Credit card consequential loss

mpet

I had a flight booked with British Airways for a holiday in the USA which had been cancelled. BA will refund the flight cost which was paid for on my Barclaycard. 

However, I also booked an apartment separately via a US rental agency, who will not refund or move the booking (within their t’s & c’s, but was hoping for some leeway in the current situation). My travel insurance does not cover pandemics. 

I was going to try to claim consequential loss via my credit card. However the apartment was booked on a Santander card.
My question is - would I claim for this from Santander (who I paid for the apartment), or Barclaycard, who the flight was booked with and the cancellation has caused the ‘loss’

[Deleted User]

It would have to be Barclaycard, otherwise it would not be a consequential loss.

mpet

Deleted_User said:

It would have to be Barclaycard, otherwise it would not be a consequential loss.

Thank you - I thought this may be the case, but wanted to double check.

Does it make any difference that I’m not claiming back from Barclaycard the flight cost (as BA have refunded)?

Tildaplum

Even if the villa has been paid on the same credit card you could not have claimed consequential loss

if the flights are cancelled you cannot claim for anything that you would have done, visited, expected to do or whatever as a result of that flight so the villa not have been covered 

if it had been the other way round - for example the villa cancelled then you could have claimed consequential loss in that the travel to get there was a consequential loss

for example if you book to see a gig and had coach tickets and the gig was cancelled you could claim the coach tickets

However if the coach was cancelled you could not have claimed for the gig or anything else you have plan to do once the coach got there

Nick_C

Tildaplum said:

Even if the villa has been paid on the same credit card you could not have claimed consequential loss

if the flights are cancelled you cannot claim for anything that you would have done, visited, expected to do or whatever as a result of that flight so the villa not have been covered 

if it had been the other way round - for example the villa cancelled then you could have claimed consequential loss in that the travel to get there was a consequential loss

for example if you book to see a gig and had coach tickets and the gig was cancelled you could claim the coach tickets

However if the coach was cancelled you could not have claimed for the gig or anything else you have plan to do once the coach got there

NO NO NO NO NO NO NO!

You keep repeating this rubbish on different threads.  You don't understand consequential loss.

As a consequence of BA cancelling the flight, mpet suffers a loss on the accommodation booking.

Barclaycard are a joint party to the contract mpet has for transport to the USA.  Barclaycard are jointly liable with BA for making good the consequential loss.

OP - contact Barclaycard to claim consequential loss.  

Please report back in due course as your experience will help to inform the ignorant - the ones who are prepared to listen anyway!

To repeat my own experience again (for the second time in less than a week):-

I booked a trip to Budapest in 2012. I booked the plane tickets with my Halifax Mastercard and the hotel with my (Barclaycard) Hilton Visa card. The hotel was prepaid and non refundable.

Two weeks before we were due to travel, Malev (the Hungarian airline) went bust.

I claimed the cost of the flights back from Halifax, and tried to claim the cost of the hotel on my travel insurance. My Insurer said I was not covered for this. I went back to Halifax and put in a claim under S75 for the cost of the hotel, booked with my Barclays/Hilton Visa card. Halifax paid up, as they were liable for the consequential loss.

As a consequence of Malev going bust, and Halifax being in breach of contract (they couldn't get me Budapest as per the contract), Halifax covered my loss with Hilton, even though I had paid Hilton with a Barclaycard. I was happy for Halifax to credit my Halifax CC account with the sum I had paid to Hilton on my Barclaycard.

Liability for consequential loss is a strong reason for paying by Credit Card, not Debit Card (or charge card) where the cost of the contract is more than £100.

mpet

Nick_C said:

Tildaplum said:

Even if the villa has been paid on the same credit card you could not have claimed consequential loss

if the flights are cancelled you cannot claim for anything that you would have done, visited, expected to do or whatever as a result of that flight so the villa not have been covered 

if it had been the other way round - for example the villa cancelled then you could have claimed consequential loss in that the travel to get there was a consequential loss

for example if you book to see a gig and had coach tickets and the gig was cancelled you could claim the coach tickets

However if the coach was cancelled you could not have claimed for the gig or anything else you have plan to do once the coach got there

NO NO NO NO NO NO NO!

You keep repeating this rubbish on different threads.  You don't understand consequential loss.

As a consequence of BA cancelling the flight, mpet suffers a loss on the accommodation booking.

Barclaycard are a joint party to the contract mpet has for transport to the USA.  Barclaycard are jointly liable with BA for making good the consequential loss.

