October 17, 2012 Never Ever Pay for Future Travel With Cash!
Club ABC tours of New Jersey shut down without warning on October first. The shutdown has stranded hundreds of tourists across the globe. Individuals woke up to find hotels, transfers, and airline tickets had all been canceled. Tourists in some cases were left on the hook for hotel rooms they had thought they had paid for. Tourists turned to the insurance company only to find out the travel insurance they had thought they had purchased hadn’t been paid for. The end result of this, everyone was stuck. Near the end ABC tours had been offering discounts if the buyer paid in cash. While such discounts are nice, there is no remedy if the company selling the tour goes out of business. For those that used credit cards, the credit card companies will generally reimburse the original travel charge. This allows people to at least get their money back, even if they have to spend it getting home.
So, what can a traveler do to protect themselves: one, always pay with a credit card; two, use a reputable travel agent (AMEX, Walt Disney, other big names); and three, always have a plan for what happens if everything goes pear shaped. I myself always keep enough frequent flyer points on hand so if I have to I can grab a flight from anywhere I am to anywhere I need to be.
Anyways, best of luck to the stranded former patrons of Club ABC Tours