Can I cancel a package holiday and get my money back?
Conditional — you can always cancel a package holiday, but whether you get all your money back depends on the reason. The Tourism Services Act gives the traveller the right to terminate before departure on paying a reasonable, pre-set cancellation fee. But where unavoidable extraordinary circumstances (war, disaster, epidemic) arise at or near the destination and significantly affect the trip, the traveller terminates with no fee at all and gets a refund of all payments. Here the myth that "deposits are non-refundable" falls: the organiser must return every payment within 14 days of termination. On top of that, if the price rises by more than 8%, the traveller may walk away free. If the agency goes bankrupt, payments are covered by the mandatory package-travel guarantee.
📋 The rules
- Always a right to cancel: before departure the traveller may terminate the package contract on paying a reasonable, pre-set cancellation fee (Tourism Services Act).
- Extraordinary circumstances = no fee: if unavoidable extraordinary circumstances at the destination significantly affect the trip, the traveller terminates without payment and gets a refund of all payments.
- Refund within 14 days: the organiser must return all payments received no later than 14 days after the contract is terminated.
- Price rise above 8%: the price may change only for defined costs and no later than 20 days before departure; if it rises by more than 8%, the traveller may cancel free.
- Insolvency protection: the organiser must hold a guarantee (insurance) that refunds the traveller and secures the return home if the agency fails.
🔓 Exceptions
- Ordinary cancellation fee: where there are no extraordinary circumstances, the traveller pays a standard cancellation fee that depends on how close departure is and the organiser's savings — it need not be a 100% refund.
- Not everything is a "package": a single ticket or accommodation only is not a package, so different rules and the provider's own terms apply.
- Linked travel arrangements: for so-called linked travel arrangements the protection is narrower than for a true package, so check who is responsible for what.
⚠️ Penalties & fines
If the organiser does not refund within 14 days or refuses to recognise extraordinary circumstances, the traveller first files a written complaint with the agency, then turns to the tourist inspection of the State Inspectorate and, for the disputed amount, to the court. For breaching the Tourism Services Act the agency faces offence fines, and the inspection may order the irregularities removed. The cost is hidden in time and evidence: without a paper trail of the extraordinary circumstances (warnings, official notices) it is hard to prove a right to a full refund, so keep the contract, receipts and all correspondence. The biggest misconception is that the deposit is "lost": with extraordinary circumstances or a price rise over 8% the refund is full, and even an ordinary cancellation fee must be reasonable and known in advance, not arbitrary. If the agency goes bankrupt the guarantee refunds the money, though the process can drag on.
📎 Official sources
- zakon.hr — Tourism Services Act (package travel, termination) [Croatian] →
- Ministry of Tourism and Sport — travellers' rights in package travel →
- Central Consumer Portal — tourism and travel →
❓ Frequently asked
Do I get a full refund if I cancel because of war or disaster?
Yes; if unavoidable extraordinary circumstances arise at or near the destination and significantly affect the trip, you terminate with no fee and get a refund of all payments. The organiser must return that money no later than 14 days after termination.
Is the deposit really non-refundable?
Not necessarily; with extraordinary circumstances or a price rise above 8% the refund is full, including the deposit. For an ordinary cancellation a fee applies, but it must be reasonable and pre-set, not arbitrary.
How long does the organiser have to refund?
The law requires all payments received to be returned no later than 14 days after the package contract is terminated. If that deadline is missed, file a written complaint and turn to the tourist inspection.
Can the agency raise the price after I have paid?
The price may be raised only if agreed, only for defined costs and no later than 20 days before departure. If it rises by more than 8%, you have the right to cancel free and seek a refund of what you paid.
What if the agency goes bankrupt?
Every package organiser must hold a guarantee or insurance that refunds travellers and secures their return home. That is why you should ask for proof of the guarantee and keep it with the contract.
🔎 Common searches
What people search to land here:
- “cancel package holiday refund”
- “extraordinary circumstances travel cancellation”
- “package refund 14 days”
- “price increase package 8 percent”
- “package travel traveller rights”
- “holiday deposit non-refundable”