Commission to a TA

[vesw01]

The difference between what we were invoiced and what we are now being told to pay is the difference in the group rate. We never asked for a group rate - she offered it to us - it was her mistake in the beginning and said she would honor it and would put it in writiing - which she did - in front of my mother. Now that final payment is due on Monday - the are saying that there was a clerical error and what they sent us no longer applies. Meanwhile my brother sent his check along with a copy of the invoice they sent him with the amount highlighted and they cashed his check.

 

They say if we don't pay by Monday even though the $ is not due to RCCL til July 1st they will cancel our reservations.

[Nitra]

I would start making calls. Let them know they put the amount in writing, it is now a contract. Too bad they made an error. If they are not willing to honor, I would contact RCCL and report them too. I would also let them know you will be contacting the local news station along with the BBB and CLIA, to file formal complaints for them not honoring the contract they gave you. When they put it in writing, they pretty much entered into a contract with you to sell it at that rate. I might be wrong and I am sure someone will pop up if I am but if I remember correctly from my long ago law classes then I think I correct.

[rsscaptain]

One of my new favorite things to say in situations like this (when they start coming up with excuses) goes something like:

 

"We can do this the easy way, or we can do this the hard way, but you can be sure that one way or the other, in the end, this will be fixed."

 

Of course said as politely as you can manage. I think it clearly indicates that you will not be bullied, but still gives them the opportunity to do the right thing.

 

Theron

 

Yup! Great way to approach it. I get a pad and paper and document everything. Who I'm speaking with, the time of the call, and I ask for their extention, so that I can get back to them in case we get disconnected. ;)

[piercetc4]

a lady on our roll call from mariner 06 had 4 balcony cabins booked- somehow rci gave their cabins to other people- rci admitted it was their fault and gave them 4 j.s.'s because the balcony's were sold out by then-

 

can you find out who's fault it is that your parents cabin was cancelled 2- 27 - 07 just 7 days after you booked it , right? maybe the ta put a hold on it instead of actually booking it?

 

just throwing ideas out there -

 

hate this for you !

[jcanino]

So here is my question if the cruise total for 5 cabins is approx $10,000 how much commission would they be making? If they are making $2,000 then they can eat the $1k mistake b/c they are losing any money. If they are breaking even that is fine too. If they are losing a few hundred dollars and we can come to some sort of compromise and our family isn't our another grand - that would be great too. They want another $400 from me which I don't have....so that is why I am asking.

 

No one but the cruise line, agency owner and maybe the actual TA's know what your agency's commission rate is. Generally, if they sell under $30K in cruise revenue (not including port charges, taxes, etc) they will earn 10%. If they sell 30K to 50K, it goes to 11% all the way up to 16% for revenue over $850K. Some large agencies will earn overrides that take them above 16%. The possibility exists that they may only be earning around $750 on your $10,000 booking.

[jcanino]

If this is a brick and mortar chances are they are at the lower end of commission schedule 10 %

 

There are many B&M agencies that earn commissions well above the standard 10%. I would say that most (not all but most) home based agencies may fall into the 10% range.

[jcanino]

With 5 cabins it is not a group, that is only 10 berths so they did not get extra perks for group booking, ie extra commission, TC credit etc.

 

Not necessarily true. If 8 cabins were originally held and there were amenity points available, they could have been used to lower the TC to 1 free berth for 10 passengers.

[cruisinfanatic]

Not necessarily true. If 8 cabins were originally held and there were amenity points available, they could have been used to lower the TC to 1 free berth for 10 passengers.

More than likely this person booked the 5 cabins with hopes of getting 8 to get the group discount. Maybe the TA had hopes of adding 3 more cabins to get the group rate. Not likely we'll hear exactly what happenned when it was offered to the client.

[lvtotrvl1]

In her other thread there is much more detail.....Looks clearly like the TA is not honoring the price that she gave the clients in writing. I am a TA and usually will give the TA's leeway, but this sounds as if these people are really being taken by the TA>

[vesw01]

I assure you that at no time did you try to get 8 cabins - we booked our immediate family and that is all. We never even looked at our reservation since then.

[Nitra]

Not necessarily true. If 8 cabins were originally held and there were amenity points available, they could have been used to lower the TC to 1 free berth for 10 passengers.

 

BUT she stated that she only had 5 cabins, also if they originally held 8 cabins and used the GAP to lower it I have only seen a 1 for 12 not a 1 for 10 but things could have changed. If a 1 for 10 applied there would be no reason now for the TA to come back asking for the extra money.

 

Okay I went onto cruisingpower, still have access, and for 9/9/07 there were no GAP available for that sailing so the 1 for 12 or 1 for 10 does not even apply.

 

The agent might have booked 10 cabins in hopes of making it into a group.

