Where does deposit money go?

[never2home]

What do the cruise lines do with money they receive as a deposit?  Do they use it for expenses or do they place it in escrow?  I called Regent Seven Seas and they would not answer the question nor would they connect me with accounting.  The information is needed to decide whether to insure our full deposit or not.

Edited October 14, 2020 by never2home

[iamtrustworthy]

3 hours ago, never2home said:

What do the cruise lines do with money they receive as a deposit?  Do they use it for expenses or do they place it in escrow?  I called Regent Seven Seas and they would not answer the question nor would they connect me with accounting.  The information is needed to decide whether to insure our full deposit or not.

Hi never2home,

 

Wow. I'm surprised you weren't given an answer. Maybe your travel agent can help you figure it out.

 

I also think you should post this same information on this thread:

 

The people on this thread have a lot of experience with Regent.

 

Steve Dasseos

[phillygirl2400]

This is an interesting question. Why does it matter to you? Are you trying to determine if you would get a refund if the cruiseline went bankrupt? Let us know what you find out. 
 

[never2home]

2 hours ago, phillygirl2400 said:

This is an interesting question. Why does it matter to you? Are you trying to determine if you would get a refund if the cruiseline went bankrupt? Let us know what you find out. 
 

Yes, I am concerned about bankruptcy.  The cruise I have booked is 2 1/2 years away so a lot can happen in that time.  I want to remain optimistic, but don't want to lose money either.

[Hlitner]

There are no laws or regulations in the USA that would require a cruise line to hold deposits in escrow.  The cruise lines are free to use the actual cash as part of their basic operating funds if they so please.   The popular financial saying that "cash is fungible" applies.

 

Hank