Guarantee with Holidays

anntargett

We are going on a holiday to the USA and paid the deposit for two with my credit card - the amount was over £100 each. This I believe gives cover for us should the travel company get into financial difficulty and we need to organise alternative accommodation/ flights etc. etc.. Paying for the rest of our holiday by credit card will cost a lot of extra money and we do have the cash available but wondered if we should pay by credit card, even though it would cost a lot more, for the credit card guarantee.
I would appreciate any advice please.

luci

You can pay as little as 1p on the credit card and provided the holiday is between £100 and £30000 you are covered under Section 75.

However is it a package or individual elements of the holiday you have booked?

anntargett

This is a package holiday.

Ann

luci

Then you should be covered.

agrinnall

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

There's a secret phrase that turns any credit card into a financial self-defence superhero. "Section 75" laws means your plastic must protect anything you buy over £100 for free, so if there's a problem or the company goes bust you can still get your money back.

YorkshireBoy

Strange! I tried to quote someone (alanq I think?) who asked for a reliable source for the low, ie sub £100, deposit issue!

Anyway, the CCA itself mentions deposits (but not a value).

See also case 102/12 from the FOS site here...

http://www.financial-ombudsman.org.uk/publications/ombudsman-news/102/102-section75.html

There are also many other citations on the FOS site.

luci

anntargett wrote: »

This is a package holiday.

Ann

Have you paid the tour operator direct or have you paid a travel agent?

You must have a direct relationship with the company. If you have paid the tour operator then you are covered if they go bust. If you have paid a travel agent then you are covered if the travel agent goes bust, but not if the tour operator goes bust as you do not have a direct relationship.

agrinnall

YorkshireBoy wrote: »

Strange! I tried to quote someone (alanq I think?) who asked for a reliable source for the low, ie sub £100, deposit issue!

I responded to his post too (yes it was alanq), he must have deleted it in between.

YorkshireBoy

agrinnall wrote: »

I responded to his post too (yes it was alanq), he must have deleted it in between.

Probably found his own "reliable source" the same way as you and I did.

chanz4

It will be abta covered anyway even without the card