Zoom airline goes bust

[GlasgowGirl]

As has been widely reported, Zoom has gone bust, leaving up to 45,000 customers with worthless air tickets.

This got me wondering - given that it's fairly likely that more airlines will go the same way, due to the economic crisis, what can we do to protect ourselves when booking flights? I think I'm right in saying that if you book with a credit card, this gives you added protection as your credit company will compensate you if you don't receive the goods you paid for - can anyone confirm this?

I also read that travel agents are saying that people should book through them as you may then be covered by their insurance in situations like these. However, the downside is that travel agents tend to be more expensive than booking directly.

Does anyone have any other thoughts, and is anyone affected by the collapse of Zoom?

[Tony]

Hi GG,

Good question, if you have paid using a credit card then you will have additional protection - the transaction has to be more than £100 and less than £30,000 (not sure who would send that much on a holiday). See:- http://whatconsumer.co.uk/consumer-c...ual-liability/

I guess that if you have just paid and the company has just gone bust then you may be able to reverse the transaction. Not sure about the credit card or banks policy on this, or whether they charge, you can definitely cancel a cheque.

If you have your own travel insurance you may also be covered. You need to check the terms carefully. I know that with my annual travel insurance policy I have to be away for at least 2 nights.

Finally, if you have booked from an ABTA member then they will arrange alternative travel. Most people don't book budget flights in this way though.

Many more budget airlines will go bust in the near future. I believe Ryanair has put half of its fleet into storage.

Tony

[katealpha]

I've just been on holiday with Ryanair and there was that whole thing a few weeks ago saying they would not honour bookings made by third-parties. I'd booked direct so was pretty glad about that.

I would hope that ABTA would offer some protection but I don't know what the real situation is.