Refunds & the CPA.

[Bernie]

So I booked a holiday in Cape Town for a week in Feb 2015 via RCI. I made the booking last year in November. We were unable to go now and so cancelled our flights and called RCI and cancelled the hotel booking. I cancelled this on 30th Jan. This is 3 weeks in advance.

I got a refund for our flights less some cancellation fee, and a full refund for the car hire, so not a major problem.

However RCI do not refund your booking fee at all. Not even a percentage of it. the booking fee was R948. Spoke to RCI and they refuse, saying its company policy.

So in terms of CPA is this allowed. I would have no problem accepting a refund less admin fee. Do I have any recourse here. I have in my mind written this off and see it as school fees.

Just curious if its even worth complaining further.

TIA

 

[ToxicBunny]

Not worth complaining any further...

Booking fee is a non-refundable deposit basically. Deal with it and move on.

 

[Greig Whitton]

Booking fee is a non-refundable deposit basically.

Actually, Section 17 of the CPA specifically states that suppliers may not charge a cancellation fee for the cancellation of an advance booking if the cancellation is due to the death or hospitalisation of the person for whom, or for whose benefit, the booking was made. So, depending on OP's reasons for cancelling, he may be entitled to a full refund.

Even if OP is not entitled to a full refund, Section 17 of the CPA also states that any fees that suppliers charge when consumers cancel an advance booking must be "reasonable". "Reasonable-ness" is determined by several factors:

1. The nature of the goods or services that were booked.
2. The length of notice of cancellation provided by the consumer.
3. The reasonable potential for the supplier to find an alternative consumer.
4. The general practice of the relevant industry.

Unless OP's hotel was fully booked for weeks in advance, I wouldn't consider a 100% cancellation fee reasonable given that he provided notice three weeks in advance.

Legally, OP has rights that he can choose to enforce. Practically, probably not worth it for R948.

 

[sobs74]

Try the National Credit Regulator (NCR), free advice then take it from there.