There's a secret fund with millions to help resolve travel disputes that nobody knows about
Resolving disputes with travel agents can be frustrating, time-consuming and often, fruitless.
For people in California, however, there is a state-formed commission that handles consumer complaints against travel agencies and tour operators that can help get travelers a satisfactory resolution. It's called the Travel Consumer Restitution Corporation, and it can offer customers a security blanket that's almost unmatched anywhere in the country.
Here's the catch. Almost nobody has ever heard of it. A story by NBC's San Francisco affiliate shed light on this hidden asset for travelers. The TCRC has been around since 1995. It was originally funded by fees travel agents and tour operators had to pay when they registered with the state. According to Diane Embree , it was established by California's state legislature as a way to protect consumers when travel agents don't deliver the services they were paid for, or if they go out of business.
Related: California lifting mandatory stay-at-home orders
"The [California] attorney General's office wanted some kind of consumer protection written into the law. And this was a plan that was unique to California," says Diane Embree, an independent seller of travel who took part in the original legislation and actually served as the TCRC's first president. "I don't even think it could be duplicated in a lot of other states because California's a large state. There are a lot of sellers of travel here, travel agencies, tour operators based here…and you need to have enough of them to keep the fund going. Because the idea behind it was to have this funded entirely by the travel industry in California, no taxpayer dollars involved."
A board comprised of six people, four of them travel agents, oversees the TCRC. The board gets results for travelers, too. According to NBC Bay Area's analysis of claims filed since 2013, the TCRC has ruled in favor of customers 73% of the time in complaints filed, and paid out an average of $3,002 per claim.
But you have to know about the TCRC to file a claim, and clearly, not enough people do. On average, it receives an average of just 57 claims a year. In 2016, it received just 13 claims. Considering the Federal Trade Commission received more than 3,000 travel-related complaints from Californians, that number seems absurdly low.
Related: State-by-state guide to coronavirus reopening
Why don't more people know about the TCRC? Well, outside of a website, the commission has very little public identity. It doesn't have a Facebook page or Twitter account, and no YouTube channel. Embree notes there was a big publicity push around the TCRC when it came into existence in the mid-90s, given that it was a travel protection policy no other state had. She emphasizes that it's not like anyone's trying to hide the existence of the TCRC from consumers.
"Secret probably isn't the right word, even though that's the word people use. It's not a secret," she says. "No, one's trying to hide [the TCRC] from anyone. I would say part of it is that more people are using registered sellers of travel, rather than fly-by-night agencies who are questionable. And part of it is, the last couple of decades has been good for the travel business. There aren't as many agencies going out of business."
Related: CA, OR and WA order recommended quarantine
After looking at the TCRC's website, the process for filing a claim seems fairly straightforward. Keep in mind, this claims process is only available to California residents. One important caveat: Airlines are exempt from claims made through the TCRC, because they are regulated by federal guidelines.
Related: Disneyland planning CA expansion
One recommendation Embree makes to any traveler in the state is, before they book travel with an agent, to check the TCRC's site to see if that travel agent has a "Seller of Travel" registration number with them. If they do, and you file within the eligible time frame, then you will have an extra layer of protection in case your travel plans go awry.
TPG featured card
at American Express's secure site
Terms & restrictions apply. See rates & fees.
| 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. |
| 5X | New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App. |
| 3X | Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines. |
| 2X | Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Pros
- Valuable dining and food-related credits
- Flexible rewards with airline and hotel transfer partners
- Multiple travel and purchase protections
- No foreign transaction fees
- Access to Amex Offers for additional savings (enrollment required)
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 $8,000 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.
- New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App.
- Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines.
- Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- Pay It® lets you tap in the American Express® App to quickly pay for small purchase amounts throughout the month and still earn rewards the way you usually do. Plan It® gives you the option to split up big purchases into equal monthly payments with a fixed fee. You’ll know upfront exactly how much you’ll pay.
- Updated! $120 Dining Credit: Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder. This can be an annual savings of up to $120. Enrollment required.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year at over 10,000 qualifying U.S. Resy restaurants after you pay for eligible purchases with the American Express® Gold Card. That’s up to $50 in statement credits semi-annually. Enrollment required.
- $84 Dunkin' Credit: Earn up to $7 in monthly statement credits after you pay with the American Express® Gold Card at U.S. Dunkin’ locations. Enrollment required.
- $120 Uber Cash on Gold: Enjoy up to $120 in Uber Cash annually with your Gold Card. Just add your Card to your Uber account and you'll get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an Amex Card for your transaction.
- New! As an American Express® Gold Card Member, you can enjoy complimentary Hertz Five Star® Status. Enjoy benefits like skipping the counter at select locations, adding an additional driver at no additional cost*, and vehicle upgrades**. Benefit enrollment and Hertz Gold+ registration are required. *Additional drivers must meet standard rental qualifications and must be a spouse or domestic partner to qualify as complimentary. Other additional drivers subject to fees. **Benefits are subject to availability and vary by location. Additional Hertz program Terms and Conditions including age restrictions apply.
- Take advantage of a $100 credit towards eligible charges* at over 1,300 upscale hotels worldwide when you book The Hotel Collection through AmexTravel.com or the Amex Travel App **. *Eligible charges vary by property. **The Hotel Collection requires a two-night minimum stay.
- Book your travel through the Amex Travel App with added peace of mind – backed by American Express® service and support. Only for American Express® Card Members.
- Whenever you need us, we're here. Our Member Services team will ensure you are taken care of. From lost Card replacement to statement questions, we are available to help 24/7.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.