The balance due date is usually set as a number of weeks before departure, and it varies from one organiser to another, so check each organiser’s booking conditions rather than assuming a standard date. If the customer books inside that period, the full price is due at booking. If the balance is not paid on time, the organiser’s terms normally allow it to cancel the booking and apply its cancellation charges.

ATOL and deposits

For an ATOL-protected booking, the ATOL Certificate must be issued as soon as the deposit is taken, not when the balance is paid.

Watch out for

• A deposit is not the same as a booking fee.

• “Non-refundable” has limits for packages. Under the Package Travel Regulations a traveller can cancel at any time before the package starts but can only be charged an appropriate and justifiable termination fee. If unavoidable and extraordinary circumstances at or near the destination significantly affect the package or the journey there, the traveller can cancel before departure without any termination fee and must get a full refund, but no extra compensation.

• Low-deposit and pay-monthly schemes are commercial variations. The customer’s protection still depends on the organiser’s ATOL or other financial protection.