Refundable vs Nonrefundable OBC

[Smitheroo]

Can someone explain the difference between the two and the differences involved earning each?  

 

I hate to ask questions that are probably very basic to most on this forum.   If there was a source available I would read through it but I can find nothing that explains a lot of the details in language that is easily understood by the newbie

[hallux]

Using the search box I found this thread with a nearly identical title from November where this was discussed.

 

[Smitheroo]

17 minutes ago, hallux said:

Using the search box I found this thread with a nearly identical title from November where this was discussed.

 

Thank you. I will copy this.  However, it doesnt say what makes one OBC refundable and another nonrefundable.   I think maybe OBC issued by NCL in a promotion like Free at Sea would be nonrefundable but OBC purchased with my credit card points would be refundable. And if I want to use that refundable OBC to pay for service charges (the $20/day/person charge) I would pay them on board.    A tip for the program explanation explained by BOA:  when you write that points can be used to purchase OBC continue with "and that OBC can be used for XXX (service charges) under these conditions (onboard).   I'm thinking that redeeming credit card points for OBC and then prepaying service charges with that OBC is not possible. as the O in OBC stands for Onboard.

[CaptainBazz]

4 minutes ago, Smitheroo said:

I think maybe OBC issued by NCL in a promotion like Free at Sea would be nonrefundable but OBC purchased with my credit card points would be refundable.

Yes, that is how I have always found it to work. Also Shareholder OBC is also non refundable. It is always stated in your booking if the OBC is refundable/non-refundable. Refundable credits can be used for the DSC, non-refundable cannot. Other than that everything I have purchased on board came out of my NR OBC.

[Smitheroo]

5 minutes ago, CaptainBazz said:

Yes, that is how I have always found it to work. Also Shareholder OBC is also non refundable. It is always stated in your booking if the OBC is refundable/non-refundable. Refundable credits can be used for the DSC, non-refundable cannot. Other than that everything I have purchased on board came out of my NR OBC.

Thank you!  So its better to use your NR OBC when possible (on things you can pay with NF OBC) first.  

 

Am I correct in thinking that if you want to pay for service charges for drinks etc using refundable OBC then it has to be done onboard?  (in other words, not prepaid)

[hallux]

14 minutes ago, Smitheroo said:

Thank you!  So its better to use your NR OBC when possible (on things you can pay with NF OBC) first.  

You don't get to choose what OBC is used for what purchases.  In theory the system will figure it out at the end of the cruise and use the non-refundable balance against what is eligible for it to be used for.

 

15 minutes ago, Smitheroo said:

Am I correct in thinking that if you want to pay for service charges for drinks etc using refundable OBC then it has to be done onboard?  (in other words, not prepaid)

If you took the Free At Sea promotion for drinks the 'service charge' is paid already, it was part of your final payment total.  If you're referring to charges above what the drink package covers (the amount over $15 and the gratuity on that amount for drinks over $15, or taxes on drinks ordered while in a port where such is collected) then yes that is done on board.

[MeHeartCruising]

Correct.  With NCL, OBC (both types) must be spent onboard.  Some cruise lines, like Royal Caribbean, allow you to buy things pre-cruise with your OBC.  But NCL does not.

[MeHeartCruising]

4 minutes ago, hallux said:

You don't get to choose what OBC is used for what purchases.  In theory the system will figure it out at the end of the cruise and use the non-refundable balance against what is eligible for it to be used for.

 

This has been my experience as well, except it happens DURING the cruise, not just at the end of the cruise.  However, during the cruise, it can be confusing to figure out what is going on with these 2 OBC types when you look at your bill on the TV screens in your room.  If you can't figure that out, go to the Service Desk and ask for a printed copy of your charges and ask them to clear up any questions for you.  You can do this during the cruise, if you like.

Edited March 8, 2023 by MeHeartCruising

[Smitheroo]

5 hours ago, hallux said:

You don't get to choose what OBC is used for what purchases.  In theory the system will figure it out at the end of the cruise and use the non-refundable balance against what is eligible for it to be used for.

 

If you took the Free At Sea promotion for drinks the 'service charge' is paid already, it was part of your final payment total.  If you're referring to charges above what the drink package covers (the amount over $15 and the gratuity on that amount for drinks over $15, or taxes on drinks ordered while in a port where such is collected) then yes that is done on board.

So, the OBC (that you received by trading in points) can be applied to the final payment (which includes the service charge)?   If not, how do you use OBC to pay for the service charge?

[hallux]

3 minutes ago, Smitheroo said:

So, the OBC (that you received by trading in points) can be applied to the final payment (which includes the service charge)?   If not, how do you use OBC to pay for the service charge?

If your points trade-in gets you refundable OBC then it will be applied against your DSC.

 

Alternative way to do things - if your CC allows for trading in points toward paying off the bill, just do that to avoid confusion.

[ggTexasGal]

Agreeing with @hallux!  This might actually be your better option for what you are planning.

[Smitheroo]

4 minutes ago, ggTexasGal said:

Agreeing with @hallux!  This might actually be your better option for what you are planning.

Thanks, and to Hallux also. I'm learning more each day

[Turtles06]

8 hours ago, MeHeartCruising said:

However, during the cruise, it can be confusing to figure out what is going on with these 2 OBC types when you look at your bill on the TV screens in your room.  If you can't figure that out, go to the Service Desk and ask for a printed copy of your charges and ask them to clear up any questions for you.  You can do this during the cruise, if you like.

 

Agreed!  For reasons I cannot fathom, the manner in which your account is displayed on the TV in your room, and especially if you have both refundable and non-refundable OBC, is very confusing.  Interestingly, it's NOT the way the account displays to Guest Services  -- they have a much easier display and it's simple to see from their display (and printouts) how much NF OBC you have left (the stuff you want to spend before the end of the cruise!). 

 

If there's anything confusing at all about what you see on your TV (or the app), just go to Guest Services and ask for a print out of your account.  It's a good idea to keep track of your account throughout the cruise, so that you can have any errors corrected before the last day, and/or clear up any confusion.   Get printouts periodically if you want. 

[pghflyer]

I last used nonrefundable OBC (including stockholder OBC) to pay for the balance of my CruiseNext (CN) certificate purchase in March 2022 on the Jewel.  Reading the nice table in the linked post above, it appears this has now changed and it is no longer permitted?

[hallux]

1 hour ago, pghflyer said:

Reading the nice table in the linked post above, it appears this has now changed and it is no longer permitted?

If you read the terms of the CruiseNext program it even says it's not.  I don't recall when that changed.

https://www.ncl.com/about/terms-and-conditions/promotions#cruisenext

[julig22]

1 hour ago, pghflyer said:

I last used nonrefundable OBC (including stockholder OBC) to pay for the balance of my CruiseNext (CN) certificate purchase in March 2022 on the Jewel.  Reading the nice table in the linked post above, it appears this has now changed and it is no longer permitted?

Good question - and the answer may depend on the ship - or just specific circumstances.

I had SH OBC on my last cruise.  At the beginning of the cruise, I got $100 cash in the casino and bought 2 CNs.  My account showed I owed $253, meaning it appeared as though they'd applied the SH OBC.  But as pointed out, the app could be somewhat deceptive.  Later on I also got another $100 NR OBC due to a missed port.

Later in the cruise I cancelled a couple of excursions and had a port credit, so also ended up with some refundable credits.  All in all, I only spent about $50 on things covered by NR OBC.  Yet I got a cash refund at the end of the cruise.  Not complaining, YMMV!