by Donald Wood
Last updated: 9:56 AM ET, Wed April 15, 2020
The Airlines Reporting Corporation (ARC) has announced changes to its debit memo and chargeback policies as a result of the ongoing coronavirus outbreak.
According to the official website of ARC, the company shared a message with travel agents and advisors on Tuesday expressing its desire to help customers manage debit memos and chargebacks by not holding them liable.
ARC said it would not be taking action against clients regarding debit memos involving flight cancellations or passenger compensation disputes caused by the viral pandemic.
"ARC will not hold travel agencies liable for the payment of such memos, nor will ARC take any action against agencies that could affect their accreditation status for failure to do so," ARC said in a statement.
Travel agents who do receive a debit memo from ARC are being advised to dispute it within the company's system using a new code. Officials also revealed it has suspended its ARC Pay chargeback fee until further notice.
In addition, ARC has extended the grace period from 15 to 45 days for its Ticket Resolution Services compensatory fee, which allows travel agencies and airlines to focus on resolving open debit memos.
"ARC not taking action on debit memos that involve flights canceled by an airline or government, or debit memos that are related to a passenger compensation dispute - either resulting from COVID-19 - is exceptional," ASTA said in a statement. "By not holding travel agencies liable for the payment of such memos, nor taking action against agencies that could affect their accreditation status for failure to do so, is a strong testament to the value and trust placed in the travel agency community by ARC and its owner airlines."
For travel advisors, TravelPulse is keeping them abreast of all the latest happenings in the industry as the coronavirus outbreak continues to impact the industry, including tips to keep them prepared and destinations to visit when restrictions are lifted.
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