Claims Company Got Your Flight Compensation but Hasn't Paid You? What to Do

You signed up with a claims company, they told you the airline had agreed to pay, and then nothing arrived. Weeks go by, your emails get slow replies or none at all, and you start to wonder whether your money is sitting in someone else's account.

This does happen in the flight compensation industry. Most claims companies pay their customers properly, but where a company collects the money first and pays you second, there's always a gap in which things can go wrong: slow admin, cash flow problems, or in the worst cases a business that stops paying altogether.

The good news is that you usually have options. This guide walks through them in order, from the simplest step to the most formal.

This is general information, not legal advice. If a large amount is involved or your situation is complicated, consider speaking to a solicitor or Citizens Advice.

Step 1: Find out exactly what has happened

Before you chase anyone, get the facts straight. Gather:

• Your agreement with the claims company, including the terms you accepted when you signed up
• Every email or message they've sent you, especially any saying the claim was successful or "paid"
• Your flight details: flight number, date and booking reference
• The fee they said they'd charge, so you know what amount you're actually owed

Read the agreement carefully. It should say how long they have to pay you once the airline pays them. If that deadline hasn't passed yet, a polite chaser may be all you need.

Step 2: Confirm the airline has actually paid

A delay doesn't always mean the company is holding your money. Sometimes the airline simply hasn't paid yet. The only way to know for sure is to ask the airline directly.

Contact the airline's customer relations team with your booking reference and ask whether compensation has been paid on your claim, when, and to whom. Our guide on how to check whether your flight compensation has already been paid explains exactly what to ask and what to do if they won't tell you.

If the airline confirms it paid the claims company, you now have clear evidence that the company has received money that belongs to you (minus their agreed fee).

Step 3: Chase the claims company in writing

Write to the company by email so you have a dated record. Keep it short and factual:

• Your name, flight number, date and booking reference
• Any claim reference they gave you
• That the airline has confirmed payment to them on a specific date (if it has)
• The amount you're owed after their fee
• A clear deadline to pay, for example 14 days

Ask them to confirm in writing when they will pay. Avoid angry language; a calm, clear email is more useful later if you need to show a court or another organisation what happened.

Step 4: Use their complaints process

Most companies have a formal complaints procedure, often in their terms or on their website. Raise a formal complaint and keep a copy. Even if you don't expect much, it shows you gave them a fair chance to put things right.

Step 5: Check whether the company is still trading

Search for the company on the Companies House register. It's free. Look at:

• Whether the company is shown as active, or as being in liquidation, administration or being struck off
• Whether its accounts are overdue
• The registered office address, which you'll need if you go to court

If the company has entered an insolvency process, the way you recover money changes. In that case you'd normally contact the appointed insolvency practitioner to register what you're owed, rather than taking court action against the company yourself.

Step 6: Send a formal letter before action

If they still haven't paid, the next step is a letter before action (sometimes called a letter before claim). This is a formal letter saying you'll start court proceedings if they don't pay by a set date. It often prompts payment on its own, and courts generally expect you to have sent one before you issue a claim.

Our guide to taking a claims company to small claims court explains what to put in the letter and what happens next.

Step 7: Consider a small claims court claim

For most flight compensation amounts, a claim in the county court's small claims track is designed to be used without a solicitor. In England and Wales you can usually start a money claim online. There's a court fee, which you can normally add to the amount you're claiming.

If you're in Scotland or Northern Ireland, the process and names are different, so check the rules for where you live.

Step 8: Get help if you need it

• Citizens Advice can explain your options and help with letters, for free
• Your home insurance or bank account may include legal expenses cover, so it's worth checking your policy
• If you believe you've been deliberately defrauded, rather than just paid late, you can report it to Action Fraud

Can I just claim from the airline again?

Usually not, if the airline has already paid someone you authorised to act for you. Once an airline pays your chosen representative, it will normally treat the claim as settled. That's why your dispute in this situation is generally with the claims company, not the airline. It's also why it matters so much who receives the money in the first place.

How to avoid this next time

The simplest protection is to use a service where the airline pays you, not the company. That way there's no point at which your compensation sits in someone else's bank account. Our guide on how to choose a flight compensation company safely covers the warning signs to look for.

Frequently asked questions

How long should a claims company take to pay me? It depends on your agreement, so check the terms you signed. If the airline has confirmed it paid and the company's own deadline has passed, it's reasonable to chase in writing and set a clear deadline.

The company says the airline hasn't paid, but I'm not sure that's true. What can I do? Ask the airline directly whether payment has been made on your booking and to whom. The airline is the most reliable source.

Can I get my money back if the company has gone bust? Possibly, but not always. You may be able to register as a creditor with the insolvency practitioner, though there's no guarantee of being paid in full.

Do I need a solicitor? Not usually for small amounts. The small claims process is designed for people to use themselves, and Citizens Advice can help for free.

Claim with a company that never touches your money

At Klaimly, the airline pays your compensation straight into your own bank account. We never receive, hold or have access to it. Once you've been paid, we send a simple invoice for our flat 5% fee, and if we don't win, you pay nothing. If you've got a delayed or cancelled flight that hasn't been claimed yet, you can start your claim with Klaimly in a couple of minutes.