Consumer Alert: Consumers Holding Island Air Tickets Should Seek Refunds Immediately

Posted on Nov 21, 2017 in News Releases, OCP

DEPARTMENT OF COMMERCE AND CONSUMER AFFAIRS
OFFICE OF CONSUMER PROTECTION

DAVID Y. IGE
GOVERNOR

CATHERINE P. AWAKUNI COLÓN
DIRECTOR

STEPHEN H. LEVINS
EXECUTIVE DIRECTOR, OFFICE OF CONSUMER PROTECTION

FOR IMMEDIATE RELEASE
November 20, 2017

Consumer Alert: Consumers Holding Island Air Tickets Should Seek Refunds Immediately
Office of Consumer Protection Advises Ticket Holders to Contact Credit or Debit Cards Issuers

Honolulu – Office of Consumer Protection, Executive Director, Stephen Levins, is urging Hawaii consumers who purchased unused Island Air travel tickets by credit or debit card to contact their credit or debit card providers to seek refunds.

Island Air has discontinued operations, and the contracted travel services paid for will not be delivered. Consumers seeking refunds should act as soon as possible, and seek other arrangements for their travel plans.

Hawaii Island Air, Inc., dba Island Air filed for Chapter 11 bankruptcy protection on October 16th of this year, but less than one month later ceased operations on November 11th. With bankruptcy court approval received on November 15, 2017, the company has since converted its case to Chapter 7. A trustee has been appointed to oversee the liquidation of the company’s unencumbered assets to generate cash to pay creditors. The liquidation process will be lengthy and what will be available for creditors is unclear. In circumstances such as this the consumers’ best option is to obtain refunds from their card providers.

“In most instances paying by credit card makes is easier for consumers to obtain a refund for services or goods that are not provided. In view of this, anyone who purchased an unused ticket by credit card needs to contact their credit card company as soon as possible to request a chargeback,” said Executive Director Levins.

There are time limits that consumers need to pay attention to when applying for a refund. Although some credit card companies may establish more generous policies federal law establishes a 60-day deadline from the time a credit card statement with the improper charge is first posted. For more information on how to request a refund or a chargeback, consumers should call their credit card company or review their statement.

More information on disputing credit card charges is available on the Federal Trade Commission website at https://www.consumer.ftc.gov/articles/0219-disputing-credit-card-charges.

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Media Contact:
William Nhieu
Communications Officer
Department of Commerce and Consumer Affairs
Email:  wnhieu@dcca.hawaii.gov
Phone: (808) 586-7582
Cell:    (808) 389-2788