Customers left thousands out of pocket after collapse of AVG Travels
‘It still hasn’t hit me completely. I feel physically sick.’
A family says it has been left thousands of dollars out of pocket following the collapse of an Australian travel agent.
The Haysoms spent more than $20,000 and were just months out from their dream holiday — a 10 day overseas trip with plans to visit Tokyo Disneyland.
WATCH THE VIDEO ABOVE: Travel agency collapse leaves thousands out of pocket
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By continuing you agree to our Terms and Privacy Policy.But after Melbourne-based AVG Travels entered liquidation this week, they are unlikely to be going anywhere.
“It still hasn’t hit me completely. I feel physically sick,” Chris Haysom told 7NEWS.
The family, from Byford in Perth , made a final payment to AVG on May 22, just days before Matthew Hutton and Mark Holland of McGrathNicol were appointed as liquidators.
“It’s a half year’s mortgage payments for our house that has just disappeared into the abyss,” Haysom said.
Horror stories from customers detailing shock cancellations and other issues emerged before the company — which boasted clients could “travel more and spend less” — was placed into liquidation on Tuesday.
“Stuck at Shanghai airport now. Apparently AVG made the booking but didn’t pay for the ticket, therefore no tickets were issued for us,” one customer claimed on social media.
“Our local guide contacted AVG and they suggest we pay the ticket ourselves first — that’s $1000 per person — (and) AVG will reimburse us back.”
McGrathNicol said it is undertaking an “urgent review” of the company’s financial position and operations to “determine the best course of action to preserve value for stakeholders”.
WA’s consumer watchdog warned customers, as unsecured creditors, are last in line to get their money back if any is left over after the liquidation process.
AVG is not currently issuing refunds and the best chance of reimbursement is through your credit card company or bank.
“Reach out to them straight away, don’t hesitate, and see if you can get a chargeback on that,” WA Consumer Protection conciliation and services director Owen Kelly said.
Another tip is to look at your travel insurance.
“You may be able to recover something there,” Kelly said.
