When it comes to planning that special holiday, most travel agents provide an excellent service but it pays to take care choosing the right agent.

The Travel Agents Act 1987 requires that travel agents include their licence number on all print advertising or at least the licence number of one of the travel agents in a partnership.

In the promotion of travel and travel packages, suppliers are bound by the same rules of advertising as general retailers. These generally state that a supplier should not:

• mislead or deceive you
• make false or misleading claims about travel services.

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A person who conducts the business of a travel agent (selling tickets, or arranging or making available for a person rights of passage on a conveyance) is required to hold a travel agent licence.  Some tour operators may also require a licence. For details of obtaining a licence please refer to the Business Licence Information Service (BLIS) website.

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Feel free to shop around to find the deal that suits you best. Here are some tips to help you select a travel agent:

• Make sure the agent is licensed. Look for the large green and gold Licensed Agent logo displayed on the premises. You can also ring NSW Fair Trading on 9619 8700 to find out if the agent is licensed.
• Talk to other travellers about their experiences with agents.
• Check if the agent is affiliated with a chain or airline. An agent may offer discounts for an affiliated chain or airline that you prefer. However, you could miss out on opportunities or deals from companies they do not deal with.
• Find out if there are additional costs. Some agents may charge you for additional services such as couriers and obtaining visas. Also, some agents may charge a cancellation fee if you decide against the trip.
• Find an agent who will arrange the holiday you want. A good travel agent will listen closely to what you want, make good suggestions and come up with the ideal holiday for you.

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Travel agents in NSW are required by law to provide accurate information to their customers. Travel agents must:

• ensure that their promotional material is not false or misleading
• inform you of any increase in costs or changes as soon as possible
• quote accurate prices; surcharges must also be clear and not hidden
• provide accurate information regarding passports, visas, customs and health requirements.

Feel free to ask plenty of questions, it's your holiday and your money.

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When booking a trip with a travel agent, make sure you confirm all the details of your trip including:

• the standard of accommodation
• the exact location and time of departure
• any extra charges for tours, tickets, meals, local charges, transfers or accommodation
• passport and visa requirements, expiry dates, entry and re-entry permits
• vaccination and health regulations
• special conditions of the holiday.

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Deposits

Before paying a deposit for a trip, check whether it is refundable, or if a percentage may be kept to cover the agent's cost. Payment of a deposit does not mean the price of a trip is fixed. You may be required to pay more if the price of the trip increases.

Pre-payments

Travel agents may ask you to pay your fare well before the departure date. Ask the travel agent when your ticket and other documents will be available before making the payment. Your documents will normally be available within two weeks unless other arrangements have been made.

Cancellations

You should check if there is a cancellation fee for transport, accommodation, etc if you are unable to travel.

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Where a consumer’s circumstances change, such as an unforeseen event or ill-health, and they are unable to undertake travel or need to terminate their plans during their holiday, they may incur cancellation charges. These charges may vary depending on when cancellation occurred. In these circumstances, travel insurance can cover the loss of the deposit or cancellation fees, medical expenses incurred while on holiday, personal liability, loss or theft of baggage and travel documents.

Not all insurers offer the same conditions and consumers are urged to shop around for policies that suit their needs.

If a claim with an insurer is rejected, consumers can dispute the insurer’s decision by lodging a complaint with the Financial Ombudsman Service (FOS), previously Insurance Ombudsman Service. View their website at www.fos.org.au  for contact details.

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If an airline refuses to allow you to board due to overbooking, you should insist on being provided with meals and accommodation until their airline arranges a seat for you on the next available flight.

If hotels or tour operators refuse to honour a voucher or a letter issued by the travel agent or tour operator, which confirms the booking, the consumer should speak to the manager on duty and get a written confirmation of their refusal to accept the booking.  The consumer should keep records of any additional expenses they incur.

When a consumer returns to NSW they should contact their travel agent and seek compensation. If the travel agent is a member of a trade organisation such as the Australian Federation of Travel Agents (AFTA) they should also notify that organisation, explaining the problems they have experienced.

If the consumer’s travel package or accommodation is not available or is not the one represented by the travel agent and the operator will not assist, consumers may lodge a claim against the travel agent and tour company. Consumers are advised to make a list of the relevant details and include supporting documents, pictures.

If the matter remains unresolved, a complaint can be lodged with NSW Fair Trading.

Case study: travel - read about Karen and how her dream holiday turned into a nightmare...

