Flight Centre has introduced caps on cancellation fees, following criticism from customers who had to axe bookings because of the coronavirus

Flight Centre Store in Paddington, Sydney
  • Flight Centre has introduced a cap on its flight cancellation fees after complaints from its customers.
  • The company previously charged a $300 fee if a customer wanted a refund for a flight cancellation.
  • Now Flight Centre has introduced a $600 cap on international flights and a $100 cap on domestic flights – regardless of how many people are on the booking.
  • Visit Business Insider Australia’s homepage for more stories.

Flight Centre has changed its flight cancellation policy following a slew of complaints from customers.

The company previously charged a $300 fee per person if they wanted a refund on a cancelled flight. This garnered criticism from several customers forced to end their trips due to the coronavirus-related travel restrictions.

In some cases the fee meant some customers had their refund reduced to nothing, the Sydney Morning Herald reported.

The SMH reported the case of Adam Gelzer, who put a $600 deposit on a cruise trip for him and his wife. He was given the option of either a travel credit or a $600 refund. But with the cancellation fee of $300 per person, that refund would go down to zero. Gelzer also considered a class action suit against the company.

Now Flight Centre has capped its flight cancellation fee to $600 for any international booking and $100 for domestic flights, which used to be $50 per person. These are both capped regardless of how many people are on the booking.

Flight Centre noted on its website that the fees are charged for those who want a refund on their booking.

Customers can also choose to keep the money as a credit, which will be valid until at least 31 December 2021. “If at that time you are unable to use the credit and choose to have your money refunded, we will gladly action this, and no fees will be charged,” the company said on its website.

And these new changes apply to all bookings affected by coronavirus restrictions even if you’ve already got your refund, but they could take up to 12 weeks.

“If under these new fees you are entitled to a further refund, the refunds team will be in contact with you when they get to your booking.”

Flight Centre has struggled amid the coronavirus pandemic

In March, Flight Centre announced the closure of 100 of its stores because of uncertainty around the coronavirus pandemic.

The company stood down a “considerable amount” of its workers indefinitely, with its directors also forgoing 30% of their fees for the rest of the financial year.

Had an issue with your Flight Centre booking? Contact Sharon Masige: [email protected]

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