CC protection

akkers

We are a group of guys planning a trip to S America. We have found a local travel agency there that can arrange our tour and accommodation there (we are booking flights here seperately). The tour company want a 50% deposit and the rest when we get there. I can, and would like to, pay the deposit with my credit card so to acquire some kind of protection in case the tour company do not deliver.
My question is - in case of a claim with credit card company will they honour it. My fear is that they will not cover the amount paid for my friends, but only for myself.
Any thoughts on this?

bigadaj

In simple terms that sounds about right, can each of your party pay their own deposit?

Teh contract will presumably be formed in the country of the operator so you can't wholly rely on British law but should get a basic protection from non delivery for example.

Aquamania

Hopefully you will all have travel insurance for this expedition, ... and the time to buy it is now
Ensure it covers you should the tour operator go bust or otherwise does not deliver what you have booked/paid for.

Check the travel agency is ABTA bonded too

BrokeInNYC

I actually think you're better off just putting everyone's deposit on one card so that if you have an issue, you only have to deal with one CC company. I feel like it would probably get too complicated if you have a bunch of separate deposits on different cards and have any sort of issue. I don't think it would matter that you're covering everyone else on your card, it would just be looked at as one expense that you'd be filing a claim for in the event that the tour company didn't come through with what was promised. I think your chances of a smooth resolution would just be easier without a bunch of different claims (I'm not sure how many people you have coming with you.. but I'm assuming it'd be enough to be a headache)

pvt

BrokeInNYC wrote: »

I actually think you're better off just putting everyone's deposit on one card so that if you have an issue, you only have to deal with one CC company. I feel like it would probably get too complicated if you have a bunch of separate deposits on different cards and have any sort of issue. I don't think it would matter that you're covering everyone else on your card, it would just be looked at as one expense that you'd be filing a claim for in the event that the tour company didn't come through with what was promised. I think your chances of a smooth resolution would just be easier without a bunch of different claims (I'm not sure how many people you have coming with you.. but I'm assuming it'd be enough to be a headache)

I don't think that is good advice - one traveller paying for all the others is likely to void the S75 protection for all but the card holder.

bris

pvt wrote: »

I don't think that is good advice - one traveller paying for all the others is likely to void the S75 protection for all but the card holder.

It does, S75 protection is for the card holder only, to get cover for everyone they all need to pay their own deposits on their own CC.

eddddy

Actually, s75 protection when buying through a travel agent is a complex/grey area.

Essentially, you may be instructing the travel agent to book a tour and accommodation on your behalf - as opposed buying a tour and accommodation from the travel agent. i.e. They are your agent, and not the accommodation provider's agent.

So if the travel agent fails to make the booking and pay for it (e.g. because they go bust), you'd probably have a valid s75 claim.

But if the travel agent makes the booking and pays for it, but the accommodation provider goes bust, a s75 claim is not likely to succeed.


The UK Cards Association

Section 75 - when your card payments are not protected (unless your card issuer voluntarily chooses to offer it as a matter of customer service):
...
- If you make a purchase through a third party, such as buying a holiday through a travel agent.

Link: http://www.theukcardsassociation.org.uk/wm_documents/Section_75_v3.pdf

Martin Lewis on Section 75

When you buy through third parties. Travel agents, Paypal, group buying sites, etc. You’re unlikely to be covered when payments are made to a company that isn’t the one providing you with the product or service. In these cases, the credit card company usually says it didn’t have a direct relationship with the supplier, so isn’t equally liable.If you stand your ground, it’s possible to argue that the indirect relationship constitutes an arrangement to pay.

Link: http://justice4.co.uk/martin-lewis-on-section-75/