[Autumnrose]

Have you showed them the invoices and told them that this is the amount you agreed to pay? If they had an error they should have found it and corrected it before you paid the deposit. I agree with the other poster that said that when you first paid the deposit you entered into a contract with the agency for the cruise. You should only be resonsible for the fare stated on original invoice. The only time the fare should change after you book is if taxes go up. The TA threatening to cancel before the final is even due is just wrong. Does this TA have a boss or do they own the agency. Maybe the TA is just trying to get the money early to try and make a certain monthly goal?

[vesw01]

Per RCCL the group is only 5 cabins - there has NEVER been any other cabins held, they are all the cabins we picked and in our names. I have on the phone all day. You would think there would be a problem resolution person in the company. I finally found someone who is a decent person - not to say there aren't decent people at RCCL, just someone who went to an executive with the problem. We are still trying to work through it. This has been a LONG day.

 

The only thing I have gotten so far is we can transfer our booking to another agent and work with them instead (the TA seems to agree to go along with this, not sure why they would not want to make something - we are willing to let them make 1/2 the commission), but I digress.....

 

My sisters TA is willing to take over the booking and give us an OBC - so that is what will happen tomorrow if RCCL can't help us.

[Autumnrose]

Per RCCL the group is only 5 cabins - there has NEVER been any other cabins held, they are all the cabins we picked and in our names. I have on the phone all day. You would think there would be a problem resolution person in the company. I finally found someone who is a decent person - not to say there aren't decent people at RCCL, just someone who went to an executive with the problem. We are still trying to work through it. This has been a LONG day.

 

The only thing I have gotten so far is we can transfer our booking to another agent and work with them instead (the TA seems to agree to go along with this, not sure why they would not want to make something - we are willing to let them make 1/2 the commission), but I digress.....

 

My sisters TA is willing to take over the booking and give us an OBC - so that is what will happen tomorrow if RCCL can't help us.

 

 

Aren't you still going to have to pay the higher price??

[rsscaptain]

Per RCCL the group is only 5 cabins - there has NEVER been any other cabins held, they are all the cabins we picked and in our names. I have on the phone all day. You would think there would be a problem resolution person in the company. I finally found someone who is a decent person - not to say there aren't decent people at RCCL, just someone who went to an executive with the problem. We are still trying to work through it. This has been a LONG day.

 

The only thing I have gotten so far is we can transfer our booking to another agent and work with them instead (the TA seems to agree to go along with this, not sure why they would not want to make something - we are willing to let them make 1/2 the commission), but I digress.....

 

My sisters TA is willing to take over the booking and give us an OBC - so that is what will happen tomorrow if RCCL can't help us.

 

Half the commision? Why? Only if they are half right, I would think. Unless I don't understand this right, this mistake belongs fully to them. If you know that you hold some responsibilty then I would get it. But if they made a contract with you, they should honnor it as is.

[SissasMomE]

BBB isn't a threat; most companies could care less. I would send the final payment in, with a copy of the invoice and a letter. I would outline everything that you said here - from day one to present day - like a timeline. Finally, I would make sure to emphasize that this is a contract and you will pursue any breach thereof to the fullest extent that you are permitted. Threatening someone with a lawsuit may not do a thing for a person or company who did not do anything wrong, but I guarantee it will make someone who is already saying "crap, I messed up" think twice before making it harder on themselves with being sued. I would look up the company online, send it to the registered agent, president, etc - certified mail. This is what I do for a living .... stop with the phone calls. Needs to be in writing at this point, as specific as possible. If you cannot find the business info, e-mail the TA company name to me and I will look it up for you.

[Jeano222]

Travel agencies MUST have insurance and this is one kind of case that an agency can make a claim. Screw-ups can happen and they have to protect themselves as well as the client. Disney requires a 2 million dollar policy before an agency can be a Disney Earmarked agency. The big cruise dogs online, probably have that much too. There is no excuse for a travel agency to do this kind of thing, even if it's a Mom and Pop business.

[KerriL]

Some agents are also required to take out their own policy. I know that I pay insurance yearly.

[willysgrandma]

First of all, RCCL usually doesn't discount prices on cabins even with a group - you get amenities. DH has booked several groups with them, the price was the same as what was listed ont he website - there was no discount.

 

And even if they did, the cruise line usually will usually honor the price of the group and not change the price of the cabin if they didn't have enough for a group. They may cancel amenities and you will lose any tour conductor credits.

 

Are you sure your agency actually booked your rooms at the time they quoted you the price? This sound like they didn't book at that time and maybe booked at a later date when prices may have gone up.

 

I think you have a nice small claims court case on your hand. The agency has Errors and Ommissions insurance for things like this.

 

Speak to the agency owner - tell them you have a contract with a price on it and if they don't honor that price, you will take them to court. Let them know you know they have error and ommission insurance for things like this.

