Thomas Cook In Financial Trouble

[pintor 32]

Simon Calder ,the travel expert reported the radio last night that Thomas Cook holidaymakers were being locked in their hotels until they paid in full for their holidays, apparently they are sending reps over to try and rectify the problem 

[Lockdoctor 10]

The problem for the hotel owners is that Thomas Cook pay their bill for accommodation about two months after the holidaymakers have stayed in hotels. This means Thomas Cook still owe huge sums of money from the peak holiday season while they have a cash flow problem which isn't going to improve.  Holidaymakers are protected if Thomas Cook goes bust  but hotel owners and other businesses are not protected.

[Baron99 778]

1 hour ago, pintor said:

Simon Calder ,the travel expert reported the radio last night that Thomas Cook holidaymakers were being locked in their hotels until they paid in full for their holidays, apparently they are sending reps over to try and rectify the problem 

Apparently those in question were in Tunisia. They were held for about 4 hours with the hoteliers demanding thousands from each holidaymaker.  

 

Rightly the holidaymakers refused to hand over any extra money.  They've already paid.  They went on their way to the airport. 

[Chez2 10]

I've been watching with interest; I have two flights booked with them next year. Flight only are not covered by ATOL, not the one I booked anyway. I made sure I used my credit card to purchase the flight for that reason.  I should get my money back from the credit card company if I don't from the insurance. Its awful news for those being held in accommodation or those who have booked something that can't easily be arranged eg a wedding abroad due to take place soon. 

[nikki-red 307]

Thomas Cook will be releasing a statement on the 30th regarding refunds etc.

[willman 10]

The problem and i know its disastrous for travellers BUT they've often taken a cheaper option to book travel and now someone else has to dig them out of a hole and bring them home free of charge. Perhaps if they'd booked ATOL package holidays Thomas Cook and Monarch would still be solvent.

 

The chargeback on flights and holidays according to the guy on the news isn't cast in stone,its a voluntary scheme.

[Hadron 10]

When they were bailed out nearly a year ago for 900M I thought they would go to the wall then, but people have kept buying their holidays.  Jet 2 in Leeds have expanded massive over the last year so it could be where people are placing their confidence.

When Monarch  Airlines went bust it wasn't long before people could re-book almost on the same flights and hotels.  

 

Edited September 23, 2019 by Hadron

[Obelix 11]

2 hours ago, willman said:

The problem and i know its disastrous for travellers BUT they've often taken a cheaper option to book travel and now someone else has to dig them out of a hole and bring them home free of charge. Perhaps if they'd booked ATOL package holidays Thomas Cook and Monarch would still be solvent.

 

The chargeback on flights and holidays according to the guy on the news isn't cast in stone,its a voluntary scheme.

It's not the fault of the people booking flights only. IF Thomas Cook are losing money on flights only then they shouldnt be selling them..

The reason they failed was they havea  huge network of shops that no one really uses to the extent they can be justified. Holiday brochures? Whats that about - the world went online twenty years ago....

[geared 302]

On 22/09/2019 at 10:15, Baron99 said:

Apparently those in question were in Tunisia. They were held for about 4 hours with the hoteliers demanding thousands from each holidaymaker.  

 

Rightly the holidaymakers refused to hand over any extra money.  They've already paid.  They went on their way to the airport. 

 

Reports coming in that it's happening in other countries as well, I've head people in Spain have faced the same thing.

[nightrider 13]

I'm still confused about why the tax payer is on the hook - some have mentioned ATOL insurance funded by the travel industry should cover costs, yet I keep hearing about the tax payer paying to repatriate people?

[Obelix 11]

35 minutes ago, nightrider said:

I'm still confused about why the tax payer is on the hook - some have mentioned ATOL insurance funded by the travel industry should cover costs, yet I keep hearing about the tax payer paying to repatriate people?

Atol is covered by the CAA which is funded from public money. The "atol" funds at the moment are about £170m. It'll cost about £600m to get everyone back. Taxpayer picks up the rest...

[L00b 441]

9 minutes ago, Obelix said:

Atol is covered by the CAA which is funded from public money. The "atol" funds at the moment are about £170m. It'll cost about £600m to get everyone back. Taxpayer picks up the rest...

How many red buses is that, then?