Aer Lingus offering impacted WOW Air passengers special rescue fares

Aer Lingus offering impacted WOW Air passengers special rescue fares

Iceland's budget airline WOW announced Thursday that it had ceased operations and canceled all flights.

Icelandic airline Wow Air has ceased operating, with all flights cancelled.

WOW Air has published a notice to their passengers with some information on how to rebook their flights with other airlines.

After starting operations in 2012, the airline expanded quickly to 37 destinations and reported up to 60 percent annual growth in passenger numbers.

"The model can do quite well if well managed", said Robert Rennert, a Toronto-based airline consultant. The airline advised passengers to check with other airlines for available flights.

Wow customer Alison Fath says she and her fiancé are looking into Icelandair's offer, because the pair no longer have a ticket on a return flight from Paris to Baltimore this Sunday.

Consumer magazine Which advised passengers to seek refunds after the airline was found to be selling tickets despite being on the brink of shutting down.

Through Wow staff announcements at the airport and e-mails from the company, passengers were given different stories - the flight was cancelled, then delayed, then available another day, then cancelled.

I'm stranded. How will I reach my destination?

That's where paying with your credit card comes in handy, because buying a ticket with a credit card means you'll be more protected if your airline goes under.

The carrier connected Europe and North America via Reykjavik, with United Kingdom flights serving London Gatwick, London Stansted and Edinburgh.

These are known as rescue fares.

Some airlines may offer flights at a reduced rate which are so-called rescue fares.

Within a short time span, competitor Norwegian (NAS.OL) began offering non-stop transatlantic flights for a very competitive price, making it less desirable to have a cheap Wow Air flight with a stop-over in Iceland.

We all book flights using different methods, if you booked via a travel agency, they might be responsible for refunding you, depending on whether flights are covered by travel insurance.

"WOW Air passengers that are scheduled to travel from 12th April onwards can avail of Aer Lingus' great value fares from Ireland to USA and Canada from €169 each-way including taxes and charges, available by contacting the numbers above".

"Financial Default coverage provides reimbursement for unused prepaid and nonrefundable trip payments and deposits if a trip is canceled or interrupted due to the travel supplier's complete suspension of operations due to financial circumstances", explained Jenna Hummer, a spokesperson with SquareMouth, which compares travel insurance policies, "whether bankruptcy is filed".

It added: "Passengers may also be entitled to compensation from Wow Air, including in accordance with European regulation on Air Passenger Rights". According to Business Insider, refund claims are often the last to be paid out in bankruptcy cases.

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