FTC Consumer Alert

Federal Trade Commission n Bureau of Consumer Protection n Office of Consumer and Business Education

Travelers Advisory: Get What You Pay For

Whether youre planning to sun on the shores of St. Croix or ski the slopes of Zermatt, its wise to be an

informed travel shopper. To help you avoid unpleasant and costly surprises, the Federal Trade Commission

offers these tips.

 Try to buy your vacation travel package from a business you know. If possible, deal with businesses

that belong to professional associations such as the American Society of Travel Agents, the National Tour

Association or the United States Tour Operators Association. If youre not familiar with a company, get its

complete name, address and local telephone number.

 Be cautious if the names of the seller and travel provider differ. You may be dealing with a

telemarketer who has no responsibility to you after the sale. And be wary of ads in the newspaper, on the

Internet or that you receive by unsolicited fax that offer deeply discounted vacations. These deals often

contain hidden costs or dont tell you that you may have to attend a sales presentation to qualify for the

discount or the travel. Avoid buying from a firm that wants to send a courier for your payment or asks you to

send your payment by overnight delivery. The business may be trying to avoid detection and charges of mail

or wire fraud.

 Verify arrangements with your travel agent before you pay. Get the details of your vacation in writing

and a copy of the cancellation and refund policies. Ask if the business has insurance and whether you should

buy cancellation insurance. Get the names, addresses and telephone numbers for the lodgings, airlines and

cruise ships youll be using. Dont accept vague terms such as major hotels or luxury cruise ships. Call to

verify specific reservations, too.

 Use a credit card to make your purchase. If you dont get what you paid for, you may be able to dispute

the charges with your credit card company. Some telemarketers may claim they need your account information for identification or verification. They dont. Your account number should be used only to bill you for

goods and services.

 Be wary of prepaying for long-term arrangements. Timeshares, campgrounds or travel clubs may offer

to sell membership vacation accommodations for five years or more, or until you resell your interest. Unless

youre certain youll stay healthy, both physically and financially, and that the company selling the memberships will stay in business, prepaid vacations may not be right for you. In addition, annual membership and

maintenance fees may rise. If the seller claims the fees will stay the same, beware. Beautiful properties today

may be run-down in five or 10 years without sufficient maintenance. If you decide to buy a timeshare or

membership in a vacation club, be aware that resales are difficult, if not impossible, because theres no

secondary market. As for timeshares as investments: they rarely appreciate in value.

 Learn the vocabulary. You have been specially selected to receive our SPECTACULAR LUXURY

DREAM VACATION offer doesnt mean youll get a free vacation. It means youll be offered an
opportunity to pay for a trip that may fit your idea of luxury  or not. Subject to availability means you

may not get the accommodations you want when you want them. Blackout periods are blocks of dates,

usually around holidays or peak season, when no discount travel is available.

 Watch out for instant travel agent offers. Companies may offer to sell you identification that will

guarantee you discounted rates. These companies have no control over discounts. Only suppliers of travel

 cruise lines, hotel companies, car rental companies, or airlines  can decide to extend professional

courtesies, and to whom.

The FTC works for the consumer to prevent fraudulent, deceptive and unfair business practices in the

marketplace and to provide information to help consumers spot, stop and avoid them. To file a complaint, or to

get free information on any of 150 consumer topics, call toll-free, 1-877-FTC-HELP (1-877-382-4357), or

use the complaint form at www.ftc.gov. The FTC enters Internet, telemarketing and other fraud-related complaints into Consumer Sentinel, a secure, online database available to hundreds of civil and criminal law

enforcement agencies worldwide.

August 2000

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