Hundreds of Irish holidaymakers have been hit by the collapse of the online travel reservation company 1800hotels.ie. The company announced on Tuesday night that it is involved in bankruptcy proceedings.
The company is currently uncontactable as all staff have been laid off. The message displayed on the company’s website reads: “1800Hotels has been forced by two suppliers into bankruptcy proceedings to restructure its debt. Some customers may experience room cancellations. All customers should contact their hotel directly to make sure that their reservation is not affected.
“1800Hotels is pursuing a legal injunction to prevent any further disruption of customer travel. We will work diligently to resolve this matter as soon as possible and will provide more information as it becomes available.”
The Irish Travel Agents Association (ITAA) is advising any 1800hotels.ie customers who made bookings on the site to ask a licensed travel agent to help them confirm or rebook their accommodation.
“Thanks to the totally outdated travel licensing regime in this country, 1800Hotels did not have to provide a bond to protect consumers,†said ITAA chief executive Simon Nugent.
“We recommend that customers who need to rebook accommodation ask a licensed and bonded ITAA travel agent for help. ITAA members have a better chance of rebooking customers’ rooms at, or close to, the rate originally quoted. And of course, if people book through a licensed agent, their money is protected by our bonding scheme.â€
Speaking to JOE.ie, one Irish consumer affected by the reservation company’s collapse said that she booked her Boston hotel in January through 1800hotels.ie and paid a deposit of €90 with her credit card.
“I called the company late last week to pay the outstanding amount on my hotel, which was a great deal. I couldn’t get through to anyone and I started to get a bit worried. Then on Monday I heard the news about 1800hotels.ie and I knew what was happening,†the disappointed customer said.
“I immediately called them, but there was no answer. So, I called the hotel they booked for me directly. They told me the booking was cancelled and that they would send me proof of the cancellation by 1800hotels.ie,†she explained.  “I think I will get my deposit refunded but I’m glad I didn’t have the full amount paid up, just in case. But now I have to book a new hotel, I’m going in August and I might have to pay over the odds.â€
It is expected that 1800Hotels will go into liquidation in the near future and that consumers who paid for their hotels with credit cards will probably be refunded through a claims process.