Jacksonville, FL — With travel plans continuing to be disrupted due to the coronavirus, WOKV's Consumer Warrior Clark Howard is sharing his thoughts on whether you should pick a refund or a credit.
Howard says he has seen a number of cruise lines offering to give you a credit toward a future cruise, with extra money added on. But he recommends against that.
"Take the money. And the reason you want to take the money is that we just don't know, since the cruise lines have proven not to be eligible for any government assistance, who is going to make and who is not. So, I'd rather you have the cash. There's another factor too. And that is the cruise lines may well inflate the cost of future cruises, doing funny money accounting, knowing that so many people have bonus money sitting in their accounts and that they'll just charge higher retail prices for the cruises," says Howard.
When it comes to flights, Howard says you are legally entitled to a refund if the airline is the one that canceled the flight. However, Howard says if you are the one that canceled, the airline can hold on to the money as a credit.