Travel agent or online booking: which is better

Travel agent or online booking mostly comes down to how complicated your trip is, in our view. Booking online is usually enough for one flight or one hotel on fixed dates. For a trip with several parts, an agent is worth the extra step.

The law can protect you either way. You can compare the two on cost, protection if the seller fails, changes and support.

Sources for this section: Consumer Affairs Victoria, Booking travel.

What the law gives you either way

The Australian Consumer Law is the national law behind your travel rights. Its guarantees for services cover consumer purchases made on or after 1 January 2011. A travel business must supply its service with due care and skill. The service must be reasonably fit for any purpose you told the business about. It must also be supplied within a reasonable time when no time is set. In most cases the business cannot exclude these guarantees, even if you agree to its terms.

Consumer Affairs Victoria (CAV) says travel agents must quote accurate prices and make optional surcharges clear and prominent. A guide for travel businesses written by Australia's consumer regulators shows how total prices work. A holiday is advertised at $1,990, and the fine print says airport taxes are extra. The taxes are a known $250, so the $2,240 total should be as prominent as the $1,990.

An overseas website can be harder to deal with. CAV says your rights may also apply there, but you might find it hard to get a refund or another fix.

Sources for this section: Consumer Affairs Victoria, Booking travel; Australian consumer regulators, Travel and accommodation: an industry guide to the Australian Consumer Law.

Cost: compare the final price

The Australian Federation of Travel Agents (AFTA) says agents are often cheaper, especially for complicated itineraries. That is the industry's claim, so get a quote.

Compare totals, not headline prices. The regulators' guide says online booking providers set their own terms on deposits, booking fees and cancellations. It adds that a cancellation, booking or administrative fee should not be excessive. Agents accredited by AFTA's scheme, ATAS, must follow a code. It says an agent gives you its terms at or before the sale and, where available, details of any standard fees on request. Either way, get the total price in writing.

Sources for this section: AFTA, Why book with an ATAS agent; ATAS, Code of Conduct; Australian consumer regulators, Travel and accommodation guide.

Protection if the seller fails

Until industry deregulation in 2014, licensed travel agents had to join the Travel Compensation Fund. It acted as last resort insurance if an agent or an associated tour operator failed. CAV says the licensing scheme ended on 1 July 2014. Western Australia's Consumer Protection division says the compensation scheme no longer exists.

With the fund gone, protect yourself before you pay. That goes for agents and websites.

• Pay by credit card, or choose "credit" on a debit card. You may be able to ask your bank for a chargeback if you do not get what you paid for. Rules can vary by card, and there may be a time limit. Chargebacks do not cover payments such as cash, cheque, money transfer, direct debit or BPAY. Western Australia says many customers who paid in cash or by bank transfer in recent agency collapses became unsecured creditors. It adds that a card may carry a small surcharge, but it could be worth it if your card offers a chargeback.
• Check your travel insurance. Western Australia says many policies do not cover a travel agent going under.
• With an agent, look for accreditation and ask if it has insolvency insurance. ATAS is voluntary, and it has a code of conduct and a complaints process.
• With a website, check the business first. CAV suggests reading reviews and looking for clear steps for problems and refunds, contact details and https on the payment page.

Sources for this section: Consumer Affairs Victoria, Travel agents and Booking travel; ATAS, Frequently asked questions; Western Australia Consumer Protection, Avoid pre-holiday blues, buying travel tips.

Changes and support

Read the terms before you pay, so you know your options if you have to change or cancel. The ATAS FAQ says a business does not have to refund you because you changed your mind, booked the wrong product or found a cheaper price. The business may let you change the booking, but it may charge a fee.

CAV says a refund for a cancelled flight can depend on several things. They include the reason, your contract with the airline, your insurance and the airline's refund policy.

An agent adds one more link. Western Australia says an itinerary printed by an agent does not secure your travel, so insist on formal documents from the airline or supplier.

AFTA says an accredited agent can help if, for example, a flight is delayed or cancelled, you need to reschedule or a supplier stops trading. It also says some agents offer 24-hour service. The ATAS code says an agent will acknowledge a complaint within 3 business days. It says the outcome is due within 10 business days, unless the agent is waiting for a reply it asked you for.

Online sellers differ, so check how to reach them before you pay. Some airlines also belong to the Airline Customer Advocate scheme. If a seller will not fix a problem, your state or territory consumer agency is the next step.

Sources for this section: AFTA, Why book with an ATAS agent; ATAS, Frequently asked questions and Code of Conduct; Consumer Affairs Victoria, Booking travel; Western Australia Consumer Protection, Avoid pre-holiday blues, buying travel tips.

Which one fits your trip

These picks are our own judgement.

Whichever you choose, pay by credit card and get the terms in writing. With an agent, also get the airline's or hotel's own confirmation.

Sources for this section: AFTA, Why book with an ATAS agent; Consumer Affairs Victoria, Booking travel; Western Australia Consumer Protection, Avoid pre-holiday blues, buying travel tips.