Travel Trade Calls for Balance Due Date Extension

Agents call for balance due dates to be pushed back to stop cancellations

Suppliers are coming under pressure from agents to push back their balance deadlines to prevent customers cancelling their holidays.

Amid growing concern and uncertainty about the impact of coronavirus, agents fear that with balances due in the next few weeks for summer holidays, consumers will chose to forgo their deposits and cancel their trips.

Agents complain that low deposits are compounding the situation.

Vim Vithaldas, Chief Commercial officer for The Travel Network Group, said it has gone out to its business partners to ask them to delay their balance due dates until one or two weeks before departure.

“On the whole we’re getting a positive feedback and I’m hopeful that the vast majority will come to the party,” he said.

“After all, a slight pinch in cash flow is better than not getting a booking at all.”

But Vithaldas said inflexibility by airlines was making it difficult for some suppliers to commit.

“Certainly some of the suppliers are saying we’d love to help and we’re doing all we can but they’re tied to the airlines.”

Martyn Sumners, Executive Director of AITO, said its members were also being held back by the lack of flexibility of airlines.

“Operators are doing everything they can to see where it’s possible to postpone trips without cancellation charges. The impression I’m getting at the moment is that suppliers – hotels, ground handlers – are prepared to be flexible but airlines are being less flexible. They are so powerful,”

He said it was perhaps time for governments to put pressure on the airlines to be more accommodating to customers.

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