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I'm Gary Bembridge this is another of my
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cruising tips for Travis I want to take
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a look at why cash refunds and the
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allocation of future cruise credits is
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taking so long and some of the things
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that you can do to make things go
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quicker easier and reduce a lot of the
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stress let's take a look of five things
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that you need to Reno about why refunds
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are taking so long the first time most
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obvious of them is volume if you
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consider there's around about 600,000
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people on cruise ships every single week
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of the year when they're selling so
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that's let's see most people travel as a
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couple that's around about 300,000
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bookings what the cruise lines are
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telling us is between sort of 40% and
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50% off cruises are asking for cash
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refunds so that's around a hundred and
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fifty thousand bookings every single
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week that has canceled that have to be
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processed so if you consider cruise
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lines are cancelling roughly about a
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month of cruises at a time
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that means there's up to half a million
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of cash refunds that need to be
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processed so the volume is absolutely
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enormous and that of course takes a lot
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of time to work through process and
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raise the refund which then gets charged
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back to your credit card
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the second thing though that's also
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creating a huge amount of work is even
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if you take the future cruise credit
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option in many cases and for most cruise
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lines there's also a nother refund that
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has to happen so you'll find for example
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you get port fees will be refunded in
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cash or if you've done things like you
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bought Wi-Fi in advance paid gratuities
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drinks packages excursions or you've
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bought any other kind of things like
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that those are cash refunded so even if
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you're taking future cruise credit
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someone has to work through and cash
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refund all those elements that you get
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cash refunds for so if you take for
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example a couple of my experiences so
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for example I had a Royal Caribbean
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cruise cancelled I decided to take the
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cash but actually got back six different
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refunds which cause got the fare the
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gratuities so that meant for that actual
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one booking there were six actual
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transactions that had to be processed so
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the volume is absolutely enormous the
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third thing to note is that the cruise
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lines themselves are reducing the number
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of stars so a lot of people have been
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laid off or furloughed and there are
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some of them were working shorter hours
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and most of the call center people
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because of social distancing and
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lockdowns are working from home so
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they're actually working with less
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resources out of the office so for them
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it's a much more complicated process
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because it's reliant on the hours they
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can work the time they can work the
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situation at home connections to Wi-Fi
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etc etc so actually their whole process
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is not as simple and easy you've got
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this huge big volume and you've got
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people trying to cope with just the
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volume to be processed the fourth thing
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to understand is that when they cancel
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they're cancelling five weeks or four
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weeks or whatever at a time so they're
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generating millions of transactions that
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have to be processed and what they're
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then doing is they're tending to work
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for them first-come first-served or
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cruise by cruise so depending on the
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cruise line some of them are saying what
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they'll do is their works with
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cancellations in the days order that
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cruises come so if your cruise happen to
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be at the end of that batch that's
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cancelled you're probably going to be at
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the end of they start processing some of
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the cruise lines or doing a slightly
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differently it's based on the order that
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they get the request but there is a
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sequencing process that will off course
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add more time to the whole process of
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getting your refund the fifth and one of
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the things that concerns people perhaps
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the most is of course the cruise lines
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are managing cash Cruise Lines have a
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big cash flow issue they are not getting
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any revenue in or getting very limited
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revenue in but if huge costs going out
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so we know that it costs between a
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hundred million and a hundred and fifty
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million dollars per ship to keep that
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ticking over now they've gone into cold
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layout which means they've reduced the
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costs quite significantly but they are
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spending literally billions every single
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month to keep things ticking over at the
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same time they then have to have the
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cash flow going out for refunds so
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without a shadow of a doubt there will
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be some cash flow management going on to
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keep the way of this cash draining out
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of the system much more manageable the
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cruise lines are bring a lot of money in
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billions of dollars in to help tie them
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over but they are going to be managing
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cash which is why you'll hear thing
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like some of the cruise line saying it's
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going to take 90 days a combination of
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the volume staff just being able to cope
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with it and also to manage the cash so
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what are the five things that I think
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you should do to try make this process
