MUMBAI: Alongside heavy discounts on airfares, airlines are now setting up major deterrents to cancellations. Jet Airways on Tuesday revised its cancellation charges from a flat Rs 1,050 on alldomestic flights to penalties ranging from Rs 200 to Rs 2,000. According to travel agents, as per Jet Airways' new structure, the higher the fare, the lower will be the cancellation charge.
The lowest economy fare tickets will be non-refundable. The tickets priced a little more than the cheapest would attract a cancellation charge of Rs 2,000; the upper economy Rs 1,000; and premium class tickets the lowest penalty of Rs 250 to Rs 500.
"This is how most cancellation charges are slotted broadly. There are minor variations depending on the flights passengers book," said Ali Ahmed of Cupid Travels. "On the whole, the economy traveller will pay a higher cancellation charge. The cheaper tickets come with a heavy clause."
A Jet Airways spokesperson said the charges have not been increased on an ad-hoc basis. "The charges depend on the kind of fare and flight. There is a range of penalty."
Tour operators said the move might set a precedent for other airlines. If that happens, cancelling cheap tickets would lead to loss of more than half the money. "Last year, the cancellation fee on the domestic sector was hiked from Rs 750 to Rs 1,050. One airline took the step and others followed," said Rajesh Rateria, managing director of Cirrus Travels. "That may happen again." Another agent flyers may not book much in advance if charges go high on every airline.
Over the past four months, most airlines have been proffering heavy discounts on airfares. Spice Jet started the trend by announcing a fare of Rs 2,013 across sectors. Other airlines soon followed the lead. Jet Airways too offered many seats on special low fares. It is still providing some seats on various sectors for fares ranging from Rs 4,000 to 5,000.
http://timesofindia.indiatimes.com/business/india-business/Cancelling-air-tickets-now-a-costly-affair/articleshow/19351442.cms
The lowest economy fare tickets will be non-refundable. The tickets priced a little more than the cheapest would attract a cancellation charge of Rs 2,000; the upper economy Rs 1,000; and premium class tickets the lowest penalty of Rs 250 to Rs 500.
"This is how most cancellation charges are slotted broadly. There are minor variations depending on the flights passengers book," said Ali Ahmed of Cupid Travels. "On the whole, the economy traveller will pay a higher cancellation charge. The cheaper tickets come with a heavy clause."
A Jet Airways spokesperson said the charges have not been increased on an ad-hoc basis. "The charges depend on the kind of fare and flight. There is a range of penalty."
Tour operators said the move might set a precedent for other airlines. If that happens, cancelling cheap tickets would lead to loss of more than half the money. "Last year, the cancellation fee on the domestic sector was hiked from Rs 750 to Rs 1,050. One airline took the step and others followed," said Rajesh Rateria, managing director of Cirrus Travels. "That may happen again." Another agent flyers may not book much in advance if charges go high on every airline.
Over the past four months, most airlines have been proffering heavy discounts on airfares. Spice Jet started the trend by announcing a fare of Rs 2,013 across sectors. Other airlines soon followed the lead. Jet Airways too offered many seats on special low fares. It is still providing some seats on various sectors for fares ranging from Rs 4,000 to 5,000.
http://timesofindia.indiatimes.com/business/india-business/Cancelling-air-tickets-now-a-costly-affair/articleshow/19351442.cms
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