View Full Version : Can I talk about TA cancellation fees?
Southall
January 22nd, 2008, 11:42 AM
I know discussion of TA's is limited on CC (I understand why), but I have a generic type question. I was in the process of booking a fall Nordam cruise with the online TA I have used for my last few cruises. I used them because they had the best price I could find. However, I discovered in their "fine print" that they assessed a $100 per cabin cancellation fee (in addition to HAL's charges) if the cruise is cancelled more than 72 hours after booking. I have only had to cancel once out of our dozen or so cruises, but that cancellation fee has me looking for another TA.
What is a reasonable cancellation fee? How much do TA's normally charge?
lvtotrvl1
January 22nd, 2008, 11:45 AM
As a TA, I would look for one that does not charge a cancellation fee outside the cruiseline fee. My company does have one, but it is my option on whether to enforce it. I would rather have a repeat client than charge a fee.
YXU AC*SE
January 22nd, 2008, 11:47 AM
If you have an established relationship with a TA or agency, likely none. I think fees have been instituted to keep people from getting TA's to do all their investigative leg work for the booking, and then have people re-book as 'me too' bookings directly copying what the TA has done often at a lower price (minus commission(s) etc.)
In Ontario, 75 - 125$ per booking is the norm
Scott.
mafig
January 22nd, 2008, 11:52 AM
It is getting harder and harder to find one who doesn't.
However, if I'm booking in advance I will search for TAs that do not charge this fee, even if I'm paying slightly more for a TA that does not charge.
When I was looking to book Eurodam I got quotes from quite a few TAs. However, when I called them asking about any fees, my head started to spin. Not only cancellation fees, but fees to change cabins, fees to upgrade (even if that meant more TA commission), fees to adjust pricing if the cruiseline lowered the price. Also some stated that there was a possibility to taking away their OBC if the price went down.:eek:
Fortunately, there are still some who do not charge any fees.:) ;)
jhannah
January 22nd, 2008, 12:11 PM
Fees are becoming more prevalent. Since "we" demand the most lowball price we can get, agencies are trimming their margins as best they can. If they have to put more than the average amount of work into a booking, they must charge a fee to compensate for the additional time. It's sort of pay-as-you-go.
jjeffjb
January 22nd, 2008, 12:22 PM
When I book a cruise I ask that the TA cancellation fee to be waived if I cancel. I get this in writing. If the TA refuses, I find a different agency. They will almost always waive the fee if they know they will otherwise lose the booking.
Tricia724
January 22nd, 2008, 12:47 PM
I think the cancellation fee is something that has to be considered as part of the evaluation of the cruise cost.
If, for example, you find a TA that can offer a savings of $300-400 over their closest competitor, perhaps you may want to consider a $50 cancellation fee. On a longer, higher-priced cruise where the savings are substantially higher, a $75-100 cancellation fee may be worth the risk. Everyone has different comfort and risk levels.
I continually look at online websites, and the first thing I do is dig around until I find their list of cancellation fees. Some manage to avoid putting it on the website, so we always ask before getting a quote. There is one agency that consistently has a lower price than most others.....BUT they have the most outlandish fees out there. If you make a name change, a cabin change, a rebooking for a lower price, switch to another cruise.....you pay. If you have to cancel, the cancellation fee is a percentage of the cost of the cruise. On one cruise we were considering, that would have meant over $500.:eek: It really pays to investigate before you make a booking. Sometimes the savings does not outweigh the risk.
I think some of the agencies have instituted a fee because there are so many people that waste so much of the agent's time and then turn around and either cancel or move to another agency for a $20 or $30 lower price. Most of them will be reasonable if you have a track record or rebook another cruise with them.
For myself, I worry less about cruise cancellation fees than I do about airline fees. That $100 per ticket penalty can hurt if you have to rebook.
JimVrhovac
January 22nd, 2008, 12:48 PM
Most TA's have them but once you have established a good repor with your TA they can fight to have it not charged to you.
We have used the same TA for several years. Her prices are not always the cheapest but her service is excellant. I would rather have good service when we need it than save $50.00 on a booking.
Remember the TA and their company has to make a profir to stay in business. The cheapest price is not always the best deal.
Our TA knows we tavel HAL almost exclusively but there was a great dean on Princess Jan 2009 to Antartica and she called us about it and we cancelled a HAL cruise and booked that one, There was no cancellation fee charged....
Ruth & Jim
hammybee
January 22nd, 2008, 01:07 PM
However, I discovered in their "fine print" that they assessed a $100 per cabin cancellation fee (in addition to HAL's charges) if the cruise is cancelled more than 72 hours after booking.
Well first off, HAL does not charge a cancellation fee, if the cruise is cancelled prior to final payment date. I suspect the language you are reading in boiler-plate, because some cruise lines do charge a fee.
