Flybe collapse: How to get a refund on flights and and what customers' rights are

Airline Flybe has collapsed for the second time, leaving 75,000 passengers unsure of how to get refunds or replacement flights.

Flybe was a small-scale airline with eight aircraft flying 21 routes to 17 destinations across the UK and Europe.

But the company said it entered administration in a shock announcement over the weekend.

The company employed 321 workers, 277 of whom lost their jobs while the rest will stay on to help with the airline’s closure.

A January 28 Flybe statement read: “Flybe has now ceased operations. All Flybe flights to and from the UK are canceled and will not be rescheduled.

However, Flybe customers can obtain refunds or alternative flights in several ways.

Collapse: Flybe mainly operated flights in the UK, using a limited fleet of planes

Can I get a refund if I bought directly from Flybe?

Yes, but this is not guaranteed and depends on how you paid for a ticket.

If you booked a ticket directly with Flybe using a credit card, you may be protected under Section 75 of the Consumer Credit Act 1974, according to the Civil Aviation Authority.

If you pay for something worth more than £100 with a credit card, your credit card provider may have a legal obligation to refund you if that product or service is not delivered or does not correspond to its description.

If you paid for tickets worth less than £100 with a credit card, or paid with a debit or charge card, you may be able to make a claim under the chargeback rules.

The voluntary chargeback system allows banks to issue refunds for cash spent on goods and services that never materialize.

Customers may also be able to get a refund if they purchased travel insurance for their Flybe trip.

However, they will need to check the terms of their policy, as many travel insurance offers do not cover airline failures, according to financial data firm Defaqto.

Anna-Marie Duthie, travel insurance expert at Defaqto, said: ‘With flights and holidays canceled following the collapse of Flybe, many people’s holidays will be ruined over the next few months.

“While airline failures have become more available as part of travel insurance in recent years, nearly half of annual travel insurance policies still offer no coverage.”

What if I purchased through a third party?

If you purchased Flybe tickets through a third party company such as a travel or booking agency, CAA’s advice is to contact them directly for any refunds.

What if I bought a Flybe flight with a vacation package?

You may be covered by ATOL – the Air Travel Operator License. ATOL protection covers people taking a package holiday with a flight involved.

The scheme was set up in 1973 to prevent people traveling abroad from being cut off if their holiday business went bankrupt. It promises vacationers a refund or replacement trip if a vacation travel business fails before their trip begins.

Defaqto’s Duthie said: “Anyone who has booked travel with Flybe as part of a vacation package will be fully protected by the ATOL program and shouldn’t lose out.”

Customers in this position should speak to their travel agent for reimbursement or alternative flights.

>> ATOL protection: what is it really for?

Rivals offer cheap flights to Flybe customers

For those looking to book alternative flights, several airlines have launched cheaper deals just for customers affected by Flybe’s collapse.

British Airways sells one-way fares of £50, plus taxes, fees and charges, on routes between London and Belfast, Newcastle or Amsterdam. Customers can make their booking by calling the British Airways Contact Centre.

Ryanair is offering deals for Flybe customers from £29.99. These include routes from Belfast to the East Midlands, Manchester and Stansted.

EasyJet is selling flights for £49 in the UK and £79 internationally. Customers may need to show their original Flybe booking reference.