OP - contact Barclaycard to claim consequential loss.  

Please report back in due course as your experience will help to inform the ignorant - the ones who are prepared to listen anyway!

To repeat my own experience again (for the second time in less than a week):-

I booked a trip to Budapest in 2012. I booked the plane tickets with my Halifax Mastercard and the hotel with my (Barclaycard) Hilton Visa card. The hotel was prepaid and non refundable.

Two weeks before we were due to travel, Malev (the Hungarian airline) went bust.

I claimed the cost of the flights back from Halifax, and tried to claim the cost of the hotel on my travel insurance. My Insurer said I was not covered for this. I went back to Halifax and put in a claim under S75 for the cost of the hotel, booked with my Barclays/Hilton Visa card. Halifax paid up, as they were liable for the consequential loss.

As a consequence of Malev going bust, and Halifax being in breach of contract (they couldn't get me Budapest as per the contract), Halifax covered my loss with Hilton, even though I had paid Hilton with a Barclaycard. I was happy for Halifax to credit my Halifax CC account with the sum I had paid to Hilton on my Barclaycard.

Liability for consequential loss is a strong reason for paying by Credit Card, not Debit Card (or charge card) where the cost of the contract is more than £100.

Thank you for your very clear explanation. I will certainly update when the matter is resolved

mpet

Tildaplum said:

Even if the villa has been paid on the same credit card you could not have claimed consequential loss

if the flights are cancelled you cannot claim for anything that you would have done, visited, expected to do or whatever as a result of that flight so the villa not have been covered 


for example if you book to see a gig and had coach tickets and the gig was cancelled you could claim the coach tickets

These statements are contradictory.

born_again

Given that USA has stopped travel form the UK. The the villa co should be refunding anyway.

Tildaplum

You misunderstand consequential loss but a lot of people do - it is not travel insurance

Q: I booked a flight through Thomas Cook, travelling to Corfu next May (Thomas Cook collapsed). The cost of the flight is not an issue as my card company will likely refund this. In addition I booked a hotel, again on a card. This was a non-refundable deal. However, due to the airline's collapse I am unable to get a flight from Manchester to Corfu. Do I have any routes available to recover this cost? My travel insurance doesn't seem to cover this."

A: If the hotel was booked as part of the same transaction as the flight, you may be protected. You may get some help if it was multiple transactions, but all through the same website visit or call.

If it was done separately, the first thing to do is call the hotel to explain the situation. They have a lot of time to resell the hotel room so may be understanding, particularly if you would only like to change dates. You may want to point them to a recent Competition and Markets Authority (CMA) report .

Generally though, these consequential losses are *** not *** covered by card companies nor many insurance policies.

To repeat for everyone reading this consequential loss is not repeat not a get out clause for getting your money back for everything you've booked if for whatever reason you cannot reach your destination

https://www.google.com/amp/s/www.bbc.co.uk/news/amp/business-49814689

eddddy

Section 75 makes the credit card company jointly liable for breach of contract (and misrepresentation) and nothing else.

Damages for breach of contract can include consequential losses.

BUT... I doubt that British Airways have breached their contract.  I suspect the BA's contract allows them to cancel the flight and refund the fare.

Assuming that's correct, if there has been no breach of contract by anyone, there is no scope for a section 75 claim against either card company.

Nick_C said:

Two weeks before we were due to travel, Malev (the Hungarian airline) went bust.

In this case, as a result of going bust, Malev breached the contract - so a section 75 claim was appropriate.

Tildaplum

I will give a quick example of what is and what is not consequential loss and then refrain from posting on this subject again.

1. I book a trip to Florida with Hedgehog airlines. I am at Orlando airport when I hear Hedgehog have stopped flying to Orlando and my flight home is cancelled. I can return next day with BA but have to pay £400 and also overnight hotel and reasonable food. This is consequential loss.

2. I book a dream holiday to Florida with Hedgehog. Separately I book a luxury villa for two weeks, my own butler to attend me, gourmet food delivery every day I am there, Everglade trips by private boat, access to a yacht so I can cruise to a private island where a luxury spa is available any time I wish.  I pay in advance by credit card for everything. As I am about to leave LHR I hear Hedgehog have stopped flying to Orlando and my flight is cancelled. There is no other way of getting to Orlando - everything is full. I can claim the cost of the air tickets from my card provider if Hedgehog do not refund me. The rest is NOT consequential loss.