safest way to pay for private villa

crystal9

Hello all,

I would like to ask in here if anyone could advise me on the safest way to pay for a villa we are going to rent next year in cyprus.

Am i right in thinking if we pay by credit card we are covered? or is bank transfer or debit card better?

also is it the same for our flights which we are going to buy separately?

any help would be really appreciated.

mitali

hi crystal,

i'm also in a similar situation and having done some research on this, my conclusion is that we're better off paying by credit card (because of chargeback rules and you can get the card issuer to claim the money back if there is fraud etc).

another thing i found out is that there exists a vacation rental insurance that can be taken out separately, which protects your deposit... if you're putting in a lot of money into this.

Good lucck! :j

Debbie_A_3

Hi Crystal,

Credit card is safest because of the legal protection, and I would consider it even if it costs more. VISA debit comes next: there is some protection from VISA. I wouldn't do the bank transfer: it is akin to handing over cash.

Good insurance is especially important when you are planning a DIY holiday. For example if the airline goes bust then the bank will only refund the cost of the flights to your credit card. You would still be liable for all the other costs such as the villa if you were unable to arrange alternative flights.

Have a great time in Cyprus
Debbie

crystal9

hi mitali and Debbie,

thank you so much for your reply's i am so grateful, i will definitely pay by credit card then, Debbie-when you say insurance do you mean just normal travel insurance? or like mitali said special rental insurance? im sorry but i'm a bit confused as i thought credit card would protect the villa aswell.

thanks again

Debbie_A_3

crystal9 wrote: »

hi mitali and Debbie,

thank you so much for your reply's i am so grateful, i will definitely pay by credit card then, Debbie-when you say insurance do you mean just normal travel insurance? or like mitali said special rental insurance? im sorry but i'm a bit confused as i thought credit card would protect the villa aswell.

thanks again

Hi Crystal,

Normal travel insurance should be OK. Just check the terms and conditions: they are all far keener to collect premiums than honour claims.

The credit card will protect you against individual suppliers failing to deliver, but only against that supplier. For example, you buy flights (£1000) and a villa rental (£2000) on your credit card. Three days before you fly to Cyprus, the airline fails. The credit card company will refund you the cost of the flights (£1000). However, if you are unable to arrange alternative transport (yourself), they would not refund the cost of the villa.

We could have ended up in trouble when ZOOM airlines failed three years ago. We had booked everything independently. Fortunately for us, the failure occurred several months before our holiday so we were able to re-book on Air Canada. (RBS were brilliant and refunded the payment to ZOOM within a week). However, I saw an interview with one poor man stuck at Calgary airport trying to get home to Scotland. Neither BA nor Air Canada had any seats in economy so he was looking at a huge sum to pay for one-way business class tickets for his family.

I hope that this doesn't spook you: we still do the DIY holidays, but we are now far more careful with the travel insurance.

Do have a great time in Cyprus
Debbie

crystal9

Debbie_A wrote: »

Hi Crystal,

Normal travel insurance should be OK. Just check the terms and conditions: they are all far keener to collect premiums than honour claims.

The credit card will protect you against individual suppliers failing to deliver, but only against that supplier. For example, you buy flights (£1000) and a villa rental (£2000) on your credit card. Three days before you fly to Cyprus, the airline fails. The credit card company will refund you the cost of the flights (£1000). However, if you are unable to arrange alternative transport (yourself), they would not refund the cost of the villa.

We could have ended up in trouble when ZOOM airlines failed three years ago. We had booked everything independently. Fortunately for us, the failure occurred several months before our holiday so we were able to re-book on Air Canada. (RBS were brilliant and refunded the payment to ZOOM within a week). However, I saw an interview with one poor man stuck at Calgary airport trying to get home to Scotland. Neither BA nor Air Canada had any seats in economy so he was looking at a huge sum to pay for one-way business class tickets for his family.

I hope that this doesn't spook you: we still do the DIY holidays, but we are now far more careful with the travel insurance.

Do have a great time in Cyprus
Debbie

hi Debbie,

thank you so much for this reply, it does sound very scary :eek: but i will look out for a good holiday insurance so that i am covered for both villa and flights. i'm sure i will have a fab time and again thank you

lagoslife

If you pay by credit card, you are covered for losses above £100.

Bank transfers and cheques offer very little, if any financial protection.

http://www.moneysavingexpert.com/shopping/section75-protect-your-purchases