The British-based company, which operated flights to Greece, Egypt, Turkey and the Canary Islands, folded after its owner Flight Options ceased trading last night, the Civil Aviation Authority said.
The CAA said 13,000 holidaymakers who had booked trips through the company would get home as normal.
But while the “vast majority” of the estimated 60,000 who had booked future flights with the company will receive refunds, several thousand who had booked package deals through the company could be left out of pocket.
Customers with flights leaving the UK before 6pm on Wednesday were told their trips would operate as planned.
A CAA spokesman said: “Because the company has failed at the height of summer, the CAA is also putting in place arrangements to allow people to travel out on their holidays for the next 24 hours, to minimise confusion and protect passengers.”
Kiss is the major trading name of Flight Options, which bought the company last year.
Flight Options also traded under the names Africa Options, America Options, Canada Options, Caribbean Options, Dubai Options, Elgouna Options, Elgouna Villas and Apartments, Florida Options, Florida Owners Club, Golf Options, Holidayops.com, Orlando Villas Direct, Sportops.com, Travel Options Direct and Travelplus.
Kiss is the latest of a string of British holiday firms to face problems. More than 1,200 holidaymakers saw their travels plunged into chaos by the collapse of tour operator Sun4u, while Goldtrail went into administration with around 16,000 customers abroad.
Kiss Flights customers who are currently abroad can contact the CAA for more information on 0044 161 444 5811. Those with forward bookings requiring general advice about refunds under the Atol (Air Travel Organisers’ Licensing) scheme should go to the CAA website or call 0844 571 7262.
Source: Press Association