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Northwest’s form response

July 2, 2006

If ticket prices fall, airlines typically offer passengers a refund. At least that’s what they say. Check out the fine print, though, and you’ll notice a lot of loopholes: administrative fees and the use of vouchers instead of credit.

Few carriers are better at offering such “refunds” than Northwest Airlines. Here is an actual exchange between a passenger and Northwest’s customer service department. The airline’s rationale for its actions is the finest example of corporate double-speak that I’ve come across in months.

Here is the letter to Northwest:

Dear Northwest Airlines,

A few weeks ago I purchased two tickets roundtrip Tampa-Indianapolis for a trip beginning July 19. Yesterday, I noticed that the price of these same tickets is now $70 less ($35 each).

I contacted Northwest and was told there was a $25 administrative fee for giving me a voucher for the difference. I didn’t think that was fair but decided to request it anyway as I at least would be putting back $45 into some future travel with Northwest. (You don’t offer refunds, only travel vouchers.)

Lo and behold, even though I purchased the two tickets in a single transaction, you charged the $25 fee for each ticket. So my net “gain” was only two $10 vouchers for some future travel.

I feel I have had $50 stolen from my poor purse. My customer agent, “Rich,” just laughed when I questioned this policy and said Northwest would not change its policy for me.

Further, he apparently cut me off from the customer service survey which was said to follow my transaction. I got only a dial tone after Rich hung up.

June Shassere

Here’s Northwest’s response:

Dear June Shassere,

In your recent email, Ms. Shassere, you alerted us to your concerns regarding our fare reduction policy. On behalf of Northwest Airlines and our affiliate carriers, we thank you for writing and allowing us to explain our policy.

Northwest offers various fare levels and these rates can change without notice. We may also offer special or promotional airfares for a limited time and in limited quantity. When a customer confirms a reservation, we offer the lowest fare available for which the traveler is eligible for the dates, flights, and class of service the passenger requests.

While some airfares may be eligible for a fare adjustment if a lower rate is introduced, there are some fares that may not. The original itinerary must meet the restrictions applicable to the lower fare and seats must be available in the appropriate inventory for the same flights and dates already ticketed. Itineraries cannot be altered.

If a lower fare meets the above requirements after a ticket is purchased and prior to travel, the fare will be adjusted. The passenger may choose one of these two options when reissuing their ticket.

(1) The difference may be refunded in the form of an Electronic Miscellaneous Charges Order (EMCO) minus a $25.00 administrative fee. The EMCO can be applied to future travel on Northwest/KLM within the terms and conditions noted.

(2) The difference may be refunded to the original form of payment minus a processing fee ($100 minimum or according to the fare rules).

As our valued WorldPerk member, Ms. Shassere, you are in the best position to point out areas that need attention. We appreciate the opportunity to respond and hope to welcome you onboard a future flight.

Given this privilege, I am confident we will provide the excellent service you deserve and have every right to expect.

Sincerely,

Kathy Childs
Customer Care
Northwest/KLM Airlines

Did Ms. Childs bother to read the entire e-mail, in which Ms. Shassere alleges that she wasn’t allowed to take the customer survey? Why didn’t she also address the per-ticket change fee that irritated her?

What do you think? Please post your comments.

Christopher Elliott is the author of Scammed: How to Save Your Money and Find Better Service in a World of Schemes, Swindles, and Shady Deals. Critics have called it “eye-opening” and “inspiring” — it’ll “grab your attention and won’t let go.” Order your copy now on Amazon, Barnes & Noble or iTunes.

6 comments

  • Allan H Fine

    did you ever wonder why airlines lose money?
    could it be that with customer service issues such as these, they desrerve to lose?
    i think so.
    whats unbelievable, is that our elected officials voted to bail them out of their woes, having treated the public with so little regard.
    phie on them all!

  • John Zumrick

    It has been my experience that companies almost never answer your specific questions. It either that you have gotten a boilerplate letter that most closely matches your request, or that they cannot read english, or don’t care to take the time to do things well.

  • Marge Purnell

    The letter from NW to Ms. Shassere was a lot of yip and yap. The exact same situation happened to me with two NW tickets I purchased last fall. Gone are the days of airlines just crediting your form of payment when the fare goes down.
    In a recent Quality Digest poll asking what industry had the worst customer service, airlines were right at the top of the list.

  • Amanda

    Ummmmmm……you *AGREED* to the price which you paid, you locked in a price that you were comfortable with, you are LUCKY the airline offered to give you ANYTHING. If the price goes UP, does the airline make you pay???

  • Michael

    Get a grip. What company would let give your money back on a purchase made a while ago? Any retailers? I don’t believe Walmart, Sears, or any other retail establishment would give you an adjustment the next week, let alone a couple of weeks or months after the purchase. Amanda was correct when she said that you did agree to the original price. I think its childish of you to complain that the price has gone down and you want the credit. How do you think the people who first bought plasma tv’s felt when they paid 10k and now they go for 2k at Sams. Stop complaining about little tawdry issues and realize you made like a bandit when you bought the ticket. As to the comment about worst customer service, you’ll be happy to know that most customer service issues relating to the Airline industry have most to do with lost luggage and delayed flights than anything else.

  • William

    Those last two comments are absurd. Of course you should get the difference, no questions asked. If your rental car rate goes down prior to the booking you pay the lower price, stores offer lower price matching, Southwest airlines, whom have never needed a handout, gives you the ability to rebook and get the lower fare.

    Airlines have used our tax dollars to bail them out, treat passengers like dirt and morons like Amanda and Michael let them get away with it.

    Customer service has reached an alltime low with most companies. Our economy is going down the tubes as a result of it. We used to be a great nation who stood up for values.

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