidence in Travel’. Business sessions will be


broadcast from a studio in central London and Abta promises a range of specialist workshops, networking and one-to-one meetings via a virtual portal. All sessions and workshops will be available live and on demand for up to a month after the event.


Chris Ship will host the event again this year


There will be sessions on


restoring confidence in travel and how consumer expectations are changing as a result of the pandemic. There will also be insights on how to operate in a world with Covid-19 including how destinations are encouraging a safe return of travel. The sessions on ‘your business’


will focus on sustainability, diversity and inclusion, digital transformation and new ways of working – with the usual mix of interviews and panel discussions with industry leaders. The full speaker line-up will be


released in September. Registration is via The Travel Convention website, with an early bird fee of £79 for Abta members and partners and £199 for non-members until September 1. Abta chief executive Mark Tanzer


said: “We took the difficult decision to postpone this year’s convention in Marrakech but look forward to welcoming delegates there next year. It has never been more important to come together to discuss the future of travel and how we rebuild confidence


in customers.” i Register at thetravelconvention.com


travelweekly.co.uk


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