These cancellation horror stories show why you should think twice before booking through an OTA
Here at The Points Guy, we usually recommend that travelers book rooms and flights directly with hotels and airlines. You earn eligible points toward elite status, you often get the best prices, you get better seat and room assignments — and you have a lot more leverage in case of delays, cancellations and other issues.
Related coverage: How to cancel reservations booked through a travel agency
But sometimes it makes sense to book travel through an online travel agency (OTA) like Expedia or Booking.com. OTAs may offer better prices than direct bookings or, in the case of Hotels.com, it offers a great way to earn rewards on hotel stays across multiple brands. In other situations, booking travel through a credit card portal, such as the Chase Ultimate Rewards travel portal, requires you to work with the company's travel provider, which is Expedia if you're booking through Chase.
However, the coronavirus outbreak and subsequent airline route cancellations and country lockdowns have left many OTAs struggling to respond to affected customers.
Going through an OTA means you're booking travel through a middleman — and as the fallout from this health crisis has shown, involving a third party complicates the conversation when travel plans come undone.
TPG News Editor Clint Henderson recently had positive results from several major travel companies when he had to cancel an ill-fated trip to Tahiti. Henderson booked his flights and hotels directly through American Airlines, Marriott, Hilton and Airbnb, and reported that he was able to score full refunds (or point redeposits) within days of his cancellation requests. In stark comparison, canceling an Expedia booking for a flight within Tahiti was a bit of a disaster.
TPG readers have also expressed their frustrations trying to cancel travel plans booked through OTAs. BookIt.com customers seem to have been the most affected. As BookIt.com has "suspended normal operations," customers related horror stories of having to pay a second time for their hotel stays before being allowed to check out of their hotels.
Other travelers have struggled to get refunds from BookIt.com. TPG Lounge member Carol Curtin reported that she had to work with her bank in order to get her money back.
"BookIt.com canceled everything and also kept my money," said Shelli Hershey, one of half a dozen TPG Lounge members who had the same tale to tell.
"I lost $6000," Anne Damone said. "BookIt.com left me stranded in Mexico and told me to contact my credit card to get my money back, but [my credit card issuer] says that because I paid in November, I can’t contest the charges now!"
Not every OTA has disappeared overnight like BookIt.com, but that doesn't mean customers have had easy experiences getting their money back from other third-party travel providers.
Milagros Figueroa-Tetuan told the TPG Lounge that she had spent a total of six hours on the phone with Travelocity because multiple phone calls kept getting dropped. When she finally spoke to a live person, all the agent could tell her was that she had to call the airline directly. So she did: "More than three hours with the airline on hold and nobody picks up," Figueroa-Tetuan lamented more than a week ago.
"Booked [a] hotel in Prague for March 26 through March 31 through Agoda," Rob Crofts told the TPG Facebook group. "It’s past cancellation period, and so far [Agoda is] not doing any refunds."
Blake and Amanda DiCioccio had to cancel flights to Chicago, which had been booked via Expedia through the Chase travel portal. "[A representative] called me back after a five-hour wait (at 4 a.m.), and I was able to get a United Airlines credit for my canceled tickets to Chicago," the DiCioccios told TPG. "Not ideal, but reasonable, considering the volume of calls."
Not every tale is a horror story, however. A number of travelers told TPG that they did, in fact, receive quick or gracious resolutions for their issues.
"I made a nonrefundable reservation in NYC through Booking.com, and they were able to refund me the full amount when I needed to cancel," Levi Brown told the TPG Lounge. Brown explained that Booking.com offers two cancellation options: The first is "just 'regular' cancel," Brown said. With the second option, the OTA reaches out to the hotel to ask what can be done. Brown chose Option 1, and reported that two days later, he received a message from the hotel, which issued him a full refund. "Super simple," he said.
Katy Stainton had an even easier experience canceling two different hotel reservations booked through Hotels.com. "Thankfully, they were both refundable rates, so I just went on the app and canceled," she shared in the TPG Lounge. "Took all of one minute. Easy peasy."
It can be different with nonrefundable rates. They exist for a reason: You earn a discount in exchange for the gamble that your trip will actually take place. A full refund is a gesture of goodwill on the part of the company — not an expected outcome. TPG Lounge member Jeff Boucher shared his satisfaction with Expedia for the easy cancellation of a nonrefundable hotel room in Manila, Philippines, which is currently on lockdown.
"I'd booked a nonrefundable room through Expedia," Boucher told the Lounge. "[Expedia] had a "COVID-19" cancellation button on its site, and I was able to easily get a 65% refund. Seems pretty fair to me, and the process took less than a minute and was done entirely online. I do most of my significant travel through Expedia and have had a mix of experiences, but this was fairly favorable in the days of three-hour hold times."
And Kate Everingham had a "super experience" with Booking.com, she said. "Two prepaid hotels. No questions and a full refund. Confirmed by email." She had a similarly positive experience with Rentalcars.com, which is owned by Booking.com: "Had to answer a few questions but my nonrefundable prepaid booking was also refunded (and Amex gave back my rental insurance premium unasked)."
As with many travel companies these days, customer service responses from OTAs can be predictably slow, a number of TPG readers reported. They have adjusted their expectations accordingly. "Emailed Expedia a week ago regarding upcoming flights two months from now," Theo Chen told the Lounge, adding that he received an automated response stating that the company would get back to him within five days. "I'm sure they're slammed, so I'll wait a while before following up."
At the end of the day, there will times when it is wise or necessary to book with an online travel agency. But as you weigh the value of an OTA deal, don't forget:
- You shouldn't book the trip if you aren't willing to lose your entire nonrefundable payment
- There will be a lot more red tape if you need to make any itinerary changes
- Always book with a credit card that offers good trip protection insurance.
TPG featured card
Rewards
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro offer
Annual Fee
Recommended Credit
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.
Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.