VA no longer issuing credits to travelbank (or anywhere else)

[freebo]

I also got the "conditional credit email" - bit of a joke as they owe me several thousand for a flight that was cancelled on me (and under chargeback currently).

Is there any way I can see the amount of "conditional credit" they have assigned to me? I can only guess as the return leg of my flight was cancelled and each leg cost a slightly different amount.

I need to know for insurance purposes (claiming the huge cost of the replacement flight I had to buy to get home).

 

[travel_bug]

I also got the "conditional credit email" - bit of a joke as they owe me several thousand for a flight that was cancelled on me (and under chargeback currently).

Is there any way I can see the amount of "conditional credit" they have assigned to me? I can only guess as the return leg of my flight was cancelled and each leg cost a slightly different amount.

I need to know for insurance purposes (claiming the huge cost of the replacement flight I had to buy to get home).

In that circumstance, I'd say best bet is to call the Guest Centre and just ask. Hopefully there shouldn't be too much of a wait time to speak to someone as the bulk of cancellations have already been processed and the website no longer asks customers specifically not to call.

 

[freebo]

I was on a VA codeshare business class trip to Europe and the return leg was cancelled on me.

I did a chargeback to my Velocity Amex and today (2 months later) VA disputed it saying they'd given me conditional credits, which are no use to me, and I'm out of pocket over $3,000.

Amex has closed the case in their favor immediately although I can re-open it. Has anyone had any joy appealing?

 

[Mexpirate]

VA have now rejected my chargeback on the basis that they gave me conditional credits - this was for a flight which was cancelled by the airline on me (return leg, leaving me stranded and over $3000 out of pocket).

What chances do I have to appeal?

VA have rejected your refund or your CC issuer has rejected it? Big difference, we know VA aren't giving refunds but I see no cause for a chargeback to be declined by the bank and would definitely appeal if that's their response

 

[BCons]

Amex (actually Chubb Insurance) didn't want to know about some fwd VA bookings of ours, made on Velocity platinum, citing their T&C's about merchant insolvency as an out for reimbursement. We will sit on those end July bookings until we see what comes out of the VA refloat.

Point is with VA, they aren't 'insolvent' in the strict sense of the word. instead they went into voluntary admin. Here's what i found in general part of Amex Platinum Edge card T&Cs :

14. the refusal, failure or inability of any person, company or organisation, including but not limited to a travel agent, tour operator, accommodation provider, airline or other carrier, vehicle rental agency or any other travel or tourism services provider to provide services or accommodation due to their Insolvency or the Insolvency of any person, company or organisation they deal with.

You could hang out on this thread for some more knowledgable members to advise re 'voluntary' vs 'insolvent' or perhaps go speak to a solicitor once you hv checked thru Amex terms for your partic card thoroughly ?

I was on a VA codeshare business class trip to Europe and the return leg was cancelled on me.

I did a chargeback to my Velocity Amex and today (2 months later) VA disputed it saying they'd given me conditional credits, which are no use to me, and I'm out of pocket over $3,000.

Amex has closed the case in their favor immediately although I can re-open it. Has anyone had any joy appealing?

 

[Mr Pumblechook]

I was on a VA codeshare business class trip to Europe and the return leg was cancelled on me.

I did a chargeback to my Velocity Amex and today (2 months later) VA disputed it saying they'd given me conditional credits, which are no use to me, and I'm out of pocket over $3,000.

Amex has closed the case in their favor immediately although I can re-open it. Has anyone had any joy appealing?

I'm in an identical situation. The Amex agent told me VA's correspondence was that I was only entitled to a credit, and I could re-dispute but nothing would change.

 

[Mexpirate]

I'm no expert in this area but my understanding is that VA are indeed insolvent, they are not (yet) in liquidation.

From the ACCC website:
Insolvent companies
An insolvent company is one that is unable to pay its debts when they are due. The three most common insolvency procedures are voluntary administration, liquidation and receivership.

Insolvency notices are published in newspapers or can be found on ASIC's insolvency notices website.

As a consumer, it's important to know your rights if a company becomes insolvent and goes into external administration.

When a business goes bust

When a consumer is owed money by an insolvent business, they can check if the business will honour the transaction, register as a creditor, or ask their bank or card provider for a chargeback. Compensation may be an option.

www.accc.gov.au

If you are dealing with Chubb it sounds like you have put in a claim on your CC insurance rather than initiating a dispute/chargeback of the transaction? If so this route should still be open.

