As South Koreans eagerly plan overseas vacations for the upcoming Family Month in May, a concerning trend of travel-related scams and disputes is emerging, prompting consumer warnings. The Korea Consumer Agency (KCA) has reported a significant increase in damages related to travel, with a staggering 3,922 cases filed between 2020 and 2023. Alarmingly, overseas travel accounted for the vast majority of these complaints, totaling 3,356 cases, or 85.6%.
While the number of travel-related incidents plummeted to 264 in 2021 due to the COVID-19 pandemic, figures have steadily climbed back up, reaching 443 in 2022, 896 in 2023, and a concerning 1,167 cases in the past year alone.
The most prevalent issues revolve around contract disputes, accounting for 66% (2,587 cases) of all complaints. These include exorbitant cancellation fees and the failure or delay in receiving refunds. Furthermore, travelers have faced problems with incomplete contract fulfillment and subpar travel quality (25.4%, 996 cases), such as unilateral itinerary changes, dissatisfaction with local guides and accommodations, and instances of forced shopping.
A particularly troubling aspect is the growing number of consumers left without refunds even after their travel contracts are canceled. The KCA attributes this to the precarious financial situations of many travel agencies grappling with accumulated losses from the COVID-19 crisis.
Illustrative cases highlight the severity of the problem. Mr. A, who paid over two million KRW in cash for a package tour to Kota Kinabalu, was abruptly informed of the cancellation just 16 days before departure and received neither his money back nor the promised compensation. The travel agency subsequently vanished, leaving him with a substantial financial loss. Similarly, Mr. B purchased a long-term 'savings-type travel product' promising a full refund even without travel. Despite fulfilling his payments and the maturity date passing, the travel agency has refused to issue a refund, citing financial difficulties and vaguely stating it could take over a year.
In response to this escalating issue, the KCA is urging consumers to exercise caution when booking travel. They advise researching travel agencies through reviews to ensure reliability and carefully scrutinizing cancellation policies before committing to package deals. The agency strongly recommends using credit card installments for payments, as this provides consumers with the right to dispute remaining charges(할부 항변권) if the agreed-upon services are not delivered.
A KCA official emphasized the importance of gathering evidence during travel, such as videos, photos, and audio recordings, to prepare for potential disputes. As the peak travel season approaches, these warnings serve as a crucial reminder for South Korean travelers to remain vigilant and protect themselves from potential scams and unfair practices in the travel industry.
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