From a business perspective, I understand the need for a charge. The agent provided a service and the agency is trying to cover their overhead when someone cancels. I think it is going to become increasingly common and non-negotiable, unless history is built with the agency.
There are still agencies who do not charge a fee and there are agencies who charge an upfront, non-refundable service fee.
I think it important to remember that the lowest cost cruise seller is not necessarily going to bring the most experience to the transaction nor provide the best service/advice.
Krazy Kruizers
January 22nd, 2008, 01:29 PM
The agency where we go to began charging concellation fees a couple of years ago.
But we have used the same TA for over 20 years and she knows that when we cancel a cruise, we will be booking another one within a few days. So we are never charged a fee.
Jade13
January 22nd, 2008, 02:37 PM
I know discussion of TA's is limited on CC (I understand why), but I have a generic type question. I was in the process of booking a fall Nordam cruise with the online TA I have used for my last few cruises. I used them because they had the best price I could find. However, I discovered in their "fine print" that they assessed a $100 per cabin cancellation fee (in addition to HAL's charges) if the cruise is cancelled more than 72 hours after booking. I have only had to cancel once out of our dozen or so cruises, but that cancellation fee has me looking for another TA.
What is a reasonable cancellation fee? How much do TA's normally charge?
The one that I use when I do not book direct charges $75.00pp. They will not charge the fee if you book another cruise with them (cancel one but replace it with another).
They wanted to charge me a $50.00pp fee when a fare went down by $20.00pp, so I wouldn't have gotten it (Celebrity, I have never seen my fare decrease on HAL), but they did wave the fee when I reminded them of how much I had booked with them. If the new fare would have saved me money anyway it would have been somewhat reasonable on their part as it was after final payment (Celebrity will often give a refund after final, which is unheard of).
Jade13
January 22nd, 2008, 02:47 PM
[quote=Tricia724;13086909]
There is one agency that consistently has a lower price than most others.....BUT they have the most outlandish fees out there. If you make a name change, a cabin change, a rebooking for a lower price, switch to another cruise.....you pay. If you have to cancel, the cancellation fee is a percentage of the cost of the cruise. On one cruise we were considering, that would have meant over $500.:eek:
quote]
Wow, I have no idea which agency that is, but a percentage of the cruise fare? They must deal with a lot of nasty calls....
Also, I just looked up one internet agency that someone had e-mailed me about months ago (I think I can say they are in NY), I have never used them, but they state, "We have no agency cancellation fees of any kind". Interestingly I checked on a cruise I was thinking of transfering and they are slightly less than the other online that I have used.
Jade13
January 22nd, 2008, 03:02 PM
Princess Jan 2009 to Antartica and she called us about it and we cancelled a HAL cruise and booked that one, There was no cancellation fee charged....
Ruth & Jim
I can't wait to hear about your packing on that one? Do you have to fly into BA or Santiago?
gizmo
January 22nd, 2008, 03:07 PM
I know discussion of TA's is limited on CC (I understand why), but I have a generic type question. I was in the process of booking a fall Nordam cruise with the online TA I have used for my last few cruises. I used them because they had the best price I could find. However, I discovered in their "fine print" that they assessed a $100 per cabin cancellation fee (in addition to HAL's charges) if the cruise is cancelled more than 72 hours after booking. I have only had to cancel once out of our dozen or so cruises, but that cancellation fee has me looking for another TA.
What is a reasonable cancellation fee? How much do TA's normally charge?
Now days many TA's have the cancellation charge. I have seen 100.00 per CABIN listed on many quotes that I have requested from different TA's.
Another charge that has cropped up is a "Change Fee". I have seen 25.00 listed.
Many TA's that did not have a cancellation fee a couple years ago do now.
JimVrhovac
January 22nd, 2008, 08:50 PM
The 16 day is on the Princess Star Pincess 1/17/2009.
Leave from Buenps Aaries, to Uraguay, Falkland Islands, 4 days Antartic Peninsula, cape horn ghile, ushuaia argentina, punta arenas chile, sruise fijorda and end up in Santiago Chile.
We had AD (balcony mini suite cabin) she tells us they are a little larger than typical verandah cabin on R or S class HAL ships.
Total cost including air fare, port charges, cruise insurance, etc is less then $10,000 for two people.
That sunds good to us and we have such trust in her that we booked it and did not research prices from any other agents.
She knows how I hate to deal with airlines so she is doing all the travel arrangements for us as she does every time we fly. Does she tack anything on? I don't know and don't care as long as everyhing is done right.
How will we pack on this one. They question should be What is the cost for extra luggage.
Going to San Diego in Feb and we have it down to 10 suitcases and are starting to argue about what cannot go...
Hope this answers your question....
Ruth & Jim
Jade13
January 22nd, 2008, 09:06 PM
Going to San Diego in Feb and we have it down to 10 suitcases and are starting to argue about what cannot go...