Not sure you can claim for a future booking if it hasn't been cancelled by VA, even if you know the flight won't be going ahead

 

[Mexpirate]

Dropping a couple of links here that may be useful for some:

Credit card chargeback specifically listed as a potential remedy for insolvency:

You may be able to seek a chargeback from your card provider when things go wrong. Common situations include:

• when goods or services delivered are not as described;
• when goods or services have not been supplied within the agreed timeframe;
• for duplicated or fraudulent transactions;
• when charges are made without your agreement;
• insolvency.

Credit card chargeback - Consumer Protection - DEMIRS

A chargeback is the reversal of a disputed transaction back to the credit or debit card account. Chargebacks are available: for purchases on credit cards if the buyer uses the ‘credit’ option on a debit or travel card if they select the ‘cheque’ or ‘savings’ option when paying by debit card. or...

www.commerce.wa.gov.au

Specific article discussing cc chargebacks for covid related travel problems:
When to ask for a credit card chargeback
You could try claiming a credit card chargeback if:

• your travel agent, airline, or other travel provider has become insolvent, and your travel insurance doesn't cover insolvency
• you think a travel agent or travel provider is unreasonably withholding your money despite not providing a service (complain directly to them as a first step, but if you're not getting anywhere, ask your bank about a credit card chargeback)

Credit card chargebacks for cancelled travel plans | CHOICE

When and how to charge back credit card payments for airline, travel agents, cruise lines and hotel bookings.

www.choice.com.au

 

[freebo]

I'm in an identical situation. The Amex agent told me VA's correspondence was that I was only entitled to a credit, and I could re-dispute but nothing would change.

Did you re-dispute?

Seems totally unfair, the credit they offer only lasts until they're out of administration, either bust or under new owners (who may or may not honor the credit).

I plan to re-dispute or re-open the case but have an illness to deal with first.

 

[Mr Pumblechook]

Did you re-dispute?

Seems totally unfair, the credit they offer only lasts until they're out of administration, either bust or under new owners (who may or may not honor the credit).

I submitted another request for a refund to VA via their website. In addition to this ~$3000 they also have another ~$2000 of my money legitimately locked up in travel credits, so I'm trying to tread lightly.

Update: Looking at VA's correspondence with Amex, it appears that they justify denying the chargeback by saying that my freedom fare was refundable to the original form of payment or travel credit.

Interesting that they're quoting the fare rules when it was VA who cancelled the flights. And interesting that Amex folded like a cheap suit in favour of the business even when it admitted not providing the purchased product.

 

[freebo]

Interesting that they're quoting the fare rules when it was VA who cancelled the flights. And interesting that Amex folded like a cheap suit in favour of the business even when it admitted not providing the purchased product.

Looks like Amex also folded like a cheap suit onus. They are sending the correspondence by snail mail and refuse to email it to us.

I don't see how, when the flight was cancelled on us (not by us) that they can deny the chargeback, we didn't get the service we paid for, simple as.

 

[Mr Pumblechook]

I don't see how, when the flight was cancelled on us (not by us) that they can deny the chargeback, we didn't get the service we paid for, simple as.

The VA correspondence seems to be a carefully worded mix of fare rules and consumer law, although it doesn't really make sense when you think about it. They say my fare was refundable to the original form of payment or travel credit, and who says that it's me who gets to chose which one VA give? Plus VA have been generous and provided me with a full refund even though a cancellation fee would normally apply. Of course all of that should be irrelevant, because it is VA who cancelled the flight, not me. It seems that, to cover the possibility of me pointing this out to Amex, VA then tack on a claim that the travel credit is a suitable alternative product to what I purchased anyway.

 

[bigbadbyrnes]

Got an email from Westpac for the flight which was changed from: BNE PER return flight, out on Friday, returning Sunday (weekend trip) to flying out Saturday, returning Sunday (cutting time at destination by more than half).

Request for information:

Your response should contain:

• A description of the goods/service purchased
• For merchandise only:
  1. The date the merchandise was received
  2. Details of how the merchandise was received damaged/defective or not as described
  3. The date you returned or attempted to return the merchandise
  4. The method used to return the merchandise i.e. via post or face to face. Please provide evidence e.g. Tracking number or return receipt
• For services only:
  1. Details of how the service purchased was either not as described or defective
  2. The date you cancelled or attempted to cancel the service with the Merchant
• Documentation from an expert or industry professional that supports your dispute about the level of quality or misrepresentation of goods/services received
• A statement that you have attempted to resolve the dispute with the Merchant, the date of your attempt and the Merchant's response
• Copies of all correspondence with the Merchant and any additional supporting documents

I provided all details - except the 'industry professional' who supports my dispute about misrepresentation/quality.

