How to file complaints about delayed refunds from online travel agencies?

When booking travel through online agencies like MakeMyTrip, Yatra, Cleartrip, or Booking.com, consumers may face delays or issues with processing refunds, especially when bookings are canceled or modified. Delayed refunds can cause significant financial strain and frustration for travelers. Thankfully, consumer protection laws like the Consumer Protection Act, 2019, and the E-Commerce Rules, 2020 provide mechanisms for consumers to file complaints and seek redress for such issues.

Steps to File Complaints About Delayed Refunds From Online Travel Agencies (OTAs)

Review the Refund Policy

• Check Refund Terms: The first step is to carefully review the refund policy of the online travel agency (OTA) where the booking was made. Most OTAs have clear terms regarding refunds for canceled bookings, which specify the timeframe within which the refund should be processed.
• Understand Cancellation Conditions: Depending on the nature of the booking (flight, hotel, package), the refund timeline can vary. In cases of flight cancellations, airlines generally have a 7-14 day window for processing refunds, whereas for hotels or tours, it may take longer.

Contact Customer Support

• Initiate Communication: If your refund is delayed beyond the stated period, contact the OTA’s customer support immediately. Provide details of your booking, the cancellation, and your refund request.
• Follow Up Regularly: If the issue is not resolved immediately, follow up through emails, phone calls, or even social media platforms to escalate the matter. Be sure to document all communication for future reference.

Escalate the Issue Within the OTA

• Use the Grievance Redressal System: E-commerce platforms and OTAs must have a grievance redressal system in place, as per the E-Commerce Rules, 2020. If the customer service team is unable to resolve your issue, escalate the matter within the platform by filing a formal complaint through the grievance redressal system available on their website or app.
• Time Limit for Resolution: The platform is required to resolve the issue within 1-2 weeks. If the problem persists, make sure to escalate it to a higher level or use the complaint escalation feature.

File a Complaint with the National Consumer Helpline (NCH)

If your issue is still unresolved, the National Consumer Helpline (NCH) provides a platform for filing consumer complaints. The NCH will guide you on the next steps and escalate the matter to the appropriate authorities if necessary.

• Process: You can either call the NCH or file a complaint online via the Consumer Online Resource and Empowerment Centre (CORE) portal. NCH acts as a mediator to help resolve issues between consumers and sellers.

File a Complaint with the Consumer Forum

If the OTA refuses to process the refund or further delays it, you can file a formal complaint with the District Consumer Forum (for claims under ₹20 lakh), State Consumer Forum (for claims between ₹20 lakh and ₹1 crore), or National Consumer Disputes Redressal Commission (NCDRC) (for claims over ₹1 crore).

• Documents Required: When filing the complaint with the consumer forum, be sure to provide the following:
  • Booking confirmation and payment receipts.
  • Communication records with the OTA (including customer support interactions).
  • The terms and conditions of the refund policy.
  • Evidence of the cancellation and the promised refund.

Seek Legal Action for Breach of Consumer Rights

• Unfair Trade Practice: If the delay in refund is due to an unjustifiable reason or if the OTA is deliberately refusing to refund, it may be classified as an unfair trade practice under the Consumer Protection Act, 2019. Consumers have the right to file a complaint for breach of consumer rights, seeking a refund, compensation, and damages.
• Legal Action for Financial Loss: If the delay in refund causes financial loss or inconvenience (e.g., forcing the consumer to book another flight or hotel at a higher price), the consumer may seek compensation for damages in the consumer forum.

Social Media and Public Pressure

• Public Complaints on Social Media: Many consumers have found success in getting quicker responses by posting about their issues on social media platforms such as Twitter or Facebook. Tagging the company in your posts may prompt a faster response from the OTA.
• Complaint on Consumer Websites: Some websites, like ComplaintBoard or Trustpilot, allow consumers to post complaints and reviews. These platforms are often monitored by companies and may prompt a faster resolution.

Consumer Protection Laws for Delayed Refunds

Consumer Protection Act, 2019

• The Consumer Protection Act, 2019, provides comprehensive protection for consumers in case of delayed refunds. Under the Act, any unfair trade practice (such as failing to provide a refund within the stipulated time) is subject to legal penalties.
• Section 2(47) of the Act defines an unfair trade practice to include a refusal to refund money or delay in refunds when the product or service does not meet the consumer’s expectations.
• Section 17 allows consumers to file a complaint for defective services, which includes delayed or non-received refunds. The consumer can seek a refund, compensation, or replacement under this section.

E-Commerce Rules, 2020

• Platform Responsibility: Under the Consumer Protection (E-Commerce) Rules, 2020, e-commerce platforms (including OTAs) are required to clearly display their refund, return, and cancellation policies. They are also obligated to ensure that these policies are honored and that consumers have easy access to grievance redressal systems.
• Grievance Redressal Mechanism: The rules stipulate that e-commerce platforms must resolve complaints related to refunds or cancellations within 30 days. Failure to comply with these rules could lead to penalties and legal action against the platform.

Example of Delayed Refund Case

Scenario

• Ravi booked a round-trip flight through an online travel agency for a vacation. Due to a personal emergency, he had to cancel the booking. The OTA confirmed the cancellation, but Ravi has not received a refund even after 45 days.

Steps Ravi Should Take

• Check Refund Policy: Ravi reviews the refund policy of the OTA, which states that refunds should be processed within 14 business days.
• Contact Customer Support: Ravi contacts customer support, providing the cancellation details and requesting the refund. He is told the refund will take another 15 days.
• Escalate the Issue: Ravi files a formal complaint via the OTA’s grievance redressal system and requests urgent action.
• File a Complaint with NCH: When the issue remains unresolved after further follow-ups, Ravi files a complaint with the National Consumer Helpline (NCH) for further assistance.
• File a Complaint with the Consumer Forum: If the issue persists, Ravi can file a complaint with the District Consumer Forum, seeking a full refund, along with compensation for the inconvenience caused.

Conclusion

Consumers have robust protections under the Consumer Protection Act, 2019, and E-Commerce Rules, 2020 if online travel agencies delay or refuse to process refunds. By following the proper steps reviewing the refund policy, contacting customer support, escalating within the platform, and filing complaints with the Consumer Forum or National Consumer Helpline consumers can ensure that their rights are upheld and seek redress for delayed refunds.