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less stressful easier and hopefully
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speed up the whole process of getting a
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refund well first of all and absolutely
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really really importantly is keep up to
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date with your specific Cruise Lines
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rules regulations and processes as this
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has been going on the rules and
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regulations have changed the time frames
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have changed the percentage that they're
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giving you incentives in terms of future
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cruise credits have been tweaked over
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time so make sure you really understand
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what the current terms and conditions
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are particularly if you're waiting for a
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cruise to be cancelled so for example
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I've had five cruises cancelled so far I
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have two more that I'm expecting and so
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I'm keeping an eye on those two cruise
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lines to understand what they're
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currently doing what the rules are
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are they automatically refunding future
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cruise credit are they giving a specific
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window of time where I'm gonna have to
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apply and what are the actual
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regulations and rules and expiry dates
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so make sure that you absolutely
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understand for your cruise line what the
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rules and regulations are so you know
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when your cruise gets cancelled as your
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cruise get cancelled which option is
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gonna work best for you and which
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process you want to go with personally
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I'm taking mostly cash refunds because I
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have so many cruises as I've already
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mentioned I've had all those cruise
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canceled I have a whole bunch of for the
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rest of the year so I actually want to
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have the cash to maintain flexibility as
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I look at next year I don't want all the
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future cruise credits piling up and
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locking me into having to go to a
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certain route so that is my second point
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you need to decide do you want the
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future cruise credit or do you want the
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cash and I've told you why I'm taking
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cash why should you consider taking
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future cruise credit well if you know
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already that you're going to be booking
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on that cruise line immediately that you
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get your future cruise credits then of
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course take the future cruise credit
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because you're gonna get that bonus and
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then you can go straight in and use that
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to make your next booking generally
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speaking the futures cruise credits are
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coming through really really quickly for
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most cruise lines the third really
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important thing and the summer that I
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found is work quite well for me is dire
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eyes everything so when you know that
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your cruises cancelled
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dier eyes some specific dates so for
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example using the Norwegian Cruise Line
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example again as they were going to give
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a very specific window of time when they
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making the claim now that was like two
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weeks ahead of once they announced that
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cruisers have been canceled so I put in
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my diary when I got up that morning I
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logged on it was available to make the
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claim and I put the claim in hopefully
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that would mean that I'm at the
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beginning of the queue for processing so
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make sure you you know the exact date
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between if you have a window of time you
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have to do something some of them then
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also give you an expiry date so you have
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to have submitted a claim by a certain
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date so make sure you understand when
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that is dire eyes when you should be
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getting that refund so for example I put
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in my in my diary all the dates that I
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should have a refund the latest date so
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that just reminds me at what point I can
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start chasing in that way although it
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does mean you're waiting for a long time
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it takes out some of the stress so
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instead of me checking every day in my
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bank have I got the refund hell ago the
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refund I knew that I had a certain date
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to check and it certainly took a lot of
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stress out the process the good news is
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that I've found so far all the cruise
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lines that I've had cancelled I've
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actually been paid before that date has
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come up if you do take feature cruise
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credit make sure you've put in your
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diary when it expires and perhaps have
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little mind is every couple of months if
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you haven't decided what to do so you
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don't debt those future cruise credits
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expire my next point is be kind
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especially to the cruise line agents
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that you may be talking to emailing with
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communicating with this is a very
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stressful difficult time for everybody
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bear in mind the cruise lines are under
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enormous pressure lots of it
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colleagues have been laid off furloughed
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there's a lot of uncertainty it's a very
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stressful and difficult time for them
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they have a lot of work on their plate
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and actually getting really angry and
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difficult with them is not actually
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going to help the firm be kind and I
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think you're gonna find you generally
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find that people are responding really
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well to that's hopefully you've
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understood a little bit why they're
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taking so long to process through it's
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probably less of a conspiracy and much
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more just of a pure logistics and
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challenging time that cruise lines have
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to do deal with I have loads more videos
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packed full of tips and advice about all
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things cruising so why don't you watch
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another one of those right now