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Why does BA take £15 to cancel a booking?

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Old Jun 17, 2019, 5:10 am
  #31  
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I think perhaps the initial band-wagon responses missed the point.

I understand the OP is losing the base fare he paid, and though he may not be happy with that, OP accepts it as a function of the fare rules. But he then finds the airline wants additional money to refund the taxes/duties/fees it has collected but will not now pass on.

Although accountants will have hours of fun calculating the cost of making such refunds, they must be trivial in real terms. A hefty charge is levied simply because the airline can get away with it.
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Old Jun 17, 2019, 5:23 am
  #32  
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Originally Posted by IAN-UK
I think perhaps the initial band-wagon responses missed the point.

I understand the OP is losing the base fare he paid, and though he may not be happy with that, OP accepts it as a function of the fare rules. But he then finds the airline wants additional money to refund the taxes/duties/fees it has collected but will not now pass on.

Although accountants will have hours of fun calculating the cost of making such refunds, they must be trivial in real terms. A hefty charge is levied simply because the airline can get away with it.
Absolutely - this isn't a complaint about there being a GBP15 cancellation penalty ( which would be pretty reasonable ) but a GBP15 fee in addition to any other penalty just to get the refund processed
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Old Jun 17, 2019, 5:39 am
  #33  
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Originally Posted by Dave Noble
Absolutely - this isn't a complaint about there being a GBP15 cancellation penalty ( which would be pretty reasonable ) but a GBP15 fee in addition to any other penalty just to get the refund processed
This is exactly it. Thank you. I am ok with losing the cost of my flight but my gripe is paying for the taxes and fuel surcharges not being returned fully.
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Old Jun 17, 2019, 9:39 am
  #34  
 
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Why are we charges these fees? Cause we can.
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Old Jun 17, 2019, 10:54 am
  #35  
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Originally Posted by Swanky Safari
Why are we charges these fees? Cause we can.
That's the answer. I certainly didn't call Ryanair for a refund when I decided not to use the £1 PIK-DUB ticket I bought.
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Old Jun 17, 2019, 11:06 am
  #36  
 
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Originally Posted by jp-mco
Is this a serious post? BA made clear before you bought your ticket what the cancellation terms were. If you chose not to read them that's your choice. Believe it or not it costs a company money to process a refund and there's no reason why that shouldn't be passed onto the consumer. Is there much point to keeping this thread open?
it doesn't actually matter if you read the T&C. If the poster thinks they are unreasonable then they can say so.

Surely the costs of processing a refund can be taken from the non refundable fare component?

Also, theres no way it costs £15 to process!
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Last edited by Sealink; Jun 19, 2019 at 7:36 am
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Old Jun 17, 2019, 11:10 am
  #37  
 
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I think the £15 doesn't apply if it's within the 24 hour cancellation period though?
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Old Jun 17, 2019, 11:13 am
  #38  
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Originally Posted by Oaxaca
I could be wrong, but I don't think the OP is getting a refund of the fare, or questioning the cancellation conditions attached to the fare itself. The question appears to be around airlines, in this case BA, using "admin fees" to avoid refunding some/all of the govt/airport taxes and fees which they are legally obliged to refund on any cancelled booking, at least in the EU.
Are they? Where does that legal obligation comes from? It may well exist but I am unaware of it, hence why I am asking. AIUI, I do not think that they are under any obligation to refund these as long as they are clear as to what their policy is but it may well be that there is another legal obligation somewhere of which I am unaware.
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Old Jun 17, 2019, 12:18 pm
  #39  
 
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Originally Posted by Often1
Fees and penalties are simply a revenue source which the market will bear.
Yeah, this is one of many fees companies charge that really are not proportional to the cost involved. That said, there is undoubtedly admin involved in processing these refunds and I don't think £15 is that bad.

I still don't get why the OP is so upset by this. This is a very minor gripe imo. There are far less justifiable fees out there e.g. the high fees for choosing seats in Club World for non status passengers.
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Old Jun 17, 2019, 1:14 pm
  #40  
 
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Originally Posted by MiraculousM
Yes i did thank you and im a frequent flyer, albeit not always with BA because frankly, euro traveler isnt worth it at all.

