Following recent announcement by Aloha Airlines and ATA Airlines that they have suspended flight operations and declared bankruptcy, ASTA recommends consumers check with their travel agent to examine their travel options.

"The suspension of flight service by Aloha and ATA only serves to emphasize how critical it is that consumers receive sound, third-party advice, the kind that travel agents provide each and every day," said Cheryl Hudak, CTC, ASTA president and CEO, "Travelers do have options but with most airlines operating at near capacity, accessing these options might not be easy for them to do on their own.

"Travelers who use the services of a travel professional have the added security of having a professional help them sort through the many alternatives from identifying schedules on alternate airlines to determining confirmed space and standby options. We are there for clients, before during and after a trip."

Together with their travel agent, ticket holders should consider the following options:

Determine your best options on other carriers. All affected passengers, especially those in transit who need to return to their original destination, should review all options for traveling on other airlines. Following the cessation of a major airline, some airlines may make special concessions to affected ticket holders by offering special rates or waiving advance purchase restrictions. Yet there is currently no federally mandated protection that requires any airline to provide alternate transportation. Section 145 of the Aviation and Transportation Security Act, which required the airlines to accommodate affected passengers on a space available basis, expired on Nov. 30, 2006.

If all else fails:

Deny the credit card charge. Travelers who paid by credit card can deny the charge. Under the Fair Credit Billing Act, ticketed passengers have certain rights to refuse to pay credit card charges related to services that were not provided. As a result, ticketed passengers who made payment by credit card for travel on a bankrupt airline should contact their credit card company immediately to dispute the charge. Cardholders have 60 days from the time they receive the billing statement on which a charge first appears to refuse payment for services not rendered. Instructions for doing so appear on the back of all credit card statements. Even if a customer has already paid the charge, or if the 60-day window noted above has passed, it is still advisable to request a credit for the charge.

For more information on the Fair-Credit Billing Act, see: http://www.ftc.gov/bcp/conline/pubs/credit/fcb.htm.

File a claim. Finally, if no refund options are provided by the bankruptcy trustee, ticketed passengers who paid by cash/check or whose credit card dispute was denied by their credit card bank should file a Proof of Claim with the Bankruptcy Court. The bankruptcy court will provide details regarding claim procedures within months of the initial Chapter 7 bankruptcy petition.

See also
 Airline Bumping - What You Need to Know
 Flying on Bankrupt Airlines

Let us connect you with an ASTA travel professional to help you navigate the changing world of travel! Find an agent two way: search our Find a Travel Agent directory or request a FREE trip quote and agents will respond to you.

Travel agents are available to assist you in 37 languages!