Travel Agents and expiry dates on their gift vouchers

buzz11

This topic has been covered many times on Liveline and newspapers but it seems that things are not changing.

Today I wanted to buy a gift voucher from any local travel agent but on the proviso that it doesn't expire, after a few calls here is what they told me;

1st Stop Travel... expiry after just 1 year
Corrib Travel... expiry after 2 years
USIT:...no reply on phone (are they closed?)
Fahy Travel... expiry after just 1 year but would extend by another 6 months if voucher brought in before expiry.

Hard to believe these businesses are still using old "grab-the-money" policies when customers should be welcomed in these difficult times.

Probably a consumer issue rather than a Galway one - if you want something like cash that doesn't expire give cash.

snubbleste

Don't buy a voucher.

biko

I assume they can't honour vouchers that was made 4-5 years ago.
I think a year is pretty good.

Anyway, Galway -> Consumer Issues.

996tt

id be more worried about the travel agent going to the wall, they are falling like flies.

You would be insane to buy a travel agent voucher imo, their industry is getting tougher and tougher. Fair enough you can have the credit card protection if you pay this way but then you have the hassle of following that up and also im sure they have a time limit on their protection.

Fey!

I can't see why they wouldn't honour it, unless it was a gift or prize given out by the business.

I had a woman ring me last week who has a voucher from us in pounds, making it at least pre-2002. We'll honour it at the euro value when she brings it in.

The reason is we've had the money for the last number of years working for us. The only proviso is that they MUST have the voucher with them (a lot of people try to use vouchers without having the voucher with them).

dilallio

Fair play to you Fey. Not many businesses would do this

Fey!

I think that a lot will, but they tend to be smaller businesses.

Sometimes all it takes is a polite call to the company if you do have a voucher that you think may be out of date. A lot of people will put a few quid with a voucher to make a purchase, so it can be worth the business' while to accept an older voucher.

Apologies for the spelling; I always get the plural and possessive of business wrong!!! Too many ssssssssssssssssssssssssssssssssss

ytpe2r5bxkn0c1

A year is fine (2 years pretty fair). A business can't hold that kind of committed cost on it's books year in year out. Your reference to "grab the money" policies is a bit unfair, naive, and unjustified. Many businesses do gladly honour out of date vouchers but you really can't expect them to.

Anyway, buying a voucher on any travel agent at present seems risky; let alone if you don't think it will be used inside 12 months.

buzz11

Samantha Dry Maple wrote: »

A business can't hold that kind of committed cost on it's books year in year out.

I don't understand that statement, selling vouchers is a bonus to a company not a cost because the business gets the money immediately yet the service/product may never be called on by the customer.

Also, its not a commitment on its books because again the customer may never redeem the voucher and the company gets to keep the cash.

Businesses are clamoring to sell vouchers because its so profitable and an easy way to generate income but the greedy businesses make even more money if they void your voucher after just 1 or 2 years and keep the cash.

ytpe2r5bxkn0c1

buzz11 wrote: »

I don't understand that statement, selling vouchers is a bonus to a company not a cost because the business gets the money immediately yet the service/product may never be called on by the customer.

Also, its not a commitment on its books because again the customer may never redeem the voucher and the company gets to keep the cash.

Businesses are clamoring to sell vouchers because its so profitable and an easy way to generate income but the greedy businesses make even more money if they void your voucher after just 1 or 2 years and keep the cash.

I'm not going to go into the full workings of it here, as if you don't know the accounting principles involved, it will take too long to get through. Basically a company has to carry an accounting cost of the goods or services it has promised to deliver. Imagine if vouchers valued at €20,000 were held from 2009 to 2015 for example and then were all surrendered in 2016. Imagine the impact on the P&L Account for 2016.

That said I won't ever buy vouchers with an expiry date.