Q – (September 2, 2020) – As you know, we are scheduled to sail northern Europe with Crystal next August. Last week we received your detailed update on the financial issues facing Crystal. We paid our deposit and are now thinking about making our early payment in full, saving us an additional two and a half percent. But then we read the latest news, yesterday, on Cruisetruth about the pullback from the insurance companies and that seems a huge red flag. So our question is, should we just cancel and not have to worry about it. 

Q – Unfortunately, we do not see “No Worry” as a viable option. At the present time, Crystal is running four to five months behind on refunding credit card deposits. That means that you would be taking on some element of risk by canceling now as the company would be listing you as a future creditor way down the list should normal bankruptcy procedure be the outcome. As you are now committed to a wait of several months in the hope that the company will remain solvent, it might make more sense to hope for the best and assume there will be a positive outcome. There are companies that are “Too Big To Fail”. Crystal may be an example of a cruise line that is “Too Good to Fail”. Sticking with them or waiting upwards of half a year for a refund seem to be the only options right now.  

There are two things we suggest at this point. Do not pay in full. Invest the money and hope to earn the two and a half percent elsewhere. You may also decide, based on the decision to end “Default Coverage for Crystal” by several large insurers, to contact your credit card company to see if the original deposit charge can be reversed or recalled.