Should i pay for holiday with credit card, or debit card?

comping_cat

In March, i have to pay the balance of our upcoming holiday (£2381) I have the money saved in my savings account so i am able to pay either in cash, or debit card, as they have a 1% handling charge for credit cards. I do have a Tescos mastercard, and i believe that if you pay for your holiday using a card, it will give you an extra insurance if anything goes wrong on holiday, and as its a Tesco card, i would also get extra clubcard points.
So, i need to decide whether to pay the cash, and not be charged, or pay by credit card, pay the 1% but gain extra clubcard points, and maybe the extra insurance (not quite sure how that works tho!!!)? What do you think would be my best option?

jonesMUFCforever

catowen wrote:

In March, i have to pay the balance of our upcoming holiday (£2381) I have the money saved in my savings account so i am able to pay either in cash, or debit card, as they have a 1% handling charge for credit cards. I do have a Tescos mastercard, and i believe that if you pay for your holiday using a card, it will give you an extra insurance if anything goes wrong on holiday, and as its a Tesco card, i would also get extra clubcard points.
So, i need to decide whether to pay the cash, and not be charged, or pay by credit card, pay the 1% but gain extra clubcard points, and maybe the extra insurance (not quite sure how that works tho!!!)? What do you think would be my best option?

Main benefit of paying with credit card is that should the company not fulfill any part of your holiday then the credit card company is jointly liable with the travel company for damages. For this most will expect you to pay a fee. This I take it is the insurance you refer to in your posting but is no way a substitute for proper holiday insurance.
If you pay the 1% then it will cost you £23.81 extra but you will get (is it .5%?) Tesco clubcard points which can be worth up to 4 times face value if you spent them through their catalogue rather than exchange them with your shopping.
If it was me I would pay but at the end of the day it is up to you.

Chester_Draws

I'm sure I read somewhere, that if you pay £101 on your credit card, and the rest on your debit card, then you are as fully protected as if you had paid the whole balance on the credit card. (but it will only cost you £1 for the 1% charge)

Can anyone else confirm this ?

Off to do some Googling :wave:

grumbler

Chester_Draws wrote:

I'm sure I read somewhere, that if you pay £101 on your credit card, and the rest on your debit card, then you are as fully protected as if you had paid the whole balance on the credit card. (but it will only cost you £1 for the 1% charge)

Can anyone else confirm this ?

Off to do some Googling :wave:

Don't go too far ...:rolleyes:
Martin's Consumer rights:

Pay for goods worth over £100 even partially on a credit card and the credit card company is equally liable with the retailer; this gives you a second bite at the complaining cherry. This does not work with debit cards though (as this stems from Section 75 of the Consumer Credit Act 1974 and is about 'credit giving' cards)

For more information see Paying a holiday deposit