Paying for a holiday but avoiding payments, yet still being insured...

Olga_de_Polga

I haven't paid for a holiday with a credit card for a while and was shocked to find out that I had to pay 2.5% of the balance if I wanted to do so...This seemed like robbery to me, but now that I've looked into it, it is common practice!
The last holiday we paid for with a credit card we had to cancel at the last minute, but were fortunate enough to get nrealy all our money back!
I went into my bank and asked them if I would have the same level of insurance if we paid with our Debit card. They ofcourse said no....but.. said that if we pay for a part of the holiday using a credit card, even if it was just for £1, we would still be insured...again should unfortunate circumstances mean we have to cancel again.
Now, I don't trust banks, and this seems too good to be true...but is it true?
If I pay for my holiday with a debit card and pay for a very small part of it with a credit card will I still be entitled to ALL my money back, or at least a very large portion...
Ofcourse I have no intention of cancelling our holiday, and only serious illness prevented our last trip, but it did teach us that it is better to be safe than sorry...
Advice please...?

bengal-stripe

Olga_de_Polga wrote: »

If I pay for my holiday with a debit card and pay for a very small part of it with a credit card will I still be entitled to ALL my money back, or at least a very large portion...
Ofcourse I have no intention of cancelling our holiday, and only serious illness prevented our last trip, but it did teach us that it is better to be safe than sorry...
Advice please...?

If you cannot travel (due to illness or bereavement etc), but the operator is providing the service, that will be covered by your travel insurance. not your credit card.

If you are willing to travel, but the operator has gone bust or cannot provide the agreed service, then and only than, would it be covered by your credit card.

You better take up proper travel insurance because in the circumstances you described, you would not be covered by the CC.

balmk

Bengal-stripe is correct - paying by credit card will offer you a certain amount of protection in terms of supplier reliability, but you need to ensure that you acquire adequate travel insurance at the time of booking if you want protection against events which may cause you to have to cancel the holiday.

flashg67

As I understand it from these boards, this site & elsewhere, along as the item/service costs over £100, then your card company is liable as long as some/any/all of it is paid by credit card.

However, as above, not a substitute for insurance as it won't cover you for illness/injury/missed flights etc

thenudeone

You are confusing
-travel insurance (which covers overseas medical bills, lost luggage, cancellations due to illness, and other risks)
with
-s75 protection when buying anything over £100 on a credit card (which only means that should the airline go bust, the card company will cover the costs)

It used to be the case that several credit cards offered some form of travel insurance free if the holiday was paid on the card (eg the egg card) but it's rare or non-existent nowadays.

As long as the cost is over £100, s75 applies regardless of how much was paid on the card and regardless of whether you've paid any of the balance off.

You will have to buy travel insurance separately.

Olga_de_Polga

I think that's what the bank lady was on about...s75.
We have insurance, but will pay £1 on my credit card for our hols...
Thanks for your advice:)