Who says I'm not such a professional?? DYKWIA?!! etc.

Note: This flight was changed (significantly I ague) , not cancelled.


Another flight has been cancelled on me completely - this time purchased on an Amex Platinum card (same as others in this thread).

I have done the first step by asking for a refund for the flight as per number 3 in Consumer Guarantees and Refunds - Understanding your rights | Virgin Australia

I can see people have been generally unsuccessful contacting Amex for a chargeback for a flight cancelled by service provider. Bit shocking. Is there a strategy which will help?

 

[freebo]

I can see people have been generally unsuccessful contacting Amex for a chargeback for a flight cancelled by service provider. Bit shocking. Is there a strategy which will help?

I'd love to know, I'm currently out over $3k for a flight that was cancelled on me with no alternative and no credit and Amex just threw the towel in. I'm currently gathering info to re-open the case with them.

 

[bigbadbyrnes]

I'd love to know, I'm currently out over $3k for a flight that was cancelled on me with no alternative and no credit and Amex just threw the towel in. I'm currently gathering info to re-open the case with them.

Please keep us updated and i hope we can work out the cheat code or the incantation. A purchased service was not provided. End of.

 

[Tamerton]

Can everyone give me an opinion on this offer from Virgin Australia. My daughter living in NZ had $3000 worth of flights booked before Covid and the Virgin collapse to Aus for her family. They have been given an offer of credit for AUS domestic flights which she will find hard to use. Should she take it or wait ? Or is there an alternative?

 

[RAM]

Can everyone give me an opinion on this offer from Virgin Australia. My daughter living in NZ had $3000 worth of flights booked before Covid and the Virgin collapse to Aus for her family. They have been given an offer of credit for AUS domestic flights which she will find hard to use. Should she take it or wait ? Or is there an alternative?

If she paid for them using a credit card then it is probably better to try and get a charge back through the card issuer.

 

[Melburnian1]

Can everyone give me an opinion on this offer from Virgin Australia. My daughter living in NZ had $3000 worth of flights booked before Covid and the Virgin collapse to Aus for her family. They have been given an offer of credit for AUS domestic flights which she will find hard to use. Should she take it or wait ? Or is there an alternative?

I don't know if you'll be successful but your daughter ought press for a refund. If that fails - don't give them too long - get her to request her bank to do a chargeback, but there are strict time limits so speed is of the essence.

What good are travel credits if she cannot use them?

 

[Melburnian1]

On Wednesday 10 June 2020, 'The Australian' has an article titled 'Virgin in dogfight with frequent flyers over slow refunds.'

Here is some:

'Virgin’s administrator has drawn the ire of some of the airline’s top frequent flyers for withholding refunds of taxes and charges paid for reward tickets on flights that never took to the skies.
The Australian understands Virgin’s frequent flyer scheme, known as Velocity, has temporarily paused some refunds after the airline fell into voluntary administration on April 21 with debts of some $7bn.

It is planning to communicate with affected members on the issue shortly.

The airline’s administrator, Deloitte’s Vaughan Strawbridge, last month temporarily paused issuing new travel credits and refunds on paid fares — including of taxes — after the airline plunged into administration in late April.

Instead Mr Strawbridge secured an order from the Federal Court allowing Deloitte to issue conditional credits to passengers who had their flights cancelled. The credits include the value of the fare and the taxes paid for a ticket.

But Virgin told its frequent flyers last month that those who had their frequent flyer tickets cancelled were entitled to receive a full refund of the Velocity Points used towards the affected flight, without being charged a cancellation fee...'

And this, later in the article:

..'The administrators have halted all refunds pending the ‘sale’ of Virgin Australia. They are allowing a ‘conditional credit’ which must be used by 15 August, for domestic travel. However, the entire policy is an absolute joke as you can only use the credit once, and any leftover credit is forfeited. So in effect, they are saying no refunds allowed, even for taxes,’’ the travel agent wrote to their client...'

'The Australian' has excellent aviation coverage. It is one of many reasons why I subscribe to it. AFFers may find it offers good value.

 

[travel_bug]

..'The administrators have halted all refunds pending the ‘sale’ of Virgin Australia. They are allowing a ‘conditional credit’ which must be used by 15 August, for domestic travel. However, the entire policy is an absolute joke as you can only use the credit once, and any leftover credit is forfeited. So in effect, they are saying no refunds allowed, even for taxes,’’ the travel agent wrote to their client...'

That's very interesting as VA social media staff are telling customers that the entire amount of the credit does not need to be used at once and any residual will be kept as another conditional credit. Unless of course it's a third party booking and the TA place their own extra terms and conditions onto the use.