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US Department of Transportation Fines Latham $1 Million for Late Reimbursement – Money Times

US Department of Transportation Fines Latham $1 Million for Late Reimbursement – Money Times

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From the end of 2021, Latam changed the policy and started refunding the original model in most cases (Image: Agência Brasil)

Department of Transport to us Fined can At $1 million. The body contends that the company “failed to make timely reimbursements to passengers” leaving or entering the country during the pandemic.

The department highlighted that since March 1, 2020, it has received more than 750 complaints from passengers regarding delay in returning values. “In our investigation from March 2020 to at least November 2021, The can Consumers requesting a refund must first obtain a travel voucher and then cash it through a bank transfer.

From the end of 2021, Latam changed the policy and started recalling the original model in most cases. Voucher will be discontinued on May 24, 2022.

“It took LATAM more than 100 days to process thousands of refund requests, and as a result, thousands of consumers suffered significant harm due to serious delays in receiving their refunds,” the US Department of Transportation said.

In response, the airline says it had to cancel more than 1,100 flights a day at the start of the pandemic, while the number of refund requests quadrupled from normal levels.

Despite extreme circumstances threatening Latham’s survival and significantly reduced staff, the company argues that it has always honored its obligation to refund passengers on canceled flights, even if withdrawals are delayed.

Since the start of the pandemic, the airline says it has issued more than US$62 million in refunds for canceled flights departing or arriving in the US. To process refund requests more efficiently, Ladam says it has implemented a new digital platform to automatically process eligible refund requests.

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According to the company, approximately US$ 2 million was invested to implement and maintain the site. According to the US agency’s note, the company plans to invest a similar amount in 2023 to continue improving the passenger experience with the refund process.