ABTA pulled out of consumer protection last year, so don’t automatically assume you’ll be protected if you book through a travel agent who has an ABTA sign on their door, in the event that they may go bust, or run off with your money without booking your holiday.

In addition, ABTA has limited the amount it will pay out if a tour operator goes bust (companies that put the package together), although if this does happen, you should still be protected through the operator’s ATOL.

Agents (and niche operators) who are members of the TTA (Travel Trust Association) offer some of the best, if not the best, protection around, so I would recommend going with them.

Excellent information Darren.

My nephew was going to book a holiday in Ibiza with a local travel company, and I followed your advice in a previous article about using the search engines to our benefit, and found a lot of bad comments about this company from holidaymakers.

Excelent Advice from Darren and especially Lisa Hamilton.

As a long established ( nearly 12 years) member of the Travel Trust Association, ATOL Holders and also an AITO ( Association of Independent Tour Operators) specialist Travel Agency we have just the pedigree that Darren looked for when booking his holiday to Kos last Autumn.

Lisa made an extremely good Point with regards to ABTA, everybody has heard about ABTA, but not everybody understands how much cover is given.

Perhaps that could be your next piece of research Darren ?

Thanks Lee.

Is there a resource somewhere of all of the different travel associations in the UK?

Or are ATOL, ABTA, TTA, AITO the only ones for me to concentrate on?

Thanks Lisa, I wasn’t aware that ABTA pulled out of consumer protection last year, and that the agencies are limited to the amount they are covered for. Is there somewhere were consumers can find this information out?

Not surprisingly, ABTA has not publicised the fact that it is no longer involved in customer protection!
ABTA has been seen as travel’s ‘consumer champion’ for so long, and most people still think that they are covered.
While the story has been covered in the travel trade press, the consumer press has been slow to pick it up and when they have mentioned it, it is only briefly.
Sadly, it will take a disaster/crisis to make this headline news (in the same way as Farepack, the Christmas savings-plan company that went bust last year was splashed all over the newspapers).

Surely ABTA can’t get away with that?

You are correct that consumers see ABTA as the ‘consumer champion’ and as a consumer it’s been fed into our minds via the media that booking a holiday through an ABTA bonded company is a must.

So, let me get this right.

I book a flight with Thomas Cook (like we have just done) and if the travel agent was to go bust, ABTA wouldn’t pay out? If they won’t who would?

From what Lee and Lisa are staying, that looks like the case Rohan. Alot of people book holidays with agents that are bonded with ABTA because of that reason alone, that they are ABTA bonded.

If you’ve booked a flight with a charter operator, then you will be protected under the Civil Aviation Authority’s ATOL.
The whole issue of consumer protection with regards to holidays is very fragmented and very confusing.
ABTA’s protection was there to pay out, for example, when a dodgy agent took your money for the holiday, didn’t pass it on to the tour operator, then the agent went bust.

Thanks for all the explanations Lisa.

I’m wondering then what is the point of ABTA, what role do they play in the industry for consumers if the element of protection is being reduced or no longer exists?

Im thinking the same Dazza!!!

This blog is great for finding information out.

Guys

ABTA has not pulled out of consumer protection. What it has said is if someone commits a fraud it won’t pay. This was manly due to the millions it suddenly found it self paying when companies pretend to be members. It is worth noting that to the best of my knowledge no organisation pays out if someone pretends to be a member and their not. For an easy guide see this link http://www.abta.com/whatyouneedtoknow.shtml.

It also now limits the amount it pays to tour operator member when a travel agent member goes bust. This does not affect consumers, just tour operator. If you for instance book a ferry and hotel with an ABTA member and they go bust, ABTA will refund you if the trip is not provided.

ABTA also has a set of rules that members must follow dealing with everything from staff to how long it takes to reply to a letter.

Hope this helps to clear it up a bit.

Thanks Nicholas! It’s amazing how communication can confuse!

Holiday scams are a worry for everyone, let’s hope that the what happened last year doesn’t happen again and advise like this will help people identify scams so that they can reported.

Can you tell me if European Vacations is a ABAT Bonded regestered company

Hi, can you let me know some more information.

i.e. an address, or if they have a website.

I did a search on http://www.abta.com for European vacations and nothing appeared but they could be registered under another name.

The Telegraph newspaper did an investigation on European Vacations and it seemed they are genuine but it is a way of selling holidays in hotels etc. that are short of bookings and you have to weigh up whether the add-ons this company require are too expensive or not - if you could do just as well or better buying your own holiday through a major tourist company!
Suspect they are selling hols. at quiet periods to fill up hotels and not maybe when would suit yourself.
Wouldl be interested to hear if anything further is known about them as we have been offered a Med.cruise by this company..

Have just turned my thoughts to booking a trip to Orlando and have come across The Travel Designers Ltd. They seem to have the best deal on the hotel I want to go to but quite a long way - this makes me suspicious - almost too good to be true - have you heard of them or know anyone who has used them?

Has anybody booked apartments with Beach.es?

Darren, we have booked an accomodation only holiday through an ABTA bonded company that has gone into administration. Is this covered or does it have to be a package holiday?

I should check this post more often.

Apologies to those I haven’t responded to but Jez, which company is it? ABTA bonded should mean you do not loose out, but I am not convinced with some of the stories that I am hearing.

ABTA will pay out for accommodation only provided the company was bonded with them. Alas, you can now be a member of ABTA and if you are not selling package holidays, which have to be protected by law, ABTA allow companies to arrange alternative methods of protection, which ABTA have no control over. You should check the conditions of the company and see what it says about financial protection. I have to say I cannot recall seeing a recent failure of such a company, unless it was Leisure Connection which ceased trading a few months ago.

Today I had the pleasure of a 15 minute phone call from Florida telling me I had been awarded a 2 week holiday to Florida and the Bahamas. This story was one I had heard 15 years ago which was one of the biggest scams in the UK, ir reached Watchdog and the Daily Mirror. In case you get a similar call, you are offered a 90% discount, no explanation why, but you have to pay £399 immediately. This gives you a voucher to book the holiday at a later date… Don’t touch it with a barge pole, the accommodation is timeshare with bad reviews on tripadvisor and the cruise ship appears to have been built in Scotland in 1955, some luxury that is likely to be. The company is calling itself Travelworld of Florida

Have been offered several holidays with European Vacations but founf the varioue add-ons so confusing and numerous that I concluded I was better off with a High Street agent

Offers included Italy & Switzerland,
Italian Lakes and Mediterranean cruise which appeared to be on ferry between French/Italian islands and mainland. Took none up