Hope this answers your question....
Ruth & Jim
Jim,
On a 10 night cruise do you actually wear 10 suitcases full of clothes? It won't help with the weight, but if you roll up the cotton stuff you can fit a lot more. We got over 50 items into the HAL all you can stuff laundry bag (11 pairs of socks but we still had over 40 other itens, mostly T shirts and several pair of jeans).
Pete Jackson
January 22nd, 2008, 09:11 PM
Does anybody in or formerly in the industry know exactly when the travel agents are paid their commissions? For example, John and Jane Doe book a cruise thru a travel agent, pay the full $10,000 fare, but then need to cancel inside the full penalty period so they get no refund.:( They have no insurance.:( Does the cruise line get all the money and the TA none? Doesn't seem right since the cruise line may even be able to resell the cabin. If the TA does get to keep their commision, why would they need to charge a cancellation fee?:confused:
Now lets suppose they have insurance,:D which pays John and Jane their cruise fare back. The cruise line still keeps the money and can resell the cabin as before. Does the TA get a commission in that case.
Now suppose John and Jane don't cancel at all, and they have no insurance. They just don't show up for the cruise :eek: (they couldn't decide if her mother was too sick for them to cruise). Since there was no cancellation, would there still be a cancellation fee? Inquiring minds need to know...:)
hammybee
January 22nd, 2008, 09:41 PM
Does anybody in or formerly in the industry know exactly when the travel agents are paid their commissions? For example, John and Jane Doe book a cruise thru a travel agent, pay the full $10,000 fare, but then need to cancel inside the full penalty period so they get no refund.:( They have no insurance.:( Does the cruise line get all the money and the TA none? Doesn't seem right since the cruise line may even be able to resell the cabin. If the TA does get to keep their commision, why would they need to charge a cancellation fee?:confused:
Now lets suppose they have insurance,:D which pays John and Jane their cruise fare back. The cruise line still keeps the money and can resell the cabin as before. Does the TA get a commission in that case.
Now suppose John and Jane don't cancel at all, and they have no insurance. They just don't show up for the cruise :eek: (they couldn't decide if her mother was too sick for them to cruise). Since there was no cancellation, would there still be a cancellation fee? Inquiring minds need to know...:)
I am not in the business but I have posed similar questions to those who are.
A booking is not a sale. Travel Agencies do not get paid until the cruise is sold, final payment date, at the earliest, sail date at the latest.
I do not know the answer about what happens to the commission if the cancellation occurs after final payment date.
I am thinking the cancellation fee is primarily there to address the situation whereby the cruise is cancelled before final payment date, as this is relatively common. And in those situations, the Travel Agency gets nothing for their time and effort. I think if we knew the number of bookings cancelled by passengers, before final payment date, we would be blown away.
hammybee
January 22nd, 2008, 09:44 PM
Jim,
On a 10 night cruise do you actually wear 10 suitcases full of clothes? It won't help with the weight, but if you roll up the cotton stuff you can fit a lot more. We got over 50 items into the HAL all you can stuff laundry bag (11 pairs of socks but we still had over 40 other itens, mostly T shirts and several pair of jeans).
Jim was career military. My guess is that Jim could sail with one suitcase.
JimVrhovac
January 22nd, 2008, 09:51 PM
Have you ever read one of our packing threads..
We do them some of the time prior to a cruise.
Got to remember it takes at least four suitcases just to pack the slippers then Ruth has her cow and cat pillows, and the 6 extension cords, the coffee maker, the bleander and mixes, etc...
Adds up fast...
Ruth & Jim
YXU AC*SE
January 22nd, 2008, 11:44 PM
Booking direct with the cruise line would be the best way to go to avoid those cancellation fees imposed by TA's. If any TA does offer a better deal you can always move the booking to the TA just before the last payment date.
I am not trying to point fingers, but it's precisely the above offer-surfing consumer behaviour that has pushed the industry into cancellation fees. That, and consumer pressure to keep per diems down which consequently has depressed the commission values that are paid to TAs, so they can no longer afford to simply absorb the cost of a melted booking.
Lex III: Actioni contrariam semper et æqualem esse reactionem: sive corporum duorum actiones in se mutuo semper esse æquales et in partes contrarias dirigi.
Scott.
gizmo
January 23rd, 2008, 06:54 AM
I would never book a cruise with any TA that charged a cancellation fee. If all of them do then it would look like I have booked my last cruise through a TA. Booking direct with the cruise line would be the best way to go to avoid those cancellation fees imposed by TA's. If any TA does offer a better deal you can always move the booking to the TA just before the last payment date. I could see some times a TA may spend a long time with a prospective customer but for me I always have done my own research and know what ship I want to take and what the going internet rate is for the cruise, so it only takes a minute or so for me to book a cruise and it is hardly worth opening my self up to a $100 pp cancellation fee from a TA.
