Nonrefundable deposits? Always nonrefundable?

[ONT-CA]

But is a Non Refundable Deposit condition (all or nothing) a good business model?

[Pam in CA]

But is a Non Refundable Deposit condition (all or nothing) a good business model?

Yes. It's no surprise as it's clearly marked. There's nothing wrong with it as the consumer is apprised before purchase. No one is forcing them to put down a non-refundable deposit. It's a condition for a lower price on unsold goods. In the case of a cruise, the "goods" are a cabin. The buyer has recourse through insurance so it's really not all or nothing.

[nycruiser80]

I don't understand a T.A. that does not book Insurance with the Cabin, especially a Suite.

 

Non-Refundable Deposits are usual with UK and European bookings, not USA. I should think that the deposit should be able to be applied to a future cruise. Perhaps it is past Final Payment Date (since you don't know the sailing date).

 

My Advice: Your Friend must call Princess with the booking number and ask the agent. Can U find out the sailing date for us? Good Luck.

 

 

I was a TA and I was always taught it was best practice to always offer insurance to the client. Give the client the option and facts of what insurance covers as well as the cancel policy of the cruise line and then they (the client) decides to add on the insurance (via the travel agent) if they so choose. In fact the travel agent should shop insurance companies to see who has the best coverage and price. I would say it is dishonest for the TA to just arbitrarily add travel insurance to a booking.

 

To the OP your friend's travel agent could try to explain the situation to a Princess rep, it never hurts to ask, otherwise (as many others have stated) non-refundable means non-refundable. Princess is a company and as a customer you have to play by their rules.

[nycruiser80]

Here we go again. Non refundable means non refundable. To me it does not require any further explanation. It is the same as people complaining that they have to cancel after full payment and want Princess to be considerate of them as they didn't buy insurance.

Sorry but if they can afford the full value if cancelled within two weeks then they can afford the non refundable deposit.

I for one would be very annoyed if this person got anything when they knew what they bought. I BUY CANCELLATION INSURANCE

 

 

It is very interesting how many people believe, that even though it states non-refundable, somehow they will get out of it. I used to work in travel, as I stated above, and many clients would tell me how they are great negotiators and could get back a non-refundable fare. I also see on this site how people believe they could get something from the cruise line if they are under penalties. My motto is, state your case politely to the cruise line rep since it never hurts to ask but honestly you are bound to company policies. Big companies are not "warm and fuzzy" and do not really care about things that happen to us. Sometimes there are exceptions, as I have seen in my years as a former travel agent, but the majority of the time you have to play by company rules. If you disagree with company rules then you should not purchase the product. But when it comes to travel all fares eventually will become non-refundable or carry hefty penalties - this goes for cruise, air, tour and package deal trips regardless of company.

 

When people talk politics and are arguing over smaller government and strong capitalism I always remind them either government or companies ultimately control us. Take your pick!

[robgvic]

I was a travel agent too and we were getting to the point of havng people a form saying they had declined insurance. I don't kno why people even recommend calling Princess. If I find they have given them the deposit back I would really consider not cruising with Princess as it all of a sudden makes my buying insurance stupid. Soerrey

[ONT-CA]

... Big companies are not "warm and fuzzy" and do not really care about things that happen to us. Sometimes there are exceptions, as I have seen in my years as a former travel agent, but the majority of the time you have to play by company rules.

 

If a company takes the deposited amount and does nothing else then the chances are, as suggested by the OP in this particular case, they will loose the customer altogether. Repeat business is very important in this field. So, all I am suggesting is that in loosing the deposit the customer be offered something such as a discount or a cruise amenity for future bookings in order to keep them coming back. Nothing warm and fuzzy about that. Its just good business.

[paul929207]

But is a Non Refundable Deposit condition (all or nothing) a good business model?

It is not just the deposit that can be non-refundable. Once you pass the final payment date, you enter the penalty phase where you get a reducing amount back if you cancel. This penaty reaches 100% before the cruise.

 

Similarly, if you book an excursion thru the ship you must cancel by the closing time or there is no refund.

[happy cruzer]

If a company takes the deposited amount and does nothing else then the chances are, as suggested by the OP in this particular case, they will loose the customer altogether. Repeat business is very important in this field. So, all I am suggesting is that in loosing the deposit the customer be offered something such as a discount or a cruise amenity for future bookings in order to keep them coming back. Nothing warm and fuzzy about that. Its just good business.

 

Having run a business, I think in many cases what you are suggesting just would not be worth the effort:

 

Unless you make someone prove that they had a real problem and document it (i.e. you become an insurance company) you would have to provide some very token amount which would please very few because you are going to have claims on each default. Yep, that's right the public is hard to please. 50dollars off your next deposit would be an insult to most....

 

And it has to be standard, because if one gets something that another does not, you will get sued...

 

Better to just follow the details of your promotion. And you may be right it might be a bad promotion. But not following it regarding the refunds would just make it worse IMHO.

[BratDet]

from my current cruise are so detailed...about 8 pages for the information.

I was only interested in the front page showing my payment before the balance was due.

It runs thru all the penalties...etc.....

This is from my favorite warehouse club.