[Disneycruisers]

I am not asking b/c I want to know how much someone is making for a living, I want to know b/c a travel agency is now trying to charge my family $1000 more for a cruise that we have in writing and final payment is due on Monday. I have a thread going for the last week trying to figure it all out. Their latest excuse is an accouting error. So here is my question if the cruise total for 5 cabins is approx $10,000 how much commission would they be making? If they are making $2,000 then they can eat the $1k mistake b/c they are losing any money. If they are breaking even that is fine too. If they are losing a few hundred dollars and we can come to some sort of compromise and our family isn't our another grand - that would be great too. They want another $400 from me which I don't have....so that is why I am asking.

 

this is why we never use travel agents

 

Rob

[Pradagal]

I love comments like "This is why we never use TA's". Like we all are out to make a huge commission and mess up your reservation.

Not everyone who has used a Travel Agent has had a horrible experience .

You need to pick your agent like you would a hairdresser or even your dentist. By doing your homework. Friends and collegues referrals are the best way. Interview your agent to make sure they understand what you expect from them.

Are they lousy agents out? Sure there are. Like ANY job not every agent should be doing this job. When you get a great agent they are worth their weight in gold and can help you turn a regular vacation into a trip of a lifetime.

I should know I have done it for many of my clients because I love what I do and I'm good at what I do! I love to travel all over the world and I bring my knowledge and experience back to the office.

There are plenty of us out there. Stop bashing agents because of a few bad apples!

Should we start polling what others people do on boards. Any used car salesman out there? Lawyers? Can we talk?:rolleyes:

[jbrand29]

Okay makes sense, I have not seen the other thread. There really is no way to know how much the agent is making BUT I can say this. if the error is the agents part, too bad. I know when I did this for a living, if we made an error, we ate it! Too bad for us, good for the client. I might tell them I made the error but they would not be paying for my mistake.

 

I agree you should do what some suggested.

 

With 5 cabins it is not a group, that is only 10 berths so they did not get extra perks for group booking, ie extra commission, TC credit etc.

 

If, say each cabin is 2k, you can take away about 400 off the top for port and tax, 200 per person, it might even be more, depending. but for this example we will use 400. that leaves 1600 cruise fare that is commissionable. IF the agency makes 10 percent, which is what we will assume, then they make about 160 per cabin, so about 800 for the whole booking. Even if they are making 16 percent, then they are making about 1280 for the 5 cabins. Not really a huge amount of money. .... again I just used these figures to give you an idea. Chances are the numbers are a bit high but close enough.

 

 

I wonder what the mistake is? I wonder if they misquoted you and typed up the information incorrectly, which is the invoice they sent you, they just put this information into the computer manually. I would ask too for the passenger copy of the invoice they received from the cruiseline. I used to attach those to my invoices so they knew what the cruiseline was charging and what I put into my computer was the same.

 

One thing about Royal Caribbean and group pricing/ammenities is that they don't guarantee the ammenities if you don't have 8 cabins. So maybe when they quoted you they thought they could get more cabins and didn't. So maybe the incentive/ammenity that they thought they'd get is now gone?????

[Merion_Mom]

The difference between what we were invoiced and what we are now being told to pay is the difference in the group rate. We never asked for a group rate - she offered it to us - it was her mistake in the beginning and said she would honor it and would put it in writiing - which she did - in front of my mother. Now that final payment is due on Monday - the are saying that there was a clerical error and what they sent us no longer applies. Meanwhile my brother sent his check along with a copy of the invoice they sent him with the amount highlighted and they cashed his check.

 

They say if we don't pay by Monday even though the $ is not due to RCCL til July 1st they will cancel our reservations.

Side note: Never pay by check and NEVER pay by check to the agency. Use your credit card, and make sure that the charge is to Royal Caribbean, NOT to the agency!

[jbrand29]

BUT she stated that she only had 5 cabins, also if they originally held 8 cabins and used the GAP to lower it I have only seen a 1 for 12 not a 1 for 10 but things could have changed. If a 1 for 10 applied there would be no reason now for the TA to come back asking for the extra money.

 

Okay I went onto cruisingpower, still have access, and for 9/9/07 there were no GAP available for that sailing so the 1 for 12 or 1 for 10 does not even apply.

 

The agent might have booked 10 cabins in hopes of making it into a group.

 

There might have been no GAP now, but perhaps when she booked it there were. I've booked some groups that start out w/ a higher GAP and as it gets closer to the cruise if there are any left it could be as little as 2 or 3. Personally I think Princess has the best GAP and group policies.

[jbrand29]

I assure you that at no time did you try to get 8 cabins - we booked our immediate family and that is all. We never even looked at our reservation since then.

 

But perhaps your TA quoted you a price that had the ammenities built in the price thinking that they would promote the sailing and get the extra three cabins...they couldn't get anyone else and so they lost their GAP points/ammenities w/o the full group. Royal Caribbean does that (takes away or says they are able to take it away), Princess does not if you fall short of your group.

 

I stand corrected...I re-read the group policies and while your rooms would go to individual bookings for falling short of the 8 cabins, your ammenities would be protected.