Capital One dispute

flyaway

I was one of the many victims of the XL collapse and paid in full for my holiday with Capital One credit card. I contacted them for a refund and sent in all relevent paperwork and filled in their disputes form. They have just sent me a letter saying that I have to make a claim directly with the travel agent. I quoted the relevent section of the consumer credit act - section 75 of the consumer credit act 1974 holding them jointly and severally liable for the breach of contract with the trader (travel agent) and seeking the refund. But they stand by their letter and say I have to write to the Executive Office of Capital One for their consideration.
Does anyone have any knowledge or experience similar to mine?

jonesMUFCforever

If you booked directly with XL the correct procedure would be to contact Capital One for a refund.
If you booked through an agent it would be reasonable to me to obtain a refund via the agent.

clio

Ah jonesy nice to see you back, manure are still cr.ap though lol...

flyaway

Thanks for your replies. But from what I've read on the travel forums I can get a refund from the credit card company under the section 75 of the consumer credit act 1974. The agent is not going to refund the money but I might have to get it in writing. Should I go to the Financial Ombudsmen for advice or take them to the small claims court?

jonesMUFCforever

You have to give us a lot more information as to why the agent is not refunding you - could it be that they have offered you alternative flights, and what you booked constituted a package?
The Ombudsman will not touch your case at the moment as I don't think you have exhausted the complaints procedure either for the agent or Capital One.

By all means sue but you won't get your money back any quicker.

flyaway

Thanks for your reply jonesMUFCforever. The travel agent says they cannot give me an alternative holiday and they are not licenced to sell separate flights. They suggested I should claim through ATOL but I have been told that this will take forever and as I paid for the whole holiday package with a credit card that I should claim through the credit card company under the consumer credit act. But the credit card company are saying I should claim from the agent.

jonesMUFCforever

Start a complaint against the agent - speak to a manager and ask for all correspondence to be in writing.
Whatever they send you (if they still do not refund) send this to your credit card provider.
If they don't refund ask for a letter of deadlock (although this is not necessary anymore) before sending your complaint to the Ombudsman.

To be honest as I see it you might as well claim back from ATOL as this could run and run.
What you will lose out on if not a proper package will be your hotel costs.

PROLIANT

I response to this debate it is black and white as far as the law goes, you are covered under the CCA sec 75, doesn't matter where you made the purchase the supplier has failed to supply the service and or goods that you have paid for (or should I say what the credit card company has paid for), end of, contact Capital One with a threat of leagal action unless they comply with the joint contact that you signed between yourself and capital one. It is in black and white and is not open to dispute as the contract was legally approved prior to issue to the banks customers. remeber, you are claiming for goods/service not received, not the fact that a half a job airline went down the pot.

Scampy

I was reading up on this the other day and unfortunately it did say if you buy the goods through a third party then this changes the rules.

• When you buy through third parties. Travel agents, paypal etc. You’re unlikely to be covered when payments are made to a company that isn’t the one providing you with the good or service. This is because the credit card company must have a direct relationship for them to be equally liable.
  The other is buying through a Travel Agent, where it is simply directing you to get a flight from an airline or package holiday from a Tour Operator. You should usually have ATOL protection for package holidays anyway (see Cheap Package Holidays) but flights don’t usually have protection elsewhere.

Hope this helps.

PROLIANT

Scampy wrote: »

I was reading up onthis the other day and unfortunately it did say if you buy the goods through a third party then this changes the rules.

• When you buy through third parties. Travel agents, paypal etc. You’re unlikely to be covered when payments are made to a company that isn’t the one providing you with the good or service. This is because the credit card company must have a direct relationship for them to be equally liable.
  The other is buying through a Travel Agent, where it is simply directing you to get a flight from an airline or package holiday from a Tour Operator. You should usually have ATOL protection for package holidays anyway (see Cheap Package Holidays) but flights don’t usually have protection elsewhere.

Hope this helps.

Thanks for that info, so explain this to me then please, when you order a telly from Dixons, they have to order that from their supplier to deliver it to you, same as you buy a holiday from an agent who buy's it from their supplier in turn supplies the service to you...exactly the same is it not as the Dixons analogy?

Scampy

I didn't write the information I am quoting from the money expert website but no I don't think it is the same. The travel agent are a third party and are the company which the credit card has a relationship with whereas the TV shop would be on the credit card statement, so if they went bust the credit card company would be liable.