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Residents of NSW who experience problems when travelling overseas can contact NSW Fair Trading on 13 32 20 when they return to NSW. Residents of other states should contact the consumer protection authorities in their state.

If your travel package or accommodation is not available or is not the one represented by the travel agent and the operator will not assist, you may lodge a claim against the travel agent and tour company. Make a list of the relevant details and include supporting documents, pictures etc.

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The Travel Compensation Fund (TCF) covers customers of all licensed travel agents in all Australian states and the ACT.

The fund has two main purposes:

• It receives and assesses claims for compensation from people who suffer financial loss due to a travel agent's failure to account for the consumer's money.
• It monitors the financial viability of travel agents – an agent's licence is deemed to be suspended if its membership of the TCF is terminated.

Claims

Consumers who have paid for travel arrangements to a licensed travel agent may lodge a claim with the TCF in respect of financial loss suffered.

Travel arrangements may include:

• travel by air, land (coach, rail, etc) or sea
• accommodation at hotels or resorts
• car hire
• airport transfers
• admission fees
• travellers cheques.

The claim must be for loss suffered because the agent failed to account for money paid for travel arrangements and the loss is not covered by the consumer’s travel insurance.

If you suffer a loss because an agent fails to account for the money you have paid them, you can make a claim with the Travel Compensation Fund (TCF). However, the scheme does not cover losses due to business failure of airlines, coach operators or hotels.

Enquiries to the TCF as well as the option to check for your nearest licensed travel agent, can be made online at www.tcf.org.au, alternatively you can contact the TCF on 1300 658 165.

The TCF has the discretion to pay claims for unlicensed trading and to receive claims after 12 months from loss.

In some cases, claims may also be made for expenses incurred as a result of the actions of the trader. Full details, receipts etc of these additional expenses should be kept as these additional expenses may require consideration by the TCF's Trustees. Additional expenses may be limited to 25% of original claim.

Claimants must complete a Claim for Compensation and provide supporting documentary evidence to confirm the payments were made for travel arrangements. Suitable documentation includes original receipts issued by the agent, together with:

• cheque payments (copy of bank/credit union statement reflecting the debit)
• cash payments (copy of bank/credit union account withdrawal)
• direct credit to agent’s bank/credit union account (copy of stamped deposit counterfoil)
• credit card payment (copy of the credit card statement)
• money order (copy of the money order showing Australia Post stamp).

It might be possible to have credit card payments reversed by the credit card provider (charge-back). This should be pursued before claiming compensation. If the credit provider does not re-credit the payment, written confirmation of this should be obtained and supplied with the claim for compensation. Time limits apply for notifying credit card transaction disputes.

Other documents used to support the amount and nature of the payments including travel agent invoices, quotations and travel itinerary.

Assessing and approval of claims generally takes around three weeks, but this requires that full supporting documentation is provided at the time the claim is lodged. Claims requiring special consideration of the Board of Trustees (such as for consequential loss) may take longer.

If another travel agent takes over the travel arrangements, payment of any compensation may be made directly to the new agent.  However, the TCF will assess the claim in the normal way and both the claimant and new agent must recognise there is no guarantee that a claim will be approved.

Claims on the TCF must be lodged within 12 months of the travel agent not providing the service or where it is clear that the agent will not be able to provide it. The TCF is only obliged to pay a claim against a travel agent who is licensed at the time the payment is made, and if the claim is received within 12 months of the agent ceasing to be a TCF participant (and can no longer legally trade). Other claims against an agent (unlicensed or after 12 months) are discretionary.

Disputed travel insurance claims can be referred to Insurance Enquiries and Complaints Ltd, and should that be unsuccessful, the matter can be referred to the Consumer, Trader and Tenancy Tribunal (CTTT).

The CTTT (General Division) may also have jurisdiction to determine disputes arising from holiday rentals, travel disputes, car hire, etc where the agreement was make in NSW.

Note that Section 6(1)(e) of the Residential Tenancies Act 1987 states:

1. This Act does not apply to a residential tenancy agreement:
   (e) if the agreement is made in good faith for the purpose of giving a person a right to occupy residential premises (not being premises ordinarily used for holiday purposes) for a period of not more than 2 months for the purpose of a holiday.

Therefore, agreements of less than 2 months, if the purpose of occupation is for a holiday, are not covered by the Residential Tenancies Act and therefore parties are not covered by the rental bond or leasing provisions of the Act.

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