It is no different than spending a lot of time with a new car salesman and then buying a car from a different dealership. Now, should the first salsesman charge you a fee because they spent a lot of time with you and you did not buy a car from them? I don't think too many would go for that!
I see your point, but as things stand today, I would never book with the cruise line. I can get my cruise much cheaper using a TA. Why would I pay $500+ to avoid a possible cancellation fee of $100 ? This is a no brainer.
Jade13
January 23rd, 2008, 11:44 AM
I am not in the business but I have posed similar questions to those who are.
A booking is not a sale. Travel Agencies do not get paid until the cruise is sold, final payment date, at the earliest, sail date at the latest.
I do not know the answer about what happens to the commission if the cancellation occurs after final payment date.
I am thinking the cancellation fee is primarily there to address the situation whereby the cruise is cancelled before final payment date, as this is relatively common. And in those situations, the Travel Agency gets nothing for their time and effort. I think if we knew the number of bookings cancelled by passengers, before final payment date, we would be blown away.
I had to pay a cancelation fee to an agent when my daughter (3rd pax) canceled last year 31 days out (after final). I did ask them politely once if they would waive it as we were still taking the stateroom. When they would not I did not ask again. I was just so happy that 1) I purchased HAL insurance and received 95% back on my credit card minus the insurance cost, 2) was still ahead with the agent by $1,400 over HAL's price even with their $75.00 fee. Not to mention received $300.00 OBC and a free excursion that my DH took. (Can't seem to find that savings this year in Europe), and 3) that I had used FFmiles and US Airways waived the $100.00 re-deposit fee on her miles.
Also, HAL was off on my reimbursement by about $27.00 (confusion because cancelation was on a Sunday and Monday was 30 days), and I was glad to have the TA chase after the difference which I eventually got a month later.
Jade13
January 23rd, 2008, 11:50 AM
I see your point, but as things stand today, I would never book with the cruise line. I can get my cruise much cheaper using a TA. Why would I pay $500+ to avoid a possible cancellation fee of $100 ? This is a no brainer.
I agree, BUT, I would consider not using a TA with a cancelation fee on a Celebrity cruise, especially a cheap Carribean. The reason is that they do not allow discounting. They do allow pre-paid gratuites or OBC but these are more likely for a Verandah or more expensive stateroom. Besides, Celebrity refunds money if your cruise fare goes down after final. They just agree to a $100.00 credit refund on an inside cabin for a cruise less than a month away. Now I have another booked with a TA. That price went down but I think they will want $50.00pp change fee to give me the $50.00pp reduction. So, it would have been better if I had booked that statroom direct. Just an example where it might be to ones benefit to go directly through the cruiseline.
Jade13
January 23rd, 2008, 11:50 AM
double post
FLACRUISER99
January 23rd, 2008, 12:12 PM
I would never book a cruise with any TA that charged a cancellation fee. If all of them do then it would look like I have booked my last cruise through a TA. Booking direct with the cruise line would be the best way to go to avoid those cancellation fees imposed by TA's. If any TA does offer a better deal you can always move the booking to the TA just before the last payment date. I could see some times a TA may spend a long time with a prospective customer but for me I always have done my own research and know what ship I want to take and what the going internet rate is for the cruise, so it only takes a minute or so for me to book a cruise and it is hardly worth opening my self up to a $100 pp cancellation fee from a TA.I agree you can always find someone that can match a price and have No cancellation fee.
Jade13
January 23rd, 2008, 07:56 PM
Have you ever read one of our packing threads..
We do them some of the time prior to a cruise.
Got to remember it takes at least four suitcases just to pack the slippers then Ruth has her cow and cat pillows, and the 6 extension cords, the coffee maker, the bleander and mixes, etc...
Adds up fast...
Ruth & Jim
I saw one of your posts with about 13 suitcases/boxes. I must have missed the info on 4 suitcases with slippers. Does Ruth wear all of them on a 7 night cruise or are they gifts or something?
gizmo
January 24th, 2008, 07:45 AM
I agree, BUT, I would consider not using a TA with a cancelation fee on a Celebrity cruise, especially a cheap Carribean. The reason is that they do not allow discounting. They do allow pre-paid gratuites or OBC but these are more likely for a Verandah or more expensive stateroom. Besides, Celebrity refunds money if your cruise fare goes down after final. They just agree to a $100.00 credit refund on an inside cabin for a cruise less than a month away. Now I have another booked with a TA. That price went down but I think they will want $50.00pp change fee to give me the $50.00pp reduction. So, it would have been better if I had booked that statroom direct. Just an example where it might be to ones benefit to go directly through the cruiseline.
I agree with this. Celebrity and RCI do not discount. The only thing you may get by using a TA is some kind of perk. Booking with the X or RCI to avoid a cancellation fee is a smart move.