STA Travel administration

alexcloth08

Talks of STA going into administration. I currently have 1.8k in store credit after my trip was cancelled. What should I do? Is it protected?

thank you.

bradders1983

Can you tell us how you got a credit this large? Just wondering if its not too late to get the money back another way, perhaps through a bank chargeback, as it stands you essentially have a £1800 STA voucher and you would merely be a unsecured creditor and at the bottom of the list for any assets to be distributed, probably very lucky to get 10p in the pound back if they did go under.

bagand96

Worth noting that at the moment, it is the Swiss parent company entering administration.  For the moment day to day activities are continuing for subsidiary companies.  The parent will appoint administrators who will decide what to so next, it may be that the UK business is allowed to continue as they look to sell it or spin it off etc.

What is your credit for exactly?  What did you book, who was it with, when was it cancelled?  The STA Travel website seems to imply there is some sort of protection for Credit Notes.  They say that they are protected "in the same way as any other other products booked through us".  That seems to imply that for example if you'd booked an ATOL protected trip, your Credit Note would be ATOL protected.  This would be good news for you as your money is safe in any event.  But it will depend and it's hard to know for certain.  Is there any further information with your Credit Note?

The STA FAQs for Covid-19 refunds/vouchers are here: https://www.statravel.co.uk/refund-policy-coronavirus.htm

Also, it would appear that the terms of your credit note may well be reliant on the actual supplier of what you booked.  More information here: https://www.statravel.co.uk/static/uk_division_web_live/assets/STA-Travel_UK_Land-Refund_Policy_Coronavirus.pdf  It could be that if, for example, you'd booked with G Adventures, then it's a G Adventures credit.

travelingscot

bagand96 said:

Worth noting that at the moment, it is the Swiss parent company entering administration.  For the moment day to day activities are continuing for subsidiary companies.  The parent will appoint administrators who will decide what to so next, it may be that the UK business is allowed to continue as they look to sell it or spin it off etc.

What is your credit for exactly?  What did you book, who was it with, when was it cancelled?  The STA Travel website seems to imply there is some sort of protection for Credit Notes.  They say that they are protected "in the same way as any other other products booked through us".  That seems to imply that for example if you'd booked an ATOL protected trip, your Credit Note would be ATOL protected.  This would be good news for you as your money is safe in any event.  But it will depend and it's hard to know for certain.  Is there any further information with your Credit Note?

The STA FAQs for Covid-19 refunds/vouchers are here:

Also, it would appear that the terms of your credit note may well be reliant on the actual supplier of what you booked.  More information here: It could be that if, for example, you'd booked with G Adventures, then it's a G Adventures credit.

Thanks very much for that information, i found it helpful as I'm in a similar position.

I have 2k in travel vouchers in an STA business travel account which i pay for through my work so the original poster may he in the same position. 
Does this change anything from your post or can you add anything about what may happen? i understand it's still early so unclear but appreciate any insight you may have. 

Alan_Bowen

Oh dear, just having a travel credit is not the same at all. When COVID 19 started ABTA and the CAA got together and created the Refund Credit Note which is protected if the company fails. However, the basis of the scheme is that there was already a valid protected holiday which has had to be cancelled.

If you having simply been making payments into STA to enable you to book something in the future, there is no financial protection provided by the CAA or ABTA. It is similar to the Christmas Hamper scandal years ago when people had paid into a company for 11 months only for it to go bust a month before Christmas and everybody's money was lost. If you were paying it through work, I suspect it was by a deduction from your wages, so no credit or debit card protection either. Tell your employer to stop payments immediately! If STA in the UK survive, use the credit you have as quickly as possible and don't start paying into a similar scheme again, travel agents are not banks where your money is protected

jhollis3

Hi all, slightly different situation here:

we were supposed to be going on honeymoon with STA this summer, so obviously that didn’t happen. We were given the option by STA to request a full refund from the airline (Qatar) which we did rather than have £1000+ tied up in a credit note.

As of yesterday (when I emailed STA before they went offline) I have written confirmation from an STA staff member that Qatar have refunded the money to STA and that it was in the process of being sent onto us (to the card we paid on). 

Any idea what my best approach is now?
- Sit tight and hope they stick to their word (yesterday they said it could take 60 days)

- Try chargeback or section 75 (it was on a credit card)

- go straight to our travel insurance (which we got with direct line before they restricted how you could claim) 

Thanks, first time dealing with anything of this nature! 

bradders1983

Gone 
https://www.statravel.co.uk

Thrugelmir

The dominoes are starting to topple. 

bradders1983

Thrugelmir said:

First of how many?

Are there many left outside of TUI and Hays? Kuoni maybe?

bagand96

travelingscot said:

Thanks very much for that information, i found it helpful as I'm in a similar position.

I have 2k in travel vouchers in an STA business travel account which i pay for through my work so the original poster may he in the same position. 
Does this change anything from your post or can you add anything about what may happen? i understand it's still early so unclear but appreciate any insight you may have. 

Not sure how business travel accounts work.  I think @Alan_Bowen has offered you the correct advice, which I fear may not be good news especially now STA Travel UK has ceased trading.

bagand96

jhollis3 said:

Hi all, slightly different situation here:

we were supposed to be going on honeymoon with STA this summer, so obviously that didn’t happen. We were given the option by STA to request a full refund from the airline (Qatar) which we did rather than have £1000+ tied up in a credit note.

As of yesterday (when I emailed STA before they went offline) I have written confirmation from an STA staff member that Qatar have refunded the money to STA and that it was in the process of being sent onto us (to the card we paid on). 

Any idea what my best approach is now?
- Sit tight and hope they stick to their word (yesterday they said it could take 60 days)

- Try chargeback or section 75 (it was on a credit card)

- go straight to our travel insurance (which we got with direct line before they restricted how you could claim) 

Thanks, first time dealing with anything of this nature! 

Given that the website now says they have ceased trading, I think your first option is likely to have gone.  It's not clear yet if they have already appointed administrators, or whether there'll be a controlled wind up of the business.  Either way I'd say there's a very slim chance your refund will be processed.

I would get onto your credit card tomorrow.  Good news for you is that you have proof STA Travel owed you the money and were intending to pay it.  In the first instance they might want to do a chargeback, if that doesn't work be persistent and make a Section 75 claim.