I only HAD to put down my FCC as a deposit, but have aid in full before final payment was due.

If I was willing to lose my flights and fare (self-insurance), I would have passed on insurance.

If I was willing to risk a medical emergency and have to pay everything out of pocket, I would have skipped insurance.

2500$ down as partial payment shows me the entire cruise price is an amount I would not risk losing....

I hope if the person who booked a non-refundable deposit prefaces their complaint..

"Wow, I cannot believe I am an adult who knowingly booked a cruise with a non-refundable deposit, I chose not to buy cruise insurance, and I have decided it is Princess's fault, I do not want to honor the legal binding agreement I made with them...Bad Princess. NOT!

 

Bernadette

[paul929207]

from my current cruise are so detailed...about 8 pages for the information.

I was only interested in the front page showing my payment before the balance was due.

It runs thru all the penalties...etc.....

This is from my favorite warehouse club.

I only HAD to put down my FCC as a deposit, but have aid in full before final payment was due.

If I was willing to lose my flights and fare (self-insurance), I would have passed on insurance.

If I was willing to risk a medical emergency and have to pay everything out of pocket, I would have skipped insurance.

2500$ down as partial payment shows me the entire cruise price is an amount I would not risk losing....

I hope if the person who booked a non-refundable deposit prefaces their complaint..

"Wow, I cannot believe I am an adult who knowingly booked a cruise with a non-refundable deposit, I chose not to buy cruise insurance, and I have decided it is Princess's fault, I do not want to honor the legal binding agreement I made with them...Bad Princess. NOT!

 

Bernadette

Amen

[Tak8]

Sorry for your friend's situation. As long as the couple knew it was a nonrefundable fare, they took a gamble and something happened. To me, it's no different then passengers who don't buy insurance, then something happens and they ask don't pick on me but how do I get the cruiseline to refund my money or let me go on a different date.

[billco]

 

Somehow, to my way of thinking:

Princess is losing a cruising couple who always book suites;

Princess is going to lose any of their friends who book with them;

 

Is the $2,500 really worth what they will lose???

 

Surely, in a hardship situation like this, Princess can either refund the deposit or hold it for a future cruise. Is there anyone here who can explain why they cannot have this handled in a better way?? Or what my friends need to do??

How many customers who also lost nonrefundable deposits would Princess lose if they found out an exception was made in your friends case?

 

Is "hardship" the best word to use to describe a situation like this for a couple who always book suites?

 

I think a better way to handle it would have been signing off that they understand the deposit is nonrefundable.

 

I am surprised Princess would be promoting cruises with nonrefundable deposits for the Royal, especially suites. I wonder if this was something the TA cooked up and is just saying Princess is responsible.

[ONT-CA]

Having run a business, I think in many cases what you are suggesting just would not be worth the effort:...

.

 

The public perceives you by way of your business dealings. Yes, it certainly would be more economical to totally close the door on the OP' situation with the loss of the customer but it is interesting to note that in the news this morning Carnival bookings are down 20% and they are drastically lowering fares to compensate. Loosing customers does have its financial costs sooner or later.

[BratDet]

BECAUSE too many publicized issues...heck...

another Carnival ship lost power the other day....

 

BTW- I do feel badly the person was injured and will lose the 2500$ deposit.

 

I am planning too book something for over a year out,

but if it was non-refundable to book now, I would not do it!

 

BTW, last summer, our flight got cancelled and we were diverted to an airport much farther away from home. Cruise insurance picked up the travel home.

 

Last year I got cruise insurance for our 4 day Bermuda cruise.....and we were diverted to Boston....BUT we again got diverted, this time to a different port of arrival....and travel insurance arranged a car service home in an area devastated by Hurricane Sandy when cars were not allowed into the tunnels unless they were HOV, insurance picked up the 640$...

Twice insurance purchased for medical reasons and cruise cancellation reimbursement, got used for other reasons...which was a relief to have.

Bernadette

[pablo222]

Any business that presents sale conditions resulting in the finality of “Tough Luck” should ponder the damage it does to future business. What is presented in the way of deposits could be less devastatingly negative through a token remuneration for the sake of future business. It doesn’t have to be all or nothing.

 

That's why they offer insurance.

[LH25]

But is a Non Refundable Deposit condition (all or nothing) a good business model?

 

It wouldn't be if that was all they offered, IE if all deposits are non-refundable. But of course they aren't, in fact doing a non-refundable isn't the norm, and takes a conscious decision.

 

I wouldn't do one, because I would worry too much about something happening, same reason I get insurance.

[LH25]

Having run a business, I think in many cases what you are suggesting just would not be worth the effort:

 

Unless you make someone prove that they had a real problem and document it (i.e. you become an insurance company) you would have to provide some very token amount which would please very few because you are going to have claims on each default. Yep, that's right the public is hard to please. 50dollars off your next deposit would be an insult to most....

 

And it has to be standard, because if one gets something that another does not, you will get sued...

 

Better to just follow the details of your promotion. And you may be right it might be a bad promotion. But not following it regarding the refunds would just make it worse IMHO.

 

Or. they may just decide it's not worth offering a deal by choosing a non-refundable deposit. And those willing to play by those rules will lose out.

