The security of consumer travel arrangements depend on the financial security of the travel agency businesses through which payments and bookings are made. The Travel Compensation Fund actively monitors the financial security of all licensed travel agents in Australia, except in the Northern Territory which did not join the compensation scheme.
Any person or company wishing to conduct business as a licensed travel agent in Queensland, New South Wales, Victoria, Tasmania, South Australia, Western Australia, or the Australian Capital Territory, is required to be a participant in the TCF.
To become or remain a participant, businesses must demonstrate that they have sufficient financial resources to trade as a travel agent. All TCF participants are required to renew their participation annually, and must provide detailed financial information to the TCF. They may also be required to provide security to the TCF, or take other action, if they do not meet TCF financial criteria.