My point is that should i cancel, BA will resell the ticket and make more money on it, especially the popular route i have the ticket for. Taking that amount of money and making the cancellation effectively worthless for me means that i will simply not cancel, meaning that they lose money on a ticket that they could have resold at the elevated price i have just seen they are selling the tickets for.
Why do you think flights are oversold? They already factor in people who don’t cancel in advance.

I sympathise by the way & in the 21st century a true admin fee shouldn’t be £15!
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Old Jun 17, 2019, 2:00 pm
  #41  
 
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Originally Posted by IAMORGAN


Why do you think flights are oversold? They already factor in people who don’t cancel in advance.

I sympathise by the way & in the 21st century a true admin fee shouldn’t be £15!
I’m actually with the OP thinking it will make a difference. If the flight is 5% oversold, BA is guessing the average passenger ticketed at checkin is about 95% likely to show up. If the OP cancels in advance he goes from 95% to 0%. The logical thing for BA is then to sell another 0.95 tickets, pocketing the extra fare and taking them back up to the still-optimum oversell level, before playing their checkin game in just the same fashion.
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Old Jun 17, 2019, 3:42 pm
  #42  
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Originally Posted by Enigma368
Yeah, this is one of many fees companies charge that really are not proportional to the cost involved. That said, there is undoubtedly admin involved in processing these refunds and I don't think £15 is that bad.

I still don't get why the OP is so upset by this. This is a very minor gripe imo. There are far less justifiable fees out there e.g. the high fees for choosing seats in Club World for non status passengers.
So you actually think that it is ok that a fully refundable ticket purchased directly from BA is not fully refunded when cancelled - unlike most airlines where a fully refundable ticket is just that

All major airlines sell fares with varying penalties for changes or cancellations, but few try to scam an additional fee on top of the published penalty for processing the refund

In the OP's case, it seems that he purchased a non refundable ticket - with the cancellation, the OP was entitled to the taxes back ; BA however, along with keeping the fare paid , it also wanted to charge GBP15 for providing the refund

It is nothing to do with being able to resell etc - the airline still has the fare - it is the refunding of taxes only
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Old Jun 17, 2019, 4:19 pm
  #43  
 
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Originally Posted by Dave Noble
So you actually think that it is ok that a fully refundable ticket purchased directly from BA is not fully refunded when cancelled - unlike most airlines where a fully refundable ticket is just that
Well as you yourself acknowledge, this thread is not about a fully refundable ticket. If BA is advertising tickets as fully refundable and then in small print mentioning a refund admin fee, then I would agree that that sounds deceptive. But for this thread, this is not the issue.

In the OP's case, it seems that he purchased a non refundable ticket - with the cancellation, the OP was entitled to the taxes back ; BA however, along with keeping the fare paid , it also wanted to charge GBP15 for providing the refund
I have already said that I do not think the GBP15 fee for the admin involved in refunding the taxes is especially irksome. I think most, if not all, EU airlines charge a fee for this and I think BA's is lower than most. If it was a GBP50 fee, then I would agree that they are taking the p***. Anyway it sounds like we just disagree on this point. Probably I am just resigned to companies charging silly fees for anything and everything but this one does not seem that bad.
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Old Jun 17, 2019, 4:55 pm
  #44  
 
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Originally Posted by HIDDY
That's the answer. I certainly didn't call Ryanair for a refund when I decided not to use the £1 PIK-DUB ticket I bought.
Money to waste? That doesn't sound like a man from Scotland
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Old Jun 17, 2019, 5:53 pm
  #45  
 
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Originally Posted by NickB
Are they? Where does that legal obligation comes from? It may well exist but I am unaware of it, hence why I am asking. AIUI, I do not think that they are under any obligation to refund these as long as they are clear as to what their policy is but it may well be that there is another legal obligation somewhere of which I am unaware.
I have a feeling that these admin fees were introduced to discourage people asking for these fees to be refunded when it became compulsory to refund them for flights thst aren’t used or taken.

I know someone that is so insensed by these admin fees that he has been known to check a bag in, use the lounge and say something has come up saying he no longer wishes to fly right at T-20m and cause a delay to the flight whilst they offload him and his bag. Whilst I’ve told him this is selfish and inconsiderate and ask him why he does it he said 2 can play at thst game..
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