[PescadoAmarillo]

It wouldn't be if that was all they offered, IE if all deposits are non-refundable. But of course they aren't, in fact doing a non-refundable isn't the norm, and takes a conscious decision.

 

I wouldn't do one, because I would worry too much about something happening, same reason I get insurance.

Obviously, it's a business model that's working for some airlines. I love that I can save $100 (or so) on Frontier and get a non-refundable ticket...some times. Other times I pay the extra $100 and get a fully refundable ticket. I think it's the perfect tool to "exploit the entire area under the demand curve" (which is the strongest message I retained from all my economics classes).

 

Just as different cabin categories on a ship offer savings to those people willing to tolerate them, there are now different pricing structures for those people willing to tolerate them. I wouldn't book an inside cabin and then be upset that I wasn't upgraded to a balcony; and I wouldn't make a NRNT booking and then be upset because it wasn't NRNT.

 

I've done two cruises with NRNT deposits, and won't do them again. But I'll happily stay in an inside cabin. It's all about choices.

[nycruiser80]

If a company takes the deposited amount and does nothing else then the chances are, as suggested by the OP in this particular case, they will loose the customer altogether. Repeat business is very important in this field. So, all I am suggesting is that in loosing the deposit the customer be offered something such as a discount or a cruise amenity for future bookings in order to keep them coming back. Nothing warm and fuzzy about that. Its just good business.

 

 

It is very true repeat business is key in the travel industry. Nevertheless, I see it as businesses operating in the "now". It is not 100% certain that a traveler would return, even if they have a favorable feeling about Princess, but it is certain that they would (Princess) get money from this cancelled booking.

 

I hear what your saying and I wish companies would do what you are proposing but unfortunately corporate America is not like that. And having worked in travel some of the policies I have come across during my 10 years are ruthless! But then again as the traveling public we accept those policies no matter how unfair we may feel they are.

[Happy2cruise]

Here we go again. Non refundable means non refundable. To me it does not require any further explanation. It is the same as people complaining that they have to cancel after full payment and want Princess to be considerate of them as they didn't buy insurance.

Sorry but if they can afford the full value if cancelled within two weeks then they can afford the non refundable deposit.

I for one would be very annoyed if this person got anything when they knew what they bought. I BUY CANCELLATION INSURANCE

 

In total agreement with everything you said:D:D. IMH you hit the nail on the head:cool:.

[ONT-CA]

I can only gather that most of the posters on this subject are not CCL share holders.

[happy cruzer]

I can only gather that most of the posters on this subject are not CCL share holders.

 

I gather exactly the opposite. The corp makes a promo and stands by it. As a shareholder it would be what you expect. A corp that flails around trying to make all happy will die. You can make all your customers happy with give aways and go broke.

[Astro Flyer]

I can only gather that most of the posters on this subject are not CCL share holders.

I think that your assumption is wrong because I recognize many names of those who are like me & CCL shareholders who don't agree with you.

 

The rules are given & we follow the rules without expecting a special exemption when things go wrong. Here's a news flash...people tell lies particularly when money is involved. To attempt to investigate which claims may have some merit is not cost effective.

 

And when those who feel they're entitled to special treatment because they book suites & will get their friends to not sail any particular cruise line then I couldn't care less about their efforts to be treated better than others.

 

I really don't care if Princess loses passengers with such an attitude & expect Princess to treat all passengers equally no matter what type of cabin booked.

[paul929207]

I can only gather that most of the posters on this subject are not CCL share holders.

I am a shareholder and frequent Princess cruiser.

 

I wonder how many "non-refundable" deposits they would have to give back?

I wonder how many cancellation penalties they would have to give back?

I wonder how many shore excurions canceled at the last minute they would have to give back?

 

All those give aways can't be good for the bottom line.

[Pam in CA]

People who book a cruise with a non-refundable deposit do so knowingly. They enter a contract with the condition that the deposit is non-refundable. When they pay the deposit, they are agreeing to that condition. Saying after the fact that the condition isn't fair or acceptable doesn't make sense. We can debate whether this condition is a fair business practice all we want but the reality is that the OP's friend signed a contract with a condition they now don't like. Take it up with Judge Judy. I know what she would say. :)

 

Cruising is a choice, not a necessity. We are very lucky to be able to do so.

 

Last February, I booked a last-minute "Flash" sale cruise on the Crown Princess. Non-refundable deposit and paid in full immediately. The day before the cruise, the friend I was cruising with from Boston had her flight canceled due to a major snow storm in the Boston area. I checked my insurance and I could have canceled the cruise and gotten everything back except for the cost of the insurance. As I waited for updates from my friend, I was prepared to pull the trigger. On the way to the airport for my flight to Houston, I had my daughter pull over just before entering the airport so I could check my friend's rebooked flight one last time. It had left the gate an hour before but hadn't taken off yet. With that last check, I literally saw her flight taking off using an app on my iPhone. She was on the last flight to leave, an hour after Logan officially shut down. Phew! I was on my way. My point is that cruising is an option, getting insurance is an option. We all make choices we later regret but it's important to take responsibility for poor decisions and not blame others.