As expected today I received a flurry of emails from consumers worrying about their holiday or concerns about booking a holiday with Europe’s second biggest tour operator, Thomas Cook, who are reportedly asking banks for an extra £100m to add to a debt that was £900m in September this year.
Thomas Cook financial troubles: don’t panic!
Tough times for travel industry
Tour operators, like many travel companies and airlines, have suffered from the political unrest in countries like Egypt and Tunisia, plus the tough economic climate has meant more consumers are either shopping around for the best flight and hotel price or holidaying at home.
My advice for travel consumers
Do not panic, package holidays booked with Thomas Cook are covered under Air Travel Organisers Licensing (ATOL) so if the worst happens you should receive support abroad or if you’ve not travelled, will receive a full refund.
Consumers who book flights and accommodation separately might not have the same protection. This is why it is advisable in this scenario to book with a credit card or VISA debit card – also speak with your insurance company to see if your policy includes cover for scheduled airline financial failure.
Questions about Thomas Cook financial troubles
Apologies for the short post, but there’s not much more to say other than, if the situation changes I will update this post and feel free to ask any questions in the comments section below, and I will try my best to respond.